EXHIBIT 99.2



NEWS RELEASE

FOR INFORMATION CONTACT:
Vince Anido, ISTA Pharmaceuticals    Justin Jackson, Burns McClellan (Media)
949/788-5311                         212/213-0006
vanido@istavision.com                jjackson@ny.burnsmc.com
David Waltz, ISTA Pharmaceuticals    Stephanie Diaz, Burns McClellan (Investors)
949/788-5345                         415/352-6262
dwaltz@istavision.com                sdiaz@sf.burnsmc.com


                  ISTA PHARMACEUTICALS ANNOUNCES AGREEMENT WITH
                                 CARDINAL HEALTH

IRVINE, CA. -- JULY 9, 2002 -- ISTA Pharmaceuticals, Inc. (Nasdaq: ISTA), today
announced that it has entered into an agreement with Cardinal Health (NYSE:CAH)
to manufacture commercial quantities of Vitrase(R), ISTA's proprietary compound
for the treatment of vitreous hemorrhage, pending approval of Vitrase by the
Food and Drug Administration (FDA).

Under the terms of the agreement, Cardinal Health Sterile Technologies, a member
of Cardinal Health's Pharmaceutical Technologies & Services group, will
manufacture, package and perform certain manufacturing quality assurance and
quality control tests on the product in accordance with specifications provided
by ISTA. Territories covered by the agreement include the United States, Canada,
Japan and the countries subject to the regulatory jurisdiction of the European
Agency for the Evaluation of Medical Products. Other territories may be added at
a later date if mutually agreed by Cardinal Health and ISTA. Cardinal Health
will also provide the regulatory support required to prepare the
manufacturing-related portions of the New Drug Application (NDA) for Vitrase to
the FDA. Financial terms of the agreement were not disclosed.

In January 2002, ISTA submitted to the FDA the non-clinical pharmacology and
toxicology section of the NDA for Vitrase under FDA provisions available for
"fast track" designated drugs that allow for early submission of complete NDA
sections prior to the full NDA. In June 2002, ISTA announced plans to submit the
clinical section and the chemistry, manufacturing and controls (CMC) section of
the NDA to the FDA by the end of the third quarter of 2002, and the final
component of the NDA, concerning manufacturing validation, in the first calendar
quarter of 2003.

"We are very pleased to have Cardinal Health as our partner for the manufacture
of Vitrase," stated Vicente Anido, Jr., Ph.D., chief executive officer of ISTA.
"Their resources and experience in producing pharmaceutical products will be a
significant asset to ISTA when we finalize our NDA and, pending FDA approval,
prepare for the commercial launch of Vitrase."


ISTA Pharmaceuticals is focused on saving and improving eyesight by developing
proprietary therapeutic products. ISTA's product candidates and programs address
serious diseases and conditions of the eye such as vitreous hemorrhage, diabetic
retinopathy, hyphema, glaucoma, ocular pain and inflammation. Building on this
pipeline, ISTA's goal is to become a fully integrated specialty pharmaceutical
company by acquiring complementary products, either already marketed or in
development.

Cardinal Health, Inc. (www.cardinal.com) is the leading provider of products and
services supporting the health care industry. Headquartered in Dublin, Ohio,
Cardinal Health employs more than 49,000 people on five continents and produces
annual revenues of more than $40 billion. Cardinal Health Pharmaceutical
Technologies & Services group has operations worldwide, employing more than
10,000 people at nearly three dozen drug development, manufacturing and
packaging centers in 11 countries. It is the leading independent drug delivery
technology developer, pharmaceutical packager, and outsourced pharmaceutical
manufacturing provider.

This press release contains "forward-looking statements" regarding Vitrase
manufacturing activities to be performed, and regulatory support to be provided
relative to the NDA for Vitrase, by Cardinal Health, additional territories that
may be added to the agreement at a later date and the time frame in which we
plan to prepare and submit the clinical and other required sections of the NDA
for Vitrase for the treatment of vitreous hemorrhage to the FDA. These
statements are based on current expectations of future events and, as such,
involve risks and uncertainties that may cause results to differ materially from
those set forth in such statements. These risks and uncertainties include the
FDA requiring that the Company conduct additional clinical trials and the
possibility that the results of any additional clinical trials the Company
conducts may not support regulatory approval of an NDA. In addition, Cardinal
Health may not be able to provide the manufacturing and/or regulatory support
activities contemplated under the agreement with ISTA due to currently
unforeseen circumstances, or the possibility that Cardinal Health will not be in
compliance with Good Manufacturing Practice regulations, which the FDA strictly
enforces. Further information on the risks and factors that could affect ISTA's
business, financial condition, and the results of operations are contained in
the Company's public disclosure filings with the U.S. Securities and Exchange
Commission (SEC), including the Company's quarterly report on Form 10-Q for the
quarter ended March 31, 2002, which are available at www.sec.gov



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