Full Press Release Details
| News Release | Contact: Bruce Russell | ||
| (310) 559-4955 x101 | |||
| brucerussell@ruscom.com |
Cyanotech Focuses Natural
Astaxanthin Production on BioAstin for Human Market,
Discontinues Production of
NatuRose for Animal Feed Market in Strategic Move
KAILUA KONA, Hawaii (March 26, 2008) Cyanotech
Corporation (Nasdaq Capital Market: CYAN), a world leader in producing
high-value nutrition and health products from microalgae, today announced that
it will discontinue marketing of its NatuRose product for the animal feed
market in order to focus production and marketing of natural astaxanthin
exclusively on the higher value human market.
Cyanotech s marketing efforts and investment directed
toward the human astaxanthin market in recent periods have yielded excellent
results, said Gerald R. Cysewski, Ph.D., Cyanotech s Chairman, President and
Chief Executive Officer. Our sales of BioAstin, the industry-leading brand in
the human astaxanthin market, recorded a 137% increase in the third quarter of
fiscal 2008 (ended 12/31/2007) compared with the same quarter of the previous
Although many believe that natural astaxanthin
provides far more benefits for aquaculture than synthetic astaxanthin made from
petroleum, that product now dominates the market for fish coloring and our
higher quality, higher priced natural product cannot compete effectively, Dr. Cysewski
Our strategy has evolved to exclusively target the
human astaxanthin market where we have a cost advantage. Cyanotech has the largest production capacity
of natural astaxanthin in the industry and largest sales of all producers
selling astaxanthin into the human nutrition market, Dr. Cysewski
concluded. We see this important
decision as our BioAstin customers insurance that we will continue to be the
most reliable supplier in the industry as natural astaxanthin becomes a more
widely used human nutraceutical supplement.
Cyanotech also announced it has discontinued
production and marketing of phycobiliproteins (fluorescent pigments made from
microalgae and used in medical diagnostic testing and research), a highly
specialized product that had provided a small contribution to revenue in recent
Corporation, a world leader in microalgae technology, produces BioAstin Natural Astaxanthin and Hawaiian Spirulina Pacifica all natural, functional nutrients that
enhance human health and nutrition. Cyanotech s spirulina, FDA reviewed and
accepted as Generally Recognized as Safe (GRAS) for use as a food ingredient,
augments energy and immune response. BioAstin s benefits derive from its
superior antioxidant activity and from its ability to support and maintain
natural inflammatory response, enhancing skin, muscle and joint health.
Cyanotech produces these products from microalgae grown at its 90-acre facility
in Hawaii using patented and proprietary technology and distributes them to
nutritional supplement, nutraceutical and cosmeceutical makers and marketers in
more than 40 countries worldwide. Cyanotech was
the first microalgae company in the world to obtain ISO
9001:2000. Visit www.cyanotech.com for more information.
Safe Harbor Statement under the
Private Securities Litigation Reform Act of 1995
Except for statements of
historical fact, the statements in this press release are forward-looking. Such statements are subject to a number of
risks and uncertainties that could cause actual results to differ materially
from the statements made. These factors
include, but are not limited to, general economic conditions, forecasts of
sales in future periods, changes in sales levels to our largest customers,
weather patterns, production problems caused by contamination, risks associated
with the acceptance of new products, competition, foreign exchange
fluctuations, government regulation, and other factors more fully detailed in
the Company s recent Form 10-Q and annual form 10-K filings with the
Securities and Exchange Commission.
Kaahumanu Highway, #102 ~ Kailua-Kona, Hawaii 96740
(808) 326-1353 fax (808) 329-3597 ~ www.cyanotech.com