Applied DNA Sciences to Launch Trials of Its Proprietary DNA-Embedded Textile Marker System with Harriet & Henderson Yarns.

Business Editors/High-Tech Writers

LOS ANGELES--(BUSINESS WIRE)--July 2, 2003

Successful Trials May Result In Commercial Adoption

of APDN's Marker Technology by U.S. Textile Manufacturers

and the Customs Service to Combat Illegal Textile Imports

Applied DNA Sciences, Inc. (OTCBB:APDN), a provider of proprietary DNA-embedded security solutions that protect corporate and intellectual property from counterfeiting and fraud, and Harriet & Henderson Yarns, Inc., one of the world's leading producers of cotton open-end spun yarns, today announced a strategic alliance to conduct trials of Applied DNA Sciences' proprietary DNA-embedded textile marker system for use by both U.S. textile manufacturers and the Customs Service.

In April 2003, the United States Department of Commerce selected Applied DNA Sciences' proprietary DNA-embedded textile marker system as one of three technologies as a key solution that may allow for a cost-effective textile "marker" system for practical use by both U.S. textile manufacturers and the Customs Service. The selection was made at the recommendation of the Energy Department's Oak Ridge National Laboratory. According to the American Textile Manufacturer's Association (ATMI) the U.S. textile industry sales were at $48.4 billion in 2002.

Applied DNA Sciences believes that the potential U.S. market for its Applied DNA(TM) Marker system for strictly the cotton segment of the textile industry could exceed $80 million annually. This estimate is based upon a recent U.S. Department of Agriculture (USDA) projection that approximately 8.2 billion pounds (17.2 million bales) of cotton will be produced in the U.S. in fiscal year 2003.

The trials will be conducted at Harriet & Henderson Yarns' manufacturing plants in North Carolina. These trials are intended to validate that the Applied DNA Marker system will cost-effectively insert DNA markers during the textile manufacturing process. It is believed the Applied DNA Marker system will be able to withstand typical textile processing conditions.

U.S. apparel import preference programs require the use of U.S. fabrics and yarns. The origin of fabrics and yarns in finished textiles, however, is difficult to determine, compromising the enforcement of these programs. The Applied DNA Marker system would identify illegal textile imports as well as identify both the country of origin and the specific factories where a garment, other textile products, and/or its components were produced or assembled. The company's marker technologies could also be used to protect brands, trademarked products and other intellectual property that are critical to the textile products industry.

According to The Wall Street Journal (5/07/03), about $70 billion of textiles are imported legally to the U.S. annually, but the U.S. Bureau of Customs and Border Protection, formerly known as the Customs Service, estimates that an additional $2 billion of illegal textiles are smuggled into the country. The textile industry puts the estimate of illegal textiles at as much as $8 billion to $10 billion. About 45% of all duties collected come from textile and apparel shipments.

"We are proud to be working with Applied DNA Sciences on this important technology that may resolve the enormous problem of counterfeiting in textiles," said Jim Booterbaugh, Harriet & Henderson's vice president of manufacturing. "Providing the U.S. Customs Service with a cost-effective way to identify the country of origin of textile components is extremely important to U.S. textile companies in order to stop losses of revenues and jobs."

Larry Lee, President of Applied DNA Sciences, Inc., said, "These real-world trials with Harriet & Henderson are an important step in validating our proprietary DNA-embedded marker system to the textile industry. We believe Applied DNA Sciences has the ideal solution to combat illegal textile imports and counterfeiting of textile goods."

About Harriet & Henderson Yarns, Inc.

Harriet & Henderson is one of the World's leading producers of cotton open-end spun yarns. Each year, it produces over 100 different types and counts of yarn for knitted and woven apparel, as well as for industrial and medical product application. The company is also one of the largest producers of yarns for athletic hosiery products, and a major supplier of yarns for both the spectator and active sportswear markets. Cotton is its major raw material along with some use of synthetic fibers.

The company is headquartered at 1724 Graham Ave., Henderson, N.C. 27536 Tel: [phone]. (www.hhyarns.com)

About Applied DNA Sciences, Inc.

Applied DNA Sciences, Inc. provides proprietary DNA-embedded biotechnology security solutions, using non-human DNA, that verify authenticity and protect corporate and government agencies from counterfeiting, fraud, piracy, product diversion, identity theft and unauthorized intrusion. Applied DNA Sciences has an exclusive licensing and partnership agreement covering North America and Europe with Biowell Technology, Inc. (http://www.biowell.com.tw/eng) of Taiwan. The company develops, markets, and sub-licenses DNA security systems, supply-chain management systems and anti-counterfeit solutions. Applied DNA Sciences' technology addresses the more than $350 billion of counterfeit products sold each year as well as the multi-billion dollar homeland security market. The company is headquartered at 9255 W. Sunset Blvd., Los Angeles, CA 90069; Tel: [phone]; Fax: [phone] or visit www.ADNAS.com.

The statements made by Applied DNA Sciences, Inc. (the Company) may be forward-looking in nature and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements describe the Company's future plans, projections, strategies and expectations, and are based on assumptions and involve a number of risks and uncertainties, many of which are beyond the control of Applied DNA Sciences, Inc. Actual results could differ materially from those projected due to changes in interest rates, market competition, changes in the local and national economies, and various other factors. The Company undertakes no obligation to update publicly any forward-looking statements to reflect new information, events or circumstances after the date hereof to reflect the occurrence of unanticipated events.