SANTA BARBARA, Calif. and WILMINGTON, Del., April 11-- EarthShell Corporation and DuPont announced today that they have expanded their relationship from the joint development agreement formed in April 2001 to a strategic alliance. Initially, the companies will focus on the $1 billion global food service wraps market. The alliance combines EarthShell patented composite material technology with DuPont expertise in materials, development, manufacturing and marketing - offering environmentally preferred packaging and systems to the food service industry such as restaurants, quick service, and convenience stores. EarthShell and DuPont intend to collaborate closely to identify opportunities that combine EarthShell Packaging with DuPont Biomax hydro/biodegradable polyester coatings/films and technology. Biomax offers a unique combination of biodegradability and superior barrier properties for better performance over a wider range of applications than is possible with other coatings or films. EarthShell Packaging can use Biomax in its disposable packaging such as bowls, plates, cups and sandwich wraps. EarthShell Packaging is manufactured using composite technology that combines inorganics such as abundantly available limestone with organics such as renewable starch. The products, which biodegrade in composting environments, combine excellent performance with environmental benefits. When compared to traditional food service packaging materials, EarthShell disposable products are uniquely cost competitive. As part of the strategic alliance, the companies have signed a non-binding letter of intent to license EarthShell flexible food service wrap technology exclusively to DuPont. The letter also allows for future expansion to other EarthShell technologies and products. Under the alliance, DuPont assumes leadership of the development, production, marketing and distribution of the food service wraps and takes a more active role in the promotion of other EarthShell Packaging products. For all products DuPont sells that use the EarthShell technology, EarthShell will receive a royalty. "We are pleased with the progress of our joint development, and see the strategic alliance as the logical next step in our relationship with EarthShell," said David P. Ferretti, global business manager-DuPont Packaging & Industrial Polymers. "We have worked with EarthShell for over a year, and believe in the unique environmental attributes of their technology and products. At DuPont, we intend to utilize our strong applications development capabilities and broad market access to expedite the commercialization of these exciting new products." "We are delighted to expand our DuPont relationship, with the goal of bringing EarthShell Packaging to market and accelerating revenue growth," said Simon Hodson, president and chief executive officer at EarthShell Corporation. "With focus on our core competency, EarthShell will continue to develop innovative technologies that satisfy consumer demand for more environmentally preferable products." EarthShell Corporation is engaged in licensing and commercializing its proprietary composite material technology for the manufacture of disposable food service packaging, including cups, plates, bowls, hinged-lid container and sandwich wraps. In addition to certain environmental characteristics, EarthShell Packaging is designed to be cost- and performance-competitive compared to other food service packaging materials. Additional information may be found via the Internet at www.earthshell.com. The strategic business unit of DuPont Packaging & Industrial Polymers is a global supplier of ethylene copolymers, polyamides and polyesters to the food and non-food industries. During 2002, DuPont is celebrating its 200th year of scientific achievement and innovation - providing products and services that improve the lives of people everywhere. Based in Wilmington, Del., DuPont delivers science-based solutions for markets that make a difference in people's lives in food and nutrition; health care; apparel; home and construction; electronics; and transportation.