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China Nutrifruit (CNGL) Begins Testing on Certain Products Following Customer Concerns

January 6, 2012 8:12 AM EST
China Nutrifruit Group Limited (AMEX: CNGL) is conducting independent laboratory tests on its concentrate juice and glazed fruit products in response to a customer's concern over product quality.

In December 2011, the Company was informed by its customer that China Nutrifruit's concentrate juice and glazed fruit products contain higher than specified levels of sodium. The Company's customer has requested China Nutrifruit for a full refund of the purchased products valued at approximately RMB50 million ($7.9 million). In response to this matter, the Company is currently performing independent laboratory tests to verify the product quality claims of its customer. As a precautionary measure, the Company has also implemented additional testing measures in its manufacturing process to ensure product quality.


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