LOS ANGELES, Dec 27, 2005 (BUSINESS WIRE) -- Hythiam, Inc. (NASDAQ: HYTM), a healthcare services management company that licenses the PROMETA(TM) physiological protocols designed to treat substance dependence, announced today that Hythiam will offer its PROMETA(TM) protocols through Las Vegas, Nevada based Center for Addiction Medicine (CAM) and through the Neuroscience Institute of Florida (NSIF), based in Celebration, Florida. CAM becomes Hythiam's second licensed site in Las Vegas, Nevada, while NSIF becomes Hythiam's sixth licensed site in Florida, joining sites at the Village South, Compass Health Systems, Life Works, and Recovery from Addictions.

"I do not believe that addiction is a moral failing," said Dr. Lawrence Erlich of Celebration, Florida based NSIF. "Patients experience much frustration when they cannot get control over their cravings. PROMETA seeks to help patients deal with the cravings so they can truly benefit from psychosocial aftercare. Medicines have been developed to treat other chronic diseases, and PROMETA seeks to address the chronic disease of addiction in the same way an internist has tools to address diabetes. Hythiam is at the forefront of developing new technologies that will allow clinicians to medically manage addiction."

Dr. Lawrence Erlich is a practicing psychiatrist and addiction medicine specialist with over 30 years of experience. He received his undergraduate, medical, and specialty training from the University of Pennsylvania. Dr. Erlich is board-certified by the American Board of Psychiatry and Neurology with added qualifications in Addictions and Forensics. Additionally, Dr. Erlich is a Distinguished Life Fellow of the American Psychiatric Association. Most recently, Dr. Erlich authored A Textbook of Addiction Psychiatry and Medicine, published by Charles Thomas, Ltd., which he dedicated to leading addiction pioneer, Dr. David Smith. Dr. Erlich has a federal waiver to prescribe Suboxone for the treatment of opiate dependency.

"Our goal for this year was to build an initial footprint of PROMETA licensed sites throughout the country," said Terren S. Peizer, Chairman and CEO of Hythiam. "We have successfully done so in most of the major metropolitan service areas, especially in the key markets of Florida, where Hythiam has licensed six sites, and in Southern California, where there are five licensed sites. Our 2006 marketing efforts will focus on driving patient volumes to areas where we have established capacity."

In 1995, Michael S. Levy, D.O., Director of CAM, established the first outpatient medical practice specializing in addiction medicine in the state of Nevada. CAM provides a full range of medical outpatient services including buprenorphine for the treatment of opiate dependency. Many of the outpatient treatments offered through CAM are reimbursed by managed care. Central to CAM's treatment approach is the intensive outpatient program called Living in Balance, a model embraced many in the addiction treatment field including leading Minnesota based residential treatment center, Hazelden.

Nevada ranks in the top 15 states for the percentage of its residents, aged 18 and over, who are in treatment for substance dependency. Las Vegas ranks second after Los Angeles in methamphetamine related deaths as reported by the Substance Abuse and Mental Health Services Administration (SAMHSA).

"Finally, there is recognition that substance dependency is not a behavioral disease, it's not a psychiatric disease, it's a medical disease that is rooted in the brain," said Dr. Levy. "Hythiam understands that addictive disease needs to belong in the mainstream of medicine, just like heart disease, just like diabetes and that its sufferers deserve cutting-edge therapies in order to treat and manage the biochemical changes it causes in the brain. We look forward to offering the PROMETA protocols for dependency on alcohol, cocaine, and methamphetamine."

Dr. Levy holds the distinction of being named by his peers as a Fellow in Addiction Medicine, an honor that only 200 physicians in the country hold, for his excellence in the field of treating substance dependencies. Dr. Levy is also a past president of the Nevada chapter of the American Society of Addiction Medicine. He is a consultant to nursing and legal organizations in the State of Nevada and serves as an expert witness for criminal cases involving substance dependency. Dr. Levy received his degree in osteopathy from the West Virginia School of Osteopathic Medicine. Prior to that, he served in the United States Navy.

About PROMETA(TM)

Hythiam's PROMETA(TM) treatment protocols are designed for use by healthcare providers seeking to treat individuals diagnosed with dependencies to alcohol, cocaine or methamphetamines, as well as combinations of these drugs. The PROMETA(TM) protocols include medically supervised procedures designed to address both the neurochemical imbalances in the brain and some of the nutritional deficits caused or worsened by substance dependence. Changes in brain chemistry and function play an important role in the physical and behavioral symptoms of substance dependence, including tolerance, withdrawal symptoms, craving and relapse. The PROMETA(TM) protocols also provide for one-month of prescription medication and nutritional supplements, combined with psychosocial or other recovery-oriented therapy chosen by the patient in conjunction with their treatment provider. As a result, PROMETA(TM) represents an innovative approach to managing alcohol, cocaine or methamphetamine dependence that is designed to address physiological, nutritional and psychosocial aspects of the disease, and is thereby intended to offer patients an opportunity to achieve sustained recovery.

