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Microcap & Penny Stocks : TGL WHAAAAAAAT! Alerts, thoughts, discussion. -- Ignore unavailable to you. Want to Upgrade?

To: ChrisJP who wrote (105341)	5/17/2002 1:21:27 PM
From: Jim Bishop	Read Replies (1) \| Respond to of 150070

ERTH well I missed it completely...sheesh Sweetheart Cup Company and EarthShell -R- Corporation Plan New Manufacturing and Licensing Agreement; $500 Million in Annual Revenue Targeted OWINGS MILLS, Md. & SANTA BARBARA, Calif., May 17, 2002 (BUSINESS WIRE) -- Sweetheart Cup Company, Inc., the largest manufacturer of single-use food service disposables in North America, and EarthShell Corporation, (NASDAQ: ERTH), innovators of food service packaging designed with the environment in mind, announced today the signing of a letter of intent providing the basis for Sweetheart to be the primary supplier of EarthShell Packaging(R) in North America. Under the contemplated transaction EarthShell would provide an exclusive royalty bearing license to Sweetheart for the first $500 million of annual sales of EarthShell Packaging sandwich containers, cups, plates and bowls for the North American institutional and consumer markets. Sweetheart intends to pursue the procurement of sufficient equipment designed to manufacture such sales. Leading North American machinery manufacturers have expressed a willingness to build the necessary equipment under contracts that would provide performance and quality guarantees. Consistent with previously announced plans, EarthShell Corporation is concluding the production of EarthShell Packaging sandwich containers in Owings Mills, effective today. The production of hinged-lid sandwich containers will be temporarily discontinued until the new equipment lines are available. "Over the past few years, we have become increasingly comfortable that market demand for EarthShell products is significant," said Tom Uleau, chief operating officer of Sweetheart Cup Company, Inc. "Product performance has satisfied EarthShell customers during extensive testing and initial commercial supply. The purchasing of a guaranteed turnkey manufacturing system from reliable vendors will provide an excellent opportunity to market EarthShell's products." Sweetheart Cup Company is a leading force in providing high quality disposable packaging to businesses and consumers. Management believes the strength of its leadership position, coupled with a long history of manufacturing and marketing expertise, will give Sweetheart an important advantage as an EarthShell operating partner. EarthShell Corporation is engaged in the licensing and commercialization of proprietary composite material technology for the manufacture of foodservice disposable packaging, including cups, plates, bowls, hinged-lid containers, and sandwich wraps. In addition to certain environmental characteristics, EarthShell Packaging is designed to be cost and performance competitive compared to other foodservice packaging materials. For more information about Sweetheart Cup Company, please visit www.Sweetheart.com. For more information about EarthShell Corporation, please visit www.earthshell.com. This press release may contain "forward-looking statements" which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks and uncertainties and actual results could differ materially. Such risks and uncertainties include, but are not limited to, general economic and business conditions, competitive market pricing, increases in raw material costs, energy costs and other manufacturing costs, fluctuations in demand for Sweetheart Holdings, Inc. ("Sweetheart Holdings"), and its wholly owned subsidiaries, products, potential equipment malfunctions and pending litigation. For additional information, see the annual reports on Form 10-K/A of Sweetheart Holdings and Form 10-K of The Fonda Group, Inc. for fiscal 2001. There can be no assurance that the transactions contemplated by the above-referenced letter of intent will be consummated. This press release is for information purposes only and is not an offer to buy or sell or the solicitation of an offer to buy or sell any securities, and shall not constitute an offer, solicitation or sale of any securities in any jurisdiction in which such offering or sale would be unlawful. CONTACT: EarthShell Corporation General Business & Media Inquiries: Vincent J. Truant, 410/847-9420 www.earthshell.com or Sweetheart Cup Company, Inc. Thomas Uleau, 410/998-2300 www.sweetheart.com URL: businesswire.com Today's News On The Net - Business Wire's full file on the Internet with Hyperlinks to your home page. Copyright (C) 2002 Business Wire. All rights reserved. -0- KEYWORD: MARYLAND CALIFORNIA INDUSTRY KEYWORD: ENVIRONMENT FOODS/BEVERAGES FOREST PRODUCTS MANUFACTURING RESTAURANTS SOURCE: EarthShell Corporation * end of story *