Second U.S. Independent Laboratory Confirms that Oculus Innovative Sciences' Microcyn(R) Technology Effective at Inactivating H1N1 Swine Flu

Company Preparing Study Data for Presentation to Centers for Disease Control and Prevention (CDC) and the World Health Organization (WHO)

PETALUMA, Calif.--(BUSINESS WIRE)-- Oculus Innovative Sciences, Inc. (NASDAQ:OCLS), a healthcare company that develops, manufactures and markets a family of products based upon the Microcyn(R) Technology platform, which includes new formulations intended to reduce the use of antibiotics by preventing or treating infections including those caused by bacteria and viruses, has confirmed the effectiveness of Microcyn(R) Technology at inactivating the H1NI Swine Influenza A. In a virucidal time-kill suspension test conducted by an independent laboratory, BioScience Laboratories, Inc., the specific Microcyn Technology formulation reduced infectivity of the swine flu virus by 4.00log₁₀ (99.99%) reduction after just 30-seconds exposure. BioScience Laboratories, working in cooperation with the U.S. Department of Agriculture, received formal approval to acquire, house and evaluate the specific swine influenza virus in April 2009.

Oculus is preparing the study data for submission to both the Centers for Disease Control and Prevention (CDC) and the World Health Organization (WHO) to help accelerate global awareness of Microcyn Technology's ability to effectively and safely reduce the incidence of transmission of this pandemic virus. However, specific product formulations of the Microcyn Technology have not yet been reviewed or approved by any regulatory body for a specific swine flu indication.

"We experienced increased consumer use of our Microcyn-based products in April and May when the swine flu first hit in Mexico," says Sergio Caleti, sales director of Oculus Innovative Sciences of Mexico. "This resulted in an uptick in product sales along with a corresponding increase in market awareness of the Microcyn Technology in Mexico. We are leveraging this increased name recognition with the introduction this year of a family of Mexican consumer products including a new pediatric skin treatment and smaller consumer packaging for the Microcyn-based wound care products."

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 go@oculusis.com.

About H1N1 Influenza (Swine Influenza)

According to the Center for Disease Control and Prevention, novel influenza A (H1N1) is a new flu virus of swine origin that was first detected in April 2009. The virus is infecting people and is spreading from person to person, sparking a growing outbreak of illness in the United States. An increasing number of cases are being reported internationally as well. It's thought that novel influenza A (H1N1) flu spreads in the same way that regular seasonal influenza viruses spread -- mainly through the coughs and sneezes of people who are sick with the virus.

On June 11, 2009, the World Health Organization (WHO) raised the worldwide pandemic alert level to Phase 6 in response to the ongoing global spread of the novel influenza A (H1N1) virus. A Phase 6 designation indicates that a global pandemic is underway.

More than 70 countries are now reporting cases of human infection with novel H1N1 flu. This number has been increasing over the past few weeks, but many of the cases reportedly had links to travel or were localized outbreaks without community spread. The WHO designation of a pandemic alert Phase 6 reflects the fact that there are now ongoing community-level outbreaks in multiple parts of world.

About Oculus

Oculus Innovative Sciences develops, manufactures and markets a family of products based upon the Microcyn(R) 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 the 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 "preparing," "accelerate," "reduce," and "introducing," 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 March 31, 2009. Oculus Innovative Sciences disclaims any obligation to update these forward-looking statements.

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

    Source: Oculus Innovative Sciences, Inc.

Released June 24, 2009