HERSHEY, Pa., Aug. 19 /PRNewswire-FirstCall/ -- Hershey Foods Corporation
today announced that ZonePerfect Nutrition Company's request for a preliminary
injunction to stop the sale of Hershey's SmartZone nutrition bar was denied by
Judge Richard Stearns of the US District Court for the District of
Massachusetts on August 4, 2004. In denying the motion for a preliminary
injunction, Judge Stearns noted that he could not conclude that ZonePerfect
had established a likelihood of success on the merits. He also noted the
"fact that ZonePerfect appears to be attempting to sow consumer confusion by
implying that its product is associated with Dr. Sears and his Zone Diet."
ZonePerfect, a subsidiary of Abbott Laboratories, filed suit against
Hershey in April 2004, alleging that Hershey's product infringes the
ZonePerfect trademark. Hershey has denied any infringement. A trial will not
occur for at least a year, at which time Hershey's counterclaims will be
heard. These include a claim that ZonePerfect has engaged in false
advertising by representing that its products are endorsed by Dr. Sears.
Hershey announced plans in February 2004 to introduce Hershey's SmartZone
nutrition bars, which will be sold in chocolate, peanut butter and chocolate,
lemon and strawberry flavors. These new products will be available at retail
nationwide beginning in September, as planned, and will be the first nutrition
bars to carry the new "Dr. Sears Zone Approved" seal.
Andrew England, Vice President and General Manager, Snacks, Hershey Foods
Corporation, commenting on the introduction, said, "Hershey's SmartZone
nutrition bars are innovative products that deliver the superior nutritional
benefits of Dr. Sears' Zone Diet and the great taste consumers expect from
Hershey. This launch is another step forward in our strategy of offering
consumers a range of healthier snack choices."
Dr. Sears is one of the world's leading experts on nutrition. A former
research scientist at Boston University School of Medicine and the
Massachusetts Institute of Technology, he holds 13 US patents in the areas of
drug-delivery systems and dietary control of hormonal response. In 1995, he
first published his insights into hormonal effects of food in his landmark
book, The Zone, which became a New York Times #1 best seller. He since has
published nine additional books on his Zone dietary technology, which have
been translated into 22 languages in 40 countries. Zone Labs provides
research and development support for Dr. Sears' effort to bring evidence-based
nutrition products to consumers.
Safe Harbor Statement
This release contains statements which are forward-looking. These
statements are made based upon current expectations which are subject to risk
and uncertainty. Actual results may differ materially from those contained in
the forward-looking statements. Factors which could cause results to differ
materially include, but are not limited to: litigation risks related to the
SmartZone trademark; changes in the confectionery and grocery business
environment, including actions of competitors and changes in confectionery
preferences; customer and consumer response to selling price increases;
changes in governmental laws and regulations, including taxes; market demand
for new and existing products; changes in raw material and other costs;
pension cost factors such as actuarial assumptions, market performance, and
employee retirement decisions; adequacy of the Company's bad debt reserve; the
Company's ability to implement improvements to reduce costs associated with
its supply chain; and the Company's ability to successfully implement its
rationalization and realignment initiatives, as discussed in the Company's
annual report on Form 10-K for 2003.
About Hershey Foods Corporation
Hershey Foods Corporation (NYSE: HSY) is a leading snack food company and
the largest North American manufacturer of quality chocolate and non-chocolate
confectionary products, with revenues of over $4 billion and more than 13,000
employees worldwide. The company markets such well-known brands as Hershey's,
Reese's, Hershey's Kisses, Kit Kat, Almond Joy, Mounds, York, Jolly Rancher,
Twizzlers, Ice Breakers and Bubble Yum as well as innovative new products such
as Swoops and Hershey's S'mores. In addition to its traditional confectionery
products, Hershey offers a range of products specifically developed to address
the nutritional interests of today's health-conscious consumer. These
products include sugar-free Hershey's, Reese's and York candies, as well as
Hershey's 1 gram Sugar Carb bars for people living a low-carb lifestyle. It
also markets Hershey's cocoa, Hershey's syrup and other branded baking
ingredients, toppings and beverages. Visit us at
http://www.hersheynewsroom.com.
SOURCE Hershey Foods Corporation
CONTACT: Stephanie Moritz, Hershey Foods Corporation, +1-717-508-3238/
Web site: http://www.hersheynewsroom.com
http://www.hersheys.com
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