HAWTHORNE, Calif.--(BUSINESS WIRE)--Oct. 3, 2006--Cereplast(TM), Inc. (OTCBB:CERP), a producer of proprietary bio-based resins used as a substitute for petroleum-based plastics, today reports that the company has added 10,000 square feet of manufacturing capacity to meet expected customer demand.

The company is also nearing completion of its new production line for its proprietary, patented bio-based resins. When finished this will bring the company's total production capacity to 40 million pounds of resin per year. This capacity will make Cereplast the second largest producer of bio-based resins in the country.

The company's Chairman and CEO, Mr. Frederic Scheer, said, "We are very excited about this growth because it confirms our marketing and sales progress. This expansion allows us to continue to meet the growing demands from our new customers and the ever increasing orders from our existing clients."

About Cereplast, Inc.

Cereplast, Inc. (OTCBB:CERP) designs and manufactures proprietary starch-based, renewable plastics. Cereplast has developed a breakthrough technology to produce proprietary bio-based resins which are used as substitutes for petroleum-based plastics offering price stability and competitive costs compared to traditional resins. Cereplast resins can be used in all major converting process such as injection molding, thermoforming, blow molding and extrusions. Made from renewable resources such as corn and potato starch, Cereplast resins are certified biodegradable and compostable by BPI (Biodegradable Products Institute) and have comparable or superior performance characteristics to conventional plastics and return to nature quickly and safely. Learn more at www.cereplast.com.

Copyright Business Wire 2006

Cereplast, Inc.

Cereplast, Inc.

Cereplast, Inc. (OTCBB:CERP) designs and manufactures proprietary starch-based, renewable plastics. Cereplast has developed a breakthrough technology to produce proprietary bio-based resins which are used as substitutes for petroleum-based plastics offering price stability and competitive costs compared to traditional resins. Cereplast resins can be used in all major converting process such as injection molding, thermoforming, blow molding and extrusions. Made from renewable resources such as corn and potato starch, Cereplast resins are certified biodegradable and compostable by BPI (Biodegradable Products Institute) and have comparable or superior performance characteristics to conventional plastics and return to nature quickly and safely. Learn more at www.cereplast.com.

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