PENTA WATER - # 1 IN HEALTH FOOD STORES - ENTERS GROCERY CHANNEL WITH ONE OF TOP CROCERY CHAINS IN USA - KROGER

PENTA WATER - # 1 IN HEALTH FOOD STORES - ENTERS GROCERY CHANNEL WITH ONE OF TOP CROCERY CHAINS IN USA - KROGER

SAN DIEGO, CA -- May 8, 2003 -- After three years of availability exclusively in health food stores, Penta water will soon be available in major grocery stores.

Two divisions of Kroger -- one of the largest retailers in the United States -- will soon be stocking Penta water. Kroger plans to begin carrying Penta in their Cincinnati and Indianapolis KMAs beginning in late May.
   
Penta is working with both retailers to develop support programs to drive awareness and sell-through. Among the support tools being planned are display racks, couponing, radio advertising and sampling events.

We are very excited about the opportunity that entering the mainstream channel presents -- not just for us, but for retailers and consumers as well" noted Jim Peters, VP of Sales for Penta. Penta has changed the way retailers view bottled water in the health food channel by adding a Ultra Premium value added product that brings new shoppers and increases category ring and margin. Our plan is to continue to support the health food channel while simultaneously driving a successful entry into grocery. Expanding our distribution base will allow Penta to investment spend against the consumer to help awareness in both channels."

Director of Marketing Dave Donaldson agreed. Well be supporting entry into mainstream retail with a combination of advertising, promotions and heavy sampling event programs. Our objective is to ensure that carrying and promoting Penta is a good strategic decision by our customers in all classes of trade. We expect Penta to play a significant role in contributing to category growth and profitability."

Penta is also discussing distribution with major retailers in other channels, including convenience stores and drug stores.

Penta is the best selling and fastest growing water item in the health channel -- outselling the #2 item by 32% in 2002. Penta has brought increased profitability to the water category in health food stores by increasing the categorys average retail price per serving from 63¢ to 82¢ - an increase of 30%.

Penta water is produced by Bio-Hydration Research Lab, Inc., a San Diego based company. Penta is the worlds only patented purified water -- it has been demonstrated to have unique physical properties due to a patented process. Among other beneficial properties, Penta has been proven to hydrate more effectively and improve cell survival under adverse conditions.

Additional information is available on the companys web site at www.pentawater.com.