Retractable Technologies, Inc. Acts to Reduce Annual Operating Expenses by $6 Million

LITTLE ELM, Texas--(Business Wire)--
Retractable Technologies, Inc. (AMEX: RVP), a leading maker of safety needle
devices, continues to experience significant barriers against our efforts to
establish access for sales of our products. With limited access to capital
markets, we have determined that in the interest of the long-term survival of
the Company, we would reorganize some of the Company`s functions, and implement
staff reductions, all in order to minimize our cash expenditures and conserve
our resources. We are announcing today a number of cost-cutting measures that we
are implementing with the intent to reduce our cash outlays by $6,000,000 over
the next twelve months.

Our President and CEO, Thomas J. Shaw, has waived $1,000,000 in future royalty
payments. The five percent royalty that Retractable pays for the exclusive right
to manufacture and sell the VanishPoint products was granted for patents that
Mr. Shaw developed.

Retractable reluctantly reduced its workforce by 16 percent late last week.

We will reduce the compensation of employees above a certain salary level by 10
percent effective the beginning of August.

The Company is discontinuing its matching of employees` 401 (k) contributions
effective August 1st. Matching contributions were $120,000 last year.

As circumstances change, these decisions will be reviewed.

The Company also plans to reduce inventory levels and to cut other expenses.
Retractable has several new products in the "pipeline" that it plans to
introduce in the coming year.

Retractable Technologies, Inc. manufacturers and markets safety medical
products, principally VanishPoint automated retraction safety syringes and blood
collection devices, that virtually eliminate healthcare worker exposure to
accidental needlestick injuries. These revolutionary devices use a patented
friction ring mechanism that causes the contaminated needle to retract
automatically, a feature that is designed to prevent both accidental needlestick
injury and device reuse. Retractable also manufactures and markets Patient Safe
syringes that are uniquely designed to reduce the risk of bloodstream infections
resulting from catheter hub contamination. Our products are distributed by
various specialty and general line distributors. For more information on
Retractable, visit our website at www.vanishpoint.com.

Forward-looking statements in this press release are made pursuant to the safe
harbor provision of the Private Securities Litigation Reform Act of 1995 and
reflect our current views with respect to future events. We believe that the
expectations reflected in such forward-looking statements are accurate. However,
we cannot assure you that such expectations will materialize. Our actual future
performance could differ materially from such statements.

Factors that could cause or contribute to such differences include, but are not
limited to: our ability to maintain liquidity; our maintenance of patent
protection; the impact of current litigation (as it affects our costs as well as
market access and the viability of our patents); our ability to maintain
favorable supplier arrangements and relationships; our ability to successfully
receive royalties from Baiyin Tonsun Medical Device Co., Ltd.; the impact of
dramatic increases in demand; our ability to quickly increase capacity in the
event of a dramatic increase in demand; our ability to access the market; our
ability to maintain or lower production costs; our ability to continue to
finance research and development as well as operations and expansion of
production; the increased interest of larger market players, specifically Becton
Dickinson & Company, in providing devices to the safety market; and other risks
and uncertainties that are detailed from time to time in the Company`s periodic
reports filed with the U.S. Securities and Exchange Commission.

Retractable Technologies, Inc.
Douglas W. Cowan, 888-806-2626 or 972-294-1010
Vice President and Chief Financial Officer
rtifinancial@vanishpoint.com

Copyright Business Wire 2009