10. Employee Benefit Plan

     The Company has a defined contribution plan, the Biopure Corporation Capital Accumulation Plan, qualified under the provisions of Internal Revenue Code section 401(k). Employees are eligible for enrollment upon becoming employed and for discretionary matching after one year of service. The Company’s discretionary contribution vests after a period of three years from the date of employment. In 2001, 2000 and 1999, the Company contributed $223,000, $225,000, and $211,000 respectively, to the plan.