Ann: Food Processing Division and General Update , page-3

re: Ann: Food Processing Division and General... Although the company said that it intended to enter the seafood processing side of the industry I did not think it would happen for awhile, acquiring this existing food processing business CAQ obversely see opportunity.

It looks that the supermarkets have been targeted with their Cell Aqua Foods Eco-Brand. I think over time we are going to see this part of the company become very big.

I am a little disappointed with this Malaysian company in the time it is taking with ongoing discussions, but agree when a partner is putting up the cash they call the shots, it is very possible that their neighbor may get the jump on them first.

Singapore is looking very good indeed, a site has been chosen and thats quite remarkable considering land in Singapore is in short supply and comes at a premium, I think the issue was the size of the land because Cell have intentions to expend this facility, they have said it's the first stage of production. CAQ having 50% of this farm for high value premium species will be fantastic for the company, with costs approximately $4 million to establish Singapore is very efficient in it's relevant approval process, yes this JV may start before Malaysia. I understand this farm is going to be Grouper, sold live into the Singapore market, this species is sold at a high premium.

I will talk about South Africa later as Mr Johnson is calling......