Oslo, Norway, February 6, 2001

Nutri Pharma signs product development agreement with a German based, European leader in bread and bakery for cholesterol-lowering Abacor® breads

Nutri Pharma (OSE: NUT), a global leader in functional foods and beverages, today announced that it has signed a product development agreement with a German based, European leader in bread and bakery. The purpose of the agreement is to develop a bread-based product containing Nutri Pharma’s proprietary cholesterol-lowering product, Abacor®, with a view to launching into the DEM 20 billion German bread market.

Although growth in traditional bread has been static in Europe, value-added breads in the functional food category have grown by 68% in the past four years, and some estimates suggest that functional bread, like Abacor®, are capable of winning a 3% market share.

"The agreement is another important step in developing Abacor® products in key categories, and also for expanding the reach for Abacor® products in Europe," said Michael Oredsson, CEO of Nutri Pharma. "We have earlier signed a similar agreement with a leading UK bread supplier, and are looking at further agreements with leading players in key bread markets. With this agreement we have started developing bread-based products for the whole of Europe. The German based, European leader in bread and bakery’s reputation and expertise for innovation in the bread market, is the ideal complement to Abacor’s® core strengths in combining optimal efficacy in cholesterol reduction, with great taste".

Abacor® is a patented combination of soy-isolates with high fixed levels of isoflavones, soy-fibres and soy phosphorlipids. Clinical studies have shown that intake of Abacor® lowers LDL cholesterol by 15-20% after four months. One month after the end of use, all consumers returned to pre-treatment cholesterol levels, demonstrating that the effect is tied to the intake of the product, and that the beneficial reduction in cholesterol levels can only be maintained with continued intake of Abacor®

Nutri Pharma is a global leader in functional foods and beverages, developing and marketing innovative functional food ingredients and products, all based on the company’s proprietary soy technology. The products cure and prevent lifestyle-related diseases, such as elevated cholesterol level, obesity and type 2 diabetes. Nutri Pharma is listed on the main list at the Oslo Stock Exchange and has its headquarters in Copenhagen. Nutri Pharma also have offices in Norway, Sweden, USA, England and Germany.

For further information, please contact:

Michael Oredsson, CEO Nutri Pharma ASA.TEL: +45 3338 4000
David Speechly, PhD, MBA. Noonan/Russo Ltd.TEL: 0171 726 4452