We consider a fibrillar medium with a continuous distribution of two-l
evel atoms coupled to quantized electromagnetic fields. Perturbation t
heory is developed based on the current algebra satisfied by the atomi
c operators. The one-loop corrections to the dispersion relation for t
he polaritons and the dielectric constant are computed. Renormalizatio
n-group equations are derived that demonstrate a screening of the two-
level splitting at higher energies. Our results are compared with know
n results in the slowly varying envelope and rotating-wave approximati
ons. We also discuss the quantum sine-Gordon theory as an approximate
theory.