Have you checked both out with something like the BBB and your state licensing authority to see about complaints and their resolution? I would ask for references and make a few calls too.
Warranties mean nothing if their is nobody on the other end of the phone calls to honor them!
Instinctively, Company #1 strikes me as using the extended warranty as a sales ploy. Not fair to judge from afar though, I know.
I have worked with some delightful exterminators and even a few that just do termite work. That is here though. In California it was an industry comprised of 97 percent scam artists from what I could tell. There you had to tent everything too at great cost. They greased the palms of the title companies so you couldn't close if you didn't play with them.