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SANTA ANA - 10/21/04 - Value-added beverage producer Tropical Beverage Inc. has entered into a joint venture with Five Star Beverages to build a mega co-packing facility in Southern California.

The planned facility will feature five filling lines, with hot-fill, carbonated soda, canning and packaging lines, and house a complete in house print shop, a blow molder to produce bottles, and more than 200,000 sq ft of warehouse space.

"We are in the beginning stages of planning for this plant and are looking to finalize the location within the next few weeks," said Tropical Beverage's Chief Financial Officer, Chris Lotito.

The company, he said, has already received letters of intent that account for over 15 million cases of product a year with only two of the five production lines installed with more than 45 million cases produced a year by the end of year one.

"Our plans are to offer to the industry a complete one stop shop for their co-packing needs," he added.

Tropical Beverage is currently exporting to Japan and, Lotito said, has plans to expand its overseas sales in other regions to some 10% of the company's total business

"We are looking seriously at penetrating additional international markets," he said.

The year-old company's product line includes pure spring waters, flavored waters, vapor-distilled waters, ultra-pure purified waters, micro-clustered waters and waters with additives including oxygen, caffeine, electrolytes, and other enhanced minerals and vitamins.

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