The Company is committed to sustain and advance the clinical development of our drug discovery program while building a fully integrated, and profitable biopharmaceutical company. In addition to two products already commercialized in human health, a full line of sterile injectable products and over 45 products being sold in animal health markets worldwide, Bioniche has an innovative pipeline of technologies in development and an infrastructure poised to maximize the opportunities for future developments.

Bioniche Life Sciences Inc. is a publicly traded company. Its common shares trade on the Toronto Stock Exchange under the symbol BNC.

The Company operates as four separate business units:

• Bioniche Therapeutics
• Bioniche Animal Health
• Bioniche Pharma
• Bioniche Food Safety

BIONICHE THERAPEUTICS
Overview of the Human Health Business Unit:

Bioniche Therapeutics is responsible for:

• scientific discovery in vitro and in vivo pre-clinical research and the development of human health products derived from proprietary technologies
  
• clinical studies and regulatory submissions
  
• the commercialization of technologies

Bioniche has successfully commercialized two proprietary products based on Hyaluronic Acid in Canada and Europe:

• Suplasyn® for the treatment of Osteoarthritis
  
• Cystistat® for the treatment of Interstitial Cystitis, a painful, debilitating bladder condition

Bioniche Therapeutics has highly qualified research and clinical development teams. Pre-clinical research and formulation development is conducted in the company's facilities located within the Biotechnology Research Institute of the National Research Council, Montreal, Canada.

Primary focus:
The primary focus of the Research and Development programme is cancer, immunomodulation and inflammation.

The company is developing three proprietary platform technologies with human applications:
1. Mycobacterial Cell Wall Complex (MCC)
2. Hyaluronic Acid (HA)
3. Oligonucleotides

Clinical Development Activity:

• Phase I clinical study of MCC for treatment of prostate cancer
  
• Phase III clinical study of MCC for treatment of carcinoma in situ of the bladder will be underway in the new year
  
• Pivotal trial in progress for U.S. registration of Cystistat®
  
• Currently working on expansion of additional indications for Cystistat® with clinical trials ongoing
  

BIONICHE ANIMAL HEALTH (formerly VETREPHARM)

Overview of the Animal Health Business Unit:

• the largest Canadian-owned biopharmaceutical animal health company
  
• established in 1979 to develop technologies to replace antibiotics in livestock
• an integrated biopharmaceutical business
  
• researching, developing, manufacturing and marketing proprietary technologies worldwide
  
• marketing subsidiaries in Canada, the USA, Australia, and Europe
  
• operates through selected distributors in the rest of the world

The veterinary science technology is based on five proprietary platforms, with fully developed and commercialized veterinary products:

• Protein purification (Folltropin, Lutropin)
  
• Mycobacterial Cell Wall Extract (MCWE) formulations (Regressin, Immunoboost, Equimune)
  
• Immuno Enhanced Vaccines (E.coli, PRRS)
  
• Hyaluronic Acid (HA) (Hyalovet, Map-5)
  
• Polyclonal Antibodies (Colimune)

Primary focus:
The primary focus of the Research and Development programme in animal health is on reducing the reliance on antibiotics in animal health care and on enhancing reproductive performance in animals.

BIONICHE PHARMA

Overview of the Pharmaceutical Business Unit:

• Bioniche Pharma develops, manufactures and distributes sterile injectible products in vials, ampoules and pre-filled syringes.
  
• established in 1992
  
• operates a cGMP compliant/FDA approved facility in Galway, Ireland
  
• recently obtained ISO 9002 certification
  
• growing business in the development and manufacturing of pharmaceutical injectable products
  
• manufactures proprietary products for Bioniche Life Sciences human and animal health units
  
• distributes its products directly to the Canadian hospital market as well as through strategic distribution partnerships in Canada, the U.S. and Europe.
  
• solid and growing revenue base as a contract manufacturer

BIONICHE FOOD SAFETY

Overview of the Food Safety Business Unit:

• a new division of the Company, established in July 2001
  
• responsible for researching, developing, manufacturing and marketing veterinary biopharmaceutical products to improve the safety of food and water supplies worldwide
  
• leading initiative is the development and commercialization of a new cattle vaccine for the prevention of the spread of the deadly E.coli 0157:H7 bacteria
  
• the Company is currently researching other products in the food and water safety field