FOR IMMEDIATE RELEASE

PALADIN ANNOUNCES MANAGEMENT CHANGE

Montreal, Canada, February 28, 2001 - - Paladin Labs Inc. (TSE:PLB) announced today that Mr. Lennie Ryer, C.A., CFE has resigned from his position as Chief Financial Officer of Paladin Labs to pursue other interests. Mr. Jonathan Goodman, B.A., LL.B., MBA, President & CEO of Paladin, will act as interim CFO until such time that a replacement is found

About Paladin Labs Inc.
Paladin Labs, headquartered in Montreal, Quebec, is a Canadian developer, marketer and distributor of innovative pharmaceuticals. For more information about Paladin, please visit the Paladin Web Site at www.paladin-labs.com or send an e-mail to info@paladin-labs.com. Paladin Labs Inc. is a public company whose shares trade on the Toronto Stock Exchange under the symbol PLB.

The Toronto Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. This news release may contain forward-looking statements or predictions. These statements represent our judgement as of this date and are subject to risks and uncertainties that could cause actual results or events to differ materially from those expressed in such forward-looking statements. Potential risks and uncertainties include, without limitation, those associated with product development, clinical trials, future revenues and profitability, and obtaining marketing approval.

For further information please contact:

Paladin Labs Inc
Jonathan Goodman, B.A., LLB., MBA
Tel: 514-340-5072
e-mail: jgoodman@paladin-labs.com
Web Site: www.paladin-labs.com

The Equicom Group Inc.
Mike Polonsky
Account Manager
Tel: 416-815-0700 ext.231
e-mail: mpolonsky@equicomgroup.com