Lassonde Industries obtains additional $15 million financing in connection with its acquisition of Clement Pappas and Company

ROUGEMONT, QC, Oct. 26, 2011 /CNW Telbec/ - Lassonde Industries Inc. (TSX: LAS.A) ("Lassonde") announces that is has obtained $15 million in additional financing related to its acquisition of Clement Pappas and Company, Inc. completed on August 12, 2011. The unsecured financing was provided by two Canadian financial institutions to a subsidiary of the Company and includes a $5 million participating loan and a $10 million conventional loan at an interest rate of 8.5%. The proceeds of these loans will be used to reduce the Company's operating debt.

The conventional loan has a term of 7 years with repayment of principal starting in 2015. The participating loan is tied to the performance of Clement Pappas and is repayable at the option of the lenders after 3 years, or at the option of the Company after 7 years. The amount repayable as principal of the participating loan is equal to 3% of 6.5 times the EBITDA of Clement Pappas for the four quarters preceding repayment, minus funded indebtedness. For the 12-month period ended August 10, 2011, EBITDA of Clement Pappas was approximately USD$59 million. If demand for repayment of the participating loan is made by the lenders and could cause the Company to be in default on its other borrowings, the Company will have the option of repaying the participating loan through the issuance to the lenders of Class A subordinate voting shares at 95% of the market price at that time.

About Lassonde Industries Inc.

Lassonde Industries Inc. is a North American leader in the development, manufacture and sale of innovative and distinctive lines of fruit and vegetable juices and drinks marketed under recognized brands such as Everfresh, Fairlee, Flavür, Fruité, Graves, Oasis and Rougemont.

Lassonde markets specialty food products such as fondue broths and sauces, cheese and chocolate fondues, soups, gravies, and sauces for pasta and pizza under recognized trademarks such as Antico and Canton. The Company also imports and markets selected wines from various countries of origin, and manufactures apple ciders and wine-based beverages.

Subsidiaries include Clement Pappas and Company, Inc., headquartered in New Jersey, which is the second-largest producer of store brand ready-to-drink fruit juices and drinks in the United States, and a major producer of cranberry juices, drinks and sauces. Clement Pappas operates five state-of-the-art production facilities and a cranberry receiving station that enable it to provide its U.S. customers with coast-to-coast service.

Lassonde is committed to maintaining high standards of quality and promoting active and healthy living. More than 2,000 employees contribute, through their expertise, to the Company's growth and superior quality products. To learn more, visit

SEDAR registration number: 00002099

Caution Concerning Forward-Looking Statements

This press release contains forward-looking statements that are based on certain assumptions. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. Additional factors are discussed in materials filed from time to time with the securities regulatory authorities in Canada. Lassonde Industries Inc. disclaims any intention or obligation to update or revise any forward-looking statements except as required by law.


For further information:

Investor contact
Guy Blanchette, CA, FCMA
Vice-President and Chief Financial Officer
Lassonde Industries Inc.
450-469-4926, extension 10782
Media contact
Stefano Bertolli
Vice-President Communications
Lassonde Industries Inc.
450-469-4926, extension 10265

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