Cereplast Provides Shareholder Update on Italian Application Decree & Announces $300,000 in New Revenue
February 05, 2013 --
EL SEGUNDO, Calif., Feb. 5, 2013 (GLOBE NEWSWIRE) -- Cereplast, Inc. (OTCQB:CERP) (the "Company"), a leading manufacturer of proprietary biobased, compostable and sustainable bioplastics, generated approximately $300,000 in new revenue during the last two weeks of January 2013. These orders received are in addition to the $500,000 of new revenue that was announced on January 23, 2013.
The Italian Application Decree, which mandates that companies discontinue the use of traditional plastic bags in favor of bioplastic bags or other alternatives, continues to drive demand for the Cereplast Compostables® blown film grades. The new orders were fulfilled utilizing existing inventory and were paid in advance of shipment or within conservative credit terms.
The next important milestone will be the formal publication of the Italian Application Decree, which is expected to increase the demand for bioplastic film. Cereplast blown film resins are part of a very limited, proprietary and select type of resin that are able to serve the Italian market for bioplastic blown film. According to European Plastics News, the European market volume for flexible packaging is approximately 3.6 million tons, which is worth approximately €20 billion. Italy represents 25% of this market volume at approximately 900,000 tons per year. Although all applications will not be transferred to bioplastic, Italy could become the largest market for bioplastic film applications in 2013 with potential industry revenues of several hundred million euros.
"The Italian market for bioplastic blown film is once again gaining momentum," stated Cereplast Chairman and CEO, Mr. Frederic Scheer. "As a result of government legislation and mandates being passed down by the Italian parliament, the sales trend is continuing. We anticipate demand from this key region to approach similar sales volumes that we experienced in 2011. We are encouraged by the sales data we are analyzing, which is pointing to a strong 2013."
About Cereplast, Inc.
Cereplast, Inc. (OTCQB:CERP) designs and manufactures proprietary biobased, sustainable bioplastics which are used as substitutes for traditional plastics in all major converting processes - such as injection molding, thermoforming, blow molding and extrusions - at a pricing structure that is competitive with traditional plastics. On the cutting-edge of biobased plastic material development, Cereplast now offers resins to meet a variety of customer demands. Cereplast Compostables® resins are ideally suited for single-use applications where high biobased content and compostability are advantageous, especially in the food service industry. Cereplast Sustainables® resins combine high biobased 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. You may also visit the Cereplast social networking pages at Facebook.com/Cereplast, Twitter.com/Cereplast and Youtube.com/Cereplastinc.
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CONTACT: Cereplast, Inc.
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Alliance Advisors, LLC