News Release

BAXTER LAUNCHES MESNEX (mesna) TABLETS

Oral Form of Uroprotectant Offers a Convenient Dosage Alternative for Patients Receiving Chemotherapy Treatment

Deerfield, Ill., July 16, 2002 -- Baxter Healthcare Corporation announced today that it is launching an oral formulation of Mesnex (mesna) Tablets as a prophylactic agent to reduce the incidence of ifosfamide-induced hemorrhagic cystitis.

Bristol-Myers Squibb Oncology will be co-promoting Mesnex (mesna) Tablets during the initial launch period, including support from the company's leading oncology sales force. Bristol-Myers Squibb Oncology currently markets and distributes intravenous Mesnex (mesna) Injection and Ifex (ifosfamide for injection) for Baxter.

Currently, cancer patients undergoing treatment with the chemotherapy agent ifosfamide also receive Mesnex (mesna) Injection to help protect their urinary system from hemorrhagic cystitis as the ifosfamide is eliminated from their body. Adequate levels of Mesnex must be maintained in the urinary system during the entire course of elimination of the ifosfamide. Since mesna has a shorter therapeutic half-life when compared to ifosfamide, successful treatment requires repeated dosings of Mesnex. Currently, intravenous Mesnex administration involves a 15-minute intravenous infusion at zero, four, and eight hours after starting ifosfamide.

With the availability of Baxter's new Mesnex (mesna) Tablets, recently approved by the U.S. Food and Drug Administration (FDA), patients receiving ifosfamide will receive their initial dose of Mesnex intravenously at the time of ifosfamide administration, and then follow up with Mesnex (mesna) Tablets two and six hours following the ifosfamide treatment. Previously, patients were required to remain at the site of care for several hours to receive the follow up doses of Mesnex intravenously.

"Mesnex Tablets offer the potential to significantly shorten the amount of time that patients have to spend in the infusion room," explained Laurence H. Baker, Professor of Internal Medicine, Division of Hematology and Oncology, and Director for Clinical Research at the University of Michigan's Comprehensive Cancer Center, who served as lead investigator in clinical trials for Mesnex (mesna) Tablets. "This is significant because it allows doctors to treat patients in a clinic or outpatient setting, rather than hospitalizing patients."

"Our objective is to help improve the treatment of cancer patients worldwide through the development, production, marketing and sale of new and improved products," said Cynthia Collins, president of Baxter's Oncology business. "Mesnex Tablets is a great example of how we can leverage our core technical competencies to help simplify patient care. Our relationship with Bristol-Myers Squibb Oncology enhances our ability to broadly communicate the availability of this product."

Baxter's global oncology portfolio includes several leading chemotherapeutics (including cyclophosphamide, ifosfamide and mesna), cell processing products, and a variety of pain management and nutritional products and systems used in the administration and support of those therapies.

Baxter Healthcare Corporation is the principal domestic operating subsidiary of Baxter International Inc. (NYSE: BAX), a global health care company that, through its subsidiaries, provides critical therapies for people with life-threatening conditions. Baxter's bioscience, medication delivery and renal products and services are used to treat patients with some of the most challenging medical conditions, including cancer, hemophilia, immune deficiencies, infectious diseases, kidney disease and trauma.

About Mesnex (mesna) Tablets
Mild hypersensitivity to systemic anaphylactic reactions to mesna have been reported, especially in patients with autoimmune disorders who were treated with cyclophosphamide and mesna. Mesna did not prevent hemhorragic cystitis in up to 6% of patients treated. The most frequent side effects reported with oral mesna are nausea (54%), vomiting (38%), fatigue (20%), anemia (18%), leukopenia (18%), asthenia (18%), and constipation (18%).

For complete Mesnex (mesna) Tablets prescribing information, please see Baxter's web site at www.baxter.com/mesnex/.

About Ifex (ifosfamide for injection)
Ifex (ifosfamide for injection), used in combination with certain other approved antineoplastic agents, is indicated for third line chemotherapy of germ cell testicular cancer. It should ordinarily be used in combination with a prophylactic agent for hemorrhagic cystitis, such as Mesnex (mesna) Injection.

In patients receiving Ifex (ifosfamide for injection), as a single agent, the dose-limiting toxicities are myelosuppression and urotoxicity. CNS toxicities such as confusion and coma, which may require cessation of therapy, have been associated with Ifex administration.

For complete Ifex prescribing information, please visit www.ifex.com or the Bristol-Myers Squibb Company website at www.bms.com.

Baxter and Mesnex are trademarks of Baxter International Inc. and its affiliates. Ifex is a trademark of Bristol-Myers Squibb Company.

FOR ADDITIONAL INFORMATION:

	Media Contact: Deborah Spak, 847-948-2349 Investor Contacts: Neville Jeharajah, 847-948-2875 Mary Kay Ladone, 847-948-3371