BRVO.OB

[fill_the_gap]

David,

Should help with the uncertainty.  Good Luck. 

Bravo! Foods Signs Exclusive, Multi-Year Distribution Agreement With Coca-Cola Enterprises
PR Newswire - August 31, 2005 08:29

NORTH PALM BEACH, Fla., Aug 31, 2005 /PRNewswire-FirstCall via COMTEX/ -- Bravo! Foods International Corp. (OTC Bulletin Board: BRVO), a brand development and marketing company that manufactures, promotes and distributes vitamin- fortified flavored milks, announced today that it has signed an exclusive, 10-year distribution agreement with Coca-Cola Enterprises (CCE), the world's largest marketer, distributor, and producer of bottle and can liquid nonalcoholic refreshments.

Coca-Cola Enterprises will begin distribution of Bravo!'s Slammers(R) in the fourth quarter of 2005 and initially carry eight SKUs, including Bravo!'s Slim Slammers(R), Pro-Slammers(TM), 3 Musketeers(R) Slammers(R), Starburst(R) Slammers(R) and Milky Way(R) Slammers(R). Bravo!'s Slammers(R) will be distributed nationwide through specific channels including, convenience retail, education, vending and small independent stores.

As part of the agreement, Bravo! will grant CCE 30 million warrants that are exercisable at $.36 cents per share. These warrants, if exercised within three years, provide CCE the opportunity to become a minority shareholder in Bravo!, entitling CCE to acquire 10% of Bravo's total authorized shares outstanding at a purchase price of $10.8 million.

Bravo! CEO Roy Warren said, "We are honored to partner with CCE. The single serve, flavored milk industry segment has grown considerably over the last several years despite the inherent constraints of traditional chilled dairy distribution systems."

Warren continued, "Slammers reinvent traditional milk drinks, providing great tasting, quality milk drinks that can be distributed with limited or no refrigeration. Slammers are packaged with shelf-stable technology that allows for long shelf life and ambient storage. This advancement allows the Slammers brand to become a serious competitor in the multi-billion dollar 'better-for- you' drink business, which is now the fastest growing segment of the beverage industry. There is no better partner to make this transition for Slammers than CCE."

John R. Alm, president and CEO of Coca-Cola Enterprises said, "Bravo! has a strong line-up of shelf-stable milk products, which we believe will be an excellent addition to our product portfolio. Our new partnership creates the opportunity to combine Bravo's unique brands with the strength of our distribution and selling system."

About Coca-Cola Enterprises

Coca-Cola Enterprises (NYSE: CCE) sells approximately 80% of The Coca-Cola Company's bottle and can volume in North America and is the sole licensed bottler for products of The Coca-Cola Company in Belgium, continental France, Great Britain, Luxembourg, Monaco, and the Netherlands. CCE employs 74,000 people who operate 431 facilities, 54,000 delivery vehicles and 2.4 million vending machines and beverage coolers. Last year, CCE distributed two billion cases or 42 billion bottles and cans of its products, representing 21 percent of The Coca-Cola Company's volume worldwide.

About Bravo! Foods

Bravo! Foods International Corp. (OTC Bulletin Board: BRVO) develops, brands, markets, distributes and sells nutritious, flavored milk products throughout the 50 United States, Mexico, Great Britain and various Middle Eastern countries. Bravo!'s products are available in the United States and internationally through production agreements with regional aseptic milk processors and are currently sold under the brand name Slammers(R).

Many of Bravo! Foods' Slammers(R) line of extended shelf-life, single- serve milk drinks are co-branded through exclusive partnerships with Masterfoods(TM), a division of Mars Incorporated(TM), Marvel Enterprises(TM)and MD Enterprises(TM) (Moon Pie)(R), providing superior name recognition packaged with quality, great-tasting drinks.

Slammers(R) are now available at more than 30,000 stores nationwide, including such popular chains as: 7-Eleven, A&P, Associated Grocers, Bi-Lo, Bruno's, C/S Metro, Dutch Farms, Giant Food Stores, Jewel, Mars, Pathmark, Piggly Wiggly, Ralphs, Safeway, Sam's Club, Shaw's, ShopRite, Speedway, SuperTarget, Unified, Waldbaums, Walgreens and White Rose.

For more information, visit: http://www.bravobrands.com or http://www.otcfn.com/brvo .

