Synbiotics Corporation (Nasdaq National Market: SBIO), announced today that W3COMMERCE Inc, its Internet marketing services subsidiary, has executed an alliance agreement with Friskies Petcare Products, a unit of Nestle SA, the world’s largest food company. Under the terms of the agreement, Friskies Petcare will sponsor a series of six informational and two directory websites, designed and developed by W3COMMERCE. Friskies Petcare will also offer certain non-food products, not available through traditional sources, on two e-commerce sites developed and managed by W3COMMERCE.

The new informational and e-commerce sites will be integrated within W3COMMERCE’s Pet/Vet “Meta-Domain”, a W3COMMERCE system for building volume Internet traffic to focused target markets. Terms of the agreement include e-commerce commissions and sponsorship fees to be paid by Friskies to W3COMMERCE.

According to Fernando Merce, Marketing Manager, E-Business of Friskies Petcare, “As a leader in the pet care industry’s move to the World Wide Web, our early experience highlighted the inefficiency of building a brand under a single domain. Friskies has invested substantially in the medium and now gained broad experience in the multiple domain approach. This maps perfectly to the W3COMMERCE Meta-Domain model, which offers a highly cost-effective method of building targeted traffic, and provides an answer to the Internet’s customer acquisition cost challenge.”

Colin Lucas-Mudd, president of W3COMMERCE, commented, “Friskies’ experience on the Web provides an independent validation of the Meta-Domain model and is a great vote of confidence in our approach. As we bring more domains on-stream, and continue to grow our traffic without inefficient promotion expense, we are confident that this relationship will be a great brand-builder for Friskies and an important source of business for both companies.”

W3COMMERCE, a wholly owned subsidiary of Synbiotics Corporation, is an e-commerce and Internet solutions company that applies its proprietary systems and Meta-Domain model to drive targeted Internet traffic to sponsor and client sites at low cost. Through linking e-commerce sites, developed and managed for clients, with targeted, advertising-free specialty content sites, W3COMMERCE dramatically lowers the user acquisition cost while enhancing sponsor, client and its own revenues. W3COMMERCE now controls four Meta-Domains, which when fully developed will include over 700 `dotcoms’ in the Pet/Vet, Sports & Leisure, Hospitality and Early Stage Business Services sectors.

Ken Cohen, President and CEO of Synbiotics Corporation, added, “We are delighted to announce this agreement with Nestle, particularly in view of the company’s in-depth Internet experience, and their endorsement of the W3COMMERCE Meta-Domain model.”

With the exception of historical matters, the issues discussed in this press release are forward-looking statements that are subject to the risks and uncertainties that could cause actual results to differ materially from those anticipated in the forward-looking statements, including competition from larger companies, the need to demonstrate large-scale customer acceptance of W3COMMERCE’s business model, the ability of other companies to replicate W3COMMERCE’s business model, reliance on third-party manufacturers and distributors of animal health products, possible technology improvements by others, the ability to assimilate acquired businesses, the seasonality of major portions of the Company’s business and other risks set forth in Synbiotics Corporation’s filings with the Securities and Exchange Commission, particularly Form 10-KSB filed for the year ended December 31, 1999. These forward-looking statements represent Synbiotics Corporation’s judgment as of the date of the release. Synbiotics Corporation disclaims, however, any intent or obligation to update these forward-looking statements.

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