Spectrum's Organic Ingredients Division Now Belongs to Acirca

Spectrum's Organic Ingredients Division Now Belongs to Acirca

PETALUMA, Calif.--Spectrum Organic Products (NASDAQ:SPOP) reported May 1 that the sale of its Aptos, Calif.-based Organic Ingredients Division to Acirca Inc. was official as of April 26, 2002. While exact terms of the sale were not disclosed, it did include the company's industrial sales of organic fruits, vegetables, concentrates, purees and certain private label products, but not the Spectrum Ingredients business of industrial oils, vinegars and nutritional products. All full-time employees of the Organic Ingredients Division became Acirca employees effective with the sale.

"After the sale of our tomato-based product lines to Acirca in June 2001, it became increasingly clear that the original synergies associated with the ownership of [the Organic Ingredients Division] no longer existed for Spectrum," said Jethren P. Phillips, chief executive officer and chairman at Spectrum (www.spectrumorganic.com). "The sale of the business has significantly improved our working capital and will allow us to redeploy the funds into our core healthy fats and nutritional supplements business and focus on what we do best."