PSYCHEMEDICS CORPORATION ANNOUNCES NEW INTERNET INITIATIVE

Company To Focus on Additional Internet Programs During 1999

CAMBRIDGE, Mass., Dec. 28 /PRNewswire/ -- Psychemedics Corporation (AMEX:
PMD) today announced a new Internet web site, drugfreeteenagers.com. The
site will include information on the teenage drug problem, articles written
by experts on teen drug abuse and material on the Company's testing
service, "PDT-90". Drugfreeteenagers.com site will be updated regularly and
will be supported by both traditional and Internet advertising. The
Company expects the web site will provide updated information for parents
who are concerned about drug abuse in their community and home. Further,
the site will direct parents as to where the "PDT-90" service can be
purchased and it will include direct links to the various drug stores and
chains currently offering it. The new site should be operating by early 1999.

The PDT-90 service allows parents to collect a sample of a few strands of
their child's hair in the privacy of the home to test for drugs of abuse.
The patented Psychemedics drug testing method using hair as the sample, can
detect drug use over the previous 90 days versus urinalysis which can
usually detect drug usage for no more than the past three days. The test
has been used by over 1500 corporations plus major police departments and
five Federal Reserve Banks. The in-home collection service for parents,
"PDT-90", is currently available at over 10,000 drug stores nationwide and
is featured in large drug store chains such as Brooks Pharmacy, CVS, Eckerd
Drug, Osco Drug and Walgreens. Drug stores which offer "PDT-90" should
benefit from the marketing impact of this site."

Raymond C. Kubacki, President and C.E.O. said, "We believe
drugfreeteenagers.com will be an important resource for parents concerned
about the dangers of illegal drug use among teenagers. Our goal is to both
educate parents on the problems of teenage drug abuse, and to encourage
them to use all the tools available to help their teens, including "PDT-90"
which is available in drug stores nationwide."

Kubacki continued, "Not only is "PDT-90" the most effective test for drugs
of abuse, but parents have found that simply having it in the house can act
as a deterrent to their teenagers using drugs. We believe even more
strongly now that the Psychemedics test, using hair as the sample, is
uniquely positioned to provide parents with a powerful tool to protect
their children against this deadly epidemic of teenage drug use."

Kubacki concluded, "We expect to focus on further Internet programs during
1999. We believe the Internet is an excellent vehicle for accessing the
corporate drug testing market as well as the retail sector."