Contact: Roy Warren, CEO Bravo! Foods, 561-625-1411 or James Dryer, Investor Relations, 561-837-8057 or [email protected] .

Safe Harbor under the Private Securities Litigation Reform Act of 1995:

The statements which are not historical facts contained in this press release are forward-looking statements that involve certain risks and uncertainties including but not limited to risks associated with the uncertainty of future financial results, regulatory approval processes, the impact of competitive products or pricing, technological changes, the effect of economic conditions and other uncertainties as may be detailed in the Company's filings with the Securities and Exchange Commission.

SOURCE Bravo! Foods International Corp.

Roy Warren, CEO, Bravo! Foods, +1-561-625-1411; or James Dryer, Investor Relations,
+1-561-837-8057, or [email protected], for Bravo!

http://www.prnewswire.com

[don]

Anyone have any comments on the rather weird opening? 19K of volume at 63, bid 68 ask 69. then, that 19tho grew to what? 150K 200K, all at 63, yet the bid ask remained at 68 and 69. I ran a buy order at 65, to test. at vol 50K. Left it until vol hit 200K. at 63. But no fill.
Why I bring this up is, how can you assess any chart action, if the MM's are playing games like this? I would not be surprised to see the stock close at the low 60's today. I am guessing they are shaking the tree, knocking out the weak hands. This is not TA. I guess it is Tales from the Dark Side of OTC. I would really like to see some chat on this, as my instinct is to run from such machinations.  Don

[Fré]

I noticed the same thing.
At 0.69 bid/ ask stayed 0.69/0.69 in spite of big volume.
Going down the bid/ask changed immediately; at the moment it rests at 0.61/0.61.

[Michael]

Hmmmm...... BRVO is really tempting - I might jump on the bandwagon today.

But I have to ask a favor from the American members of the board: I normally like to test the product before I buy a stock. I have looked around in Africa but haven't found a single Slammer (We have a lot of Coke though - so I guess it is only a matter of time  )

Will anybody on the board please go to the closest outlet and taste the product (shouldn't be too difficult as there are 30 000 POS) and then post a detailed description of the experience? (please also indicate if you are already a shareholder  )

I will give a free beer in Mozambique to any helpful soul out there

Mike

[fill_the_gap]

Here is why I will buy at much lower levels.

As part of the agreement, Bravo! will grant CCE 30 million warrants that are exercisable at $.36 cents per share.

Good luck !

[Michael]

Hi Fill the gap,

I think that is a very valid concern but you could also look at it like this: BRVO pay's CCE $7.2 million to get access to their distribution network, which consist of 54,000 delivery vehicles and 2.4 million vending machines and beverage coolers.

The bottom line is that I believe that BRVO will benefit from this agreement so I have bought at 0.605. I just hope the stuff tast nice - but i guess Coke tested that before they signed!

Michael

[toros]

This sentence, "These warrants, if exercised within three years, provide CCE the opportunity to become a minority shareholder in Bravo!, entitling CCE to acquire 10% of Bravo's total authorized shares outstanding at a purchase price of $10.8 million.", to me, means that out of 110 million outstanding shares that Bravo has CCE will own 10%, which is 11 million shares at $10.8 million.  And this means $1.00/share.

[toros]

I believe 30 warrants = 11 million shares of outstanding 110 million shares.

[toros]

I meant 30 million warrants = 11 million shares

[jlong]

Here is a link where you can track the days sales. http://www.otcbbtrader.com/portal/goto.dll?cat=1100&ticker=BRVO
Here is another link I found of slammers in vending machines, not sure if it is just test marketing, but it looks good.
http://www.imaginationoverdrive.com/slammers.htm
I sure thought this thing would gap up on this news.
time will tell.

[don]

Here is why I will buy at much lower levels.As part of the agreement, Bravo! will grant CCE 30 million warrants that are exercisable at $.36 cents per share.
fillthegap: I believe you have a very good chance to do that.
I guess, you are prepared to take the risk that you may not get to buy.
But I suspect that doesn't worry you. I know the warning, don't fall in love with the stock/company. I had my finger on the sell button at 69 and hesitated. Then, as luck would have it, I had it on the buy a bit later, at 63 and backed off. I have kept my powder dry. and will be buying again.  My rule of thumb, is if I can buy at within 20% of a sweetheart deal, that is ok. So, my estimate is 36cent financing means x10/8 to me. That is 42. Then, another 10/8 to reflect some consideration for the MDA. That is 53cents. I would be very interested in where you see the support levels below todays close.  This is the stuff I want to learn about. Thanks for sharing! Don.

