THE BENEFITS OF ABSORBENT PACKAGING TECHNOLOGY FOR THE FRESH CUT INDUSTRY. Presented By: Tom Gautreaux

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1 THE BENEFITS OF ABSORBENT PACKAGING TECHNOLOGY FOR THE FRESH CUT INDUSTRY Presented By: Tom Gautreaux

2 FreshFacts on US Fresh Cut Veg The Fresh Cut Vegetable Universe at Retail 2005 National Sales Performance for Value-Added Vegetables $4.7 billion in sales, up 8% from 2004 Value-added vegetables account for 12.2% of total produce department sales in 2005, up slightly from 12.0% in 2004 Subcategory Breakdown Salads dominate the cut vegetable universe but fresh cut vegetables have garnered 33% of sales for the last two years and are growing 2004 Share of Dollar Sales 2005 Share of Dollar Sales Other Fresh Cut Vegetables, 33.1% Other Fresh Cut Vegetables, 33.3% Prepared Salads, 66.9% Prepared Salads, 66.7% Source The Perishables Group

3 FreshFacts on US Fresh Cut Fruit The Fresh Cut Fruit Universe at Retail 2005 National Sales Performance for Value-Added Fruit $1.3 billion* in sales, up 17% from 2004 Value-added fruit accounts for 3.2% of total produce department sales in 2005, up from 2.9% in 2004 Subcategory Breakdown The higher-priced packaged fresh cut fruit drives dollar sales, but the seasonal, lower-priced over-wrapped fresh cut fruit, drives volume 2005 Share of Dollar Sales 2005 Share of Volume Refrig Jarred Cut Fruit 10% Over-wrapped Fresh Cut Fruit 19% Refrig Jarred Cut Fruit 10% Packaged Fresh Cut Fruit 38% Over-wrapped Fresh Cut Fruit 52% Packaged Fresh Cut Fruit 71% Source The Perishables Group - 3 -

4 FreshFacts on US Fresh Cut Fruit Growth of Fresh Cut Fruit Growth by Subcategory Double-digit growth in dollar sales over the previous year Packaged fresh cut fruit experienced the greatest growth 2005 vs Growth in Dollar Sales in Value-Added Fruit 20.0% 18.0% 16.0% 14.0% 12.0% 10.0% 8.0% 6.0% 4.0% 2.0% 0.0% 17.2% 16.6% 11.8% Packaged Fresh Cut Fruit Over-wrapped Fresh Cut Fruit Refrigerated Jarred Cut Fruit Source The Perishables Group

5 Challenges to meet this exciting demand Quality of Product Processing Capacity and Procedures Cold Chain Freshness and Shelf Life Biggest impact is the excess fluid/purge Absorbent Packaging is the solution - 5 -

6 Current methods of controlling purge Use immature raw product Spin dry the product reduces your yield Hide the fluid behind the print Claim that it is so much better packed in its own juice Let it puddle in ridges under the product Pretend that s it not there - put 10 days shelf life on the product and hope that the product is sold in 4-5 days - 6 -

7 How does absorbent packaging technology work? Maxwell Chase proprietary technology is comprised of food grade / food safe all natural ingredients These ingredients are in compliance with The Framework Regulation EC #1935/2004 "on materials and articles intended to come into contact with food" and conforms with the positive lists of 2002/72/EC and subsequent amendments to 2005/79/EC When the excess fluid/purge comes in contact with the absorbent material a gel is formed, effectively trapping the excess moisture and spoilage organisms The absorbent only traps excess fluid - does not dehydrate fresh cut products Absorbent packaging is provided in four different formats - 7 -

8 - 8 - Absorbent Packaging

9 Absorbent pads Fresh-R-Pax absorbent pads are very effective in trapping the excess purge - unlike paper or fiber pads which do not hold onto the moisture This eliminates the need for spin drying which increases YIELD By trapping the excess free fluid and spoilage organisms shelf life is extended The pads keeps the cut product from drying out - which improves the overall quality of the end product Longer shelf life = higher quality, lower wastage, higher sales and higher profits - 9 -

10 Flexible sized pads for your container 12 days shelf life

11 Pads for retail containers days shelf life

12 Absorbent pouches Back wall of the pouches are the pad structure Pack the product WET..yes, WET!! Packing the product WET increases the yield, which increases profits Absorbent layer of the pouch collects the free fluid Longer shelf life = higher quality, lower wastage, higher sales and higher profits

13 Diced tomatoes days shelf life

14 Peppers & Onions days shelf life

15 Celery days shelf life

16 Absorbent Trays Same advantages as the Pads and Pouches Rigid container to protect the fragile cut fruit items Pre-formed wells in the base of the tray trap all of the excess purge Delivers higher product quality and extended shelf life Longer shelf life = higher quality, lower wastage, higher sales and higher profits

17 Sliced Tomatoes days shelf life

18 Sliced Roma Tomatoes days shelf life

19 Cut Watermelon 12 days shelf life

20 What do you want your name on?? THIS YOUR NAME HERE?

21 Which gives the customer. YOUR NAME HERE?

22 Now wouldn t t you prefer your name on this???

23 Or how about this one.??? Tray with no absorbent - Only 5-6 days shelf life

24 Isn t t this much better?? 12 days shelf life

25 In Summary Technology is food safe and compliant with the latest EU directives Leads to longer shelf life of the product Provides a far superior quality Improves the food safety Results in better customer acceptance Higher Repeat Sales Less Wastage More Profits

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