Functional Technologies Corp. TSX VENTURE: FEB

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 2, 2008) - Functional Technologies Corp. (TSX VENTURE:FEB) is pleased to announce the promotion of Mr. Garth Greenham to company President. Mr. Greenham, who will also maintain his current role as Functional Technologies' Chief Operating Officer (COO), brings over 20 years experience in the human and animal health care industries to his new role.

As President and COO, Mr. Greenham will guide Functional Technologies' strategic planning, operations, sales and corporate communications programs. Based out of Toronto, Mr. Greenham is also ideally situated to assist in the company's investor relations and capital markets endeavors, while continuing to commute regularly to the company's sales office in California and its research and production facilities in Prince Edward Island.

Mr. Greenham has an extensive record of success with both privately-held and publicly-traded heath care companies. He joined Functional Technologies through its 2007 acquisition of Phycobiologics Inc. (now Functional Technologies' wholly-owned subsidiary Phyterra Bio Inc.) where Mr. Greenham was co-founder. Prior to Phycobiologics, Mr. Greenham served as Director of Sales, Marketing and Operations for Aqua Health Ltd. where, over a nine year period, he helped the company grow into the world-leader in the field of animal vaccines, primarily aquaculture. Aqua Health was a subsidiary of Cobequid Life Sciences, a Toronto Stock Exchange listed company that was purchased in 2000 by Novartis Inc. He subsequently served as President and Director of Novartis Animal Health's Aqua Health division. Mr. Greenham's experience also includes 15 years in management with Johnson & Johnson where he directed many areas of operations and key global products in the human health care area.

"Garth has an outstanding track record of successfully developing and commercializing proprietary health care products, while quickly identifying and taking advantage of emerging industry trends and opportunities. His experience across various multi-disciplinary fields such as research and development, sales, marketing, and operations, combined with his knowledge of both human and animal health care industries, provides the breadth of knowledge suited for the dual role of President and COO," commented Howard Louie, Functional Technologies' CEO. "Garth's expanded role is also a reflection on the increasing emphasis Functional Technologies places on operations. We have an ambitious list of value creating milestones in our near term horizon which are directly linked to operations, including the acquisition of equipment and/or facility to further repatriate our yeast production, acquisition of new yeast technology to complement our existing urea-degrading products, commercial launch of four additional urea-degrading Phyterra Yeast strains, and our first commercial sales of Phyterra Yeast. Garth, and his operations team, will play a pivotal role in the successful completion of each of these milestones and the ensuing value creation they should generate for our shareholders."

Functional Technologies is also pleased to report that Mr. Geoff Lee will assume the role of Vice President of Corporate Development, and Ms. Sherrill Palmer will take over as Chief Financial Officer (CFO) of the company.

Mr. Lee is one of founding principal shareholders of Functional Technologies, and responsible for the establishment of Functional Technologies wholly-owned Napa, California subsidiary Phyterra Yeast Inc. During his tenure in Napa, Mr. Lee was pivotal in establishing relationships with wine industry thought leaders, and numerous commercial wineries. Through these relationships, Functional Technologies was able to secure its initial field trials for its urea-degrading yeast technology, and established itself as a leader in yeast innovation. In his new role Mr. Lee will focus on Functional Technologies' increasing business development endeavors - including working with the sales organization in forging relationships with commercial wineries throughout the world, in-licensing new technologies, and fostering partnerships and collaborations within the fermented food and beverage industries.

"As demonstrated by his time in Napa, Geoff has an incredible acumen for quickly forging business relationships that generate value for the company, making him well suited for his new role in Corporate Development. On behalf of the board I would like to thank Geoff for taking on the added responsibility of President and CFO over the past year," added Mr. Louie.

Ms. Palmer has been promoted to CFO from her previous position of Manager of Finance and Administration with Functional Technologies. In her new role as CFO Ms. Palmer will oversee the company's finance, accounting, administration, and contract management functions. Ms. Palmer is a Certified Management Accountant. Over the past 15 years Ms. Palmer has worked in senior roles for both public service and private sector companies with an emphasis on strategic financial management. Ms. Palmer's most recent position was CFO for Cellar Door Productions, best known for its production of the world renowned "Chef Michael Smith" television series.

About Functional Technologies Corp.

Functional Technologies is a functional foods and biological health products company that develops and commercializes advanced yeast products, and other novel biological products, for the food and the health care industries. The company is currently commercializing a platform yeast technology that substantially reduces the formation of ethyl carbamate (also known as urethane, which has been recently reclassified by the World Health Organization up to a Group 2A carcinogen - the same carcinogen class as lead, mercury, acrylamide and diesel exhaust), from wines and other fermented beverages and foods. Functional Technologies has licensed the exclusive worldwide rights to this technology from The University of British Columbia (UBC). The company is expanding the development of next generation products in this area, as well as evaluating new yeast based technologies with broad commercial market applications. In addition Functional Technologies, through its wholly-owned subsidiary Phyterra Bio Inc., is developing a platform of proprietary biological products, for animal health, utilizing proprietary science in the field of micro-algae.

This news release contains forward-looking information. The reader is cautioned that assumptions used in the preparation of such information, although considered accurate at the time of preparation, may prove incorrect. The actual results achieved may vary materially from the information provided herein. Consequently, there is no representation by Functional Technologies Corp. that actual results achieved will be the same as those forecast.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.