BIONOVA HOLDING ANNOUNCES 2000 SECOND QUARTER RESULTS

Oakland, California—July 26, 2000—Bionova Holding Corporation (AMEX: BVA) announced today its second quarter financial results and certain steps it has taken on its business restructuring.

For the quarter ended June 30, 2000, Bionova Holding reported a net loss of $14.4 million, or $0.61 per share, as compared with a loss of $8.3 million, or $0.35 per share in 1999. Total revenues for the quarter were virtually unchanged from prior year at $70.2 million. The higher loss in the second quarter of 2000 as compared with the second quarter of 1999 was attributable primarily to restructuring charges associated with the Company’s fresh produce business and higher net interest costs.

In May, the Company announced its intent to concentrate on its technology business and pursue alternatives for the fresh produce business, including the possible divestiture of parts or all of this business segment. Savia, S.A. de C.V., the Company’s parent, recently has expressed an interest to a special committee of the Company’s independent directors with respect to Savia’s potential acquisition of the Company’s fresh produce business. In the interim, the Company has begun to take steps to limit the expenses, reduce the agricultural risk, and reduce the working capital requirements associated with its fresh produce operations. During the second quarter Agrobionova, S.A. de C.V., the Company’s agricultural subsidiary in Mexico, shut down its growing operations in Culiacan, Sinaloa. Agrobionova has contracted with other growers in the region to supply it with produce during the winter season, which will then be packaged in Agrobionova’s packing facilities and sold through the Company’s distribution subsidiaries. A $1.5 million charge was taken in the quarter for severance payments to employees and other costs associated with this shut down. In addition, Bionova Produce, Inc., the Company’s Arizona-based distribution company, decided to terminate its contract with a Mexican grower of mangoes, papaya, and other fruit products on which it had lost money over the past two years. A $2.0 million charge was taken to terminate this activity. These two charges totaling $3.5 million accounted for the majority of the operating loss of $5.0 million recorded by the fresh produce business in the quarter. The remaining balance of the loss stemmed directly from the continuing poor results of Culiacan as the growing season concluded in April prior to its shut down in May.

Net interest expense (interest income less interest expense) increased by $1.9 million as the Company recorded a $2 million non-cash charge in the second quarter of 2000 to recognize the remaining balance of up front fees paid for the Floating Rate Note facility that was retired on April 13 and lower interest income due to a reduction in grower receivables.

Bionova Holding Corporation is a leading biotechnology company focused on using its proprietary genetic engineering and plant science technologies to develop and improve the quality and agronomic traits of fruits and vegetables. Through its fresh produce growers and distribution companies, Bionova Holding is known for its premium Master’s Touchâ and FreshWorld Farmsâ brands. Bionova Holding and its subsidiaries have strategic alliances and licensing agreements with some of the world’s leading agricultural companies, with its affiliates, including Seminis Vegetable Seeds, Inc., with value-added producers and marketers, and with biotechnology research groups. Bionova Holding Corporation is majority owned by Mexico’s SAVIA, S.A. de C.V. (NYSE: VAI), whose subsidiaries include the world’s biggest vegetable seed company.

All statements in this press release other than statements of historical facts are “forward-looking” statements, including without limitation statements regarding the Company’s financial position, business strategy, plans and objectives of management, and industry conditions. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct. The following factors, among others, may affect the Company’s actual results and could cause such results to differ materially from those expressed in any forward-looking statements made by or on behalf of the Company: competitive factors, agribusiness risks, governmental and economic risks associated with foreign operations, public acceptance of genetically-engineered products, commercial success of new products, proprietary protection of and advances in technology, possible need for additional financing, as well as the ability of the Company to successfully integrate recent acquisitions and its management information systems and controls.   Further information on the factors that could affect the Company’s financial results is contained in the Company’s Form 10-K for the year ended December 31, 1999 which has been filed with the Securities and Exchange Commission.

(Table to follow)

BIONOVA HOLDING CORPORATION

UNAUDITED CONSOLIDATED STATEMENT OF OPERATIONS

AND COMPREHENSIVE INCOME AND LOSS

Thousands of U.S. Dollars

(except per share amounts)

Three Months Ended

June 30,

Six Months Ended

June 30,

         2000          1999          2000          1999
Total revenues ……………………………………… $       70,239) $       70,362) $     127,841) $     128,710)
Cost of sales ……………………………………….. 68,702) 65,275) 123,166) 118,867)
Selling and administrative expenses ………………. 8,477) 7,436) 15,368) 13,492)
Research and development expenses ……………… 1,383) 1,721) 2,921) 3,228)
Amortization of goodwill, patents and trademarks … 854) 810) 1,709) 1,614)
79,416) 75,242) 143,164) 137,201)
Operating income (loss) …………………………… ( 9,177) ( 4,880) ( 15,323) ( 8,491)
Interest expense ……………………………………. ( 5,930) ( 4,543) ( 10,491) ( 6,835)
Interest income …………………………………….. 507) 1,046) 1,092) 1,748)
Exchange gain (loss), net ………………………….. ( 270) (187) ( 211) (50)
Other non-operating income ………………………. ( 3) (1) (11) (1)
( 5,696) ( 3,685) (9,621) ( 5,138)
Income (loss) before income tax …………………… ( 14,873) ( 8,565) ( 24,944) ( 13,629)
Income tax benefit (expense) ……………………… (377)) 2) ( 489) ( 167)
Net income (loss) before minority interest ………… ( 15,250) ( 8,563) ( 25,433) ( 13,796)
Minority interest in net loss (income) of subsidiaries 900) 267) 1,403) 583)
Net income (loss) ………………………………….. $     ( 14,350) $       ( 8,296) $     ( 24,030) $     ( 13,213)
Other comprehensive income (expense) net of tax:
   Foreign currency translation adjustments……….. ) 3) (1))
Comprehensive income (loss)………….…………… $     ( 14,350) $       ( 8,293) $     ( 24,030) $     ( 13,214)
Net income (loss) per share – basic and diluted….… $         ( 0.61) $         ( 0.35) $         ( 1.02) $         ( 0.56)

This schedule contains financial data extracted from the Company’s financial statements at and for the three and six month periods ended June 30, 2000, which will be included in the Company’s Form 10-Q quarterly report for such period, which will be filed on or before August 14, 2000 and is qualified in its entirety by reference to such financial statements.