About Hythiam, Inc.

Hythiam(R) is a healthcare services management company, focused on delivering solutions for those suffering from alcoholism and other substance dependencies. Hythiam researches, develops, licenses and commercializes innovative physiological treatment protocols that seek to address substance dependence. Additionally, Hythiam provides proprietary administrative services to assist physicians and facilities with staff education, marketing and sales support, and outcomes tracking for data analysis. For further information, please visit www.hythiam.com.

Forward-Looking Statements

Except for statements of historical fact, the matters discussed in this press release are forward looking and made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements reflect numerous assumptions and involve a variety of risks and uncertainties, many of which are beyond the company's control that may cause actual results to differ materially from stated expectations. These risk factors include, among others, limited operating history and lack of statistically significant formal research studies, the risk that treatment protocols might not be effective, difficulty in developing, exploiting and protecting proprietary technologies, intense competition and substantial regulation in the healthcare industry; and additional risks factors as discussed in the reports filed by the company with the Securities and Exchange Commission, which are available on its website at http://www.sec.gov.

SOURCE: Hythiam, Inc.

LOS ANGELES, Dec 20, 2005 (BUSINESS WIRE) -- Hythiam, Inc. (NASDAQ:HYTM), a healthcare services management company that licenses the PROMETA(TM) physiological protocols designed to treat substance dependence, announced today that it will offer its PROMETA protocols through Southern California-based addiction medicine specialists at the Cerritos Family Medical Group, headed by Dr. Stuart Finkelstein and through New Beginnings Treatment Centers, headed by Dr. James Rogan in the Atlanta metropolitan area. Cerritos Family Medical Group becomes Hythiam's fifth licensed site in Southern California, and New Beginnings Treatment Centers join Southern Recovery Centers as Hythiam's second group of licensed sites in Atlanta, Georgia.

"Both Dr. Finkelstein and Dr. Rogan have long-standing reputations as pioneers in the treatment community for their willingness to adopt the latest pharmacalogical innovations," said Terren S. Peizer, Hythiam's Chairman and CEO. "They are among the small, but rapidly growing number of doctors in their field who prescribe buprenorphine as a new way to treat patients with opiate dependency. With PROMETA, they can also address alcohol, cocaine, and methamphetamine dependence without perpetuating a patient's dependence through the long-term administration of drugs.

"By targeting physicians who are early adopters of pharmacological treatments like buprenorphine, Hythiam raises awareness of PROMETA among the members of the medical community most likely to become licensees," Peizer added. "Additionally, clustering licensed sites for marketing and operational leverage is a key part of our strategy," Peizer continued. "It allows us to maximize the return on our investment in marketing and public relations activities."

"I have always considered any innovative medical approach that became available in the treatment of substance dependent patients," said Dr. Stuart Finkelstein, Executive Director of Cerritos Family Medical Group. "Patients who are dependent on alcohol and stimulants and have attempted and failed with psychosocial therapy will come to seek medical help from me as they search for a way to end their substance dependency. I look forward to employing this new, potential tool to help patients who are fatigued by persistent attempts to end their addiction through psychosocial therapy alone. Because most of my patients are referred to me by current patients, I expect the news of PROMETA's availability to spread quickly. PROMETA will also appeal to my high profile clientele from the music industry as the treatment is discreet and does not take them away from recording or touring."

Dr. Stuart Finkelstein, who is accredited by the American Society of Addiction Medicine, has more than twenty years of experience treating patients with substance dependencies, including alcohol, cocaine, and opiates. Dr. James Rogan is the treating physician at the New Beginnings Treatment Centers facilities in Atlanta. Dr. Rogan has been practicing addiction medicine for more than seven years in the greater Atlanta area and currently treats patients with opiate dependencies with buprenorphine on an outpatient basis.

Forward-Looking Statements

Except for statements of historical fact, the matters discussed in this press release are forward looking and made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements reflect numerous assumptions and involve a variety of risks and uncertainties, many of which are beyond the company's control that may cause actual results to differ materially from stated expectations. These risk factors include, among others, limited operating history and lack of statistically significant formal research studies, the risk that treatment protocols might not be effective, difficulty in developing, exploiting and protecting proprietary technologies, intense competition and substantial regulation in the healthcare industry; and additional risks factors as discussed in the reports filed by the company with the Securities and Exchange Commission, which are available on its website at http://www.sec.gov.

SOURCE: Hythiam, Inc.

