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Z Trim Holdings Reports Restatement of Previously Issued Financial Statements; Amends Bylaws
Date:11/1/2007

the Company does not anticipate that it will be complete until November 5, 2007. The results of that audit may lead the Company to conclude that additional financial statement restatements are necessary or appropriate.

Bylaw Amendment.

Z Trim also announced today that its board of directors has adopted an amendment to Z Trim's Bylaws to include a procedure for nomination of candidates to the board of directors. Z Trim's previous bylaws provided simply that board nominations would be made by a majority of the independent directors. The amended and restated bylaw provision provides for a more comprehensive process for nomination of directors, director qualification requirements, and the manner and time period in which shareholder nominations must be made. Because Z Trim's annual meeting of shareholders will be much later than usual this year, the revised bylaw provision requires shareholders desiring to recommend candidates for nomination to the board to do so no later than 20 days prior to the date of the meeting. Z Trim expects to announce shortly the date for the 2007 annual meeting of shareholders. The full language of the amendment has been filed as an exhibit to Z Trim's 8-K filed with the SEC and will also be included in Z Trim's amended proxy statement for the annual meeting.

ABOUT Z TRIM(R)

Z Trim, http://www.ztrim.com, is a natural functional food ingredient made from the hulls of grain. Z Trim lowers calories from fats by up to 80% in many foods without negatively affecting taste or texture, and can substantially reduce harmful trans and saturated fats found in many foods. Z Trim has wide application in dairy products, dressings, dips, sauces, baked goods, processed meats, snack foods, cookies, pies, cakes, icings, brownies, bars, ice cream, milk shakes and many other foods.

Forward-Looking Statements and Risk Factors

Statements made in this news release that relate to fut
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SOURCE Z Trim Holdings, Inc.
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