Vermont Pure Holdings Sells Retail Bottling Operation to Micropack Bottled Water

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Vermont Pure Holdings Sells Retail Bottling Operation to Micropack Bottled Water

Mon, 03/01/2004 - 8:00pm -- tim

Vermont Pure Holdings, Ltd announced that it has sold its retail production assets, located in Randolph Center, Vermont to Micropack Bottled Water of Natick, MA. Included in the sale are the bottling facility and spring sites in Randolph Center and the associated business.
"This is one of a series of steps Vermont Pure is taking to strengthen and expand our core home and office delivery business," states Tim Fallon, Chairman and CEO. "The divestiture of the single-pack retail segment of the business is a strategic and logical evolution for Vermont Pure. We believe that this business change will provide the necessary capital, expertise and attention so that all aspects of the Vermont Pure brand reach their full potential."
The company will retain the Vermont Pure trademark and continue to distribute water under that brand throughout its home and office distribution area. Vermont Pure plans to relocate its five gallon home and office bottling operations that are currently in Randolph Center to another location in Vermont, and source its spring water under an existing water supply agreement.
"Vermont Pure will continue to pursue our successful strategy of accretive acquisitions of independent home and office distributors within our marketing territories," continued Fallon. In the year ending October 31, 2003, Vermont Pure's home and office segment had revenues of $49.9 million and operating profit of $7 million.
Micropack Bottled Water, a national leader in the manufacture and sale of value-tier, single-serve bottled water products aquired Vermont Pure's state-of-the-art bottling facility and spring sources located in Randolph, Vermont, and will assume responsibility to serve Vermont Pure's growing portfolio of private label retail customers. Vermont Pure will license the Vermont Pure trademark to Micropack USA for use in bottling and distribution of retail products.
"We are proud to add Vermont Pure's outstanding facility, spring water sources and professional staff to our growing service network," says James Morgan, Micropack's president and CEO.