[KCScott]

Several things to cover here.....

First - MoMo in Italian in Italian means delusions of grandeur (or so I've been told)
Today I'm a MoMo because I bought in during the morning run up after the press release.
In the 15 Minutes after my purchase, I watched BRVO drop 15%

Second - Regarding the warrants, If this is like other warrant issues; CCE would be buying BRVO held shares - Not shares traded on the open market. There is no dilution of the shares because they already exist. The hit could come if CCE exercised the warrents and then sold them in the open market, but that's not how that plays out at that level. CCE would retain those shares or look to add if the Slammers start flying off the shelves because that would give them more leverage over the companies future (aka Seats on the Board of Directors).

Last - The only stores we have in the midwest that sell slammers are 7-11 Convenience stores.
I have Sons age 7 & 5 and while I've not bought Slammers, I have bought them a similar product made by Dannon in strawberry flavor. The 4 pack I brought home from the store was gone in 15 minutes (sorta like my buy of BRVO this morning  ) - This isn't going to be a product the Adults gulp down but is aimed squarely at Mom to get for the kids.

[basonista]

Michael,

I found and bought some of the drinks at a local Shop Rite over the past weekend and gave one to each of my 4 kids and wife and I also drank one.  I bought:

Milky Way Slammer - my wife drank
3 Musketeers Slammer - I drank
Chocolate Web (Spiderman) - 4 year old drank
Dark Strawberry (Electra/Daredevil) 12 year old drank
Red, White and Blue Vanilla (Capt America) - 3 year old drank
Starburst Strawberry - 7 year old drank

All drinks were pretty good.  I would have tried some of the others but this is what they had on the shelf.  Retail price was around $2.00 if I remember correctly and they were marked down on the shelf to around $1.29.  At the cash register I paid $.99 each.

The Milky Way that my wife drank was pretty good with a little of the vitamin flavor in the aftertaste.  I didn't care for the 3 Musketeers since it is low fat - you can tell in the flavor and the aftertaste.  I have a sweet tooth so that wouldn't help the lack of fat and sugar in the drink.  The other four drinks were all very good some with a slight vitamin taste but definitely plenty of sugar for me and the kids.  The Red, White and Blue Vanilla was my favorite with the Chocolate Web being a close 2nd.  My wife even thought they were all pretty good and she doesn't eat sweets like me and the kids.

The kids loved the packaging, which I expected.  My 3 and 4 year olds are into Spiderman, Batman and Superman so they were excited to see the Spiderman container.  I wanted to buy the Cookies and Green with the Hulk but they were out.

I took some pictures with my camera phone which I will post if people are interested.  There was another brand of milk products (Hershey, I believe) on the shelf below but the Slammers were given much more space.

I will be checking the store when I am in the area for some of the other flavors.

Hope this helps!

Oh yeah, I am a shareholder and am not concerned with the downtrend in p/s.  I don't have the time to trade like I would prefer so I try to buy companies that I feel comfortable holding for a long period of time.  These guys have a great product, catchy packaging and so far must be marketing well to have the product in so many stores.  This, the deal with CCE and the current trend away from soda products to healthier milk products leaves me with that warm fuzzy feeling I need to be able to buy and hold a stock long term.

[raymat]

The news release this morning is a little confusing about the warrants being issued to CCE.  So I called James Dryer to clarify things.  Here is what I got:

If CCE excise their warrants any time during the next three years, 30 million warrants will allow CCE to buy 30 million shares of BRVO stock at 0.36/share.  BRVO has 300 million shares authorized, but 110 million issued (outstanding).  

Because the 30 million shares will be from the company, not current share holders, 10.8 million cash will be going to the company too.  So 30 million shares will be 10% of the authorized 300 million shares, but ~21% of the issued shares if they excise today (if they excise today, the issued shares will be 140 million shares).  If they excise later, the percentage will vary depending on how many more shares are issued.

Hope this helps.

[raymat]

BRVO will hold a teleconference call on this MDA agreement to discuss details next Tuesday.  We can all listen and ask questions during this.