SOURCE: Naturally Iowa, Inc.

January 30, 2008 08:30 ET

Naturally Iowa, Inc. Completes Acquisition of PLA Supply Company

CLARINDA, IA--(Marketwire - January 30, 2008) - Naturally Iowa, Inc. (PINKSHEETS: NLIA) announced today that it has completed the acquisition of PLA Supply Company, which is now a wholly owned subsidiary of the Company. "This acquisition secures our leadership position as the first and only dairy company in the world that manufactures and packages our dairy products in PLA containers made from corn, a 100% renewable resource," said William Horner, President and CEO of Naturally Iowa, Inc. "We believe that the value proposition of delivering superior organic and all natural dairy products in PLA containers gives Naturally Iowa a competitive advantage in a marketplace where consumers are increasingly demanding environmentally friendly packaging and where our competitors are packaging their products in containers made from petroleum."

"The acquisition of PLA Supply Company gives Naturally Iowa the opportunity to develop additional revenue streams by working with other qualified dairy and beverage companies in providing them with sustainable bottles made from corn as well and providing them with preforms, blow molding equipment and the technology required to operate in their facilities," Horner continued. "As consumer demand increases for environmentally friendly, sustainable packaging in the dairy industry, Naturally Iowa is now uniquely well positioned to benefit from that trend. Additionally, government regulation could have a major impact on the adoption of sustainable containers as we are seeing with City and County municipalities in the United States considering following the lead of the U.K. and Hong Kong in levying fines against plastic bags and encouraging 'plastic free zones.'"

"Naturally Iowa is now the beneficiary of thousands of hours of research and development performed by PLA Supply Company. This allows us to take the corn starch resin that is manufactured by Natureworks LLC (a joint venture of Cargill, Incorporated and Teijin Limited of Japan), from resin to fully IMS (Interstate Milk Shippers) approved bottles, allowing Naturally Iowa to be a worldwide leader in renewable packaging for dairy," stated Horner. "We believe that this is an enormous potential revenue source for the Company, given the growing consumer interest in sustainable packaging."

With the acquisition of 100% of the assets of PLA Supply Company, Naturally Iowa, Inc. now has acquired all rights to the PLA Supply Company contract with Natureworks LLC, a dedicated factory space in Waverly, Nebraska for the production of PLA preforms, and a long-term contractual relationship with Norland International to supply PLA bottle-blowing equipment to other qualified beverage producers.

About Naturally Iowa, Inc.

Naturally Iowa, Inc. (www.naturallyiowa.com), operating through its wholly owned owned subsidiary, Naturally Iowa, LLC, processes and produces organic and all-natural dairy products. The Company's main product lines are organic and all-natural fluid milk, ice cream and drinkable yogurt. Naturally Iowa, LLC was founded in 2003 by William Horner and Steve Williams, who partnered to provide an opportunity for family operated dairy farms to make a comeback by adding value to their product. Wishing to place their dairy products in containers that would not harm the environment, Naturally Iowa found a revolutionary type of plastic made from corn that biodegrades in a commercial composting facility. Naturally Iowa, LLC developed a working partnership with Natureworks, LLC, and became the world's first and only dairy to use Natureworks® PLA bottling. The acronym PLA stands for "Polylactic Acid." This substance represents the final step in a process, engineered by Natureworks, which utilizes all-natural ingredients from corn to create a compostable material. Organic milk in PLA bottles landed on grocery store shelves in October 2005. Naturally Iowa, Inc. operates its state-of-the-art 28,000 sq. foot dairy processing facility in Clarinda, Iowa.

THIS PRESS RELEASE CONTAINS "FORWARD-LOOKING STATEMENTS." FORWARD-LOOKING STATEMENTS ARE STATEMENTS CONCERNING PLANS, OBJECTIVES, GOALS, STRATEGIES, EXPECTATIONS, INTENTIONS, PROJECTIONS, DEVELOPMENTS, FUTURE EVENTS, OR PERFORMANCE, UNDERLYING (EXPRESSED OR IMPLIED) ASSUMPTIONS AND OTHER STATEMENTS THAT ARE OTHER THAN HISTORICAL FACTS. THESE FORWARD-LOOKING STATEMENTS ARE ONLY PREDICTIONS. NO ASSURANCES CAN BE GIVEN THAT SUCH PREDICTIONS WILL PROVE CORRECT. ACTUAL EVENTS OR RESULTS MAY DIFFER MATERIALLY. FORWARD-LOOKING STATEMENTS SHOULD BE READ IN LIGHT OF THE CAUTIONARY STATEMENTS AND RISKS THAT INCLUDE, BUT ARE NOT LIMITED TO, THE RISKS ASSOCIATED WITH A SMALL COMPANY, THE ACQUISITION OF PLA SUPPLY COMPANY, INC., OUR COMPARATIVELY LIMITED FINANCIAL RESOURCES, THE EXTENT TO WHICH MARKET TRENDS MAY CONTINUE, OUR STATUS AS A NEW PUBLIC COMPANY, AND THE UNCERTAINTIES OF COMPETITIVE PRESSURES WE FACE. THESE OR OTHER RISKS COULD CAUSE ACTUAL RESULTS TO DIFFER MATERIALLY FROM THE FUTURE RESULTS INDICATED OR IMPLIED IN SUCH FORWARD-LOOKING STATEMENTS. WE UNDERTAKE NO OBLIGATION TO UPDATE OR REVISE SUCH STATEMENTS.

Contact Information

  • Contact Information:
    William Horner
    President and CEO
    Naturally Iowa, Inc.
    Iowa Office:
    1516 S. 16th Street
    Clarinda, IA 51632
    Ph: (712) 542-6455
    info@naturallyiowa.com
    www.naturallyiowa.com

    For Media Inquiries:
    (240) 994-9049