Heinz U.S. Consumer Products Announces New Consumer-Driven Product Innovations; Company's Growth Plan Means New Products For Ore-Ida, Ketchup and Classico Brands.

Business Editors

PITTSBURGH--(BUSINESS WIRE)--Oct. 3, 2003

Heinz U.S. Consumer Products will announce today a number of new initiatives to fuel growth in its U.S. retail business. In remarks to a group of industry analysts, Heinz will also unveil the first of several steps to advance its Ore-Ida(R) frozen potato business, as well as a lower-carbohydrate version of America's favorite ketchup brand and a new meat-based Classico(R) pasta sauce line.

"These exciting new products represent Heinz's intense focus on responding to and quickly driving consumer trends," said Dave Moran, president of Heinz U.S. Consumer Products. "Whether it be the need for enhanced convenience, improved taste, diet and lifestyle changes, or the mainstreaming of ethnic flavors, Heinz is positioning itself and its brands to turn significant consumer trends into new growth opportunities."

Each of the products to be announced today by Heinz is designed to respond to consumer trends.

Ore-Ida Extra Crispy Potato Extension

In January 2004, Ore-Ida will launch three Extra Crispy versions of its most popular products - Golden Crinkles, Fast Fries and Tater Tots(R). The Extra Crispy line extension addresses a strong desire among many consumers for crispier potato products that turn out just right time after time. These new products stand and deliver against this trend - Ore-Ida's Extra Crispy varieties received the highest consumer test scores of any product ever introduced under the Ore-Ida brand.

Ore-Ida's Extra Crispy product line is the first of several significant innovations over the next 12-18 months as Heinz refocuses on the core values behind the Ore-Ida brand - superior quality that consumers can count on time after time. Future opportunities include addressing consumer demand for greater convenience, new formulations that address trans fats and an expansion of the Ore-Ida franchise beyond fried potatoes.

Heinz Ketchup Announces "One Carb" Ketchup

Building on its portfolio of ketchup products that deliver against emerging lifestyle needs of certain consumer segments, Heinz will launch a lower carbohydrate ketchup. Heinz One Carb Ketchup is designed for consumers who wish to moderate their carbohydrate intake without having to compromise on taste.

Comparable in taste to the brand's thick, rich original variety, Heinz's lower carb ketchup will contain one gram of carbohydrates per serving - 75 percent fewer carbs than traditional Heinz Ketchup. Along with Heinz's No Salt Added Ketchup and Organic Ketchup, the new lower carb variety provides loyal Heinz consumers with yet another choice to meet their particular lifestyle needs.

The release of One Carb Ketchup in the U.S. market is the latest in a string of product innovations from Heinz across its $1.2 billion global ketchup business in the last several years.

"Heinz's biggest growth opportunity is its biggest brand - Heinz Ketchup," said Heinz Chief Growth Officer Kenneth C. (Casey) Keller. "Heinz currently holds approximately a 30 percent share of the world's ketchup market, and we are targeting a global market share of 50 percent, which we plan to achieve through growing shares in developed markets, building foodservice tabletop ketchup outside the U.S. and driving usage in emerging markets."

Classico "Meats" Growing Consumer Need

Classico, the category leader in premium pasta sauces, is introducing a new line of products that address the pasta sauce category's fastest growing major segment - hearty, meat-based sauces. Classico Homestyle Meat Selections - Classic Beef with Onions and Garlic, and Hearty Steak with Burgundy Wine Sauce - are made with Classico's signature premium ingredients and offer the highest quality meat in the pasta sauce category.

The Meat Selections line addresses consumer demand for higher quality meat sauce products and represents the only 100 percent steak and 100 percent Black Angus beef sauces in the category.

About Heinz

Heinz U.S. Consumer Products is a business unit of the H.J. Heinz Company, one of the world's leading processors and marketers of high-quality ketchup, condiments, sauces, meals, soups, snacks and infant foods through all retail and foodservice channels. A host of favorite brands, such as Heinz(R) Ketchup, Ore-Ida(R) french fries, Boston Market(R) and Smart Ones(R) meals and Plasmon(R) baby food are the growth drivers in Heinz's two strategic global segments: Ketchup, Condiments & Sauces and Meals & Snacks. Heinz's 50 companies have number-one or number-two brands in 200 countries, showcased by the Heinz(R) brand, a global consumer icon with $2.5 billion in annual sales. Fourteen additional brands, each with more than $100 million in annual sales, generate a further $2.6 billion. Information on Heinz is available at www.heinz.com/news.