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MEDIA KIT 2014 CORPORATE OVERVIEW – Who We Are Short Healthy Pet®, founded as Absorption Corp over 25 years ago, is a multi-category pet product manufacturer dedicated to helping pets and their human families live incredible lives and stay active, happy and natural. For more information please visit www.healthy-pet.com Long Healthy Pet®, founded as Absorption Corp over 25 years ago, is a multi-category pet products company dedicated to helping pets and their families stay active, happy and natural through a holistic approach to pet care where the pet’s physical, emotional and ecological well-being are all satisfied. Dedicated to making incredible products for incredible pets who deserve to live incredible lives, the company’s brand portfolio includes: ökocat™, Simply Pine™, carefresh®, Critter Care®, Puppy Go Potty™ and Healthy Pet® products as well as the Arm & Hammer® line of small pet bedding under license. For more information please visit www.healthy-pet.com. KEY ATTRIBUTES • Holistic Care – Healthy Pet is dedicated to a holistic approach to pet care, where the pet's physical, emotional and ecological well-being are all satisfied. ”Wholly incredible” pet care. • Physically healthy pets are active, with the energy and strength to bond, interact, and play with their human families. • Emotionally healthy pets are happy, finding fulfillment by practicing natural behaviors. • Ecologically healthy pets live and thrive in natural, clean habitats and environments. • Pets Matter- Healthy Pet’s core values are centered on a deep understanding of the animalhuman bond, including its positive influence on physical health, mental wellness, and overall enrichment of human lives. Every idea and product is developed to support this research, helping pet parents maximize the benefits of adopting animals into their families. • Corporate Responsibility - A core value across every facet from sourcing and manufacturing to materials and packaging, Healthy Pet strives to value and protect our Earth’s natural resources, as well as the health and wellness of pets and their human companions. From Small Animal products to innovative solutions for cats and dogs, Healthy Pet’s products use natural and sustainable materials, such as cellulose fibers and natural wood from sustainable sources, free of harmful chemicals and other pollutants. • Experience - With over 25 years of natural fiber expertise, Healthy Pet is now also under the umbrella of J. Rettenmaier & Söhne (JRS) Group of Rosenberg, Germany, a leading global manufacturer of high-quality organic fibers made from sustainable plant raw material. Leveraging a new level of global resources, Healthy Pet is broadening its capabilities to bring the most innovative, eco-friendly pet products to the United States and to the world. CORE CATEGORIES AND PRODUCTS 1. Small Animal 2. Cat 3. Dog 1. Small Animal carefresh®— A leader in customized small animal essentials introduces the next generation of small animal bedding, designed specially for small animal’s unique needs and the people who love them. carefresh® Complete bedding is made from scratch for small animals from natural and sustainable ingredients - not just shredded newspaper or wood shavings – and offers 3 times the absorbency than shavings. Its superior Odor Stop + Baking Soda odor control lasts 40% longer than other paper bedding brands. Introducing NEW carefresh® Custom Bedding, designed specially for hamsters & gerbils and for rabbits & guinea pigs and crafted to cater to their instinctual behaviors like never before. Unlike wood shavings and other paper brands, these carefresh products feature correctly-sized pieces and materials that are soft, comfortable and secure and are designed to encourage the burrowing instinct of hamsters & gerbils and the nesting behavior of rabbits & guinea pigs. Helping all small animals feel safe, cozy and supported all day-long, its superior Odor Stop + Baking Soda odor control lasts 40% longer than other paper bedding brands. Be sure to check out carefresh® entire product range including high quality food, bedding, litter, and hay. For more information, visit http://www.carefresh.com/ Check out the NEW carefresh® line in the new products area at SuperZoo. Press Releases: carefresh® Introduces New Branding and New Products High Res Photos: carefresh® complete bedding (Natural, Confetti, Ultra White, Blue, or Purple) carefresh® custom bedding (Rabbits & Guinea Pigs OR Hamsters & Gerbils, available in 4 colors) Critter Care™— The Critter Care line offers affordable bedding essentials for small animals. Soft bedding and nesting material provide a healthy, natural habitat where nesting species such as gerbils, mice, and hamsters can exercise their natural instincts. For more information, visit