China Nutrifruit Updates Fruit and Vegetable Powder Production Schedule, Reaffirms Fiscal 2011 Guidance

Oct 25, 2010, 09:00 ET from China Nutrifruit Group Limited

DAQING, China, Oct. 25 /PRNewswire-Asia-FirstCall/ -- China Nutrifruit Group Limited (NYSE Amex: CNGL) ("China Nutrifruit" or "the Company"), a leading producer of premium specialty fruit based products in China ("PRC"), today announced that the Company has rescheduled the production start date of its new fruit and vegetable powder production facility due to the impact of adverse weather conditions on the facility's construction schedule. The Company now expects to commence production of its fruit and vegetable powder products by January 2011.

China Nutrifruit originally planned to complete construction of its new fruit and vegetable powder facility and commence production in October 2010. However, the Company's construction schedule was negatively impacted by adverse weather conditions in Daqing, which experienced more than average rainfall in comparison to recent years. The Company noted that the impact of the production delay would be immaterial to its 2011 fiscal year financial results. Management reaffirms its financial guidance for fiscal year 2011 for revenue in the range of $90-$95 million and net income of $22-$23 million.    

"Daqing experienced an unusual amount of rainfall over the last few months, causing an unavoidable delay in the construction of our new production line.  Construction is now almost complete, and we are in the process of installing equipment at the facility," commented Mr. Changjun Yu, Chairman of China Nutrifruit. "We expect minimal impact from the delay on our forecasted production volume this season and remain optimistic about the significant market potential offered by our new fruit and vegetable powder products."

About China Nutrifruit Group Limited

Through its subsidiary, Daqing Longheda Food Company Limited, China Nutrifruit is engaged in developing, processing, marketing and distributing a variety of food products processed primarily from premium specialty fruits grown in Northeast China, including golden berry, crab apple, blueberry and raspberry. The Company's processing facility possesses ISO9001 and HACCP series qualifications. Currently, the Company has established an extensive nationwide sales and distribution network throughout 20 provinces in China. For more information, please visit

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act""). Such statements include, among others, those concerning our new products, the estimated production schedule and forecasted production volume for our new fruit and vegetable powder manufacturing facility, expected financial performance in FY2011 and strategic and operational plans, our expectations regarding the market and market potential for our existing products and new products, our expectations regarding the continued growth of the specialty fruit market, as well as all assumptions, expectations, predictions, intentions or beliefs about future events. You are cautioned that any such forward-looking statements are not guarantees of future performance and that a number of risks and uncertainties could cause actual results of the Company to differ materially from those anticipated, expressed or implied in the forward-looking statements. The words "believe," "expect," "anticipate," "project," "targets," "optimistic," "intend," "aim," "will" or similar expressions are intended to identify forward-looking statements. All statements other than statements of historical fact are statements that could be deemed forward-looking statements. Risks and uncertainties that could cause actual results to differ materially from those anticipated include risks related to new and existing products; any projections of sales, earnings, revenue, margins or other financial items; any statements of the plans, strategies and objectives of management for future operations; any statements regarding future economic conditions or performance; uncertainties related to conducting business in China; any statements of belief or intention; any of the factors mentioned in the "Risk Factors" section of our Annual Report on Form 10-K for the year ended March 31, 2010, and other risks and uncertainties mentioned in our other reports filed with the Securities and Exchange Commission. The Company assumes no obligation and does not intend to update any forward-looking statements, except as required by law.

Company Contact:

Mr. Colman Cheng, Chief Financial Officer

China Nutrifruit Group Limited

Tel    +852 9039 8111



Investor Relations Contact:

Mr. Crocker Coulson, President

CCG Investor Relations

Tel:    +1-646-213-1915 (NY office)



Elaine Ketchmere, Partner

Tel:    +1-310-954-1345 (LA office)


SOURCE China Nutrifruit Group Limited