SOURCE: Health Enhancement Products, Inc.

March 21, 2011 08:30 ET

Health Enhancement Products Updates Shareholders on Its Top Three Initiatives

SCOTTSDALE, AZ--(Marketwire - March 21, 2011) - Health Enhancement Products, Inc. (OTCBB: HEPI) today outlined recent developments within the company in an effort to keep shareholders informed of its progress.

HEPI has been notified by its exclusive distributor, Xooma, that it has re-branded HEPI's ProAlgaZyme® product as "Kardiaxyme." (Xooma assumed Zus' rights and obligations under the distribution agreement between HEPI and Zus). Xooma plans to officially launch the newly branded product with its impressive new packaging within the next 45 days. Individuals who wish to purchase the product now can do so by contacting Xooma at www.kardiaxyme.com. Xooma has already completed a successful pre-launch of the Kardiaxyme product to a select group of distributors. Based on the results of this pre-launch, Xooma has requested that HEPI expand its production to a level that is more than twenty times HEPI's previous capacity. The company is hopeful that the expected increase in orders from Xooma will result in much improved operating cash flows.

HEPI recently announced the leasing of a new facility which it intends to use for its headquarters and production space. HEPI's objectives in seeking new space were threefold. First, the company needed a space that it could more easily convert into a GMP (good manufacturing practice) compliant facility. Secondly, the company was seeking a more efficient manufacturing space that could help it overcome production challenges. Thirdly, there was a desire to reduce operating expenses, if possible. The company believes that the new space meets all of the above objectives.

HEPI's Research and Development efforts have been directed toward actively pursuing an analysis of PAZ™ to try and identify the "class of compounds," and the "active ingredient," to identify the single molecule or molecules, if possible, responsible for the potential cholesterol benefits the company's testing has identified. Substantial time, money, and effort have been expended in this regard. The company believes that it is making substantial progress towards achieving these hoped for results, but more investigation is needed. The company plans to update shareholders as the identification process is completed.

John Gorman, HEPI Executive Vice President of Operations, commented, "We are pleased that we now have a facility that with appropriate improvements can accommodate production of our product on a mass scale. Xooma will be an excellent marketing partner as they now have first-hand experience when discussing our product." Mr. Gorman concluded, "Moving into our new facility will allow us to more fully automate everything from growing, harvesting, filtering and bottling in a straight line production. It marks another important milestone in allowing us to finally begin the process of monetizing our valuable asset."

About Health Enhancement Products, Inc.

Health Enhancement Products, Inc. (OTCBB: HEPI) is a health & wellness company engaged in the development of products comprised of pure, all-natural compounds that can be used as a dietary supplement and food additive. The Company's product is ProAlgaZyme ® (PAZ™) a liquid product drawn from living algae grown in purified water. The water in which the algae are grown is drawn off, filtered and bottled under the trademark ProAlgaZyme ®.

Safe Harbor Statement

Except for any historical information, the matters discussed in this press release contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements involve risks and uncertainties. A number of factors could cause actual results to differ from those indicated in the forward-looking statements, including the timing of completion of the company's studies, actual future clinical trial results being different than the results the company has obtained to date, the company's ability to rapidly and substantially expand its production, the ability of the company to achieve GRAS status, and the company's ability to secure funding. Such statements are subject to a number of assumptions, risks and uncertainties. Readers are cautioned that such statements are not guarantees of future performance and those actual results or developments may differ materially from those set forth in the forward-looking statements. The company undertakes no obligation to publicly update or revise forward-looking statements, whether as a result of new information or otherwise.

For more information, please visit http://www.heponline.com.

Contact Information

  • Contact:

    David Sasso
    954-990-5451