Medicis Files Exchange Offer for Convertible Notes.

Business Editors/Health/Medical Writers

SCOTTSDALE, Ariz.--(BUSINESS WIRE)--July 16, 2003

Medicis (NYSE: MRX) today filed a registration statement and a tender offer statement with other related documents with the Securities and Exchange Commission for an exchange offer for its 2.5% Contingent Convertible Senior Notes due June 2032.

Medicis is offering to exchange up to $400 million in aggregate principal amount of its existing 2.5% Contingent Convertible Senior Notes due June 2032 for $492 million in aggregate principal amount of its new 1.5% Contingent Convertible Senior Notes due June 2033. Each $1,000 in principal amount of its existing notes accepted for exchange will be exchanged for $1,230 in principal amount of new notes. Upon the occurrence of certain events, the new notes will be convertible into Class A common stock of Medicis.

The exchange offer is subject to the satisfaction or waiver of several conditions, including that a minimum of $200 million of the existing notes has been validly tendered and not withdrawn.

The exchange offer expires at 5:00 p.m., New York time, on August 13, 2003. The exchange offer may be terminated or amended at any time prior to the expiration date and the expiration date may be extended by Medicis in its sole discretion.

Deutsche Bank Securities and Thomas Weisel Partners LLC are acting as co-dealer managers for the exchange offer.