USA Distribution Agreement and major PR campaign

RNS Number : 6798B

Symphony Environmental Tech. PLC

23 February 2011

 



23 February 2011                                                                               

SYMPHONY ENVIRONMENTAL TECHNOLOGIES PLC

USA Distribution Agreement

and

Major USA PR Campaign

Symphony Environmental Technologies Plc ("Symphony" or "Company"), the specialist in advanced plastics technologies including controlled life and anti-microbial products, is pleased to announce that it has signed a 25 year distribution agreement (the "Agreement") with Timothy Murtaugh (T/A Symphony Environmental USA) (the "Distributor") for its d2w and d2p additives and products in the United States of America ("USA").

HIGHLIGHTS:

·     25 year distribution agreement to supply Symphony's d2w and d2p technologies and finished 
products in the USA;

·     USA based sales force will market and sell Symphony's products;

·     Symphony to be issued with 10 per cent. of the shares in the new US distribution company; and

·     Planning of a major joint public relations and marketing campaign throughout the USA commenced.

Under the 25 year distribution agreement the Distributor will exclusively distribute and market the Company's d2w and d2p additives in the USA (other than to certain existing Symphony customers). The Agreement also appoints the Distributor as Symphony's non-exclusive distributor of certain agreed finished products. The Distributor will market and sell Symphony's additives and products through an existing USA based sales force.

During the nine months following the signing of the Agreement, Symphony will carry out a nationwide public relations and marketing exercise in the USA focusing on building brand awareness and recognition of plastic products incorporating d2w, to be co-ordinated by Burson-Marsteller, one of the United States' most established public relations agencies. The costs of this campaign will be shared equally between Symphony and the Distributor.

As a condition precedent to the Agreement the Distributor will order a material quantity of d2w from Symphony before 16 April 2011, following which the Agreement will come into full effect.

The Agreement provides the Distributor with certain defined minimum order volumes and Symphony is entitled to modify the Agreement in the event that these minimum order volumes are not met.

Pursuant to the Agreement, the Distributor has undertaken to form a newco through which it will perform its obligations under the Agreement ("Newco"). The Distributor will issue 10 per cent. of the issued share capital of Newco to Symphony.

The Agreement provides that within six months the Distributor will purchase or hire Symphony's latest d2detector quality control and anti-counterfeiting device.

Michael Laurier, CEO of Symphony, commented: "We are delighted to announce the signing of the distribution agreement covering a key market for Symphony and are particularly pleased to have negotiated a long-term commitment from our chosen distribution partner. 

"This agreement marks the first stage of our strategic development in the US, where we believe there is significant potential to distribute the d2w controlled plastic and d2p anti-microbial additive technologies into one of the largest plastics markets in the world."

Tim Murtaugh, Chief Executive Officer of Symphony Environmental USA, commented: "We are excited to become members of Symphony's worldwide distribution network and are planning to invest substantial funds and effort in order to distribute Symphony's existing technologies in the US."

**ENDS**

For further information, please contact:

Symphony
Michael Laurier, CEO	Tel: [phone]
Ian Bristow, FD
Allenby Capital
Nick Naylor/James Reeve	Tel: [phone]
Bishopsgate Communications Nick Rome	Tel: [phone]

SYMPHONY ENVIRONMENTAL TECHNOLOGIES PLCS shares are traded on The London Stock Exchange, Symbol: SYM: LSE and Plus Markets, Symbol: SYM; GB

Also Bank of New York Mellon Level 1 ADR Programme. Symphony ADR trades in the US on the Over-The-Counter (OTC) market under the symbol SETPY. The ADR to ordinary share ratio is 1:100 and the CUSIP is 87156K104. BNY Mellon acts as sponsored depositary for Symphony's ADR facility.

Further information on the Symphony Environmental Technologies Group of companies:

SYMPHONY ENVIRONMENTAL TECHNOLOGIES PLC is a specialist in controlled-life plastic technology and products - a system that works by a process called oxo-biodegradation.  The technology is branded d2w® and appears as a droplet logo on many thousands of tonnes of plastic packaging and other plastic products. 

Symphony's d2w® technology turns plastic at the end of its service-life into a material with a completely different molecular structure.  At that stage it is no longer a plastic and can be bioassimilated in the open environment in the same way as a leaf.

For a video of d2w® plastic degrading see http://www.youtube.com/watch?v=i3TGqcpWJTM

Symphony has a diverse and growing customer-base and has established itself successfully as an international business. Products made with d2w® plastic technology can now be found in more than 90 countries around the world and in many different product applications.  Symphony is a member of the Oxo-biodegradable Plastics Association (www.biodeg.org), the Society for the Chemical Industry (UK), The British Plastics Federation (BPF), and the American Standards Organisation (ASTM).  Symphony is also a member of the European Organisation for Packaging & the Environment (Europen) and the British Brands Group. Symphony actively participates in the work of the British Standards Institute (BSI), the European Standards Organisation (CEN), and the International Standards Organisation (ISO) as well as ASTM.

Symphony also owns the trademark d2p for an anti-microbial technology that can be used in most types of plastic products to help protect against infection.  Symphony is also developing innovative and cost-effective waste-to-value technology to convert scrap tyres and other waste-streams into valuable products.

Further information on the Symphony Group can be found at www.d2w.net.

Further information on Symphony Environmental USA. The core team of Symphony Environmental USA consists of a group of individuals with long term established relationships with the nation's largest retailers, supermarket chains, plastic products manufacturers, food service providers, food products and casual restaurants. They also enjoy relationships with leading international plastics manufacturers. Headquarters are located in Jacksonville, Florida.

 

END

 

 

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