William R. Gargiulo, Jr. 231.526.1244 Donna Felch 312.595.9123 The Female Health Company Reports Record Profit for Both Fourth Quarter and Fiscal Year 2007 Highlights : 4 th Qtr. Revenue I

Female Health Company Reports Record Profit for Both Fourth Quarter and Fiscal

November 26, 2007- The Female Health Company (AMEX: FHC - News),

which manufactures and markets the FC Female Condom , today reported

its operating results for the quarter and year ended September 30,

three months ended September 30, 2007, net revenues increased 17% to $5.2

million, compared with $4.4 million in the three months ended September 30,

2006. The Company reported net income attributable to common

shareholders of $1.2 million, or $0.04 per diluted share, for the fourth quarter

of FY2007, versus $.05 million, or $0.00 per diluted share, for the same period

profit increased 34% to $2 million in the most recent quarter, compared with

$1.5 million in the fourth quarter of FY2006. Operating income

increased 503% to $491,398 in the three months ended September 30, 2007,

compared with $81,552 in the corresponding period of the previous fiscal

Company expects significant quarter-to-quarter variations in its operating

results, due to the timing of large order receipts, production scheduling,

shipping of products.

year ended September 30, 2007, revenues increased 30% to $19.3 million, compared

with $14.8 million in fiscal 2006. Gross profit increased 30% to $7.2

million in the year ended September 30, 2007, compared with $5.5 million in

fiscal 2006. Operating income rose to $964,900, a 301% improvement

from $240,355 in fiscal 2006. In 2007, the Company sold 25.9 million

female condoms, an increase of 32% over the 19.6 million units sold in fiscal

income attributable to common shareholders for fiscal 2007 of $1.6 million,

$0.06 per diluted share, represents a 1,243% increase when compared with net

income of $120,778 or $0.01 per diluted share, in fiscal 2006. In

2007, the Company was able to recognize a tax benefit for past losses which

added $825,000 to net income attributable to common shareholders.

equity at September 30, 2007 totals $7.4 million versus $4.8 million at the

of fiscal year 2006. The Company has no outstanding debt and $1.5

million of unused credit lines.

January 2007, the Company announced a Stock Repurchase Program under the terms

of which up to a million shares of its common stock could be purchased during

the subsequent twelve months. Through September 30, 2007, the Company

has purchased 173,400 shares for $367,472. The Board has approved the

continuation of this program through December 31, 2008.

very pleased to report strong revenue and earnings growth for

the quarter and year ended September 30, 2007," noted O.B. Parrish,

Chief Executive Officer of The Female Health Company. "The strong

performance in the most recent quarter reflects continued growth in global

demand for the female condom, including excellent acceptance of our

second-generation product. Most importantly, the growth in the use of

the female condom reflects increased protection against HIV/AIDS."

previously announced, the Female Health Company will host an investor conference

call at 11:00 a.m. Eastern time, November 26, 2007. Shareholders and other

interested parties may participate in the conference call by dialing

888-603-6873 (international participants dial 973-582-2706) and entering the

conference code 9473190, a few minutes before 11:00 a.m. Eastern Time on

November 26, 2007. A replay call will be available through December 10, 2007

dialing 877-519-4471 (international callers dial 973-341-3080) and entering

conference code 9473190.

The Female Health Company

Female Health Company, based in Chicago, Illinois, manufactures and markets

FC Female Condom , which is primarily distributed by public health

organizations and donor groups in over 90 developing countries around the world.

World-wide, the Female Condom is available in various programs in 108 countries.

The Company owns certain worldwide rights to the FC Female Condom ,

including patents that have been issued in the United States, United Kingdom,

Japan, France, Italy, Germany, Spain, the European Patent Convention, the

People's Republic of China, Canada, South Korea and Australia. FC Female

Condom is the only available FDA-approved product controlled by a woman

that offers dual protection against sexually transmitted diseases, including

HIV/AIDS, and unintended pregnancy.

Harbor" statement under the Private Securities Litigation Reform Action of 1995:

The statements in this release which are not historical fact are forward-looking

statements based upon the Company's current plans and strategies, and reflect

the Company's current assessment of the risks and uncertainties related to its

business, including such things as product demand and market acceptance; the

economic and business environment and the impact of government pressures;

currency risks; capacity; efficiency and supply constraints; and other risks

detailed in the Company's press releases, shareholder communications and

Securities and Exchange Commission filings. Actual events affecting the Company

and the impact of such events on the Company's operations may vary from those

currently anticipated.

information about the Female Health Company visit the Company's web site at

http://www.femalehealth.com and

http://www.femalecondom.org.

you would like to be added to an e-mail alert list, please send an e-mail to