Avitar, Inc. to Acquire BJR Security Service, Inc.

Letter of Intent Signed

October 31, 2000

CANTON, MA, October 31, 2000 – Avitar, Inc. (AMEX: AVR) announced today that it has signed a letter of intent to acquire the drug detection and education services company, BJR Security Service, Inc., of Gainesville, Texas. In this agreement, BJR will remain a wholly-owned subsidiary of Avitar, Inc.

"This agreement provides a tremendous opportunity to introduce ORALscreen™ to BJR’s customers who want a comprehensive drug abuse policy implemented," said Peter Phildius, Avitar’s Chairman and Chief Executive Officer. "Our growth strategy for this business involves both franchising and growing internally across the United States," Phildius added.

BJR Security Service, Inc., a private contract provider of drug detection and education services, currently implements programs for organizations within two large market segments: school systems and the oil and petroleum industry. Customers include Texaco, Pennzoil, Conoco, Inc., Kerr-McGee and approximately 100 public and private schools in Texas.

"BJR Security Service is a growing, profitable business that in 1999 had revenues of over $1 million," said Carl F. Rickert, Jr., President and Owner of BJR Security Service, Inc. "For twenty-four years, BJR has been entrusted with contraband inspections and drug education within Texas-based organizations that needed an enforced policy of zero tolerance for substance abuse and illegal contraband. Though BJR Security Service is located in the Gulf region, I believe it provides a superior model for drug detection services and education programs throughout the nation. I am delighted that Avitar shares our vision and will support our nationwide expansion," added Rickert.

Texas is among the top three states accounting for approximately 40 percent of the 100 largest U.S. school districts in the country1. Industrial sectors in the U.S, petroleum industry include exploration and production, refining, pipelines, marketing and marine transportation. Oil drilling is responsible for employing 308,500 people, a gain of 22,000 jobs since 1999’s first quarter 2. The top three U.S. oil companies recently reported historically robust 3rd quarter profits totaling over $7.5 billion.

Carl F. Rickert, Jr., President and Owner of BJR Security Service, Inc., is formerly a state police officer in the New Hampshire State Police and the Texas Department of Public Safety.

BJR Security Service implements regularly scheduled and randomly unannounced searches for illegal contraband specializing in narcotics by using a trained force of canines for discovering paraphernalia. In addition to contraband inspection and detection services, BJR Security Service also provides workplaces and school systems with drug education services.

Avitar, Inc. (AMEX:AVR) headquartered in Canton, Massachusetts, develops, manufactures and markets innovative medical devices based on core technologies in oral fluid diagnostics and customized polyurethane applications. The Company markets a unique portfolio of substance abuse testing products and services that include ORALscreen^TM, the world’s first rapid point-of-contact oral fluid test for drugs of abuse, HAIRscreen^TM, a laboratory-based test for long term drug abuse using hair, and several other specialized tests for drugs of abuse. Avitar also markets an oral fluid collection system for DNA testing as well as a proprietary line of polyurethane-based high tech medical devices. For more information, see Avitar’s website at avitarinc.com.

This release forward looking statements that are subject to risks and uncertainties, including the development and marketing of new applications and other risks that are detailed from time to time in the Company’s filings with the Securities and Exchange Commission.

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1 U.S. Department of Education, National Center for Education Statistics, Common Core of Data, Public Elementary/Secondary Local Education Agency Universe Survey, 1998-1999.

2 American Petroleum Institute, News release, "September Statistical Report," October 18, 2000.