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T1 The company has a leadership position in the use of hybridomas, lular factories for production of monoclonal antibody= eagents. The company is using these antibody reagents for .... " ~;,:,, development of diagnostic kits which are easy to use and enable • ~,. ~.~-~:~:, ~ : ~ r,~:~,:_....~:'-~...~.,..."~ :~: .... pld ~ Identlf~cat~on~ of plant diseases in the field . Initially, ~ ,.., ~.~.~, ~ ~ ~,¢., .... " .~. t ; ~-i~ '~ '~ :~" . . ,./,<,.~.:,,:;~ ~:;the company Is developing and testing kits for turfgrass and .... -,,~',:" citrus diseases. The company is actively filing patents and seeking proprietary protection. We are applying for processing and utility patents in the areas of plant breeding and plant disease diagnosis. ICe will also be able to protect our plant breeding lines under the Plant Variety Protection Act as well as through the development of proprietary hybrids which cannot be successfully used for !~,~::~:.:}'~2¢,~:, seed production by the grower ~:~,~.~'.~, :, , . ~ "~.~)~'~%~' ,~, ~, ~ :~. ~.~ . ~ .... ,~, .:~g:.~:';;:~'" Our company's scientific capabilities are greatly enhanced by ,.:,:.:'. : ,: /' ..:.. . . ',;~::..~--::.-i' • our d~st~nguished Scientific Advisory Board. The l~oard meets annually as a group, and certain individuals on the Board meet with the company more often to evaIuate important scientific areas. The Board is made up of key scientists in the agricuItural biotechnology area including Drs. t]orman gorlaug and Helvin Calvin, both Nobel Prize winners. Remaining in the forefront of scientific progress in agricultural biotechnology ¢dl O1

- 12 - indispensible to our growth. :assembled will keep us on top Thank yon Rod, for your exciting presentation. We believe the tean we have I It certainly has . L ~,~.~t~- :~ .~, ~'~',~ y:~:L been a good year 6or us. Great progress has been ~ade on both the technical and the business side. I don't want to lose siRht of the fact that people are what this company is all about and we have been fortunate to continue to be able to attract some of the outstanding talent we need to pursue our goals in various fields. 1983 has been a banner year for us in this regard and from everything I see it seems like DNAP is the place to be for some of the leading scientists in agricultural biot~chnology as :well as for business people who want to have a part in t~e successful growth of a ne~¢ business. Earlier this~jrear we added significantly to our financial resources by our successful public offering. ~e also made an important addition to our facilities by purchasing the !O0-acre Campbell Soup Company East Coast Breeding Station, which is just Q~ 15 ninutes from here and includes a pilot plant processing facility as well as a modern building for administrative offices. All of this is consistent with our strategy to ~ove 0 0 0 Cn Co

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