LAKE FOREST, Calif. -- (BUSINESS WIRE) -- March 23, 2004--

I-Flow Corporation (Nasdaq:IFLO) today announced that it has filed a preliminary prospectus supplement with the Securities and Exchange Commission relating to a proposed underwritten offering of shares of its common stock. The Company currently plans to offer 2,600,000 newly issued shares and to grant the underwriters a 30-day option to purchase up to an additional 390,000 shares to cover over-allotments, if any. SG Cowen Securities Corporation is acting as the lead manager for the proposed offering. Co-managers of the offering are First Albany Capital Inc., Lazard Freres & Co. LLC, Roth Capital Partners, LLC and Merriman Curhan Ford & Co.

A copy of the preliminary prospectus supplement and the accompanying prospectus related to the offering can be obtained when available from SG Cowen Securities Corporation, 1221 Avenue of the Americas, 6th Floor, New York, New York 10020, or through ADP by fax at 631-254-7268.

A shelf registration statement relating to the shares that the Company intends to sell has previously been filed with, and declared effective by, the Securities and Exchange Commission. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.

I-Flow Corporation designs, develops and markets technically advanced, low-cost drug delivery systems and services that provide life-enhancing, cost-effective solutions for pain relief and intravenous therapy.

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from current expectations. The preliminary prospectus supplement and related prospectus contain important information, and potential investors are urged to read these documents and other relevant documents filed by the Company with the Securities and Exchange Commission.

    CONTACT: I-Flow Corporation
             James R. Talevich, 949-206-2700
             www.IFLO.com
                     or
             Berkman Associates
             John Hicks (Investor Contact), 310-277-5162
             info@BerkmanAssociates.com

    SOURCE: I-Flow Corporation