SOURCE: Greystone Logistics, Inc.

March 09, 2010 06:00 ET

Greystone Logistics, Inc. Launches Resin Division

TULSA, OK--(Marketwire - March 9, 2010) - Greystone Logistics, Inc. (OTCBB: GLGI) -- Greystone Logistics announces that the company has entered the Recycled Polyethylene Resin manufacturing business. The division was launched using a six inch polyolefin extruder that has an annual capacity of 14.6 million pounds of production with a second six inch extruder to be installed in the 2nd calender quarter of 2010 bringing a total of 29.2 million pounds of annualized production on-line in calander 2010. The company anticipates bringing a 3rd six inch extruder on-line in the first half of 2011 for a total of 43.8 million pounds of annual polyolefin production. 

Recycled Polyolefin production will be concentrated at Greystone's Bettendorf, Iowa recycling facility centrally located in the Midwest offering an outstanding location from which to collect and distribute recycled plastics. Greystone will use extrusion equipment leased from Yorktown Management and Financial Services, LLC, a company owned by the company's CEO, Warren Kruger. 

Heading the Resin Recycling Division business is John P. Brown of Montreal, Quebec, (514) 386-5759, email : j.p.brown@videotron.ca. "John brings significant polyolefin knowledge, both technical and practical, to Greystone's Recycling Division having managed several of Canada's largest recycled polyethylene plants and flexible packaging manufacturers ," mentioned Warren F. Kruger. "We are leveraging the company's knowledge and experience garnered from years of preparing waste plastics for use in our 100% recycled plastic shipping pallets. We are excited that another segment of our business plan is being implemented. Greystone just completed shipment of $250,000 in reprocessed resin and anticipates $4 million in gross sales from resin for calender year 2010 in line with internal margin expections."

"Greystone's new Recycling Division is ideally located and positioned to become an important supplier to the blow molding and extrusion manufacturing plants in the Midwest and our focus is centered on fractional melt polyethylene," stated John P. Brown.

About Greystone Logistics, Inc.

Greystone Manufacturing, located in Bettendorf, Iowa, manufactures high quality 100% recycled content plastic pallets utilizing patented and proprietary technologies. The company grinds and utilizes millions of pounds of polyethylene (PE), polypropylene (PP), and polyolefin (TPO) plastics. Greystone works with generators, collectors, and processors of plastic and is conscientiously working to decrease the amount of waste sent to landfill. Greystone has also been recognized in the past as the Iowa Recycler of the year and Goodwill Heartland Employer of the Year. Over the past two years Greystone has used nearly 50 million pounds of post consumer and industrial plastic in their green and sustainable manufacturing process which serves the beverage, pharmaceutical and other industries. More information is available on the company web site at www.greystonelogistics.com.

Forward-Looking Statements

This press release includes certain statements that may be deemed "forward-looking statements" within the meaning of the federal securities laws. All statements, other than statements of historical facts, that address activities, events or developments that Greystone expects, believes or anticipates will or may occur in the future, including the potential sales of pallets, the improvement of operating results or other possible business developments, are forward-looking statements. Such statements are subject to a number of assumptions, risks and uncertainties. The forward-looking statements above could be affected by any of the following factors: Greystone's prospects could be affected by changes in availability of raw materials, competition, rapid technological change and new legislation regarding environmental matters; Greystone may not be able to secure additional financing necessary to sustain and grow its operations; and a material portion of Greystone's business is and will be dependent upon a few large customers and there is no assurance that Greystone will be able to retain such customers. These risks and other risks that could affect Greystone's business are more fully described in its reports filed with the Securities and Exchange Commission, including Greystone's Form 10-K for the fiscal year ended May 31, 2009. Actual results may vary materially from the forward-looking statements. Greystone undertakes no duty to update any of the forward-looking statements in this release.

Contact Information