Clearly Canadian Brands (OTCBB:CCBEF) is pleased to announce it has signed a letter of intent to acquire Crofters Food Ltd., one of North America’s Largest Organic Jam Companies. The acquisition of this profitable, rapidly growing manufacturer, producer and marketer of organic jams and spreads will more than double the size of Clearly Canadian Brands. Upon closing of this acquisition Clearly Canadian Brands will be on track to surpass $30 million in revenues for 2009 and be cash flow positive on a cash basis.
Bobby Genovese, CEO of Clearly Canadian Brands, stated, We look forward to all the tremendous opportunities the acquisition of such an incredibly strong brand name as Crofters Organics presents Clearly Canadian Brands. As we begin the expansion of our organic brands into the U.S. marketplace, all of our divisions (My Organic Baby-CanadaÂ™s only full line of organic baby food products, DMR Foods-CanadaÂ™s top seller of organic fruits and nuts and Clearly Canadian beverages) will benefit from the selling relationships Crofters Organics have forged over the years. Crofters has built top quality brands that are carried by most of the top retailers in the U.S. We will also immediately profit from Crofters’ years of organic procurement, production and marketing expertise, additionally we acquire a state of the art organics manufacturing facility that can be expanded to include all of our product lines.
Mr. Genovese further stated, We have again structured this acquisition with little or no dilution to existing shareholders (details will be released upon closing). Companies are continually coming to us who understand that our internationally recognizable brand name (Clearly Canadian), solid corporate infrastructure and vast resources can help expand their businesses. We look forward to working with these visionary entrepreneurs to help them fulfill their full potential. Mr. Genovese added, There is a short window of opportunity while this emerging market sector quickly transforms from small entrepreneurs to major food conglomerates, we intend to capitalize on this unique market opportunity by adding tremendous product lines.
In addition the previously announced Baldwin Street Kosher acquisition is expected to close shortly.
About Clearly Canadian
Based in Toronto, Clearly Canadian Brands markets premium alternative beverages, including Clearly Canadian(R) sparkling flavored waters and Clearly Canadian dailyEnergy, dailyVitamin and dailyHydration Natural Enhanced Waters which are distributed in the United States, Canada and various other countries. Clearly Canadian’s recent acquisition of DMR Food Corporation and My Organic Baby Inc. marks the Company’s debut into organic and natural products with a full line of organic baby and toddler foods under the brand names My Organic Baby and My Organic Toddler and a wide range of dried fruit and nut snacks offerings from SunRidge Farms, Naturalife, Sweet Selections, Simply by Nature and Glengrove Organics brands. To find out more about Clearly Canadian Brands (OTCBB:CCBEF), visit our website at www.clearly.ca.
Forward Looking Statements
Statements in this news release that are not historical facts are forward-looking statements that are subject to risks and uncertainties. Words such as expects, intends, plans, may, could, should, anticipates, likely, believes, estimates, potential, predicts, continue and words of similar import also identify forward-looking statements. Forward-looking statements are based on current facts and analysis and other information that are based on forecasts of future results, estimates of amounts not yet determined and assumptions of management, including but not limited to, the belief in the opportunities which can exist for our products and the revenue growth for the Company. These assumptions are subject to many risks, and actual results may differ materially from those currently anticipated. These risks include, by way of example and not in limitation, general economic conditions, changing beverage consumption trends of consumers, the CompanyÂ™s ability to generate sufficient cash flows to support general operating activities and capital expansion plans, competition, pricing and availability of raw materials, the CompanyÂ™s ability to maintain the current and future retail listings for its beverage products and to maintain favorable supply, production and distribution arrangements, laws and regulations and changes thereto that may affect the way the CompanyÂ™s products are manufactured, distributed and sold and other factors beyond the reasonable control of the Company. Additional information on factors that may affect the business and financial results of the Company can be found in filings of the Company with the U.S. Securities and Exchange Commission and with the British Columbia and Ontario Securities Commissions.
Clearly Canadian Brands, Toronto
Shareholder Relations: Steve Cook, 800-983-0993
Product Inquiries: 1-800-735-7180