Smart Balance, Inc. CEO Presents at Citigroup Small and Midcap Conference

NEW YORK, Nov. 19 /PRNewswire-FirstCall/ -- Smart Balance, Inc. Chairman and Chief Executive Officer Stephen Hughes outlined several initiatives to drive growth and performance at the Citi Investment Research Small and Midcap Conference. The initiatives include a three-tier strategy to build market share in the company's core spreads category; expansion of products in the dairy aisle; and development of food and beverages to support healthy living under the newly launched Bestlife(TM) brand. The presentation was in New York, N.Y., at 3:45 p.m. ET on Thursday, November 19, 2009.

Hughes talked to investors at the meeting about the Company's vision for growth and about the initiatives that will drive performance.

"Smart Balance's vision is to become the recognized leader in healthier and great tasting foods and beverages for a wide variety of consumer needs," said Hughes. "Our innovation platform is set, we have a unique virtual operating model and we have the financial flexibility to drive growth across categories and brands."

Hughes outlined the initiatives that will be critical to the Company's plans. First is to continue to build market share in the Company's core category of spreads in 2010 through the three-tier strategy, with products and innovation in each price segment of the category.

    --  Super Premium segment: expand distribution of Earth Balance(R) spreads
        and Smart Balance(R) HeartRight(TM) spreads for consumers looking for
        ultra levels of healthier product attributes.  Earth Balance(R) spreads
        have a natural ingredient profile, and a soy- free product was added to
        the line in 2009.  Smart Balance(R) HeartRight(TM) spreads, introduced
        in 2009, are the first spreads to incorporate heart healthy, long-chain
        Omega-3 fatty acids with cholesterol-reducing phytosterols.
    --  Premium segment:  introduce Smart Balance(R) spreads fortified with a
        50% recommended daily intake per serving of vitamin D and a new variety
        with calcium, to address consumer interest about bone health.  In
        addition, the package graphics will be updated across the Smart
        Balance(R) spreads product line.
    --  Value segment:  launch a partially hydrogenated oil (PHO)-free line of
        spreads under the Bestlife(TM) brand into the segment where the Smart
        Balance(R) brand has no product offerings.  There are currently no
        PHO-free products in this segment.  Bestlife(TM) brand spreads will have
        three varieties.  The products have excellent source levels of vitamin
        D, no palm kernel oil, and a 48% oil level, appealing to consumers
        interested in weight management.  There is also an eight-ounce buttery
        spray product.

    

The second initiative is to build frequency of purchase and consumer awareness by expanding the Company's products in the dairy aisle. The Company has plans in 2010 to drive growth in several categories.

    --  Smart Balance(TM) milks are central to increasing purchase frequency of
        Smart Balance(R) products.  These milk products are fat free and 1% fat
        varieties with added nutritional benefits with the taste and texture of
        higher fat regular milk.  The Company successfully introduced its milks
        into 20% of the U.S. in 2009.  Plans for 2010 include expanding
        distribution to the remainder of the country by the end of the year.
    --  Smart Balance(TM) sour cream was launched this year and will reach 60%
        distribution by year-end.  The Company plans to complete national
        distribution during 2010.  The products are an excellent source of
        Omega-3 fatty acids, vitamin E and vitamin D, with 66% more calcium than
        other sour creams.
    --  Products are being developed for entry into additional dairy categories.
        The Company expects to begin a test market in a new category during the
        first half of 2010.

    

The Company recently acquired the exclusive global license to use the Bestlife(TM) brand to develop a line of food and beverage products to support healthier living.

"As we look out to the future, we believe we can leverage our operating model to serve a variety of health and lifestyle needs," said Hughes. "The Bestlife(TM) brand will be complementary to the Smart Balance(R) brand, with a popular price positioning to reach additional consumers. Bestlife(TM) products will be developed by the Company and the Company's selected sublicensees.

"With all the accomplishments of the last two years, we have not only built the foundation for delivering our goal of $500 million in net sales and $100 million in cash operating profit with 35 items in distribution nationwide in 2012, but we have begun to add the structure for Smart Balance, Inc. to be a billion dollar company in the years beyond."

A replay of the webcast will be available within the Investor Center of the Company's corporate website, www.smartbalance.com until February 18, 2010. Presentation slides will be available on the website in the Investor Center in the Corporate News folder.

Forward-looking Statements

Statements made in this press release that are not historical facts, including statements about the Company's plans, strategies, beliefs and expectations, are forward-looking and subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements may include use of the words "expect", "anticipate", "plan", "intend", "project", "may", "believe" and similar expressions. Forward-looking statements speak only as of the date they are made, and, except for the Company's ongoing obligations under the U.S. federal securities laws, the Company undertakes no obligation to publicly update any forward-looking statement, whether to reflect actual results of operations, changes in financial condition, changes in general economic or business conditions, changes in estimates, expectations or assumptions, or circumstances or events arising after the issuance of this press release. Actual results may differ materially from such forward-looking statements for a number of reasons, including those risks and uncertainties set forth in the Company's filings with the SEC and the Company's ability to:

    --  raise prices as fast as commodity costs increase;
    --  introduce and expand distribution of new products;
    --  meet marketing and infrastructure needs;
    --  meet long-term debt covenants; and
    --  increase volume in case shipments in a competitive environment with
        rising costs and an increasingly price sensitive consumer.

    

About Smart Balance, Inc.

Smart Balance, Inc. is committed to providing superior tasting heart healthier alternatives in every category it enters by avoiding trans fats naturally, balancing fats and/or reducing saturated fats, total fat and cholesterol. The Company's products include Smart Balance(R) Buttery Spreads, Milk, Butter Blend Sticks, Peanut Butter, Microwave Popcorn, Cooking Oil, Mayonnaise, Non-Stick Cooking Spray and Cheese. For more information about products and the Smart Balance(TM) Food Plan, visit http://www.smartbalance.com.

Smart Balance, Inc.

CONTACT: Media, Kaitlin Kenny, Account Executive of TBC Public Relations,
+1-410-986-1275, kkenny@tbc.us ; Investors, John Mintz, Vice President
Finance & Investor Relations, Smart Balance, Inc. +1-201-568-9300,
investor@smartbalance.com

Web site: http://www.smartbalance.com/