Agritope, Inc. today reported research activities continue to fuel revenue growth. 

For the second fiscal quarter ended March 31, 2000, total revenues increased 162% to $1.1 million compared to $424,000 in the like quarter a year ago. The net loss for the quarter was $1.0 million, or $.25 per share (basic and diluted), compared to a loss of $1.3 million, or $.31 per share, for the quarter ended March 31, 1999. 

Revenues for the first six months of fiscal 2000 rose 160% to $1.7 million compared to $659,000 in the like period a year ago. The net loss for the period was $2.4 million, or $.58 per share (basic and diluted) compared to a net loss of $2.5 million, or $.62 per share, in the first six months of fiscal 1999. 

"This was an exciting quarter for us,'' said Adolph J. Ferro, president and chief executive officer.
"Revenues are growing in both the research and products divisions. In addition, during February, we announced the positive results of our 1999 melon and raspberry field trials as well as three additional plant biotechnology patents.'' 

"Activity at Agrinomics, our 50%-owned joint venture with the Aventis CropScience unit of Aventis, S.A., is ramping up,'' continued Ferro. "In February, Agrinomics formed its first strategic alliance with a joint venture between Vilmorin Clause & Cie. of France and Biotech M.A.H. of Israel. The
joint venture will sponsor a five-year $7.5 million research program to discover genes that confer desirable traits in certain vegetables for use by Vilmorin and by Hazera Quality Seeds, Ltd., two of the world's leading vegetable seed companies. We also are making excellent progress on retrofitting our Woodburn greenhouse facility, which should be completed later this summer, allowing Agrinomics to be in full operation. Information on Agrinomics programs are described at its new website www.agrinomics.com.''  

"This quarter was the beginning of the peak season for Vinifera,'' said Ferro. "We continue to see
increased interest in our high quality grapevine plants.'' Grapevine sales are highly seasonal and primarily occur during the spring and summer planting seasons. The revenue contribution from Vinifera was up 55% to $403,000 for the quarter and up 34% to $447,000 for the first six months of the fiscal year. At March 31, 2000, Vinifera had firm orders totaling $4.6 million for delivery in the spring and summer of 2000, a significant increase from a year ago when there were firm orders of $2.9 million for the spring and summer planting season. 

"We continue to invest in our future by funding research and development activities,'' added Ferro.
Research and development expenses in the second quarter were $981,000 compared to $752,000 in the like quarter a year ago. Selling, general and administrative expenses were $900,000 for the quarter, compared to $937,000 in the year ago quarter. The loss from operations narrowed to $1.1 million compared to $1.5 million for the second fiscal quarter last year. 

Agritope is an Oregon-based agricultural functional genomics and biotechnology company that develops improved plant products and provides technology to the agricultural industry. Its fruit and vegetable division specializes in the development of improved fruit, vegetable and flower varieties. Agrinomics LLC, its 50% owned joint venture with Aventis CropScience (NYSE:AVE - news), conducts a research, development and commercialization program in the field of plant functional genomics. Vinifera, Inc., its majority owned subsidiary, offers superior grapevine plants to the premium wine industry together with disease testing and elimination services. 

Company news release
N2676