Armanino Foods Exceeds Best Pre-Tax Quarterly Earnings Mark Set a Year Ago.

HAYWARD, Calif. -- Armanino Foods of Distinction, Inc. (Pink Sheets Symbol: AMNF) today reported that on a pre-tax basis it recorded its most profitable quarter in its history, edging out last year's previous best by $6,000.

For the three months ended June 30, 2007, sales rose 8% from the $4,378,386 recorded last year to the $4,732,528 recorded this year. Pre-tax income for the same period rose to $485,459 from $479,451 a year ago. After- tax income declined to $303,630 this year from $332,467 a year ago. Last year's after-tax income results were aided by favorable tax credits. Earnings per share were two cents in both quarters.

For the first six months of 2007, sales rose 9% to $8,825,827 from $8,110,403 in 2006. Net income per share declined from three cents for the same period last year to two cents this year.

William Armanino, the Company's chairman and CEO said, "The growth and maturation of our in-house sales force and our broker and distributor network during the last two years, a recently implemented price increase in some of our products and a number of promotions conducted in our food service and retail sectors all contributed to our profit and sales increase." He added, "We believe this favorable trend in both sales and pre-tax earnings will continue for the balance of the year. We are currently launching organic pesto flavors into both of our core market segments, which we expect to also increase sales growth in the future."

Armanino Foods of Distinction, Inc. is an international food company that manufactures and markets frozen Italian specialty food items such as pesto sauces and filled pastas to the food service, retail, and industrial markets. In addition to a classic Basil pesto Armanino offers other flavors such as Cilantro, Dried Tomato & Garlic, Roasted Red Bell Pepper, Southwest Chipotle, Artichoke and Roasted Garlic. Armanino's Organic line includes the classic Basil Pesto as well as the Dried Tomato & Garlic pesto. Frozen pastas, meatballs, other frozen meat and poultry products, spreads and Focaccia are also offered by Armanino.

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