Oculus Innovative Sciences Reports Significant Increase in Sales of its Approved Microcyn® Product in Mexico as H1N1 Flu (Swine Flu) Spreads

Oculus Innovative Sciences, Inc. (Nasdaq: OCLS), a healthcare company that develops, manufactures and markets a family of products based upon the Microcyn® Technology platform, which is intended to reduce the use of antibiotics by preventing or treating infections including those caused by bacteria and viruses, announced that its manufacturing facility in Mexico is working around the clock to meet the sudden product demand for Microdacyn™, a broad-spectrum antiseptic and sterilant approved by the Mexican Ministry of Health. Microdacyn has not been reviewed for similar indications by U.S. or European regulatory authorities nor has any regulatory body approved this technology for a specific swine flu indication.

Antiviral efficacy in-vitro testing of Microcyn® Technology, from which Microdacyn™ is formulated, has been conducted by three different laboratories using a broad variety of viruses known to cause human and animal diseases. Three different strains of Influenza A, including one Influenza A H1 strain, have all been fully inactivated following exposure to the products tested. As further support, previous testing of Microdacyn against adenoviruses typically associated with respiratory tract infections in Mexico confirmed the product’s anti-viral effectiveness. Regardless of the type of virus, it’s believed that Microdacyn’s mechanism of virus inactivation involves destruction of the proteins on the viral surface responsible for initial infection. Following destruction of these proteins, the viruses are no longer capable of causing any harm.

"We’re adding personnel as rapidly as possible so as to deliver product to all the various Mexican markets that are in need," said Sergio Caleti, sales director of Mexican operations for Oculus Innovative Sciences.

The Microcyn Technology is manufactured and marketed as Microdacyn™ in Mexico and is available through physicians and pharmacies as a non-toxic topical antimicrobial (antiseptic). It is also formulated in various products for specific indications around the world, each product with distinct regulatory claims, approvals and supporting clinical data related to its respective label indications and geography.

Oculus previously announced a humanitarian program in which Microcyn Technology is provided pro bono to organizations that are responding to worldwide healthcare challenges precipitated by natural disaster or epidemic disease. The product will be available according to the regulatory claims in each area and at the request of emergency responders and foundations. Representatives of these groups are encouraged to contact Oculus’ global outreach at This email address is being protected from spambots. You need JavaScript enabled to view it..

“With over one million people safely treated worldwide with Microcyn Technology,” said Hoji Alimi, founder and CEO of Oculus, “specific formulations of this safe-as-water technology have demonstrated the ability to eradicate just about every pathogen including antibiotic-resistant strains of bacteria, viruses, fungi and spores. We believe the Microcyn Technology will be a key ingredient in helping address worldwide epidemics as we continue to work with appropriate international organizations in various countries to meet their regulatory requirements for specific claims and uses.”

No costly investment in a manufacturing device is required by hospitals or patients since the Microcyn Technology is shelf-stable and can be packaged and shipped around the globe. This simplicity has made the Microcyn Technology both practical and desirable to patients and medical institutions.

About H1N1 Influenza (Swine Influenza)

According to the Center for Disease Control, H1N1 (referred to as “swine flu” early on) is a new influenza virus causing illness in people. This new virus was first detected in people in April 2009 in the United States. Other countries, including Mexico and Canada, have reported people sick with this new virus. This virus is spreading from person-to-person, probably in much the same way that regular seasonal influenza viruses spread. This virus was originally referred to as “swine flu” because laboratory testing showed that many of the genes in this new virus were very similar to influenza viruses that normally occur in pigs in North America. But further study has shown that this new virus is very different from what normally circulates in North American pigs. It has two genes from flu viruses that normally circulate in pigs in Europe and Asia and avian genes and human genes. Scientists call this a “quadruple reassortant” virus.

About Oculus

Oculus Innovative Sciences develops, manufactures and markets a family of products based upon the Microcyn® Technology platform, which includes new formulations designed to significantly reduce the need for antibiotics as it reduces infections. The Microcyn Technology platform features a biocompatible, shelf-stable solution that is currently commercialized in the United States, Europe, India, China and Mexico and select Middle East countries. Several solutions derived from this platform have demonstrated, in a variety of research and investigational studies, the ability to treat a wide range of pathogens, including antibiotic-resistant strains of bacteria (including MRSA and VRE), viruses, fungi and spores, increase blood flow to wound site, reduce both inflammation and pain while assisting in faster wound closure. The company’s headquarters are in Petaluma, California, with operations in Europe and Latin America. More information can be found at www.oculusis.com.

Forward-Looking Statements

Except for historical information herein, some matters set forth in this press release are forward-looking within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, including statements about the company’s commercial and technology progress. These forward-looking statements are identified by the use of words such as “intended,” “will be,” and “helping address,” among others. Forward-looking statements in this press release are subject to certain risks and uncertainties inherent in the Company's business that could cause actual results to vary, including risks inherent in the development and commercialization of potential products, the risk that regulatory clinical and guideline developments may change, the risk that scientific data may not be sufficient to meet regulatory standards or receipt of required regulatory clearances or approvals, the risk that clinical results may not be replicated in actual patient settings, the risk that protection offered by our patents and patent applications may be challenged, invalidated or circumvented by our competitors, the risk that present trends will continue and that the available market for our products will not be as large as expected, the risk that our products will not be able to penetrate one or more targeted markets, the risk that revenues will not be sufficient to fund further development and clinical studies, the Company's future capital needs, and its ability to obtain additional funding, as well as uncertainties relative to varying product formulations and a multitude of diverse regulatory and marketing requirements in different countries and municipalities, and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission including the quarterly report on Form 10-Q for the quarter ended December 31, 2008. Oculus Innovative Sciences disclaims any obligation to update these forward-looking statements.

Oculus, Microcyn Technology, and Microdacyn are trademarks or registered trademarks of Oculus Innovative Sciences, Inc. All other trademarks and service marks are the property of their respective owners.

Oculus Innovative Sciences, Inc.
Dan McFadden, (425) 753-2105
Director of Public and Investor Relations
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