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Central Garden & Pet Acquires Energy Savers Unlimited.


LAFAYETTE, Calif. -- Central Garden & Pet Company (Nasdaq:CENT)

--Leading Brand in Specialty Lighting Systems for Aquariums

--Strengthens Central's Aquatics Strategy

Central Garden & Pet Company (Nasdaq:CENT) announced today the acquisition of substantially all of the assets of Energy Savers Unlimited, Inc. ("ESU") for a total cash consideration of approximately $34 million.

Based in Southern California Southern California, also colloquially known as SoCal, is the southern portion of the U.S. state of California. Centered on the cities of Los Angeles and San Diego, Southern California is home to nearly 24 million people and is the nation's second most populated region, , ESU is the market leading U.S. supplier of high intensity and specialty lighting to aquatics, reptile and avian avian /avi·an/ (a´ve-an) of or pertaining to birds.

a·vi·an
adj.
Of, relating to, or characteristic of birds.
 hobbyists. ESU also markets and sells a broad range of reptile, marine, freshwater and avian accessories and consumables to hobbyists and enthusiasts under its proprietary brand names including: "Energy Savers," "Coralife," "Pondlife" and "Birdlife."

"ESU is a leader in its product categories with a strong history of innovative new products and technology," said Glenn Novotny, President and Chief Executive Officer of Central. "The acquisition of ESU further leverages our leadership position in aquariums, adding a third premium consumable and accessory supplier to our aquatics portfolio."

ESU joins Central's leading portfolio of aquatic brands and products which now includes:

--All-Glass and Oceanic - The industry leaders in aquariums, terrariums, furniture and related lighting systems. These brands market and sell high-end aquariums and kits to the pet specialty and mass channel and, Oceanic recently launched a patent pending line of Oceanic Natural Sea Salt Mix.

--Kent Marine - A leading manufacturer and supplier of saltwater aquarium supplements and conditioners.

--Interpet - A leading innovator, manufacturer and supplier of branded aquatic and pond products including environmental care and filtration systems, ornaments and book titles based in the United Kingdom.

--Energy Savers Unlimited - A leading supplier of sophisticated aquarium lighting Aquarium lighting is the term used to describe any type of light, (fluorescent, metal halide, led or other) that is used to light an aquarium. Aquarium lighting can serve only to illuminate the tank or in some instances, such as with reef aquariums, support the life contained  systems and environmental controls and conditioners.

In 2003, ESU net sales Net Sales

The amount a seller receives from the buyer after costs associated with the sale are deducted.

Notes:
This amount is calculated by subtracting the following items from gross sales: merchandise returned for credit, allowances for damaged or missing goods, freight
 were approximately $20 million. The transaction is consistent with Central's previously stated acquisition criteria of 5-to-7 times trailing 12 months operating income Operating Income

The profit realized from a business' own operations.

Notes:
This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit.
 and is expected to be neutral to earnings for the fiscal year ending September 2004. Central may be required to pay additional cash consideration over the next year, contingent upon Adj. 1. contingent upon - determined by conditions or circumstances that follow; "arms sales contingent on the approval of congress"
contingent on, dependant on, dependant upon, dependent on, dependent upon, depending on, contingent
 the actual earnings of the acquired business. Central will provide the anticipated fiscal year 2005 earnings contribution from ESU when it provides its fiscal year 2005 consolidated outlook in late October or early November.

Mr. Novotny concluded, "We continue to make great progress expanding our portfolio of leading innovative products to our customers. ESU's recognized brands, history of innovation, customer focus and strong financial performance represent an excellent fit into the Central family of branded products. We are excited that Omer Dersom, the founder of ESU, and his team will be joining us and look forward to working together."

Central Garden & Pet Company is a leading innovator, marketer and producer of quality branded products for the pet and lawn and garden supplies markets. Our pet products include pet bird and small animal food, aquarium products, flea, tick, mosquito and other pest control pest control ncontrol m de plagas

pest control nlutte f contre les nuisibles

pest control pest n
 products, edible bones, cages, carriers, pet books, and other dog, cat, reptile and small animal products. These products are sold under a number of brand names, including Kaytee, All-Glass Aquarium, Oceanic, Kent Marine, Energy Savers Unlimited, Zodiac, Pre-Strike, Altosid, Nylabone, TFH TFH Technische Fachhochschule (German: Engeneering College/University)
TFH 24 Hours (Movie)
TFH Thread from Hell (newsgroups)
TFH Tinfoil Hat
TFH Thanks For Helping
, Four Paws and Interpet. Our lawn and garden products include grass seed, wild bird food, weed and insect control products, decorative outdoor patio products and ant control products. These products are sold under a number of brand names, including Pennington, Rebel, Lofts, Norcal Pottery, New England New England, name applied to the region comprising six states of the NE United States—Maine, New Hampshire, Vermont, Massachusetts, Rhode Island, and Connecticut. The region is thought to have been so named by Capt.  Pottery, GKI/Bethlehem Lighting, Lilly Miller, Matthews Four Seasons, AMDRO and Grant's. For additional information on Central Garden & Pet, including access to the Company's SEC filings, please visit the Company's website at http://www.centralgardenandpet.com/.

"Safe Harbor Safe Harbor

1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated.

2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive.
" Statement under the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and  of 1995: The statements contained in this release which are not historical facts, including future earnings guidance, are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those set forth in or implied by forward-looking statements. These risks are described in the Company's Securities and Exchange Commission filings, including, without limitation, the resolution of the litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute.

When a person begins a civil lawsuit, the person enters into a process called litigation.
 between the Company and Herbert Axelrod. Central undertakes no obligation to publicly update these forward-looking statements to reflect new information, subsequent events or otherwise.
COPYRIGHT 2004 Business Wire
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2004, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Publication:Business Wire
Geographic Code:1USA
Date:Aug 31, 2004
Words:694
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