SHISHI, China, Sept. 26, 2011 /PRNewswire-Asia-FirstCall/ -- China Marine Food Group Limited (NYSE Amex: CMFO) ("China Marine" or the "Company"), a China-based manufacturer of Mingxiang(R) seafood-based snack foods, "Hi-Power" marine algae-based beverages, and distributor of frozen marine catch, today provided an update on its Mingxiang(R)-branded seafood snacks business. The Company reported sales in August of $4.6 million, an approximate 4.0% increase from $4.4 million in the previous month.
Beginning in the second quarter of 2011, sales of the Company's seafood snacks were negatively impacted by consumers' concerns stemming from the nuclear disaster in Japan and the safety of ocean-based products. China Marine has taken several actions to alleviate those concerns including increased advertising and more frequent communications with its distribution partners. Sales have stabilized since June, with month-over-month data showing positive sales trends and a return of consumer confidence in July and August.
The Company is also in discussions with prospective distributors in new and existing regions sales territories. Management is committed to expanding distribution to untapped cities and provinces as a long term goal.
"We are pleased to report our seafood snack food sales have steadily improved since June," stated Chairman and CEO, Mr. Pengfei Liu. "Because we source our fish from several local areas completely unaffected by the disaster in Japan, we remain confident in the long-term health of our business and anticipate a full recovery of sales momentum for Mingxiang(R)-branded seafood snack foods. I am also encouraged with the progress we have made with our seaweed extract 'Hi-Power' beverages. Through effective in-store promotions and multimedia advertising campaigns, more consumers are buying our healthy beverages."
About China Marine
China Marine Food Group Ltd. is a food and beverage manufacturer of Mingxiang(R) seafood-based snack foods and "Hi-Power" marine algae-based health drinks, and a wholesaler of frozen marine catch in five provinces in the PRC. Founded in 1994, China Marine has grown steadily and positioned its Mingxiang(R) brand as a category leader in 3,200 retail food sales points and 15,000 beverage sales points in China. The Company has received "The Famous Brand" and "Green Food" awards. Located in Fujian province, it is one of the largest coastal provinces in the PRC and a vital navigation hub between the East China Sea and the South China Sea. The Company is committed to the highest standard of quality control with the ISO9001, ISO14001, HACCP certification and EU export registration.
Forward Looking Statements
This release contains certain "forward-looking statements" relating to the business of China Marine Food Group Limited and its subsidiary companies, which can be identified by the use of forward-looking terminology such as "believes, expects" or similar expressions. Such forward looking statements involve known and unknown risks and uncertainties, including all business uncertainties relating to product development, marketing, concentration in a single customer, raw material costs, market acceptance, future capital requirements, competition in general and other factors that may cause actual results to be materially different from those described herein as anticipated, believed, estimated or expected. Certain of these risks and uncertainties are or will be described in greater detail in our filings with the Securities and Exchange Commission. China Marine Food Group Limited is under no obligation to (and expressly disclaims any such obligation to) update or alter its forward-looking statements whether as a result of new information, future events or otherwise. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such state or jurisdiction.
For more information, please contact:
Mr. Marco Hon Wai Ku, CFO
China Marine Food Group Limited
Suite 815, 8th Floor, Ocean Centre, Harbour City, Kowloon, HONG KONG
John Mattio, SVP
Tel: US +1-212-301-7130
SOURCE China Marine Food Group Limited