Cala Corporation Completes Joint Venture
Agreement With EXTRA Srl of Italy a Top Quality
Olive Oil Company
SAN FRANCISCO--(BUSINESS WIRE)--Aug. 28, 2001--The Cala Corporation
(OTCBB:CCAA - news) today announced a joint venture agreement that has been finalized
with EXTRA Srl of Italy, a top quality extra virgin olive oil company with the finest partners
in the industry APOL and Bonolio. The APOL joint venture is a continuation of the
corporations merger and acquisition program. The Cala Corporation will control a 51%
interest in EXTRA Srl of Italy which will result an additional US$8 million in revenues for this
current fiscal year.
The Cala Corporation will be in charge to develop and market the olive oil through the
brokers and distributors in the United States, Canada, and Japan. APOL will enforce the
European quality standards, buy the product direct from the farmers, and finance the public
relation costs. Bonolio will be the turnkey product. APOL olive oil is sold as a high quality
wholesale product that will be labeled for the retail industry under different labeling, while
Mancini I.M.O.I.L. is a retail brand name product in Europe and currently sold institutionally
in the United States.
Revenues for EXTRA Srl under GAAP rules were $4.5M for the year 1999, $7.2M for the
year 2000, and for the first two quarters of 2001 $4M. The Cala Corporation will be
required to pay EXTRA Srl 10,000,000 shares of CCAA restricted stocks.
Joseph Cala, Chairman, and CEO of Cala Corporation stated, ``EXTRA Srl of Italy has the
capacity to produce for our targeted market over 1M bottles of oil with a 25% profit margin
because our production price will be on a cost basis.''
``APOL was founded in 1974 under both the Italian and European Governments to study,
develop, create, and market the world's best extra virgin olive oil. APOL with its associates
has received hundreds of millions of Euro to succeed in its quest and future grants will be
available to the Cala Corporation,'' stated Dr. Di Benedetti, President of APOL.
apol.pa@libero.it
The Bono family founded Bonolio in 1934 in the city of Sciacca. Michael Bono with his family are the third generation in
producing one of the finest extra virgin olive oil in the world. Bonolio has always passed the stringent highest quality standards
that were set by the European Government. At present Bonolio can produce 50,000 bottles per day. www.bonolio.it
About Cala Corporation
Headquartered in San Jose, Calif., Cala Corporation is a developer of international businesses with a corporate emphasis on
Undersea Resort hospitality. Cala Corporation provides over 20 years of experience on doing business globally. The
corporation's international infrastructure extends from the United States to Europe and Asia. Under the corporate umbrella is
Mancini I.M.O.I.L., which has been producing, and selling olive oil products for over 40 years. Annualized revenues are
approximately $16M. $6M of which are realized in the United States. Currently, Mancini olive oil is distributed in the United
States by Manzo Foods, Miami, Fla., under the labeling of Genesio that is sold to Romano's Macaroni Grill Restaurants, a
division of Brinker International. brinker.com (NYSE:EAT - news) More information about Mancini I.M.O.I.L. is
available at imoil.com.
The information in this news release includes certain forward-looking statements as defined in the ``Safe Harbor'' provision of
the Private Securities Litigation Reform Act of 1995. These statements are based upon assumptions that are subject to
significant risks and uncertainties. Although the Company believes that the expectations reflected in forward-looking statements
are reasonable, it can give no assurance that the expectations of any of its forward-looking statements will prove to be correct.
This press release was prepared on behalf of the Board of Directors, which accepts full responsibility for its content.
Contact:
Cala Corporation/Mancini
Joseph Cala, 408/984-3663 |
