American Lorain Successfully Passes Factory Inspection of Two Premium Retailers

2011-07-04

JUNAN COUNTY, ChinaJuly 4, 2011 /PRNewswire-Asia-FirstCall/ — American Lorain Corporation(NYSEAmex: ALN(“American Lorain” or the “Company”), an international processed snack foods, convenience foods, and frozen foods company based in Shandong ProvinceChina, today announced that its Beijing and Dongguan facilities have recently successfully passed the factory inspection by two premium retailers, Ito Yokado (“Yokado”) Chengdu subsidiary and Jusco Guangdong subsidiary.

Yokado is owned by Seven & i Holdings Co. Ltd., a fortune 500 holding company from Japan which also owns other world famous brands such as the 7-Eleven chain stores. The Yokado Chengdu subsidiary conducted factory inspection for American Lorain's rice box products with specific focus on the production facilities and each functional department. Result shows that American Lorain implemented distinguishing storage zones and clear tracing mechanism for its raw materials, semi-finished and finished goods; the production was efficient, procedural and hygienic which fully qualified the inspection standards. Next, the Company expects to commence selling its rice products at the Yokado stores in Chengdu subject to further negotiations.

The mid-high end positioned Jusco supermarkets are owned by AEON Co. Ltd., also a fortune 500 holding company from Japan comprised of a group of 180 retailing companies. During May, the Guangdong subsidiary of Jusco conducted a stringent factory inspection for American Lorain's pickle products in its Dongguan subsidiary with respect to procurement, production, storage & transportation, and hygienic standards, which also yielded satisfactory results. American Lorain's Caigenjie branded pickle products have now began retailing through branded counters in Jusco supermarkets in Guangzhou and Shenzhen, with negotiation for chestnut and frozen food products in progress.

American Lorain's Chairman and CEO, Mr. Si Chen, stated, “With the rapid development of the processed food industry, factory inspection has become a prerequisite for entering retail channels for manufacturers. The 7-Eleven's Japan headquarter conducted a successful factory inspection for American Lorain's chestnut products back in November of 2010, and we now export our chestnut products to these 7-Eleven retail outlets in Japan. The successful inspection by two other top retailers has shown that American Lorain possesses strong manufacturing facilities and systematic production management expertise, which we believe serves as a solid foundation for the Company's further development.”

About American Lorain Corporation

American Lorain Corporation products include chestnut products, convenience food products and frozen food products. The Company currently sells over 240 products to 26 provinces and administrative regions in China as well as to 42 foreign countries. The Company operates through its five direct and indirect subsidiaries and one leased factory located in China. For further information about American Lorain Corporation, please visit the Company's website at http://www.americanlorain.com.

About Ito Yokado Ltd.

One of Japan's leading retailers, Ito-Yokado is a Japanese general merchandise store which operates about 174 superstores throughout Japan. Formerly a holding company for businesses that included banks, convenience stores, and restaurants, Ito-Yokado is now a subsidiary and the core operating company of Japan's largest retail conglomerate Seven & i Holdings's domestic superstore business. For more information, please refer to http://www.iy-cd.com/ or http://www.7andi.com/en/.

About Jusco, Ltd.

Jusco supermarkets are owned by AEON Co. Ltd., also a fortune 500 holding company from Japancomprised of a group of 180 retailing companies. The Jusco Guangdong subsidiary is a joint venture formed by AEON Stores (Hong Kong) Co., Ltd. and Guangdong Tianhecheng Merchandise Co., Ltd. For more information, please refer to http://www.jusco.cn/ or http://www.aeon.info/en.

SOURCE American Lorain Corporation