http://crittercare.com/ Press Releases: Critter Care™ Bedding Provides All Natural Alternative High Res Photos: Critter Care bedding (Natural, Confetti, Summer Sky, Snowflake, or Cotton Candy) 2. Cat ökocat™— ökocat is changing the face of natural cat litter by offering a new line of litters that don’t look like anything on the shelf. Most litters shout out their claims from the shelf, but ökocat stands out instead. Sold in Europe under the name of Cats Best for more than ten years as a top brand, ökocat offers best in class performance in the attributes cat owners care mostly about - 7 day odor control, absorption of 500%, natural anti-bacterial effectiveness and biodegradable/ flushable features. Four varieties include: natural wood clumping, natural wood clumping for long hair cats, natural pine and natural dust free paper. Check us out in the NEW PRODUCTS AREA at SuperZoo Press Releases: Healthy Pet Launches ökocat Natural Cat Litters in California Healthy Pet Launches ökocat Nationwide ökocat Earns Cat Fancy 2014 Editor's Choice Award High Res Photos: Packagedökocat ökocat ökocat ökocat ökocat Natural Clumping Litter Natural Long Haired Clumping Litter Natural Pine Litter Dust Free Paper Litter Group Photo Product ShotsNatural Clumping Litter Natural Long Haired Clumping Litter Natural Pine Litter Dust Free Paper Litter VideosBrand Videos ökocat ökocat ökocat ökocat ökocat - Long ökocat Brand Video Short Clumping Video - "Blue" Short Long Hair Clumping Video - "Purple" Short Pine Video - "Orange" Short Dust Free Video – "Green" Rufus Videos Meet Rufus Dusty Cough Don't Go In There Luscious Locks In Your Face Simply Pine™— An affordable, all natural litter for health and eco-conscious pet parents, Simply Pine™ delivers superior odor control, is 100% biodegradable, and is more than 3.5 times more absorbent than clay. Made from 100% Northeastern pine, this product contains none of the pollutants, silica dust, aluminum silicate, sodium bentonite, or artificial fragrances commonly found in cat litters. Quite simply, it’s just better for your cat. For more information, visit www.simplypinecatlitter.com. Press Releases: Healthy Pet Acquires Simply Pine Cat Litter Simply Pine Cat Litter Offers Great Value High Res Images: Simply Pine Pellet Simply Pine Clumping 3. Dog Puppy Go Potty™— This product is the original indoor dog elimination solution for dogs that can’t go outside. Ideal for small indoor dogs, high rise living, puppy training, inclement weather, senior dogs or owners. Puppy Go Potty is made from 100% natural fiber. Economical and lightweight, this product is able to absorb 400% of its weight in liquid, offering pet-parents a safe, dust-free canine litter solution that also effectively controls odor. Press Releases: Healthy Pet Introduces an In Door Dog Potty Solution High Res Images: Puppy Go Potty Small Bag Puppy Go Potty Large Bag LEADERSHIP TEAM Ted Mischaikov Title: President and Chief Executive Officer Photo: High Res Samuel Cohen Title: Vice President of Marketing and Sales Photo: High Res Karl Thomas Title: Director, Technical Fibers / International sales Photo: High Res Jim Gorrell Title: Brand Manager Photo: High Res Jane Wasley Title: Brand Manager; ökocat™, Simply Pine™, PuppyGOPotty™ Photo: High Res KEY STATISTICS AND INUSTRY RESOURCES Small Animal • Of all the small animal species, Hamsters are most likely to be owned by families with children in the home (82% of all hamster households are families with children vs. 65% of all small animal types in households with kids) • 4.2M of all people in the US have a small animal in their home (3.7% of the US population) • Rabbits are the most common small animals, accounting for 34% of those that own small animals, while hamster/gerbil has highest number of Kids in HH • Breakdown of Small Animal ownership: • Rabbit – 34% • Hamster/Gerbil – 30% • Guinea Pig – 27% • Rat/Mouse – 13% • Ferret – 11% • Chinchilla – 7% • Other small animal – 4% Cat • 90MM cats owned in the US (more than the number of pet dogs) • 39% of HH (45MM) own at least one • 52% own more than one cat • Average 2+ per HH • $10BB+ / annual consumer spending on cats (25% of all pet spending) • $2BB Cat Litter (Source Healthy Pet 2014 Cat Litter Category Research) PRODUCT IMAGES • • • • • • • • carefresh® complete bedding (Natural, Confetti, Ultra White, Blue, or Purple) carefresh® custom bedding (Rabbits & Guinea Pigs OR Hamsters & Gerbils, available in 4 colors) Critter Care bedding (Natural, Confetti, Summer Sky, Snowflake, or Cotton Candy) ökocat Natural Clumping Litter ökocat Natural Long Haired Clumping Litter ökocat Natural Pine Litter ökocat Dust Free Paper Litter ökocat Group Photo LOGOS • • • • • • Healthy Pet Corporate Logo carefresh® Logo Critter Care™ Logo ökocat Logo Simply Pine™ Logo PuppyGOPotty™ Logo BRAND STANDARDS • here PRESS RELEASES • • • • • • • • • • • March 2013: Absorption Corp Announces Acquisition by J. Rettenmaier & Söhne (JRS) Group Jan 2014: Absorption Corp Becomes “Healthy Pet” Feb 2014: Healthy Pet Acquires Simply Pine Cat Litter June 2014: Healthy Pet Selects Propel Communications June 2014: ökocat™ launches in California July 2014: carefresh® Introduces New Branding and New Products July 2014: Healthy Pet Selects Traction Sep 2014: Healthy Pet Announces Strategic Expansion of Ops Team Oct 2014: Healthy Pet Announces Strategic Expansion of Marketing Team Nov 2014: Healthy Pet Launches ökocat Nationwide Nov 2014: ökocat Earns Cat Fancy 2014 Editor's Choice Award TARGET MARKET/DEMOGRAPHICS + KEY MESSAGING • • carefresh® - Small Pets. Big Hearts. • Families with children 10 and younger • Pet Enthusiasts (ages 11-34) ökocat® - Nature’s Gift to You and Your Cat. • Natural users over index younger than clay users, 25-45 • More likely to own dogs, 63% of natural users also own a dog STORY IDEAS ökocat™ – Where high performance meets natural sustainability; Differentiation of cat litter solutions and rocking the status quo with a product line that looks different and acts different, while not only meeting changing consumer expectations, but also offering the performance cat owners need and expect. Why natural fibers make the best litter material – Not all litters are created equal: clay litters contains dust and chemicals; natural litters made from food (such as corn) will rot; but litters made from natural fibers (such as wood and paper) are eco-friendly, lightweight, low dust, and provide natural antibacterial properties. carefresh® – How new products being introduced are groundbreaking for the pet industry but also small animal owners worldwide. Green Company – Rooted in JRS, Healthy Pet has always been an authentically green manufacturer in a way that offers legitimate meaning to those that are both the environmentally concerned as well as the profit minded. Natural Products…Beyond Food – While most natural companies focus on food, Healthy Pet offers natural bedding and litter. Local company / made in the USA – With entrepreneurial roots, Healthy Pet is a small company made good; With its WA/USA manufacturing, Healthy Pet offers quality control from sourcing to retail shelves, and works hard to create jobs, practice corporate responsibility and deliver exceptional products. A Holistic Approach – By focusing on pets’ physical, ecological, and emotional well-being, Healthy Pet products are reaching consumers on a very personal level, and truly understanding that pets are part of human families. Small Animal Behavior Drives Product Innovation - Rabbits and Guinea Pigs NEST while Hamsters and Gerbils BURROW – This next generation of carefresh 2.0 products are being developed accordingly in 2 types: 1) For hamsters & gerbils who like to burrow into material and cover themselves to build a nest and 2) for Rabbits & guinea pigs that don’t try to cover themselves with a nest. Small Animal is BIG! - Small animals lead to more pets, more business. Eco-friendly solutions that still offer high performance. Consumer trends and how they drive pet product trends. What consumers will pay more for – What drives a pet parent’s decision to switch brands? We have performed exclusive studies on what product features and benefits shoppers will spring for. How studying instinctual behaviors in our pets help us provide better care for small animals, cats and dogs. INTERVIEW QUESTIONS / PRE-APPROVED QUOTES [Category 1: CAT; SOURCE: Jane Wasley] Q: How are litter product sales doing in the market? Are sales increasing, decreasing, steady? Why? A: Healthy Pet launched our NEW line of ökocat™ natural cat litters at Global Pet Expo this year and hit pet specialty retail shelves in California a month later. It’s going really well, and we are preparing for a National launch in January. We did our homework, have a proven product, great performance and different packaging. We will engage the natural litter consumer by standing out on the shelf, not shouting out. Q: How can retailers better understand what features or aspects of this category are important to their customer base when it comes to litter? A: Healthy Pet invested a lot of time doing research and getting to know the natural cat litter user before launching ökocat. It was important for us to understand what ranked as important when buying cat litter, and what the natural user will pay more for. We’ve made sure we are touting those features as today’s customer is more discerning, and since they scoop more, change more and buy more often- they spend more. This is a great customer to have and to foster. Q: What types of cat litters are available today? A: With many different materials cat litters range from the traditional clay litters and scented silica beads to