To: PML Microbiologicals' Customers, Suppliers, Vendors, and Employees

SUBJECT: YEAR 2000 ISSUES

March 3, 2000

Dear Valued Customer:

The Company recognized the importance to its operations and reporting systems of the Year 2000 issues and began addressing the issue in 1996, to ensure that the reliability of its operations as well as the availability and integrity of its financial systems will not be adversely impacted by Year 2000 computer technology software failures. In that regard the Company has attempted to identify all internal information technology ("IT") and non-IT systems which may be affected by the Year 2000 issues as well as assessing third party IT and non-IT that the Company relies upon and the third parties' Year 2000 readiness.

All of the Company's internal systems have been evaluated and were Year 2000 compliant by the end of October 1999. The financial impact of future required system improvements is not anticipated to be material. The Company is continuing to work on contingency plans for material IT and third party providers that the Company relies upon.

The above statements contain certain risks and uncertainties. Although the Company is continuing to thoroughly examine its Year 2000 readiness, there is no assurance that it can identify all Year 2000 issues. These risks and uncertainties could include the risk of unidentified bugs in the source code of packaged or custom software, misrepresentations by third party vendors, unidentified dependency upon a system that is not Year 2000 ready, unidentified non-IT systems, or misdiagnosed Year 2000 readiness in current systems.

As of the date of the filing of the 10-QSB, the Company has not experienced any Y2K computer or related problems. The management of the Company is very optimistic that operations subsequent to December 31, 1999 will continue to be Y2K problem free.

Should you have any concerns or questions, you may contact our MIS department at , .

Sincerely,

Michael Dobaj
IS Manager
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