ROSEVILLE, Calif., June 8, 2005 (PRIMEZONE) -- Peabodys Coffee, Inc. (OTCBB:PBDY), owner of the USDA certified organic brand Black Rhino Coffee(tm), announced today that it has fully satisfied all obligations of its Redemption Agreement pursuant to the company's 2002 Secured Convertible Debenture financing. Terms of the Redemption Agreement were not disclosed.
"Eliminating this debenture has been a monumental task for us - it was our number one priority and it is finally done," commented Todd Tkachuk, President and CEO of Peabodys. "With this big burden on our cash flow behind us, we are well-positioned to direct close to $2 million of investment capital from our La Jolla Cove Investors' financing towards advancing and growing the company."
Peabodys Coffee Inc. has developed the Black Rhino Coffee(tm) brand for marketing packaged certified organic coffee in retail markets. With organic coffee being one of the fastest growing segments of the specialty coffee market, Black Rhino Coffee(tm) has uniquely positioned itself in the high-growth, natural foods category. Its hand-roasted blends are grown chemical-free under strict, totally natural conditions. All Black Rhino Coffee(tm) is independently certified under the United States Department of Agriculture's National Organic Program.
This news release may include comments that do not refer strictly to historical results or actions and may be deemed to be forward-looking within the meaning of the safe harbor provisions of the U.S. federal securities laws. These include, among others things, statements about expectations of future financing transactions, business, revenues, cash flows and capital requirements. Forward-looking statements are subject to risks and uncertainties that may cause the company's results to differ materially from expectations. These risks include the company's ability to further develop its business, the company's ability to generate revenues, develop appropriate strategic alliances and successful development and implementation of technology, acceptance of the company's services, competitive factors, new products and technological changes, and other such risks as the company may identify and discuss from time to time, including those risks disclosed in the company's periodic reports filed with the Securities and Exchange Commission. Accordingly, there is no certainty that the company's plans will be achieved.