CarboRite Focused on Canada

WOODBRIDGE, ON, June 10 - One of the leading brands of low carbohydrate snacks and meal solutions in the U.S., Carbolite Foods, Inc. of Evansville, Indiana, is pleased to announce the creation of their Canadian division, Carbolite Canada. Carbolite Canada will be the company's official sales and marketing organization in Canada.

Carbolite Foods have experienced double digit growth over the past six years in the U.S., due mainly to their unique offering of great-tasting, high quality snacks and treats that meet the ever-changing needs of today's consumer in their quest for a healthier lifestyle. This, along with the dramatic consumer movement to find "low carb" products, has helped fuel the company's aggressive growth during this period. The company has also experienced success with a limited number of products in Canada for the past two years (four chocolate bar SKUs are now available nationwide). Given that success, and growing Canadian demand for great tasting low carb products, Carbolite will now expand its presence in the market, with 17 products to be available to ship in June 2004.

"We've studied the market and see that the Canadian consumer is a sophisticated shopper with great taste for low carb products. Carbolite has been planning to expand our offering in Canada for some time, and is now set to introduce even more CarboRite products that are up to Canadian standards in terms of taste, mouth feel, and packaging design (dual language)," explained Carbolite CEO Roeland Polet. "We've got products that we're proud to introduce to this market, and we feel we have the best local team in place to make CarboRite the preferred low carb brand in the Canadian market."

Canadians mirror their U.S. neighbors in attention to low carb lifestyles, with 61% of Canadians currently limiting carbohydrate intake to avoid gaining weight, and 6% on some form of low-carb or no-carb diet. (Ipsos-Reid 2004). Popular best-selling books in Canada in 2004 have included Arthur Agatston's South Beach Diet, and Dr. Atkins New Diet Revolution, both famous for their carb-restricting diet plans. In addition, Canada's Sleeman Breweries, Labatt, and Molson have all introduced low carb beers within the past year.

CarboRite products are currently available at stores nationwide, including: Shopper's Drug Mart, London Drugs, Medi Plus, Wal-Mart Canada, IDA, Guardian, Pharma Plus, Herbie's, Pharmaprix, Save On Foods, RC Superstores, Overwaitea, Thrifty Foods, Loblaws, Fortino's, and Zehr's.

The two primary contacts at Carbolite Canada are Jon Cohn in Toronto and Garth Ramsay in Vancouver, who together have over 40 years of combined experience in the Canadian retail grocery and natural foods business. "We are excited about the prospect of our Canadian division being on par with the U.S. market in terms of market share and penetration, said Polet. "It was very important for us to have our Canadian business run by a Canadian sales team, with roots in this market. Our team's experience in the natural foods/healthy lifestyle business make them an important extension of our brand and a perfect fit for Carbolite's aggressive plan for Canada," explained Polet.

Net Effective Carbs

Net effective carbs are those carbs that affect blood sugar levels. Low-carb dieters and just those who want to reduce their carb intake use the net effective carbs as a guide. Sugar alcohols and fiber essentially are passed through the digestive tract without being digested, unlike sugars and other simple carbs.

Carbolite Foods, Inc. Canada

Carbolite Canada handles sales and marketing of CarboRite products in Canada. Carbolite Foods, Inc. markets food products for specific dietary demands without sacrificing taste. Carbolite markets CarboRite, one of the nation's fastest growing line of low-carbohydrate candies, snacks and supplements, and the number-one selling low-carb line of candies on the US drug market. Carbolite Foods was recently named a 2003 Retailer in Excellence (REX) award-winner for their CarboRite candy bars. Carbolite Foods was founded by Gerry Morrison and Jeff Greder over 10 years ago, and the small start-up that was a pioneer in the 1990s, has grown into a leader in the low carb market.

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