Hydron Technologies, Inc. continues to shift its primary
focus to conducting research and development into products and medical
applications utilizing its patented tissue oxygenation technology. In November
2003, Hydron received a US patent for its method of oxygenating skin and tissue
topically, using microbubbles of pure oxygen averaging one micron in diameter,
suspended in fluid. The super-oxygenation technology delivers pure oxygen
through the skin to tissue depths considered therapeutic for wound healing and
the maintenance of tissue viability. A topically applied oxygenated skin
treatment could have numerous applications in wound healing and anti-aging
skincare treatments.

Hydron's unique process utilizes an existing technology that
infuses liquid with oxygen at 20+ times normal levels to create a
super-oxygenated liquid filled with micro-bubbles of highly pressurized oxygen.
When placed in contact with the skin, the highly saturated fluid and
micro-bubbles are transferred directly into the skin through osmosis and kinetic
diffusion between cells.

The Company also markets a broad range of consumer and oral
health care products using a moisture-attracting ingredient (the "Hydron®
polymer"), a topical delivery system for active ingredients including
pharmaceuticals. The Company holds U.S. and international patents on, what
Management believes is, the only known cosmetically acceptable method to suspend
the Hydron polymer in a stable emulsion for use in personal care/cosmetic
products. The Company is developing other personal care/cosmetic products for
consumers using its patented technology and would, when appropriate, either seek
licensing arrangements with third parties, or develop and market proprietary
products through its own efforts.

The Company has been engaged in the development of various
consumer products using Hydron polymers since 1986. The Company's products are
designed to address concerns about aging, and include Hydron skincare, hair
care, bath and body and sun care. The Company currently has thirty-six
individual products available in the following product lines: skin care (21
products), hair care (6 products), bath and body (7 products) and sun care (2
products). These products are also packaged into collections and sold at a more
favorable value than the individual products sold separately. All of the
products are available through the Hydron Catalog and Web site
www.hydron.com.

Hydron Technologies has been a publicly traded company since
1971. It was founded in 1948 as Oral Craft, and became one of the largest dental
laboratories in the U.S. under that name. The company changed its name to Dento-Med
Industries in 1970, and to Hydron Technologies in July 1993.