ArborGen Renews Agreement with Scion to Advance Biomaterials Development and Forest Productivity

May 17, 2010

SUMMERVILLE, S.C. & ROTORUA, New Zealand, May 13, 2010 – ArborGen, LLC and New Zealand Crown Research Institute Scion have agreedto extend their multi-million dollar partnership in gene discovery andmolecular breeding for forest trees. Begun in 2006, the partnership hasbeen successful in identifying gene-traits associated with wood qualityimprovements in pine. The partnership has identified more than onehundred new genes to test in Loblolly Pine research being conducted atArborGen.

Our ongoing partnership with Scion brings together two leaders inforestry biotechnology, creating exciting synergies for breakthroughdiscoveries and product development, says Barbara Wells, Ph.D.,president and CEO of ArborGen.

Scion’s Chief Executive Tom Richardson, Ph.D., predicts futureplantation forests will be different to what they are now, with treesgrown for a wider range of purposes in addition to traditional forestproducts, such as bioenergy and other bio-based products. Over the nextthree years, the partnership will focus on developing and applyingvaluable traits, such as improved growth and superior wood quality, forboth commercial forestry and biomaterials applications.

This partnership has developed a pipeline of lead candidates and therate of new discoveries will only accelerate, says Richardson. TheArborGen partnership has already led to discoveries for enhancing growthand wood characteristics in trees. The groundwork done to date providesa solid foundation for this partnership to deliver value to forestry inthe future.

Elspeth MacRae, Ph.D., group manager of bioproduct development atScion and Maud Hinchee, Ph.D., chief science officer at ArborGen see thepotential of the collaboration as significant for the future offorestry, stating that even small incremental improvements in growth orwood density across the millions of trees planted annually in the UnitedStates and New Zealand will improve per acre productivity, relievingpressure on native forests while meeting an ever growing demand forwood, fiber and energy.

Biotechnology has the potential to solve enormous problems facingglobal forests, including increased demand, pollution, climate changemitigation, carbon sequestration, and disease and insect resistance,says Greg Mann, general manager ArborGen Australasia. ArborGen isdedicated to improving tree performance and the productivity of purposegrown trees for a growing global economy. From bioenergy to pulp andpaper, packaging, and lumber, trees produce through this partnershipwill produce more of what we need far more efficiently than we can docurrently.

About ArborGen

ArborGen is a leader in tree improvement and the commercialproduction of trees. We are dedicated to helping the global forestindustry meet the growing demand for wood, pulp & paper, and energyin a more productive and sustainable way. Enabling more wood to be grownon less land helps conserve the world’s native forests in all theirbeauty, diversity and complexity. With one of the world’s most extensivetree germplasm resources, ArborGen uses both traditional breeding andadvanced genetic technologies, to discover and produce high yieldseedlings for our customers, allowing our customers to significantlyincrease the productivity of their forests and manufacturing processes.Our mission is to deliver superior performing trees through innovativescience and world class customer service – every tree, every time. Formore information, please visit www.arborgen.com

About Scion

Scion is a New Zealand Crown Research Institute focused on forests,forest products and new biomaterials in order to meet growing consumerdemand and increasing global needs for sustainably sourced products. Formore information, please visit www.scionresearch.com