PRESS RELEASE For Further Information, Contact:

For Immediate Use Jack McCall, Executive Vice President

Ph. 405-942-3040 / jack@pdrx.com

PDRx Launches “RxWebPad” to Prevent Handwritten Prescription Errors

As Medication Errors Plague US Healthcare System.

OKLAHOMA CITY, OK, July 17, 2001 – PD-Rx Pharmaceuticals, Inc., a publicly held corporation, (Symbol: PDRX) today announced the completion of an electronic prescribing device called “RxWebPad”.

“It is our answer to former President Clinton’s remarks on health care prescribing errors” stated Dr. Robert Holsey, President and CEO of PD-Rx Pharmaceuticals, Inc. former President Clinton’s remarks on health care came on the heels of a disturbing report released by the Institute of Medicine. According to the study, up to 7,000 Americans die each year because of errors in prescribing medicine. One of the greatest causes identified were fulfillment mistakes due to illegible handwriting. Mr. William Richardson, chair of the committee that wrote the report, stated “It may be part of human nature to err, but it is also part of human nature to create solutions, find better alternatives, and meet the challenges ahead”.

According to Michael Cohen, President of the Institute of Safe Medication Practices, a non-profit organization focused on reducing medical errors, “Over 25% of the errors identified through studies and papers are related to drug name mix ups caused by poor physician handwriting. Within the next five years, every prescription should be created and routed electronically”.

Dr. Holsey stated “ We feel that PDRx has stepped up to meet the challenge and is truly changing the way physicians and pharmacists will interact in the future. By using the RxWebPad, healthcare professionals will be able to communicate electronically sending and receiving prescription information from the point of care”.

PDRx’s newest development, the RxWebPad, is a Handheld PC wireless electronic prescribing device that utilizes the popular Windows™ CE operating system as a portable tool for healthcare providers to electronically prescribe and communicate with other caregivers. PDRx’s proprietary software system has been developed to interact with the Hewlett-Packard, NEC, and other series of hand-held PC’s. Our PDRx-Net System is a software/hardware network that provides physicians the capabilities to electronically communicate and network with traditional and non-traditional pharmacy delivery systems.

PDRx offers pharmaceutical management strategies to physicians, patients, managed care organizations and pharmaceutical manufacturers and others involved in the pharmaceutical healthcare industry. Our management strategies focus on the point of care, beginning with the physician’s writing of the prescription

and are designed to provide physicians with valuable pharmaceutical information at the point-of-prescribing, resulting in more informed, cost-effective prescribing decisions. We believe our strategies when incorporated into their office work flow provide physicians with higher rates of adherence to payer formularies, improved management of patient information, lower costs and improved quality of patient care.

Our products are designed to streamline the pharmaceutical healthcare delivery system. We currently offer products in six categories: point of care electronic medication triage, Internet services, patient education products, medical/surgical supplies, injectable pharmaceuticals and prepackaged medication. PD-Rx Pharmaceuticals, Inc. is headquartered in Oklahoma City, OK., and provides services to over 2,500 physicians at over 800 sites across the U.S. PD-Rx Net, PDRx.com, RxWebPad, and RxWebPad.com are trademarks of PD-Rx Pharmaceuticals, Inc.

This press release contains “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks and uncertainties or other factors, which may cause actual results, performance or achievements expressed or implied by such forward-looking statements to vary from those forecast or implied in this release. Factors that might cause such a difference include, without limitation, decline in demand for the company's products or services, and the effect of general economic conditions and factors affecting the industry.