Cereplast Provides an Update on Its Restructuring Plan


SEYMOUR, Ind., June 25, 2013 (GLOBE NEWSWIRE) -- Cereplast, Inc. (OTCQB:CERP) (the "Company"), a leading manufacturer of proprietary biobased, compostable and sustainable bioplastics, today announced an update on the restructuring of its global operations.

As of June 1, 2013, the Company has successfully completed the restructuring by relocating its corporate headquarters from California to its production facility in Indiana, as well as relocating its European headquarters from Germany to its offices in Italy. The closure of the offices in California and Germany is expected to reduce annual operating expenses by $600,000 to $800,000.

Cereplast Chairman and CEO Mr. Frederic Scheer commented, "In taking the necessary steps to reduce our costs we have been able to focus our resources on sales and manufacturing. We added two sales veterans to our team during the second quarter. As a result, sales have continued to grow during the quarter demonstrating that we are on our way to recovery. The delay in the enforcement of the sanctions in Italy has created a minor slowing in sales, however our revenues in the first half of 2013 will substantially exceed that of the same period in the prior year, as we continue to ship new products to Italy and India. We anticipate that the growth during the remainder of the year will be substantially higher than the first six months, pending the sanctions becoming fully effective in the fall of 2013."

About Cereplast, Inc.

Cereplast, Inc. (OTCQB:CERP) designs and manufactures proprietary biobased, sustainable bioplastics which are used as substitutes for traditional plastics in all major converting processes - such as injection molding, thermoforming, blow molding and extrusions - at a pricing structure that is competitive with traditional plastics. On the cutting-edge of biobased plastic material development, Cereplast now offers resins to meet a variety of customer demands. Cereplast Compostables® resins are ideally suited for single-use applications where high biobased content and compostability are advantageous, especially in the food service industry. Cereplast Sustainables® resins combine high biobased content with the durability and endurance of traditional plastic, making them ideal for applications in industries such as automotive, consumer electronics and packaging. Learn more at www.cereplast.com. You may also visit the Cereplast social networking pages at Facebook.com/Cereplast, Twitter.com/Cereplast and Youtube.com/Cereplastinc.

Safe Harbor Statement

Matters discussed in this press release contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this press release, the words "anticipate," "believe," "estimate," "may," "intend," "expect" and similar expressions identify such forward-looking statements. Actual results, performance or achievements could differ materially from those contemplated, expressed or implied by the forward-looking statements contained herein. These forward-looking statements are based largely on the expectations of the Company and are subject to a number of risks and uncertainties. These include, but are not limited to, risks and uncertainties associated with: the impact of economic, competitive and other factors affecting the Company and its operations, markets, product, and distributor performance, the impact on the national and local economies resulting from terrorist actions, and U.S. actions subsequently; and other factors detailed in reports filed by the Company.



            

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