EL SEGUNDO, Calif., Nov. 14, 2012 (GLOBE NEWSWIRE) -- Cereplast, Inc. (Nasdaq:CERP), a leading manufacturer of proprietary biobased, sustainable bioplastics, today announced its financial results for the third quarter ended September 30, 2012.
Mr. Frederic Scheer, Chairman and Chief Executive Officer of Cereplast, stated, "Thus far in 2012 we have focused on several areas which have resulted in the achievement of key milestones, new product launches and important strategic relationships. Since the opening of our offices with a dedicated team in India, we have begun selling our Cereplast Hybrid Resins® product line in this emerging marketplace, which is the world's third largest consumer of polymers. The Cereplast Hybrid Resins® products are being tested with a large polymer converter for other applications and are part of the unsold inventory we recouped from our European clients. We continue to move our relationship with A.R.M.Y. forward, which has resulted in the introduction of key strategic relationships including the engineering and marketing team of Tirumala Thirupathi Devastanam, an independent trust to the largest shrine in the world. Our Cereplast Compostables® resins are being tested on 25,000 bags for their expected use by millions of annual visitors to their shrine. Lastly, the Italian government has moved toward reinstating legislation to ban non-compostable resins. Several large supermarket chains have expressed an interest in testing our products, while multiple product lines are currently in progress. As we work diligently towards transforming these opportunities into revenue, we will continue managing our cash flow accordingly."
Mr. Scheer continued, "Heading into 2013 we are refining our strategy to ensure we give ourselves the greatest opportunity for revenue growth. The experience we have gained through our recent history of operating within the bioplastics industry has allowed us to understand what the market demands; we therefore find it more important to target specific applications rather than the broader approach we have taken in the past. We believe that by tailoring our offerings specifically for the customer's product application, the adoption of our product will become greater. With the plan I just described I want to reassure our shareholders that Cereplast's management team is focused and working very hard every day to ensure that we will prevail over our challenging environment."
• Cereplast has begun to sell its first Cereplast Hybrid Resins® application in India. This milestone follows the Company's opening of a corporate office in India to service its partners in South Asia and the appointment of a Technical Services Engineer to provide on-site services. Management visited India several times to assist with the marketing launch of our resin.
• The same Cereplast Hybrid Resins® grade utilized for the safety helmet application was qualified by a large converter of S-B Polymers to make bioplastic buckets. This potential customer is one of three dedicated converters who manufacture buckets for a large consumer products company in India. This relationship has a projected demand of several thousand tons per month.
• Each of these opportunities in India would allow us to monetize the inventory recouped from our European customers.
• A.R.M.Y. made a formal presentation of Cereplast's Compostable 3002 resin to the engineering and marketing departments of "Tirumala Thirupathi Devastanam," an independent trust which manages the Tirumala Venkateswara Temple, the largest shrine in the world. The presentation resulted in the commercial test of 25,000 bags over a 60 day period to test strength and reception of the product.
• The Italian government has reinstated legislation calling for the ban of non-compostable resins. Management believes this legislation will be implemented by the end of 2012.
• Several large supermarket chains have expressed an interest in Cereplast Compostables® resins for bags and orders have been made to test the product.
• Cereplast successfully tested their Hybrid 101 product for fruit and vegetable shipping baskets. The addressable market for this application is several thousand tons per month.
• Cereplast Hybrid 651D wins MATERIALICA Design + Technology 2012 silver award for outstanding innovation in the "Material" category.