Alcide and Novus to Restructure Sanova Agreement.

REDMOND, Wash.--(BUSINESS WIRE)--Aug. 3, 1998--Alcide Corp. (NASDAQ:ALCD) and Novus International Inc. today announced they are in negotiations to restructure their agreement of May 21, 1997, to market the Sanova(TM) Food Quality System to the poultry industry.

In the interim, Alcide and Novus will continue work on introducing Alcide's acidified sodium chlorite antimicrobial (Sanova) to other areas. Alcide and Novus hope to agree on a new framework for their alliance by Oct. 31, 1998.

Dr. W.J. Privott, Novus president and chief executive officer, said, "The business premises under which we are operating have changed since the original May 21 agreement. In order to continue product development we need to forge a more serviceable strategic alliance. We will continue to provide our customers with the same dedication and quality support they expect from Novus as we move toward an agreement with Alcide."

Joseph A. Sasenick, president and chief executive officer of Alcide, commented, "To rapidly penetrate the market, more investment resources are required than were initially anticipated under the present arrangement with Novus. Within this context, Alcide is willing to forego short-term profit guarantees for the prospect of more rapid market penetration and greater long-term profit potential in what we hope will be a very dynamic market for Sanova."

"Novus continues to have confidence that Alcide's acidified sodium chlorite is the best available chemistry to kill microbial pathogens under controlled conditions," said Privott. "However, more work is needed in order to translate the sound science behind acidified sodium chlorite to deliver consistently high performance. We've learned that the unique circumstances of each poultry processing facility requires in-depth customization in order to optimize performance for individual plants. Ongoing product development will help enhance this chemistry as a cost-effective antimicrobial treatment for use in poultry processing."

Alcide Corp. is dedicated to the research, development, and commercialization of antimicrobial products for animal health, human health, and industrial applications. The company holds substantial worldwide rights to its discoveries and technologies through various patents, patent applications, trademarks, and know-how. Alcide disinfectant systems are unique in the marketplace. The company's patented chemical compounds produce strong biocidal activity, a broad spectrum of kill, and sustained activity against a wide range of disease causing micro-organisms.

Novus International is a leader in the animal agriculture industry operating in over 70 countries. Headquartered in St. Louis, Missouri, Novus is a privately held company.

This release includes forward-looking statements which involve risk and uncertainty including, without limitation, risk of dependence on third-party suppliers, market acceptance of and demand for the company's products, distribution capabilities, and development of technology and regulatory approval thereof.

   CONTACT:  Alcide Corp.
              John Richards, 425/882-2555