Nordion Initiates Quarterly Dividend and Announces Normal Course Issuer Bid

Priorities are to Maintain a Strong Balance Sheet and Create Value for Shareholders

OTTAWA, Ontario, January 21, 2011 - Nordion Inc., a leading provider of products and services to the global
health science market, today announced its Board of Directors has approved
the introduction of a quarterly cash dividend and the reinstatement of a
Normal Course Issuer Bid (NCIB) to repurchase outstanding common shares of
the Company on the open market.

"Nordion recognizes the importance of maximizing returns to
shareholders," said Steve West, Chief Executive Officer, Nordion. "Our
dividend and share buyback program underscore our commitment to this effort."

The initial quarterly dividend of US$0.10 per share will be paid on April
1, 2011, to shareholders of record on March 17, 2011. Nordion's Board of
Directors will review the dividend policy from time to time taking into
consideration the Company's cash flow, earnings, working capital
requirements, financial position and other relevant factors.

"Initiating a dividend at this time reflects our confidence in our
business to generate consistent positive cash flows," continued Mr. West. "We
believe that the dividend is sustainable and appropriate taking into
consideration our expected earnings and the need to maintain a healthy
balance sheet."

All dividends paid or credited by Nordion to Canadian residents will be
designated as eligible dividends in accordance with the Canadian Income Tax
Act. Dividends paid or credited to non-residents of Canada are subject to a
25% withholding tax unless reduced by treaty. Under the current Canada-U.S.
tax treaty, the withholding tax rate on dividends is reduced to 15%. Taxation
of dividends paid to U.S. residents is governed by the Internal Revenue Code.
It is recommended that shareholders consult a tax advisor to determine any
tax consequences of receiving dividends from Nordion.

Nordion ended its 2010 fiscal year with cash and cash equivalents of
US$122.8 million. In addition, the Company's outstanding debt is offset by a
financial instrument that meets funding obligation requirements. Nordion
plans to fund dividend payouts from free cash flow, and is pursuing a credit
facility as an additional source of liquidity to support business operations.

Normal Course Issuer Bid

Nordion has been authorized by the Toronto Stock Exchange (TSX) to
purchase for cancellation up to 5,677,108 common shares of its 67,238,653
common shares outstanding as of January 12, 2011. The authorized number of
shares for repurchase represents approximately 10% of Nordion's public float
and 8% of its outstanding common shares. Annual purchases to a maximum of
US$65 million under the NCIB may begin on January 26, 2011 and will end no
later than January 25, 2012. Subject to any block purchases made in
accordance with the TSX, daily purchases will be limited to 21,209 common
shares, which represent 25% of the average daily trading volume on the TSX
for the most recent six calendar months.

Nordion intends to enter into an automatic share purchase plan (ASPP)
under which our broker purchases shares in accordance with the policies of
the applicable exchange that the common shares are purchased on and based on
guidelines the Company provides the broker at the time the ASPP is
established. The ASPP may be cancelled or modified only during periods in
which the Company is not in possession of material non-disclosed information.
Subject to required regulatory approvals, purchases will be made on the open
market through the facilities of the TSX and the New York Stock Exchange
(NYSE) in accordance with their respective rules. Approval of the bid is not
required from the NYSE. The price to be paid will be the market price at the
time of acquisition.

Directors and senior officers of the Company have advised that they
currently do not intend to sell shares during the course of the NCIB.

Nordion believes that, depending on the trading price of its shares and
other factors, the purchase of some of the Company's common shares under an
NCIB for cancellation is an appropriate use of cash and in the best interest
of Nordion and its shareholders.

About Nordion Inc.

Nordion Inc. (TSX: NDN; NYSE: NDZ) is a global specialty health science
company that provides market-leading products and services used for the
prevention, diagnosis and treatment of disease. We are a leading provider of
medical isotopes, targeted therapies and sterilization technologies that
benefit the lives of millions of people in more than 60 countries around the
world. Our products are used daily by pharmaceutical and biotechnology
companies, medical-device manufacturers, hospitals, clinics and research
laboratories. Nordion has more than 600 highly skilled employees in four
locations. Find out more at www.nordion.com.

Forward Looking Statements

Certain statements contained in this news release constitute
"forward-looking statements". These statements are based on current beliefs
and assumptions of management, however are subject to known and unknown
risks, uncertainties and other factors that may cause actual results to
differ materially from the forward-looking statements in this news release.
For additional information with respect to certain of these beliefs,
assumptions, risks and uncertainties, please refer to Nordion's Annual
Information Form for fiscal 2010 available on SEDAR at www.sedar.com
and on EDGAR on www.sec.gov.

For further information:

CONTACTS:

    INVESTORS:
    Ana Raman
    +1(613)595-4580
    investor.relations@nordion.com

    MEDIA:
    Tamra Benjamin
    +1(613)592-3400 x. 1022
    tamra.benjamin@nordion.com

INVESTORS: Ana Raman, +1(613)595-4580, investor.relations at nordion.com; MEDIA:
Tamra Benjamin, +1(613)592-3400 x. 1022, tamra.benjamin at nordion.com