Cereplast, Inc. (OTCBB:CERP), manufacturer of proprietary bio-based, sustainable plastics, today announced that Los Angeles Business Journal featured the company in an article published on December 22. Checking back since the company was last featured in July 2007, the award-winning business publication noted the company’s transition from a research and development entity with modest sales to a full-scale manufacturing company.
The article describes how Cereplast has gone on to build a manufacturing plant that when operational within six months will be able to churn out thousands of pounds per day of resins extracted from biodegradable sources. Frederic Scheer, Cereplast’s CEO, was asked about the timing of the new plant and how the company would be affected by the credit crunch and deepening recession that threatens to reduce demand for resin. “I’ve been an entrepreneur for 30 years and I’ve seen several cycles of good times and bad times. In the bad times, you have to cut costs and be more creative to survive,” Scheer said. The company estimates that costs will be almost 50 percent less in the new Seymour, Indiana plant than operating in Southern California.
Could the recession scale back demand for biodegradable products as food service companies might be reluctant to switch or might reduce order quantities? Scheer is optimistic and counting on the opposite happening because increasing numbers of cities are outlawing non-biodegradable plastics.
About Cereplast, Inc.
Cereplast, Inc. (OTCBB:CERP stock) designs and manufactures proprietary bio-based, sustainable plastics which are used as substitutes for petroleum-based plastics in all major converting processes – such as injection molding, thermoforming, blow molding and extrusions – at a pricing structure that is competitive with petroleum-based plastics. On the cutting-edge of bio-based plastic material development, Cereplast now offers resins to meet a variety of customer demands. Cereplast Compostable® resins are ideally suited for single use applications where high bio-based content and compostability are advantageous, especially in the food service industry. Cereplast Hybrid Resins® combine high bio-based content with the durability and endurance of traditional plastic, making them ideal for applications in industries such as automotive, consumer electronics and packaging. Learn more at www.cereplast.com.
Safe Harbor Statement
Matters discussed in this press release contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this press release, the words "anticipate," "believe," "estimate," "may," "intend," "expect" and similar expressions identify such forward-looking statements. Actual results, performance or achievements could differ materially from those contemplated, expressed or implied by the forward-looking statements contained herein. These forward-looking statements are based largely on the expectations of the Company and are subject to a number of risks and uncertainties. These include, but are not limited to, risks and uncertainties associated with: the impact of economic, competitive and other factors affecting the Company and its operations, markets, product, and distributor performance, the impact on the national and local economies resulting from terrorist actions, and U.S. actions subsequently; and other factors detailed in reports filed by the Company.
For Cereplast, Inc.
Athan Demakos, 312-375-1957
investor.relations@cereplast.com