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Customer Care
800-669-3275

Media Contact:
Anne Rierson

anne.rierson@frontiercoop.com
319-227-7996 ext. 1163

FRONTIER RECOVERY RESULTS IN PATRONAGE PAYOUT
Financial Problems Fade Following Quick Turnaround

NORWAY, IOWA (January 8, 2004) – Strong sales and operational efficiencies allowed Frontier Natural Products Co-op to recover quickly from the substantial financial losses of two years ago, and the company is again distributing deferred patronage to its customer-owners.

CEO Tony Bedard attributes Frontier's rapid return to financial health to aggressive expense control and a management reorganization that reemphasized the co-op’s traditional product lines and customer services. “An optimistic and enthusiastic effort on the part of our entire staff is the basis for this remarkable turnaround,” says Bedard. “And now we’re again aggressively developing new products and expanding our services to continue to build on our leadership in the natural food industry.”
Including these latest checks, Frontier has returned a total of $6.5 million in patronage to its members since the first distribution in 1979. More than 18,000 retail stores, distributors and other organizations own Frontier through capital contributions made in the course of doing business with the co-operative. Frontier’s profits are distributed among these members as “patronage dividends” according to the amount they individually purchase.

In the letter accompanying the deferred patronage checks, Bedard informed members that “cash flow continues to improve, and we anticipate continuing to retire deferred patronage.” Frontier also used the patronage mailing to announce the return of HerbFest, its annual herb and natural healing conference, which wasn’t held for the last two years due to financial considerations.

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Frontier Natural Products Co-op(TM)
Founded in 1976 and based in Norway, Iowa, Frontier Natural Products Co-op(TM) offers a full line of natural and organic products under the Frontier, Simply Organic®, Aura Cacia® and Aura Cacia Organics® brands. Products include culinary herbs, spices and baking flavors; bulk herbs and spices; and natural and organic aromatherapy products. Frontier's goal is to provide consumers with the highest-quality organic and natural products while supporting and promoting social and environmental responsibility. For more information, visit Frontier's website at www.frontiercoop.com .