Lifeway Foods Inc
Lifeway Foods, Inc. was co-founded in 1986 by Michael and Ludmila Smolyansky
shortly after their emigration from Russia to the United States. Mr. and Mrs.
Smolyansky were the first to successfully introduce Kefir to the U.S. consumer
on a commercial scale, initially catering to ethnic consumers in the Chicago
metropolitan area. In the thirty years that have followed, Lifeway has grown
to become the largest producer and marketer of Kefir in the U.S. and an important
player in the broader market spaces of probiotic-based products and natural,
"better for you" foods.
Lifeways primary product is drinkable kefir, a fermented dairy product. Kefir
has a tart and tangy taste similar to yogurt and the consistency of a smoothie.
Kefir also has a slightly effervescent quality all its own. Unlike yogurt though,
Lifeway incorporates a unique blend of probiotic kefir cultures in the fermentation
process. The probiotic feature, in concert with the base-line nutritional value
of a staple beverage that is high in protein, calcium and vitamin D, and low
in calories, presents a unique and differentiated taste profile that we believe
appeals to a broad and growing demographic.
Because of its drinkable feature, kefir requires no spoon and is ideal for on-the-go
consumption … straight from the bottle. Lifeways Kefir is commonly consumed
as part of a healthy breakfast or as an "any-time, better for you"
snack in its native form or as a smoothie input. Kefir also serves as a base
for lower-calorie dressings, dips, marinades, soups or sauces and as a basic
ingredient in other healthy, home-prepared foods. Recipes are made available
through the companys website.
In addition to the drinkable kefir that we broadly market to consumers of all
ages, we also market and sell our ProBugs line of drinkable kefir which is delivered
in our proprietary non-spill pouches (and in 3.5 oz. bottles) intended for children
with caring, health-conscious parents. Our frozen kefir offers a nutritional
profile similar to our drinkable kefir but in a frozen bar and pint size container
conventionally thought of as an indulgent treat. In addition to kefir, Lifeway
produces a variety of Kefir-based Eastern European style soft cheeses.
The Company employs many skilled production managers across its three Kefir
producing facilities who closely monitor our kefir-production process. The production
managers have a complement of deep capabilities that spans from traditional
dairy operations to the artisan, old-world practices first introduced by Michael
and Ludmila Smolyansky at the inception of the Company. We conduct routine tests,
tastings and evaluations to ensure that each batch of kefir conforms to the
Companys product quality and safety standards. The Company leverages both on-site
and third party quality control labs.
The Company includes a clearly legible "freshness" code on every Kefir
product in order to ensure that our customers enjoy only the freshest products.
To maintain the best of product freshness in the channel, we expect our channel
customers (a) to ensure that our products are delivered directly to the retailers
dairy cooler and (b) to rotate such product in a routine and timely way. Due
to the perishable nature of our products and the costs associated with moving
product back through the channel, the Company does not offer return privileges
to any of its channel customers; however, from time to time we do provide our
customers with allowances for non-saleable product.