Vancouver, British Columbia--(Newsfile Corp. - November 30, 2021) - The Good Flour Corp. (CSE: GFCO) (OTC Pink: LPPPF) (FSE: 3KZ) ("GFCO") is pleased to announce that it has designed and ordered a new automated filling, bagging and packaging line from Paxiom Inc. Established in 1991, Paxiom is a North American leader in food grade automation equipment and has delivered over 5000 machines globally.
There has always been a significant demand for GFCO's products, but due to space constraints and lack of automation, scaling manufacturing to meet market demand wasn't plausible. With GFCO's new 8,000 square foot facility in Burnaby, British Columbia it will be able to scale manufacturing without compromising quality or safety.
The new production line, depending on packaging size, will allow GFCO to increase its dry good production between eight and fourteen times its current manufacturing volumes. The production line will be available for all of GFCO's products: all-purpose baking flour; Pizza & pasta flour; Tempura batter mix; Fish & chips batter mix; Fried chicken mix; Pancake & waffle mix and Vanilla bean cake mix. These new volumes should assist GFCO in its goal of disrupting the US$160 billion global wheat flour market.
GFCO anticipates the automated production line will be operational in the second calendar quarter of 2022. Once operational, GFCO expects that a single shift will be able to generate an annual $5 million retail value in product with a single daily shift and an annual $10 million retail value in product with two daily shifts. This assumes a product mix consisting of food service bags and retail bags and does not include additional retail value from the production of frozen pizza shells.
"We are very fortunate to find ourselves in the envious position of having product demand outpace production," explained Matthew Clayton, Chief Executive Officer of GFCO. "Since inception, the company's founders Chef Hamid Salimian and Chef Jennifer Peters have created leading gluten and allergen free cooking & baking blends that have faced product demand that exceeds production capacity. Finally, after 9 years we will be in a position to meet customer requests both locally and internationally. I am very excited about our expansion and marketing plans moving forward."
Paxiom Group Inc. designs and manufactures packing machineries. Paxiom offers a range of machineries for filling, bagging, wrapping, labeling, capping, cartoning, end of line case packing, and turnkey solutions. Paxiom Group serves customers worldwide. For additional information on Paxiom Inc. please refer to www.paxiom.com.
About The Good Flour Corp.
GFCO's mission is to provide a gluten-free, allergen free, hassle-free all-purpose baking flour blend that allows individuals with gluten and other food allergies to enjoy life without giving up their favorite foods or settling for low-quality alternatives. GFCO also provides gluten and allergen free fried chicken batter, fish & chip batter, pizza & pasta mix, tempura batter, pancake and waffle blend, cake mix and pizza crusts.
For additional information on The Good Flour Corp. please refer to www.goodflour.co.
Cautionary Note Regarding Forward-Looking Information
This news release contains "forward-looking information" concerning anticipated developments and events related to GFCO that may occur in the future. Forward-looking information contained in this news release includes, but is not limited to, statements with respect to GFCO's future business objectives, its ability to disrupt the global wheat flour market, product details, plans to expand production capacity and demand for GFCO's products.
In certain cases, forward-looking information can be identified by the use of words such as "expects", "intends", "anticipates" or variations of such words and phrases or state that certain actions, events or results "may", "would", or "might" suggesting future outcomes, or other expectations, assumptions, intentions or statements about future events or performance. Forward-looking information contained in this news release is based on certain factors and assumptions regarding, among other things, the timely receipt of regulatory approvals; the ability to source ingredients; the ability to attract qualified management and staff; the ability to effectively expand manufacturing and production capacity; the success of market initiatives and the ability to grow brand awareness; the ability to obtain retail partners to distribute Company's products; the ability to attract, maintain and expand relationships with key strategic restaurant and food service partners and GFCO will continue to have access to financing until it achieves profitability. While GFCO considers these assumptions to be reasonable, they may be incorrect.
Forward-looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results to be materially different from any future results expressed by the forward-looking information. Such factors include risks related to general business, economic and social uncertainties; local and global market and economic uncertainties arising in respect of the COVID-19 pandemic; risks associated with supply chain for machinery and equipment; litigation, availability of key product ingredients; legislative, environmental and other judicial, regulatory, political and competitive developments; failure to effectively expand manufacturing and production capacity; the ability to obtain retail partners to distribute Company's products; failure to attract, maintain and expand relationships with key strategic restaurant and food service partners; changing consumer taste preferences; delay or failure to receive regulatory approvals; the sufficiency of our cash to meet liquidity needs; failure to attract qualified management and staff, labour disputes; and the additional risks identified in the "Risk Factors" section of GFCO's filings with applicable Canadian securities regulators.
Although GFCO has attempted to identify factors that could cause actual results to differ materially from those described in forward-looking information, there may be other factors that cause results not to be as anticipated. Readers should not place undue reliance on forward-looking information. The forward-looking information is made as of the date of this news release. Except as required by applicable securities laws, GFCO does not undertake any obligation to publicly update forward-looking information.
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