Elevated cholesterol is a leading cause of coronary heart disease in the U.S. and remains a worldwide public health concern. Coronary heart disease caused 466,100 deaths in 1997, making it the leading cause of death in the United States. In 2000, the total cost of this disease was estimated to be $100.8 billion. This cost will undoubtedly increase as the "baby boomer" generation enters middle and old age, especially since a sizeable percentage of this group already exhibits elevated cholesterol levels.

With the development of ChoLESStolife®, Lifeline can provide a safe, clinically-proven approach to cholesterol reduction. ChoLESStolife® is made from all natural ingredients found in soybeans, and they are consumed as part of the common American diet. When these ingredients are formulated correctly, they can function as an effective cholesterol absorption inhibitor in the small intestine. Specifically, in several single dose human studies, Lifeline found that ChoLESStolife® reduced cholesterol absorption by as much as 36.7 percent. Moreover, in a recent 4-week study, Lifeline demonstrated that this fat-free product lowered human LDL-cholesterol by 14.3 percent. This reduction is comparable to that found with currently marketed margarines, but importantly these products contain up to 24 grams of fat which increases the caloric load of the consumer. In summary, the measured potency of ChoLESStolife®, the acknowledged safety of this class of compounds and the absence of additional fat in its formulation provide Lifeline with an effective and novel approach for entering the human cholesterol reduction lmarket.

The highly versatile and fat-free system found in ChoLESStolife® can be used in two ways:

First, ChoLESStolife® can be incorporated into a capsule or tablet as a dietary supplement to promote wellness in individuals with borderline high cholesterol. This is an ideal delivery system for Lifeline’s product since it is tasteless, odorless and its ingredients are already present in food. Lifeline continues to study the clinical efficacy of this product specifically in patient groups that find it difficult to meet their target LDL-cholesterol levels with conventional pharmaceutical therapy.

Second, ChoLESStolife® can also be added to a number of food products, and its active ingredients are generally regarded as safe. ChoLESStolife® uses a water-based formulation system that provides a distinct improvement over the current fat-based systems used in competitive products. Lifeline’s License Agreement with Archer Daniels Midland (NYSE: ADM) will allow the Company to rapidly bring this new technology to the market place.

The intellectual property which is the basis of the Lifeline approach is protected by two issued patents (US Patent Nos. 5,932,562 and 6,063,776). Lifeline Technologies is generating additional data to add to the patent estate through additional clinical studies that are in progress.