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The FRS Company Announces Acquisition of Nutravail, Implementation of Enhanced Distribution Network

Significant Investments Will Drive Product Innovation and Expand Growth Opportunities


News provided by

The FRS Company

Jan 31, 2013, 12:30 ET

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SAN MATEO, Calif., Jan. 31, 2013 /PRNewswire/ -- The FRS Company today announced completion of two strategic initiatives:  the acquisition of Nutravail and the rollout of an enhanced distribution network.  Together, these initiatives provide additional revenue growth opportunities while enabling innovative product development and improved distribution.

1.)    Acquisition of Nutravail - FRS has completed the acquisition of Nutravail, a leader in the development of innovative delivery systems for the nutrition industry.  Through its patented delivery systems, Nutravail has the unique ability to deliver healthy functional ingredients in better tasting and more convenient formats. 

In addition, Nutravail produces private label products for some of the nation's leading retail chains, opening new revenue streams for the combined company.  They also produce FRS soft chews and quercetin flake, a key component in the patented Healthy Energy® formula.

2.)    Enhanced Distribution Network – FRS has completed the implementation of its enhanced distribution network.  Previously, FRS products were distributed in certain channels exclusively through Pepsi Warehouse Services.  FRS and PWS agreed not to renew their distribution agreement after its scheduled expiration in December 2012.  FRS will pursue an independent distribution network, using a combination of direct sales and distributors.  This will give the company greater control over its products at the point of sale, ensuring better availability and merchandising. 

"We have worked with Nutravail for many years and admire their innovation and quality.   This acquisition complements our current Healthy Performance™ product suite, and enables us to offer our customers additional high quality nutritional products through expanded distribution channels.  In addition, Nutravail brings highly skilled management and manufacturing capabilities. We're very pleased to have them join the FRS family," said Jim Quandt, Chairman of the Board for The FRS Company. 

As part of these initiatives, FRS will be making changes to its management team.  CEO Carl Sweat, who has been instrumental to the company's national expansion, will be leaving FRS.  Dave Henderson, CFO of the company for nearly five years, will assume responsibility as acting CEO of FRS.  Rick O'Neil will continue to lead Nutravail as CEO and President, and will also join the leadership team of The FRS Company. 

About FRS

The FRS Company produces a full line of products under the Healthy Performance™ banner, including ready-to-drink beverages, chews, powdered drink mixes, shots and concentrates. FRS products use the super antioxidant quercetin, found naturally in many fruits and vegetables, which has been shown in multiple clinical trials to provide sustained energy, increased endurance, and immune system support. FRS products are championed by some of the world's most elite athletes, such as pro quarterback Tim Tebow, Captain of the U.S. Women's National Soccer Team Christie Rampone and over 20 professional sports teams. The venture capital and private equity firm, Oak Investment Partners, and Founder Tom Lines are major investors in the company. FRS products are available online and at major retail stores nationwide. For a free trial of the product, visit www.FRS.com.

About Nutravail

Nutravail is a contract manufacturer serving national retail chains and brands.  Nutravail's products focus on delivering the growing menu of nutritional ingredients in great-tasting formats.  The company's portfolio includes soft chews, spun matrix flakes and ingredient encapsulations, each produced with a patented process.  The company's flagship product line is the uncooked soft chew.  Unlike conventional cooked soft chews, Nutravail's soft chew is produced at temperatures below 100°F and relatively low water activity, which vastly expand the types of nutritional ingredients that can be incorporated.  Once exclusively for calcium, the soft chew delivery has proliferated in recent years due primarily to Nutravail's innovative process.  Nutravail's spun matrix flakes, a carrier system with multiple applications, have had a similar impact on beverages, allowing the use of otherwise insoluble ingredients in a beverage format.  With the benefit of a seasoned product development group and a stable of process patents, Nutravail constantly challenges itself to develop delicious, highly functional products for its customers. 

SOURCE The FRS Company

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