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NEWS

EDEN Bioscience announces reduction in workforce

Bothell, Washington
October 16,  2001

EDEN Bioscience Corporation (Nasdaq:EDEN), which develops, manufactures and markets innovative, natural products for protecting plants and improving crop production, today announced that it has reduced its workforce by 18 employees in certain research, administrative and senior leadership positions. 

In total, the company has reduced its headcount from 138 at the end of the second quarter to 106 as of today. 

EDEN expects these work force reductions to decrease salaries and related expenses by approximately $2.9 million on an annualized basis. EDEN Bioscience also expects to take a severance charge of up to approximately $300,000 in the fourth quarter of 2001. 

"Our focus remains on managing our business, including our cash position, prudently and responsibly in any economic environment," said Jerry Butler, president and CEO of EDEN Bioscience. "Cognizant of the current general economic challenges growers face, we are continuing to adjust our strategic focus to concentrate primarily on higher-value crops or crops that traditionally require high input levels -- such as potatoes, other fresh and processing vegetables, and small fruits -- which have demonstrated success and that we believe will drive future growth." 

Management will discuss this workforce reduction, as well as, third quarter financial results, and the outlook for the balance of 2001 during a live conference call and webcast scheduled for Thursday, October 22, 2001 at 5 p.m. Eastern Time (2 p.m. Pacific Time). The conference call will feature remarks by Jerry Butler, president and CEO, and Brad Powell, CFO. The live Web cast and replay of the call will be available at www.edenbio.com/in/inmain.html 

EDEN Bioscience is a plant technology company focused on developing, manufacturing and marketing innovative natural products for agriculture. EDEN believes its technology and initial product, Messenger, allow it to offer superior alternatives to existing plant protection and crop yield enhancement products in terms of both performance and safety and, importantly, to avoid the substantial public resistance to many chemical pesticides and genetically modified plants. Messenger, which received EPA approval for full commercial use in April 2000, is based on naturally occurring proteins called "harpins," which activate natural plant defense systems to protect against disease and pests, and simultaneously activate plant growth systems, improving crop yield and quality. It has been extensively tested in hundreds of field trials in four countries and on more than 40 crops including: citrus, cotton, strawberries, tomatoes, peppers, melons, wheat, rice, peanuts, tobacco, grapes and others. EDEN Bioscience's headquarters are at 3830 Monte Villa Parkway, Bothell, WA 98021, 425/806-7300; www.edenbio.com.

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