Diamant Art Corp.
OTC Bulletin Board : DIAAF

Diamant Art Corp.

March 30, 2005 11:29 ET

Diamant Signs Exclusive Agreement with Victory Packaging

Attention: Assignment Editor, Business/Financial Editor, Environment Editor TORONTO--(CCNMatthews - March 30, 2005) - (PRIMEZONE) -- Diamant Film Inc., a wholly owned subsidiary of Diamant Art Corporation of Toronto (OTCBB:DIAAF), has signed a five-year agreement with Victory Packaging of Houston, Texas for the exclusive sales and distribution rights of Diamant(tm) film, a non-PVC food stretch film, in North America.

Under the terms of the agreement, Victory Packaging (www.victorypackaging.com) has agreed to purchase minimum quantities of Diamant(tm) film, beginning with approximately 135,000,000 feet of film in the first year and rising to approximately 4.2 Billion feet by the fifth year. Once fully delivered, the contract will be worth an estimated $120 million U.S.D. over the five-year period.

Victory Packaging, with $350 million in annual sales and 50 warehouses across North America, will hold exclusive sales and service rights for Diamant(tm) film for industrial and supermarket applications in the U.S. market. It will also hold non-exclusive sales and service rights for the U.S. institutional and catering markets.

In anticipation of the agreement and product order with Victory Packaging and the testing of Diamant(tm) film by the U.S. military through an agreement with Presidential Holdings, Inc. (http://www.presidentialholdings.com) announced on March 10, Diamant Film Inc. has placed its first commercial order for 22,000,000 feet of Diamant(tm) film. The first shipment is scheduled to arrive April 12, 2005.

Diamant Film Inc. (www.diamantfilm.com) CEO Stefan Gudmundsson said: "This is a breakthrough for Diamant Film Inc. Victory Packaging has an extensive network and a proven track record of servicing the American market. We look forward to this partnership and the benefits it will yield for our companies. It helps the Company move into the next phase of its development, which is setting up manufacturing facilities in North America."

About Diamant Film Inc.

Diamant(tm) film is the world's first plasticizer-free stretch film based on polystyrene and is environmentally friendly and recyclable. Diamant Film Inc. recently received the ECO logo certified by the Environmental Choice(M) Program. The Environmental Choice(M) Program is North America's leading benchmark of environmentally responsible products and services. Diamant(tm) film has successfully met the criteria for both environmental and performance standards.

Safe Harbor

This release may contain forward-looking statements that involve uncertainties and risks. Actual results may differ materially from the results predicted. Important factors which could cause actual results to differ materially from those expected or implied in the forward-looking statements are detailed in filings with the Securities and Exchange commission made from time to time by DIAMANT ART CORPORATION. DIAMANT ART CORPORATION undertakes no obligation to release publicly any revision to any forward-looking statements to reflect events or circumstances arising after the date hereof.

CONTACT:
Diamant Film Inc.
Stefan Gudmundsson
(905) 752-0220 /For further information: Diamant Film Inc. Stefan Gudmundsson, CEO (905) 752-0220/ IN: ENVIRONMENT, FOOD, OTHER

Contact Information

  • Stefan Gudmundsson, CEO, Diamant Film Inc.
    Primary Phone: 905-752-0220