Smart Balance Announces Nationwide Milk Rollout

PARAMUS, N.J., Nov. 3 /PRNewswire-FirstCall/ -- Smart Balance, Inc. (Nasdaq: SMBL) today announced plans for the nationwide rollout of the Company's line of enhanced milk products.

Following the successful test market launch in Florida in 2008 and the introduction in markets in the Northeast in 2009, a decision has been made to expand distribution of Smart Balance(TM) Milk. The Company has identified strategic dairy partners and developed a high quality, cost effective, supply network to distribute nationally. Initial shipments will begin during the first quarter of 2010.

"We are ready to leverage our lead market success across the $12 billion(1) U.S. milk category with a national milk supply chain that can deliver the great-tasting, heart healthier products that consumers have come to expect from Smart Balance," said Stephen B. Hughes, Smart Balance, Inc. Chairman and CEO. "We have built the foundation that we stated was needed for a national expansion of milk: our core spreads business was firmly established, consumer and customer feedback on our milk products was positive, and the overall business had the financial strength to weather the introduction costs and future commodity variations.

"Our performance to-date confirms for us the potential this business holds as a key driver of accelerated brand awareness and sales growth across our portfolio," added Hughes.

Milk products expected to be introduced nationally include:

• Smart Balance(TM) Fat Free Milk and Omega-3s* & Vitamin E
• Smart Balance(TM) Low Fat Milk and Omega-3s* & Vitamin E
• Smart Balance(TM) HeartRight(TM) Fat Free Milk and Omega-3s*, Vitamin E & Natural Plant Sterols
• Smart Balance(TM) Fat Free Milk and Antioxidant Vitamin E.
  

"Smart Balance(TM) Milks are rich and creamy, characteristics not common in most fat free or low fat milk," said Tammi Hancock, a registered dietician. Three of the varieties of Smart Balance(TM) Milks offer an excellent source of Omega-3s EPA/DHA which are essential for supporting cardiovascular health, healthy brain function and overall health maintenance. "They provide your body with heart healthy nutrition while satisfying your taste buds," Hancock added.

Smart Balance(TM) HeartRight milk also contains a unique blend of heart healthy ingredients, including natural plant sterols that are clinically proven to help support healthy cholesterol levels** when used as part of a diet low in saturated fat and cholesterol. HeartRight(TM) also contains 25 percent more calcium and protein than whole milk.

All of the Smart Balance(TM) Milks are hormone and antibiotic free.***

(1) Category and share data according to Information Resources Inc.

*All Omega-3 varieties contain 1g of fat from the Omega-3 Oil Blend.

**Foods containing at least 400mg per serving of plant sterols eaten twice a day with meals for a daily total intake of at least 800mg, as part of a diet low in saturated fat and cholesterol, may reduce the risk of heart disease. A serving of Smart Balance(TM) Heart Right(TM) supplies 400mg of plant sterols.

***Smart Balance uses milk produced from cows not treated with rBST. The FDA has found no significant difference from milk derived from rBST-treated cows and those not treated.

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. (Nasdaq: SMBL) 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® Buttery Spreads, Milk, Butter Blend Sticks, Sour Cream, 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.