# # #

Largest Behavioral Group Practice in Florida Becomes Hythiam's Newest Licensee; PROMETA(TM) to Initially Be Offered at Compass Health Systems' Locations in Miami and Ft. Lauderdale

LOS ANGELES--(BUSINESS WIRE)--Dec. 19, 2005--Hythiam, Inc. (NASDAQ:HYTM), a healthcare services management company that licenses the PROMETA(TM) physiological protocols designed to treat substance dependence, announced today that it has entered into a licensing and services agreement to offer its PROMETA protocols through two of Compass Health Systems' (CHS) seven behavioral health care sites in the South Florida region. CHS raises the total number of Hythiam licensed sites in Florida to five, joining The Village South in Miami, Recovery from Addictions in Naples, and Life Works in Fort Meyers. CHS is the largest behavioral group practice in the state of Florida, and will initially offer PROMETA through its Miami and Fort Lauderdale sites.

"CHS is a leading behavioral health treatment provider, and Dr. Segal and the CHS group physicians see a large number of substance dependent patients a year," said Terren S. Peizer, Chairman and CEO of Hythiam. "We are pleased that CHS has chosen to license PROMETA, since over half of its patients are addicted to substances that Hythiam's protocols seek to address.

"The addition of their two licensed sites in South Florida will provide us with the critical mass to service a key region of the country," Peizer added. "By having a total of five sites in Florida, we can leverage our site managers, marketing efforts, and brand awareness of PROMETA and benefit from resulting increased treatment volumes without capacity constraints."

CHS is a behavioral health care provider with a staff of more than 60 physicians and counselors who provide treatment for substance dependencies with medical and psychosocial aftercare. Currently, CHS is the primary provider for several of Florida's managed-care providers. The primary care component of CHS was added in 1999 in an effort to integrate psychological and medical care in order to improve outcomes. CHS receives 200,000 patient visits annually for a combination of behavioral health care and primary care and each office is staffed by a full-time psychiatrist.

"Over the years there have been several advances in detoxification that have made it relatively easier to get a person off drugs, but it remains very difficult for patients to remain abstinent," said Dr. Scott Segal, President and CEO of CHS. "What excites us about working with PROMETA is that Hythiam is seeking inroads into how to keep a patient from relapsing by targeting a patient's cravings for the substance of abuse."

Dr. Scott Segal is the founder of Compass Health Systems, the largest behavioral health group practice in Florida. Dr. Segal's specialty is psychiatry and has served as the Medical Director for chemical dependency units and psychiatric departments in many of South Florida's hospitals. He has given numerous presentations and has conducted workshops with the general public, universities and professional audiences. He speaks about administering behavioral healthcare to all ages and types of patients, the role that managed care plays when delivering healthcare, the financial aspects of delivering healthcare and legal issues in the healthcare field.

Additionally, Dr. Segal has served as Principal Investigator at his namesake Segal Institute on a range of psychiatric studies, including the study of substance dependency disorders. Dr. Segal received his medical degree from Albany Medical College in New York and holds an MBA in Health Administration from the University of Miami in Florida.

About Compass Health Systems

By utilizing innovation, creativity, and technology, while focusing on customer service, it is Compass Health System's intention to be the leader in healthcare and forge new directions while improving the delivery of premium, affordable care and service.

Specializing in behavioral health, Compass Health Systems founded its first office in Miami, Florida in June of 1990, with the goal of improving the delivery of health care, while providing unprecedented customer service. Striving to provide the highest quality care, Compass expanded its services adding internal medicine to its practice to serve its clients' "body" and "soul," and is now the largest multi-specialty group practice specializing in Behavioral Health in the State of Florida, delivering a comprehensive continuum of care.

In this rapidly changing industry Compass has become a successful healthcare provider offering service to managed care companies, insurance companies, EAPS, self-insured plans, Hospitals, ALFs, Nursing Homes and Workers Compensation firms. Compass now has seven staff locations in the Dade, Broward and Palm Beach Counties and employs over 60 full time exceptionally trained Health care professionals, including psychiatrists, primary care physicians, family practice, advanced registered nurse practitioners, psychologists, social workers, marriage and family therapists, and licensed mental health counselors. In addition to its staff model clinical employees Compass has a network of specialty providers throughout the state of Florida. Compass continues to add new locations via development and acquisition. In addition to its outpatient offices, Compass clinicians travel to all patients in need of care. For further information, please visit www.compass.md.

Forward-Looking Statements

Except for statements of historical fact, the matters discussed in this press release are forward looking and made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements reflect numerous assumptions and involve a variety of risks and uncertainties, many of which are beyond the company's control that may cause actual results to differ materially from stated expectations. These risk factors include, among others, limited operating history and lack of statistically significant formal research studies, the risk that treatment protocols might not be effective, difficulty in developing, exploiting and protecting proprietary technologies, intense competition and substantial regulation in the healthcare industry; and additional risks factors as discussed in the reports filed by the company with the Securities and Exchange Commission, which are available on its website at http://www.sec.gov.

SOURCE: Hythiam, Inc.