natural litter options. Each has its benefits, depending on the wants and needs of the end user, and their cats of course. Q: How much variety should retailers offer? How can they be sure they are stocking a good selection? A: Retailers need to offer a good selection, without confusing the customer. It can be overwhelming looking at a 30 feet of cat litter, so retailers can highlight and separate their natural litter offerings to reach the ever-increasing number of consumers seeking out natural litters. Q: Do you have any tips/tricks for merchandising tricks? and/or maximizing sales at the retail level? A: “Seeing” the litter material at retail can be a huge help to the consumer. Dealing with the litter box is a daily task, so consumers have opinions about appearance, texture, scent, etc. A: Conventional bag packaging continues to be replaced with the more consumer friendly pails, jugs and easy to carry eco-friendly options like corrugate boxes, all of which display much better. Q: What F&Bs are most important to cat owners in selecting their natural cat litter? A: Some cat owners might not care if their litter tracks dust through the house as long as it clumps like a rock, while others want natural wood smelling, cleaner litter that performs well in absorbency and has anti-bacterial features. EX: What about cats with respiratory issues? Choose a Dust-Free option. Quote: The cat litter category has been starving for innovation for a long time, and with that, retailers have the opportunity to stock products that not only meet consumer demand, but also solve real problems. Consumers also want products they can trust will provide a greater level of care and performance -- a purchase they can feel good about (the benefits of an eco-friendly, natural choice). Lastly, we wanted to make our ökocat packaging clean, easy to understand and a selling tool for our retailers to showcase the 4 formulas of ökocat and let consumers have a choice. [CATEGORY 2: Small Animal; Source: Jim Gorrell] Q: What is unique about the hamster category, and have you seen any new trends with hamsters recently? A: Of all the small animal species, Hamsters are most likely to be owned by families with children in the home (82% of all hamster households are families with children vs. 65% of all small animal types in households with kids) Q: Do you have any new products you would like to highlight for any categories of hamster care? A: Yes, we are thrilled to be launching the next generation in small animal care - carefresh® Custom. This collection of bedding products are customized to each species' specific natural instincts and behaviors, including one product specifically for hamsters and gerbils. Here is the information: Q: carefresh’s Complete Menu diet has a hamster and gerbil formula. Can you tell me a little about that product, and what makes it special for hamsters? What have you used to formulate it to meet their specific needs? A: carefresh® Complete Menu is nutritionally complete and balanced for hamsters. This is fortified with vitamins and minerals for growth and development and helps hamsters maintain a healthy immune system. We’ve also added whole seeds and grains to encourage their natural foraging instincts. Q: What are some tips you can give retailers on marketing to hamster owners? A: Using carefresh® bedding in your store's habitats help consumers see small animals behaving as they would in nature, and therefore they can gain exposure to these pets and better understand the products necessary for proper care. Also, because odor control is a top priority for pet-parents, it provides retailers an opportunity to talk about how carefresh's proprietary Odor Stop + Baking Soda formula provides a record 10-day odor control (4 days longer than other paper bedding products. Far less dusty than traditional shavings, carefresh is better for pets, their human households, and the environment. SOCIAL MEDIA – BRAND ENGAGEMENT carefresh® • Facebook • Twitter • Youtube PARTNERSHIPS and AFFILIATIONS • • • • • • • • • • • • • American Pet Products Association (APPA) American Animal Hospital Association (AAHA) Human Animal Behavior Research Institute (HABRI) Pet Industry Joint Advisory Council (PIJAC) Bellingham/Whatcom Humane Society American Animal Hospital Association (AAHA) Pet Industry Distributor Association (PIDA) Pet Industry Sustainability Coalition (PISC) Petco Foundation PetSmart Foundation Pets In The Classroom Sustainable Connections World Pet Association (WPA) CONTACT INFORMATION Corporate Office 6960 Salashan Parkway Ferndale, WA 98248 Toll-Free 800.242.2287 Phone 360.734.7415 Website: www.Healthy-Pet.com Customer Care Email [email protected] Phone 360.734.7415 Sales & Marketing Email [email protected] Phone 360.734.7415 Media Inquiries Erin Terjesen Email [email protected] Phone 602.625.2871