United-Guardian, Inc.

Hauppauge, NY, March 14, 2000 --- United-Guardian, Inc., (AMEX-UG) today reported record sales and earnings for the fiscal year ended December 31, 1999. For the first time sales exceeded $9 million and earnings before taxes exceeded $2 million. After-tax earnings for the year were $1,390,181 ($.28 per share) compared to $1,013,537 ($.21 per share) in 1998, an increase of 37%.

Kenneth H. Globus, President of United-Guardian, stated “We are pleased to report that our earnings have once again reached record levels on record sales. What makes this even more exciting is that we have accomplished this even without the revenue that we expect will be soon be generated by some of our current projects. This sets the stage for what could be a dramatic increase in sales in the next 3-4 years as some of these projects come to fruition. One of those projects that will soon begin generating new revenue is with a major consumer products company headquartered in the United Kingdom that has been evaluating one of our Lubrajel® products for the past three years. Last week they finally submitted their first purchase order, and we are very excited about the potential sales that may be generated for this new use. We are also working on a new market for Clorpactin®, our potent chlorine-based microbicide, and will soon be launching our new e-commerce web site that is going to be the vehicle for us to take some of our own products to market. When the potential revenue from these projects is added to the increase in sales of our core products, we believe that the next few years are going to be very exciting.”

United-Guardian is a manufacturer of personal and health care products, pharmaceuticals, cosmetic bases, and specialty industrial products.

Contact: Robert S. Rubinger
Public Relations
(631) 273-0900

NOTE: This press release contains both historical and "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements about the company’s expectations or beliefs concerning future events, such as financial performance, business prospects, and similar matters, are being made in reliance upon the "safe harbor" provisions of that Act. Such statements are subject to a variety of factors that could cause Registrant’s actual results or performance to differ materially from the anticipated results or performance expressed or implied by such forward-looking statements. For further information about the risks and uncertainties that may affect the company’s business please refer to the company's reports and filings with the Securities and Exchange Commission.