SOURCE: AeroGrow International, Inc.

March 17, 2008 08:00 ET

AeroGrow Expands Product Line to Capitalize on Growing Consumer Demand

Lower Priced Gardens for Mass Market Home and Office Retailers With Focus on Home Décor and Flowers; Higher Priced Gardens for Gardening and High-End Culinary Markets; Many Retailers to Carry Multiple Products in Same Stores

BOULDER, CO--(Marketwire - March 17, 2008) - AeroGrow International, Inc. (NASDAQ: AERO) ("AeroGrow" or the "Company"), makers of the AeroGarden® line of indoor gardening products, introduces a new and expanded product line to retailers worldwide at the International Home and Housewares Show in Chicago today. The new gardens feature several smaller, more stylish designs, more fully featured high-end products, substantive new technologies and the addition of multiple decorative flower kits. The new gardens also feature broader price points, from $99 to $229, to appeal to wider consumer demographics and new retailers. Two of the most notable AeroGarden additions include:

--  The AeroGarden 3, with models starting at $99, featuring an increased
    focus on flowers and a smaller, stylish design well-suited for home and
    office décor
--  The Space·Saver 6, with models starting at $149, which feature all of
    the growing power of a traditional AeroGarden in a 30% smaller footprint,
    perfect for apartments, condos and smaller kitchens
    

"This year really marks the introduction of the AeroGarden as a product line instead of a single product company," said Jerry Perkins, AeroGrow President and CEO. "The new products and price points give us increased differentiation for broader retail distribution. In addition, many new and existing retailers will be placing multiple AeroGarden product SKUs into the same stores, sometimes in multiple departments throughout the store. When you combine existing retailers migrating to multiple SKUs per store with our targeted doubling of retail storefronts to more than 8,600 this year, it makes for a significant increase in the expansion of the category."

"The $99 AeroGarden 3 targets an entirely new category with an increased focus on flowers and home décor," said Michael Bissonnette, Founder and Chairman of AeroGrow. "For the first time, anyone can grow a beautiful, blooming flower garden right inside their home or office, any time of year. That's an important step for us, and takes us out of the kitchen to other rooms in the home, and into offices and cubicles as well. There are well over 40 million offices and cubicles in the U.S., and the ability to have a blooming garden that brightens, beautifies and brings life to that space is an overwhelming consumer benefit. As a result, we're seeing strong initial interest from both consumers and retailers, across a wide range of channels."

Like the AeroGarden Classic, the new AeroGardens grow fresh herbs, vegetables, salad greens and flowers all year-round with no dirt, weeds, mess or pesticides. Also like the Classic, these new AeroGardens use NASA-proven, aeroponic technology to grow up to twice as fast as plants grown in soil. Multiple gardens, features, style options and price points are available with each new model.

Also launching with the new gardens are more than 40 new herb, vegetable and flower seed kits and multiple accessory products. The seed kits are integral to the continuing strategy of supporting long-term customer relationships with new and engaging products that deliver compelling consumer benefits while producing ongoing revenue streams.

The International Home & Housewares Show is the largest housewares and culinary show in the U.S. and one of the largest industry trade shows in the world, showcasing thousands of new products and designs from more than 2,000 exhibitors, including industry giants like KitchenAid®, Hamilton Beach®, Bissell®, Cuisinart® and more.

About AeroGrow International, Inc.

Founded in 2002 in Boulder, Colorado, AeroGrow International, Inc. is dedicated to the research, development and marketing of the AeroGarden® line of indoor gardening products. AeroGardens feature NASA-proven, dirt-free aeroponic technology, allowing anyone to grow farmer's market fresh herbs, salad greens, tomatoes, chili peppers, flowers and more, indoors, year-round, so simply and easily that no green thumb is required. See www.aerogrow.com.

FORWARD-LOOKING STATEMENTS

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements by Michael Bissonnette, Jerry Perkins, and/or the Company, statements regarding growth of the AeroGarden product line, optimism related to the business, expanding sales and other statements in this press release are forward-looking statements within the meaning of the Securities Litigation Reform Act of 1995. Such statements are based on current expectations, estimates and projections about the Company's business. Words such as expects, anticipates, intends, plans, believes, sees, estimates and variations of such words and similar expressions are intended to identify such forward-looking statements. These statements are not guarantees of future performance and involve certain risks and uncertainties that are difficult to predict. Actual results could vary materially from the description contained herein due to many factors including continued market acceptance of the Company's products or the need to raise additional capital. In addition, actual results could vary materially based on changes or slower growth in the kitchen garden appliance market; the potential inability to realize expected benefits and synergies; domestic and international business and economic conditions; changes in customer demand or ordering patterns; changes in the competitive environment including pricing pressures or technological changes; technological advances; shortages of manufacturing capacity; future production variables impacting excess inventory and other risk factors listed from time to time in the Company's Securities and Exchange Commission (SEC) filings under "risk factors" and elsewhere. The forward-looking statements contained in this press release speak only as of the date on which they are made, and the Company does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this press release.

Contact Information

  • CONTACTS:
    Corporate
    John Thompson
    AeroGrow International, Inc.
    (303) 444-7755
    Email Contact

    Investor
    Budd Zuckerman
    Genesis Select Corporation
    (303) 415-0200
    Email Contact