Greenhouse Canada

New BreatheWay® packaging for Windset produce

July 15, 2010  By Dave Harrison


New BreatheWay® packaging for Windset produce
Landec Corporation has
its subsidiary, Apio Inc., has signed an exclusive licence
agreement with
Greenhouse Grown Foods Inc. (Windset Farms).


July 15, 2010, Vancouver – Landec Corporation , a polymer
science company that develops and markets patented polymer products for food,
agricultural, medical device and licensed partner applications, has announced
its subsidiary, Apio Inc., has signed an exclusive licence agreement with
Greenhouse Grown Foods Inc. (Windset Farms), a privately held produce company
headquartered in Vancouver.

Apio Inc ., a wholly owned food subsidiary of Landec
Corporation, has granted an exclusive licence for Windset to utilize Landec’s
proprietary breathable packaging to extend the shelf life of specific
greenhouse-grown vegetables, initially covering cucumbers and, following
further successful trials, to include peppers and tomatoes, specifically,
grape, roma and cherry type tomatoes.

Under the agreement, Apio will receive a one-time upfront
research and development fee of $100,000 and ongoing license fees equal to
three per cent of net revenue of the exclusive products utilizing the proprietary
breathable packaging technology, with or without the BreatheWay® trademark. The
ongoing license fees are subject to annual minimums of $150,000 for each of the
three types of exclusive product as each is added to the exclusive agreement.

Windset will have the exclusive use of the Landec technology
and BreatheWay trademark for use in the production, marketing, distribution and
sale of the exclusive products in the United States and Canada within the
exclusive licenced field. For its part, Apio will provide Windset with all
necessary technical services and support regarding any future development of
the technology. The initial term of the agreement for each exclusive product is
for four years with automatic renewal of four-year terms for each exclusive product,
unless specific products are terminated.

“We are pleased that Windset recognizes the unique properties
of our packaging technology,” said Apio CEO Ron Midyett. “Windset has a
recognized history of producing, marketing and distributing high quality
greenhouse-grown vegetables and we look forward to working with them.”

Founded in 1996, Windset Farms has B.C. properties in Delta
and Abbotsford, and in North Las Vegas, Nevada. It produces, grades, packages
and distributes vegetables to customers throughout North America and is one of
only two greenhouses in western North America with its own storage and
distribution facility. It has the exclusive right to market 284 acres of
greenhouse crops and has developed a tier-one customer list. To ensure its competitive
advantage, Windset Farms has spent a significant amount of time researching the
most advanced technologies for greenhouse growing, grading, packaging and

“We are excited about utilizing Landec’s technology to
differentiate, and enhance, the quality of our vegetables for our customers and
for their customers,” said Windset CEO Steve Newell. “This long-term exclusive
license is part of our strategy to develop and expand our existing line of
products and customer base. We believe that the combination of our production,
marketing and distribution capabilities, along with the Landec technology and
any further developments of the technology, will result in a profitable
collaboration for both Windset and Landec/Apio.”

Windset Farms has grown to be one of the most advanced
greenhouse operators in Canada and the largest vertically integrated operation
in Western Canada. It is a privately held company.

Landec is a materials science company, leveraging its
capability in polymer science and bio-application development in order to
commercialize new products within a variety of life science fields, including
food, agricultural, personal care and medical device applications. With its
Intelimer® polymers, Landec is able to customize its proprietary polymer
materials for each application through the manipulation of their unique
controlled release, temperature activation and/or biocompatibility properties.
Landec’s subsidiary, Apio Inc., has leveraged Landec’s BreatheWay® membrane to
become a leader in U.S. fresh-cut specialty vegetables.

Landec Ag offers a full solution of seed coatings and
enhancements that work with the latest genetic technologies to drive continuous
improvements in crop yield.

Landec has also commercialized dozens of personal care and
adhesive products through its long-standing partner relationships. With its
recent acquisition of Lifecore Biomedical, Landec is now a leading supplier of
premium hyaluronan-based biomaterials for the medical and veterinary markets,
as well as the leading supplier to ophthalmology companies. For more
information about the Company visit Landec’s web site at

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