New Phyterra(TM) Yeast in Trials with Large US Wineries

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By The Associated Press Tuesday, November 10, 2009

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Phyterra(TM) Yeast, a unit of Functional Technologies Corp. (TSX VENTURE: FEB), is pleased to report it has commenced trials for numerous California wineries, including three out of the ten largest wine companies in the United States (by volume), for its hydrogen sulfide (H2S)-reducing yeast strains. The company has received product requests from over sixty-five (65) wineries, which collectively represent hundreds of wine brands.

"The wine industry is clearly looking to adopt a preventative H2S solution," said Garth Greenham, President & COO. "Not only have the US wineries responded well for this crush, but we're also receiving product and partnership inquiries from overseas wineries, wine yeast distributors and multi-national yeast manufacturers."

The current California "conviction" trials of Phyterra's recently launched H2S-reducing yeast strains are being conducted, prior to commercial adoption, at the company's Napa facility using winery fermentation protocols and juice.

Napa-M, Napa-S and California Red are Phyterra Yeast's proprietary yeast strains that prevent the sensory and spoilage issues that occur from the formation of H2S, a foul smelling compound often produced during fermentation. Phyterra's H2S reduction attribute is a platform solution to this well-recognized and widespread industry problem that can be made available in any strain of yeast. By saving a winery time and money, while increasing the quality and consistency of the winery's products, the company believes premium pricing of its yeast will be justified. The technology, exclusively licensed from the University of California, was isolated by Dr. Linda Bisson at UC Davis' Department of Viticulture & Enology, with support from the American Vineyard Foundation.

About Functional Technologies Corp.

We develop and commercialize proprietary technologies that enhance the natural properties of yeast and micro-algae - nature's microscopic workhorses. Our scientists apply novel techniques in these under-exploited multi-billion dollar markets to solve significant problems and generate new opportunities for the food, beverage and healthcare industries. We market our Phyterra(TM) proprietary yeast strains that reduce the formation of foul-smelling hydrogen sulfide and the carcinogen urethane in wines and other fermented products. With a head office in Vancouver, BC, Functional Technologies has research and development facilities in Prince Edward Island and a US sales office in Napa Valley, CA. For more go to www.functionaltechcorp.com (http://www.functionaltechcorp.com) .

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

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