Cyanotech increases bank line of credit to $2 million.KAILUA-KONA, Hawaii--(BUSINESS WIRE)--March 18, 1997--Cyanotech Corp. (NASDAQ/NMS:CYAN) Tuesday announced an increase in its bank line of credit with First Hawaiian Bank from $1 million to $2 million. "The increased credit facility, along with the company's cash position and strong cash flow from operations Cash flow from operations A firm's net cash inflow resulting directly from its regular operations (disregarding extraordinary items such as the sale of fixed assets or transaction costs associated with issuing securities), calculated as the sum of net income plus noncash expenses , will enable Cyanotech to embark on the next phase of expansion of production capacity for natural astaxanthin," said Ronald P. Scott, Cyanotech's chief financial officer. "Based on positive early market response to the company natural astaxanthin product, NatuRose, Cyanotech may accelerate its capacity expansion planned for calendar 1997. This credit line is expected to be sufficient to meet any working capital financing needs for 1997." The increase in the credit line coincides with the company's recent commercial launch of NatuRose at the World Aquaculture aquaculture, the raising and harvesting of fresh- and saltwater plants and animals. The most economically important form of aquaculture is fish farming, an industry that accounts for an ever increasing share of world fisheries production. '97 Conference in Seattle. NatuRose is the company's brand name for natural astaxanthin, which is a red pigment used in the aquaculture industry to impart pink color to the flesh of pen-raised fish and shrimp.' Cyanotech produces high-value natural products from microalgae. The company's current products include Spirulina spirulina Any cyanobacteria in the genus Spirulina. A traditional food source in parts of Africa and Mexico, spirulina is an exceptionally rich source of vitamins, minerals, and protein, and one of the few nonanimal sources of vitamin B12. Pacifica, a nutrient-rich nutritional supplement; NatuRose, which is a natural astaxanthin product used in the worldwide aquaculture industry; and phycobiliproteins, which are fluorescent pigments used in the immunological immunologic, immunological emanating from or pertaining to immunology. immunologic competence see immunocompetence. immunologic domains diagnostics market. Cyanotech is also developing microalgae based products for the biopesticide markets, and it is the only microalgae company in the world to have an ISO (1) See ISO speed. (2) (International Organization for Standardization, Geneva, Switzerland, www.iso.ch) An organization that sets international standards, founded in 1946. The U.S. member body is ANSI. 9002 Registered Quality System. Additional company and product information is available on Cyanotech's World Wide Web site at www.cyanotech.com . -0- Certain statements in this news release set forth management's intentions, plans, beliefs, expectations or predictions of the future based on current facts and analyses. Actual results may differ materially from those indicated in such statements. Additional information on factors that may affect the business and financial results of the company and cause actual results to differ from current expectations can be found in filings of the company with the Securities and Exchange Commission. CONTACT: Cyanotech Corp., Kailua-Kona Ronald P. Scott, 808/326-1353 or Bruce Russell Bruce Russell is a New Zealand experimental musician. He is a founding member and guitarist of the noise rock trio The Dead C and the free noise combo A Handful of Dust (with Alastair Galbraith). He has released solo albums featuring guitar and tape manipulation. , 310/216-1414 (investor relations Investor relations The process by which the corporation communicates with its investors. ) |
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