Natunola Releases Q3 2010 Results

WINCHESTER, ON, Nov. 19 /CNW/ - Natunola Health Biosciences Inc. (TSX-V:NHI) ("Natunola")  reports that the revenue for the three months ended September 30, 2010 was $313,780 as compared to $311,656 for the comparative period for 2009, which represented a slight increase. As a result, the Company had a net loss of $119,578 or -$0.01 per share for the quarter ended on September 30, 2010 as compared to a net loss of $154,678 or -$0.01 per share for the comparative period for 2009.

The sales of the Company's flax products were stable for the quarter ended September 30, 2010 ($146,517) versus the comparative period for 2009 ($146,917). The sales of the Company's cosmetic and personal care products decreased by 45.9% or $75,606 for the quarter ended September 30, 2010 versus the comparative period for 2009. The decrease is due to fewer shipments to a customer during this quarter.

General expenses declined by $47,499 or 5.7% for the nine months ended September 30, 2010 versus the comparative period for the nine months ended September 30, 2009. The decrease is due to lower expenses in sales and marketing cost.

Gross margins decreased slightly by 1.1% for the nine months ended September 30, 2010 versus comparative period for 2009. The decrease in gross margins is due to the increase of sales of certain lower margin products.

The sales of the Company's custom processing and packaging products increased by $136,487 for the nine months ended September 30, 2010 ($151,271) versus at the end of September 30, 2009 ($14,784). Although these sales may have a lower margin they are expected to increase over time.

The sales of the Company's flax products decreased by $77,708 or 15.9% for the nine months ended September 30, 2010 versus the comparative period for 2009. The sales of the Company's cosmetic and personal care products decreased by $17,211 or 3.2% for the nine months ended September 30, 2010 versus the comparative period for 2009.  As a result of these, the Company recorded a net loss of $246,827 or -$0.02 per share for the nine months ended September 30, 2010 as compared to a net loss of $303,513 or -$0.02 per share for the comparative period for 2009.

In preparation for the adoption of International Financial Reporting Standards ("IFRS"), the Company recently had it property in Winchester, ON reappraised. This property was reappraised at $1,375,000 and the Company is planning to re-finance the existing mortgage to obtain new equity for its operations.

About the Company:

Natunola and its manufacturing plant are located in Winchester, Ontario. Natunola  is a manufacturer and researcher in the field of flax seed derived omega -3 fatty acids, flax protein, flax lignans, specialty natural products, bio-nutrients and functional supplements for human and animal care markets. Natunola also produces canola oil gels and other natural ingredients for the cosmetic and personal care industry. Natunola has a retail health product line under the brand name of Natunola® health's delight. Natunola was the winner for the National Canadian Agri-Food Award of Excellence for Innovation for the year 2008.

Some of the statements contained in the release are forward-looking statements, such as estimates and statements that describe the Company's future plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in such statements.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this press release.

%SEDAR: 00009761E

For further information:

Dr. Nam Fong Han
President & CEO
Natunola Health Biosciences Inc.
661, St Lawrence Street,
Winchester, Ontario.
K0C 2K0
Tel [phone]