"We are very impressed with the Glutino management team, led by Terence Dalton, and believe the skill sets of both the Glutino and Smart Balance teams will contribute to improving the performance of both companies. Both companies have similar missions and values. Through this combination, we believe Smart Balance's core competencies in sales, marketing and product development will help Glutino realize its growth potential, ultimately creating long-term value for our shareholders, and exciting opportunities for our new and existing employees," concluded Mr. Hughes.
"I know I speak for the Glutino team when I say we are enthusiastic about joining the Smart Balance organization," stated Terence Dalton, General Manager. "We are impressed with the company's leadership and vision and look forward to working together to grow its health and wellness platform. We are excited to be part of a strategically focused organization, committed to meeting consumer needs."
Citigroup Global Markets Inc. acted as exclusive financial advisor to Smart Balance in connection with the acquisition. Fried Frank Harris Shriver & Jacobson LLP and McCarthy McCarthy Tetrault LLP served as legal counsel to Smart Balance.
Smart Balance will host a conference call on August 4, 2011 at 9:30 a.m. ET to further discuss this announcement as well as the release of the Company's second quarter results. The dial in number is 1-800-895-0198 from the United States or 1-785-424-1053 from elsewhere. The conference ID is 7BALANCE. A simultaneous audio webcast will be available at www.smartbalance.com.Forward-looking Statements Statements made in this press release that are not historical facts, including statements about the Company's plans, strategies, beliefs and expectations, are forward-looking and subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements may include use of the words "expect", "anticipate", "plan", "intend", "project", "may", "believe" and similar expressions. Forward-looking statements speak only as of the date they are made, and, except for the Company's ongoing obligations under the U.S. federal securities laws, the Company undertakes no obligation to publicly update any forward-looking statement, whether to reflect actual results of operations, changes in financial condition, changes in general economic or business conditions, changes in estimates, expectations or assumptions, or circumstances or events arising after the issuance of this press release. Actual results may differ materially from such forward-looking statements for a number of reasons, including those risks and uncertainties set forth in the Company's filings with the SEC and the Company's ability to:
- maintain and grow those revenues derived from our Smart Balance® buttery spread products which we generate a substantial portion of our revenues;
- maintain margins during periods of commodity cost fluctuations;
- introduce and expand distribution of our new products;
- meet marketing and infrastructure needs:
- respond to changes in consumer demand;
- respond to adverse publicity affecting the Company or industry;
- comply with regulatory requirements;
- maintain existing relationships with and secure new customers;
- continue to rely on third party distributors, manufacturers and suppliers;
- grow net sales in a competitive environment and with increasingly price sensitive consumers;
- maintain volume in light of price increases stemming from rises in commodity costs; and
- successfully operate and grow the Glutino business.