

FOR IMMEDIATE RELEASE              Contacts:    Pamela Sherry
                                                LabCorp
                                                (910) 584-5171
                                                Ext. 6768

                                                Elizabeth Long
                                                AutoCyte
                                                (910) 584-0250

                                        
            LABORATORY CORPORATION OF AMERICA-TM- CEO JAMES B. POWELL
                ANNOUNCES DEPARTURE TO JOIN AUTOCYTE, INC. AS CEO


BURLINGTON,  NC,  JANUARY 6,  1997  -- Laboratory  Corporation  of  America-TM-
Holdings  (NYSE: LH) (LabCorp-TM-) and AutoCyte, Inc. reported today that James
B.  Powell, MD, President and Chief Executive Officer of LabCorp, has announced
his  intention to leave LabCorp to become Chief Executive Officer  of AutoCyte,
Inc.  Dr. Powell will continue to serve on LabCorp's Board of Directors and
will also serve as a consultant to LabCorp.  His successor will be announced by
LabCorp in a separate release on January 7.  The change has no association with
the recent settlement with the U.S. government.

AutoCyte,  Inc.  is a new cancer diagnostic company in which  Dr.  Powell is  a
principal  investor. A spinoff from Hoffmann La Roche Inc. (Roche), AutoCyte is
focused  on  the  development of advanced automated pap  smear  technology.  In
addition  to  Dr.  Powell  and  Roche,  the Company's  major  investors include
Ampersand Ventures and Sprout Group, two leading venture capital firms.

LabCorp Chairman Thomas P. Mac Mahon credited Dr. Powell and LabCorp management
with  accomplishing the merger between Roche Biomedical Laboratories, Inc.  and
National  Health Laboratories Holdings Inc. that formed LabCorp 20 months  ago,
with  attaining   $120 million in merger-related synergies and with reaching  a
settlement  with  the  federal  government in a difficult  environment for  the
laboratory  industry.  Mr. Mac Mahon said, "We especially thank Dr.  Powell for
delaying his departure until these goals were achieved."

Mr.  Mac Mahon further stated, "Jim has made a splendid contribution to LabCorp
at a critical stage in its merger process.  Since the merger began 20 months
ago, Jim and I have explored his desire to pursue something more
entrepreneurial which  also draws upon his background as a pathologist. Roche's
recent decision to  spinoff  AutoCyte,  with which Jim was involved during his
tenure  at  Roche Biomedical Laboratories prior to the LabCorp merger in 1995,
presents a  perfect opportunity."

Laboratory  Corporation  of  America-TM-Holdings  (LabCorp-TM-)  is  a national
clinical  laboratory organization formed April 28, 1995 by the merger of  Roche
Biomedical  Laboratories,  Inc. and National Health Laboratories  Holdings Inc.
LabCorp has estimated annualized revenues of $1.6 billion.  It operates primary
testing facilities  nationally, offering more  than  1,700  different  clinical
assays, from routine blood analysis to more sophisticated technologies.
LabCorp performs diagnostic tests for physicians, managed care organizations,
hospitals, clinics,  long-term  care facilities, industrial companies  and
other  clinical laboratories.
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