TREE OF LIFE, INC. ANNOUNCES CHANGE IN RALPHS DISTRIBUTION RELATIONSHIP
St. Augustine, Fla., October 20, 2005 - Brian Evers, President of the West Region of Tree of Life, Inc., announced today that Tree of Life and Ralphs Grocery Company plan to discontinue their relationship as the retailer’s distributor of natural and specialty food products by the end of the year. Based on mutual agreements to ensure a smooth transition, the change is expected have minimal impact on Tree of Life’s 2005 financials.

According to Evers, "For the past several months Tree of Life and Ralphs have held discussions about the possible terms of a future business relationship. Ultimately we were unable to reach terms that would have been accretive to our strategic goals. Until the end of the year, Tree of Life will continue to provide Ralphs with the support necessary to facilitate an orderly transition to another supplier."

While near term modifications will be required, Tree of Life has indicated that the change in the company’s business relationship with Ralphs is expected to have little financial or strategic impact. "The scale of our Southern California operations without the Ralphs business is still on par with many of our other distribution centers throughout North America", said Evers. "We anticipate minimal impact from this announcement on our 2005 performance and no impact on achieving our long-term strategic goals. While we regret the outcome of our negotiations with Ralphs, Tree of Life remains fully committed to the long-term growth of its business in the California market."

Tree of Life, Inc. is the world’s leading marketer and distributor of natural and specialty foods, serving customers throughout the United States and Canada. Tree of Life, Inc. is a wholly owned subsidiary of Royal Wessanen NV based in The Netherlands. The parent company, Wessanen has more than two centuries of experience in the food industry. For more in-depth information about Tree of Life, Inc. please visit our website at: www.treeoflife.com.
Bron : Wessanen