NEWS

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NEWS

Landec announces planting of newcropping system and New Intellicoat(TM) seed coating products
Menlo Park, California
May 24, 2000

Landec Corporation said today that planting of its Intellicoat relay cropping of wheat/soybeans has been completed at over 50 commercial farms and research sites in the Midwest. The expanded field trials involved the planting of over 900 acres of wheat and soybeans in nine states. The results of these trials will be available by mid-Fall.

Landec's wheat/soybean relay cropping system involves coating soybean seeds with Landec's
proprietary Intelimer® polymers. The polymers are designed to regulate the water uptake of the seed and thus control the timing of seed germination. Prior tests conducted in Indiana, Ohio, and Michigan have demonstrated that Intellicoat soybean coatings achieve the targeted 20-25 day germination delay under a range of field conditions.

"Based on our prior results and the anticipated outcome of these expanded trials, we believe our
coating technology should provide a way for farmers to grow and harvest two crops on the same field in one year, creating significant financial benefit for the farmer,'' said Tom Crowley, President and Chief Executive Officer of Landec's wholly owned agricultural subsidiary, Intellicoat Corporation.

The unique relay cropping approach entails the planting of winter wheat in the late Fall, with the coated soybeans planted into the wheat the following May when the emerging wheat is eight to twelve inches tall. The coating prevents the soybean from germinating for 20-25 days while the wheat continues to grow and mature. The wheat is harvested in early July when the soybeans are only six to ten inches high and therefore not tall enough to be damaged during the wheat harvest. Following the wheat harvest, the established soybeans have enough moisture and sunlight to produce a healthy crop, which enables the farmer to harvest two crops in the same growing season off the same field.

The company also announced a successful first year of sales for its initial Intellicoat seed coating
products, MD 9100 and MD 9050. The coating delays the germination of the male inbred seed, which reduces the risk of split planting and improves pollination for seed production. Corn seed companies use these coatings to substantially reduce the risk in the production of hybrid corn seed. A number of America's leading seed companies purchased the product for the first time this year.

"The benefits of both our inbred corn seed and relay cropping products to American farmers could be significant,'' stated Crowley. "Our technology has the potential to increase productivity, particularly relay cropping, which can generate up to $125 in incremental income per acre over single crop farming,'' he continued.

In addition to the relay cropping system and coated delay inbred corn, Landec has initiated field testing of a hybrid corn seed coating which allows farmers to plant 3 to 4 weeks earlier than normal. An early planted hybrid corn seed would open up the planting window and give farmers much greater flexibility and reduce their risk during the critical planting period. This is especially important to the growing number of larger farmers who have to plant large acreage in a very short planting window. Trials are being conducted in seven states in the Midwest, with planting dates as early as late March. "We are encouraged by our early observations of these trials, and will be looking to accelerate this product if the trials continue to be successful,'' added Crowley.

Landec Corporation designs, develops, manufactures, and sells temperature-activated and other
specialty polymers for a variety of food, agricultural, industrial, and medical applications. The company's temperature-activated polymer products are based on its proprietary Intelimer polymers, which differ from other polymers, in that they can be customized to abruptly change their physical characteristics when heated or cooled through a pre-set temperature switch.

Company news release
N2688

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