Kraig Biocraft Laboratories, Inc. (OTCBB: KBLB)

Kraig Biocraft Laboratories, Inc. Signs Intellectual Property and Collaborative Research Agreement With the University of Notre Dame

Kraig Biocraft Laboratories, Inc. (Kraig) is a biotechnology company focused on the development of commercially significant polymers. The Company's investments in genetic research are focused on product development and innovative near term solutions to meet the practical problems of our world.

Kraig is working in cooperation with university scientists and laboratories to create new polymers with potentially broad applications for consumers and industry. The Company is applying its proprietary genetic engineering technology to find solutions in the areas of material science. Kraig is developing commercial polymers which they believe will have broad applications in the market place for high strength materials.

Kraig, is passionate about pioneering the research and development of the next generation of high perfomance fibers based on genetic engineering.

Life Science and Genetic Technology

Spider Silk is among the strongest fibers produced in nature. Some spider species are capable of producing up to seven different types of silk depending upon the spider's particular need at that time. For example, a spider will use one type of silk to make the structural supports for it web, and another type to wrap its captured pray. Drag line silk, the silk used when a spider is repelling, is of particular commercial interest. This natural polymer is both extremely strong and extremely flexible. These properties of the underlying polymer create the potential for exciting commercial opportunities.

Kraig has obtained the exclusive right, in their field of research, for the spider silk gene sequences which are at the core of their technology. These genetic sequences were first studied and subsequently patented by Dr. Lewis of the University of Wyoming. In early 2006, the company obtained certain exclusive rights from the Univeristy to utilize the sequences in their field of use.

The Challenge: Reproduction of Spider Silk

Hailed as one of nature's most remarkable materials, Spider Silk is made when spiders spin liquid protein into solid fibers. While the superior properties of spider silks are well known, there is presently no known way to produce the fibers in commercial quantity. The spiders are cannibalistic, and cannot be raised in concentrated colonies. This technological barrier has stymied Spider Silk production. KraigLabs, in cooperation with two leading universities, has obtained proprietary genetic engineering technology to unlock the mystery. KraigLabs is working cooperatively with the universities to reduce to practice its technology for the commercial production of Spider Silk.

Managing the research and development process.

Kraig Biocraft Laboratories, Inc. is focused on the development of industrial polymers that have the potential for significant commercial applications. They work through collaborative research and licensing agreements in the field of genetics, with leading university laboratories.

Working in cooperation with university laboratories.

Working in cooperation with university laboratories, Kraig creates efficiency by bringing technologies together from diverse research institutions and combining them. The company sponsors and collaborates on research within the universities' genetic engineering laboratories as a means of employing the greatest minds within this discipline. This is done under the direction of the company's management and in cooperation with the
leading academic laboratories in our fields of research.

The Kraig Research Initiative is the Company's program for working with and funding university scientists and laboratories to create technologies with significant commercial applications. As a part of this program, Kraig has licensed university intellectual property in the fields of genetics and genetic engineering.

Kraig Labs

Why Invest in Kraig Biocraft Laboratories, Inc.?

What's So Special About Spider Silk?
It is five times as strong as steel, potentially stronger than kevlar and twice as elastic as polyamide fibers (it can be stretched by 31% without breaking), it is more elastic than aramid fiber, it is finer than a human hair, and lighter than cotton.
Multiple and Various Uses:
Genetic Engineering, is the key to a brighter future for both consumers and industry. BIOENGINEERED SPIDER SILKS HAVE TREMENDOUS POTENTIAL IN THE MARKET PLACE FOR HIGH STRENGTH, LIGHT-WEIGHT MATERIALS SUCH AS:

Bulletproof vests, parachute cords, suspension cables, wear-resistant shoes
and clothing, seat belts, rust-free bumpers for automobiles,
artificial tendons and ligaments

Market Position:
The DNA research that has been conducted in laboratories around the world over the last 20 years, has paved the way for new products and opened up commercial opportunities that would have been undreamed of a generation ago.

DNA instructs cells in their life processes. Genetic engineering is the means by which that machinery is employed.

Transgenics is the scientific process of decoding the genetic instructions of an organism and applying those instructions to another organism. In that way, bio chemicals and other products can be produced and delivered on an industrial scale.

KBLB is at the forefront of the coming revolution in materials technology.
Strong Leadership:
As the CEO of the company, Mr. Thompson is the only member of the scientific advisory board who is also a part of the corporation's management. His formal education lies in the fields of economics and law. He received his B.A. in Applied Economics from James Madison College at Michigan State University. He received his Juris Doctorate from the University of Michigan Law School in 1994. His interest in genetic engineering dates back to the 1970s when, as a teenager, he witnessed the early success of cloning experiments with amphibians.

Mr. Thompson is the named inventor in a pending provisional patent application for a number of organic polymers. The patent application has been assigned to the benefit of the company. A central part of the company's work is in reducing those inventions to practice. Mr. Thompson founded Kraig Biocraft Laboratories in his pursuit of the development of new biotechnologies with industrial applications. As chairman of the scientific advisory board, he brings a unique perspective, and acts as the primary liaison between the advisory board and the corporation.

Scientific Advisory Board

Malcolm. J. Fraser, Jr. Ph.D.
Dr. Fraser received his Ph.D. from Ohio State University, and performed postdoctoral research at both Penn State University and Texas A & M University. At Texas A & M he was a part of the team which developed the genetic expression system which is now a widely used methodology for producing organic molecules, including pharmaceuticals, on an industrial scale.

He is the co-inventor of the gene splicing technology “piggyBac”, as well as the inventor of various piggyBac improvement patents. It was his work on piggyBac which first caught the attention of Kraig Biocraft Laboratories.

He was recently selected as a fellow of the American Association for the Advancement of Science. This was awarded in recognition for his distinguished contributions to genetics and transgenesis, and for his discovery of the piggyBac transposable element and derived transgenic vector system.

In 2006, Dr. Fraser was awarded $2.5 million from the Bill and Melinda Gates Foundation to fund "deliverable technologies" in the field of transgenesis, for the prevention of mosquito born disease.

Dr. Fraser is a member of the faculty at the University of Notre Dame, where he heads the Fraser Laboratory. The focus of his work is molecular genetics. He is the author or co-author of numerous scientific articles in the field of genetic engineering and gene manipulation.

Randy Lewis, Ph.D.
Dr. Lewis received his B.S. in chemistry from the California Institute of Technology. He received his M.S. in chemistry and his Ph.D. in Biochemistry from the University of California, San Diego.

Dr. Lewis is internationally renowned for his work on spider silk. He is also the named inventor of a number of patents relating to spider silk polymers. He is a member of the faculty at the University of Wyoming, where he heads the Lewis Laboratory within the Department of Molecular Biology. The study of spider silk polymers and their underlying genetics is a major focus of Dr. Lewis's research.

Engineering

Kraig Biocraft
Laboratories, Inc.

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