Food Extrusion, Inc. Gets New Name, Forms New Alliances

Food Extrusion, Inc. (El Dorado Hills, CA) has changed its name to The RiceX Company, effective May 15.

In addition, the company has formed strategic alliances over the past few months that include:

Signing an agreement with The Kellogg Company to collaborate in research to determine whether RiceX products have a beneficial effect on certain health conditions.

Participating with the Nutrilite Division of Amway in the development of Max "E" Stabilized Rice Bran Oil and higher value fractions from oil. Upon completion of the project, Nutrilite has indicated a plan to commercialize both nutraceutical products and edible rice bran oil for distribution in the U.S. and other countries.

Working with Monsanto to form two joint venture companies, the first in India to commercialize rice bran stabilization technology to increase the yield and quality of rice bran oil in India. The second for the worldwide, non-multi-level sales distribution channel commercialization of edible rice bran oils.

And, along with DuCoa, L.P., the company will introduce RiceX products into the petfood and swine feed industry markets.

Allen Simon, CEO said, "The name change was undertaken to highlight the fact we are entering a new phase of development. We are, uniquely, the company producing stabilized rice bran in its nutritionally dense forms. Our new motto, 'Capturing the Nutritional Value of Grain' describes our mission to develop products that promote human health and nutrition from rice, and in the future, from other grains as well." Simon, a former president of Shaklee U.S. Inc., took over as CEO last year.

Rice bran is the outer layer of the kernel that is milled off to produce white rice. The world discards 40 million metric tons of rice bran every year, according to the company.

The RiceX Company has technology that "stabilizes" rice bran to extend its shelf life to three years. The company sells the stabilized bran to natural food companies; producers of baked goods, cereals and animal foods; and for use in healthcare products.

Rice bran -- once used primarily in livestock feed -- can now be used to manufacture rice bran based nutraceuticals, functional food ingredients, and performance feed supplements.

In January 1997, Food Extrusion acquired Centennial Foods Inc., which it renamed FoodEx Montana. The Montana company had been processing Food Extrusion's soluble rice bran for use in drinks. Ike Lynch, who at the time was Centennial's president and CEO, was named Food Extrusion's vice president of operations.

Additionally, Monsanto has provided Food Extrusion a three-year, interest-free loan of $5 million for expansion. The company plans to build a processing plant locally as well as double the capacity of the Montana plant.

Edited by Pam Ahlberg

For more information: RiceX Co., 1241 Hawks Flight Ct., El Dorado Hills, CA 95762. Tel: 916-933-3000.