Coleman Natural Foods, LLC, New Powerhouse Natural and Organic Food Company Formed by Merger

GOLDEN, Colo., Aug 23, 2006 (BUSINESS WIRE) -- A new Colorado-based food company, Coleman Natural Foods, LLC, is announced today. Coleman Natural Foods becomes the leading United States processor, marketer and distributor of fresh and further prepared natural and organic proteins as a result of merging two premier companies.

Coleman Natural Foods, to be headquartered here, was formed by merging BC Natural Foods, LLC, located in Golden, Colorado, with KDSB Holdings, LLC, headquartered in Gainesville, Georgia. George A. Chivari, the President and CEO of BC Natural Foods, becomes President and CEO of the new company. Mel Coleman Jr. will continue to serve as Chairman of Coleman Natural Foods.
"The combination of these two successful and uniquely compatible companies into a single organization will be positive for our customers, employees and investors. We will be able to harness our unparalleled industry knowledge, technologies and expertise within these organizations to fully benefit the customer," Chivari said.

The merger creating Coleman Natural Foods was completed on August 22, 2006. The new company totals nearly 2,300 employees at 17 locations in six states. Now Coleman Natural Foods ranks among the top 30 meat processors in the United States, according to NATIONAL PROVISIONER's Top 125 list.

Coleman Natural Foods is the one-stop shopping solution for food retailers, providing consumers with a broad array of multi-protein fresh and processed meats. The addition of KDSB Holdings, an organization recognized for its success in the food service, school and institutional channels, will support the new company's ability to expand into new market channels with organic and natural products. Coleman Natural Foods plans to accelerate the development of new lines of natural and organic convenience products.

Coleman Natural Foods operates four business units. The Poultry Division is headed by Mark McKay, the Meat Division by Chris Mortenson, and the Prepared Foods Division by newly appointed Ed Jenkins. Jenkins was formerly President of Kings Delight in Gainesville, Georgia. The Food Service Division (formerly Kings Delight) is headed by Rick Morris and operates as a business unit serving the food service, school and institutional channels. Morris most recently served as CEO of Premium Gold Angus Beef.

Coleman Natural Foods' experienced management team anticipates a large number of opportunities for substantial sales growth across all of its operating units. The combined sales force will cross-sell products and provide greater merchandising support to customers.

While there may be opportunities for centralizing shared administrative, marketing and financial functions, the company does not anticipate any reduction in the total number of combined employees. With streamlined processes, customers will see an improved quality of service, faster turnaround, and better communications, as well as increased flexibility to service their needs.

BC Natural Foods was the largest multi-species protein company in the natural and organic meat industry, with products including USDA certified organic, antibiotic-free and vegetarian-fed-beef, chicken, pork, lamb and processed meats. The company was formed by combining six leaders in the natural and organic meat industry: Petaluma Poultry, Gerhard's Sausage, Coleman Natural Meats, B3R, Penn Valley Farms and Pennfield Farms, in 2002 and 2003. Petaluma Poultry and Coleman Natural Meats were the pioneers in developing natural and organic protein standards.

KDSB Holdings was a leading national producer and supplier of prepared ready-to-eat cooked and deli poultry and meat products. KDSB included two operating units: Kings Delight in Gainesville, Georgia, and Snow Ball Foods in Williamstown, New Jersey.

Coleman Natural Foods will offer natural and organic products to food retailers, food service, schools and institutions across the country under the following brand names: Coleman Natural, Coleman Organic, Coleman All Natural Deli, Rocky the Range Chicken, Rocky Jr.(R), Rosie the Organic Chicken, Hans' All Natural and Hans' Organic. The company will also offer the Kings Delight, Clux Delux, Lake Lanier Farms, Anchor Bar, Executive Chef and Snowball brands.

Coleman Natural Foods will operate in facilities in Golden, Denver and Limon, Colorado; Chicago, Illinois; Fredericksburg, Pennsylvania; Williamstown, New Jersey; Gainesville, Georgia; and Petaluma, California.

About Coleman Natural Foods, LLC
Coleman Natural Foods LLC, headquartered in Golden, Colorado, is the leading United States processor, marketer and distributor of fresh and further prepared natural and organic proteins. For more information:

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