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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of the Securities Exchange Act of 1934
Date of Report (Dates of Earliest event reported) October 22, 1998
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EPL Technologies, Inc.
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(Exact name of registrant as specified in its charter)
Colorado 0 - 28444 84-0990658
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(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
2 International Plaza, Suite 245, Philadelphia, PA 19113
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (610) 521-4400
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Not Applicable
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(Former name or former address, if changed since last report.)
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ITEM 5. OTHER EVENTS
On October 22, 1998, EPL Technologies, Inc. (the "Company") announced
that it had received formal approval from The Sholl Group II, Inc., exclusive
licensee of the "GREEN GIANT(R) FRESH" brand from the Pillsbury Company, to use
a new 74,200 sq ft facility, located in Camarillo, California and operated by
the Company's Newcorn Co affiliate, for fresh produce processing. In a
coordinated development, the Company announced the relocation of its fresh-cut
potato processing activities from an approved, outsourced, co-packer facility in
Sacramento to the new produce processing facility in California. A more detailed
discussion of the foregoing is contained in the press release attached as
Exhibit 99.1 hereto.
The Company also announced in such press release that work on a second new
fresh-cut corn processing facility in the Midwest was progressing on-schedule,
and that it believed this 35,000 sq ft plant would be approved for shipment of
"GREEN GIANT(R) FRESH" branded corn products before the 1998 year end. The
Company currently uses this Midwest facility to ship "GREEN GIANT(R) FRESH" corn
products which are processed at its West Coast facility but the Midwest
facility is not expected to be completed for processing before March 1999 due
to engineering issues and equipment delays, and thus the Company has been
unable to date to maximise processing and distribution efficiencies.
ITEM 7. FINANCIAL STATEMENTS, PRO FORMA FINANCIAL INFORMATION AND EXHIBITS
a) Not Applicable
b) Not Applicable
c) Exhibits
99.1 Press Release dated October 22, 1998 in relation to approval
for new west coast facility for processing of fresh-cut corn
and potato products under the Green Giant(R) Fresh brand name.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
Dated: December 29, 1998 EPL Technologies, Inc.
By: /s/Paul L. Devine
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Paul L. Devine
Chairman and President
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Exhibit 99.1
Press Release dated October 22, 1998 in relation to approval of new west
coast facility for processing of fresh-cut corn and potato products under the
Green Giant(R) Fresh brand name.
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CONTACT: [EPL LOGO]
EPL Technologies, Inc.
Investor Relations Department, Philadelphia
Bruce Crowell, Chief Financial Officer
Timothy B Owen, Asst. Secretary & Treasurer
(610) 521-4400
2 International Plaza, Suite 245
Philadelphia, PA 19113-1507
Tel: 610-521-4400
Fax: 610-521-5985
FOR IMMEDIATE RELEASE
EPL TECHNOLOGIES RECEIVES APPROVAL FOR NEW WEST COAST FACILITY
FOR PROCESSING OF FRESH-CUT CORN AND POTATO PRODUCTS
UNDER THE GREEN GIANT(R) FRESH BRAND NAME
October 22, 1998 - Philadelphia, PA -- EPL Technologies, Inc. (NASDAQ:EPTG)
today announced that EPL has received formal approval from the Sholl Group II,
exclusive licencee of the "GREEN GIANT(R) FRESH" brand from the Pillsbury
Company, to use a new 74,200 sq ft facility, located in Camarillo, California
and operated by EPL's Newcorn Co affiliate, for fresh produce processing. As a
result of this approval, shipments of fresh-cut corn under the "GREEN GIANT(R)
FRESH" brand will begin immediately. The Company expects that sales of this
"GREEN GIANT(R) FRESH" product will supplement its existing sales of fresh-cut
corn made under the Company's two current regional brands into regional markets.
Paul L. Devine, President and Chief Executive Officer of the Company, said:
"This approval is a milestone in our development and marks the latest step in
our strategy to raise the profile of our food product offerings made possible by
our proprietary technologies and food science expertise. We believe that the
power of the "GREEN GIANT(R) FRESH" brand will further fuel the tremendous
growth that we have been experiencing in our corn business."
Mr. Devine also reiterated the Company's earlier statement that EPL intends to
make fresh-cut corn available nationally on a year round basis and intends to
grow its corn business to revenues currently expected to reach up to $100
million per annum by 2002, from the approximately $3 million generated in the
first half of 1998.
The Company also announced that work on a second new fresh-cut corn processing
facility in the Midwest was progressing on-schedule, and that it believed this
35,000 sq ft plant will also be approved for shipment of "GREEN GIANT(R) FRESH"
branded corn products before the 1998 year end. The Company currently expects
this second facility will allow additional geographic penetration of the
national fresh-cut corn market, with shipments targeted principally at the
Midwest and East Coast markets of the U.S.
In a coordinated development, the Company announced the relocation of its
fresh-cut potato processing activities from an approved, outsourced, co-packer
facility in Sacramento to the new produce processing facility in California.
This facility has also been formally approved for continued shipment of
fresh-cut potato products under the "GREEN GIANT(R) Fresh" brand. Mr. Devine
also stated: "With the increasing volumes we are seeing, we felt it important to
gain more control over our processing capability. By combining the two
production lines for corn and
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potatoes into the one facility at this time, we can improve overall operational
efficiencies immediately, by leveraging our in-house skills and knowledge. We
believe this has been borne out by the relatively minimal disruption we have
seen in shipments of fresh-cut potato products during this transition. As we
continue to grow, we will review our practice of using co-packers to roll out
our fresh-cut potato products in other regions of the U.S."
EPL Technologies, Inc. develops, manufactures and markets proprietary processing
aids, packaging technologies and scientific and technical services, which are
designed to maintain the quality and integrity of fresh-cut produce. In its most
recent quarter ended June 30, 1998, the Company reported revenues of
$16,370,772, as compared with revenues of $8,899,804 for the six months ended
June 30, 1997.
This press release contains certain forward-looking statements regarding the
Company's expectations as to the future expansion and development of its
business, including achieving revenues of $100m per annum, of which there can be
no assurance. Actual results may vary materially from these expectations.
Meaningful factors that may cause actual results to be different from
expectations include, but are not limited to, (i) the Company's product
development and sales process, which remains lengthy and resource-intensive,
(ii) the uncertainty of demand for or market acceptance of the Company's
products and (iii) personnel and production requirements and related
difficulties in managing multiple product lines.
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