<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>2
<FILENAME>form8k-may2007dividend_exh.txt
<DESCRIPTION>DIVIDEND PRESS RELEASE
<TEXT>
Exhibit 99.1
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                            UNITED-GUARDIAN ANNOUNCES
                            SEMI-ANNUAL CASH DIVIDEND


Hauppauge,  NY, May 18, 2007 - United-Guardian,  Inc. (AMEX:UG)  announced today
that its Board of Directors  has declared a  semi-annual  cash dividend of $0.27
per share,  which will be paid on June 15, 2007 to all stockholders of record as
of the close of business on June 1, 2007. This is the 12th consecutive year that
the company has declared a dividend, and represents a 23% increase over the most
recent dividend of $0.22 per share that was declared in December, 2006.

Ken Globus,  President  of  United-Guardian,  stated,  "Since 2004 our  mid-year
dividend has been a "special dividend".  However, based on the financial results
of the company over the past few years, we now believe that this should become a
semi-annual  dividend,  along with the  end-of-year  dividend  that we have been
declaring  since 1996. We are confident that our continuing  success will enable
us to  maintain,  and  hopefully  increase,  the amounts  that we pay out to our
shareholders each year, and reward the faith they have placed in us, while still
retaining sufficient funds for our anticipated capital needs".

United-Guardian is a manufacturer of cosmetic  ingredients,  personal and health
care products, pharmaceuticals, and specialty industrial products.

                                                 Contact:   Robert S. Rubinger
                                                            Public Relations
                                                            (631) 273-0900


NOTE:  This  press  release   contains  both  historical  and   "forward-looking
statements" within the meaning of the Private  Securities  Litigation Reform Act
of 1995. These statements about the company's expectations or beliefs concerning
future events, such as financial  performance,  business prospects,  and similar
matters,  are being made in reliance upon the "safe  harbor"  provisions of that
Act.  Such  statements  are subject to a variety of factors that could cause our
actual results or performance to differ materially from the anticipated  results
or  performance  expressed or implied by such  forward-looking  statements.  For
further  information  about the  risks and  uncertainties  that may  affect  the
company's  business  please refer to the company's  reports and filings with the
Securities and Exchange Commission.
</TEXT>
</DOCUMENT>
