Applied DNA's CertainT® Supply Chain Traceability Platform Featured in New York Times Article About the Need for Transparency and Compliance in Global Supply Chains Under Recently Passed U.S. Federal Regulation

Rhea-AI Summary

Applied DNA Sciences (NASDAQ: APDN) announced that its CertainT® supply chain traceability platform has been featured in an article on the New York Times' homepage. This article highlights the growing need for tracing technologies in response to the Uyghur Forced Labor Prevention Act (UFLPA). The CertainT platform employs a 'tag-test-track' approach, utilizing synthetic DNA tags to enhance supply chain security, ensuring compliance with UFLPA regulations. The platform can verify the geographic origin of textiles and other products, aiding industries in mitigating risks associated with forced labor. The UFLPA, in effect since June 2022, has created a pressing demand for transparent supply chains. The use of DNA traceability and isotopic testing is recognized by the Department of Homeland Security as critical for companies seeking to validate their sourcing practices.

Positive

• Increased visibility in mainstream media through the New York Times feature.
• CertainT platform addresses compliance with UFLPA, enhancing market relevance.
• Utilization of advanced technology (DNA tagging and isotopic testing) positions the company for growth.

Negative

• Challenges in achieving market acceptance for CertainT platform.
• Dependence on regulatory compliance may expose vulnerabilities in business model.

STONY BROOK, N.Y.--(BUSINESS WIRE)-- Applied DNA Sciences, Inc. (NASDAQ: APDN) (the "Company"), a leader in PCR-based DNA technologies, announced that its CertainT® supply chain traceability platform is featured in an article on the home page of the New York Times website today. The article, titled "How A.I. and DNA Are Unlocking the Mysteries of Global Supply Chains," centers on the mounting need for the textile and other industries to employ tracing technologies to ensure compliance with the Uyghur Forced Labor Prevention Act (UFLPA).

Excerpt:

Some companies — like the one that sprays the DNA mist onto cotton, Applied DNA Sciences — are using scientific processes to tag or test a physical attribute of the good itself, to figure out where it has traveled on its path from factories to consumer.

Applied DNA has used its synthetic DNA tags, each just a billionth of the size of a grain of sugar, to track microcircuits produced for the Department of Defense, trace cannabis supply chains to ensure the product’s purity and even to mist robbers in Sweden who attempted to steal cash from A.T.M.s, leading to multiple arrests.

MeiLin Wan, the vice president for textiles at Applied DNA, said the new regulations were creating a “tipping point for real transparency.”

In addition to the DNA mist it applies as a marker, Applied DNA can figure out where cotton comes from by sequencing the DNA of the cotton itself, or analyzing its isotopes, which are variations in the carbon, oxygen and hydrogen atoms in the cotton. Differences in rainfall, latitude, temperature and soil conditions mean these atoms vary slightly across regions of the world, allowing researchers to map where the cotton in a pair of socks or bath towel has come from.

(Source: Ana Swanson, NY Times)

CertainT is a multi-layered forensic authentication system that employs an integrated "tag-test-track" approach to maximize supply chain security and minimize counterfeiting, including verifying cotton's geographic region of origin.

Passed into Federal law in December 2021 and in effect since June 2022, the UFLPA establishes a rebuttable presumption that the importation of any goods, wares, articles, and merchandise mined, produced, or manufactured wholly or in part in the Xinjiang Uyghur Autonomous Region of the People's Republic of China (XUAR), or produced by certain entities, is prohibited and the goods are not entitled to entry to the United States.

The Department of Homeland Security's Implementation Strategy under the UFLPA identified DNA traceability and isotopic testing - both central components of the CertainT platform - as evidence that importers may present to potentially prove that items do not originate in XUAR or may have benefitted from forced labor.

About CertainT®

CertainT is a multi-layered forensic authentication system that includes DNA tagging, DNA genotyping, and isotope testing, designed to maximize supply chain security and minimize counterfeiting. The CertainT platform allows for DNA-based molecular tagging of inputs and final products, such as cotton fiber and finished cotton products, which can be tested and tracked through global supply chains. The CertainT platform can be used across the entire textile industry, including cotton, viscose, polyester, leather, and down and feather. It is well positioned to assist worldwide supply chains in navigating the Uyghur Forced Labor Prevention Act (UFLPA), which has been in full force since June 21, 2022, and other due diligence regulations in other countries. Learn more here: https://adnas.com/cotton-supply-chain-protection/

About Applied DNA Sciences

Applied DNA Sciences is a biotechnology company developing technologies to produce and detect deoxyribonucleic acid ("DNA"). Using PCR to enable both the production and detection of DNA, we operate in three primary business markets: (i) the manufacture of DNA for use in nucleic acid-based therapeutics; (ii) the detection of DNA in molecular diagnostics testing services; and (iii) the manufacture and detection of DNA for industrial supply chain security services.

Visit adnas.com for more information. Follow us on Twitter and LinkedIn. Join our mailing list.

The Company's common stock is listed on NASDAQ under the ticker symbol 'APDN.' Its publicly traded warrants are listed on OTC under the ticker symbol 'APPDW.'

Forward-Looking Statements

The statements made by Applied DNA in this press release and associated materials may be "forward-looking" in nature within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995. Forward-looking statements describe Applied DNA'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. Actual results could differ materially from those projected due to its history of net losses, limited financial resources, limited market acceptance, our unknown ability to penetrate key markets, our ability to successfully enter into commercial contracts for the implementation of our CertainT® platform, the uncertainties inherent in research and development, our unknown ability to maintain contractual relationships necessary for isotopic testing, and various other factors detailed from time to time in Applied DNA's SEC reports and filings, including our Annual Report on Form 10-K filed on December 14, 2022, as amended, its Form 10-Q filed on February 9, 2023, and other reports it files with the SEC, which are available at www.sec.gov. Applied DNA undertakes no obligation to update publicly any forward-looking statements to reflect new information, events, or circumstances after the date hereof or to reflect the occurrence of unanticipated events, unless otherwise required by law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230407005125/en/

Corporate Contacts:

Investor Relations Contact: Sanjay M. Hurry, 917-733-5573, sanjay.hurry@adnas.com

Program Contact: MeiLin Wan, 631-240-8849, meilin.wan@adnas.com

Web: www.adnas.com

Twitter: @APDN

Source: Applied DNA Sciences, Inc.

FAQ

What is the significance of the New York Times article for APDN?

The article highlights the importance of the CertainT platform in addressing supply chain compliance with the Uyghur Forced Labor Prevention Act, increasing APDN's visibility and potential market relevance.

How does APDN's CertainT platform comply with the Uyghur Forced Labor Prevention Act?

The CertainT platform utilizes DNA tagging and isotopic testing to ensure the traceability of products, confirming they do not originate from forced labor sources.

What technologies are used in the CertainT platform?

The CertainT platform employs synthetic DNA tags and isotopic analysis to enhance supply chain security and traceability.

When did the Uyghur Forced Labor Prevention Act come into effect?

The UFLPA has been in effect since June 2022.

How might the media exposure impact APDN's stock?

Increased media exposure could positively influence investor interest and potentially improve the stock's market performance.