October 16, 1998
Orlando, FL

Contact: Tracy Rushwin
(407) 855-5500, extension 105

Galaxy Foods' Veggie Slices No. 1 Growth Brand

Orlando, Florida (October 16, 1998) - Galaxy Foods Company (Nasdaq: GALX) is proud to announce according to IRI, InfoScan Review, Galaxy Foods' Veggie Slices® was the fastest-growing brand of sliced cheese during the 52-week period ending 12/28/97, excluding corporate mergers and acquisitions. Yet another affirmation that consumers are beginning to recognize the benefits of nutraceuticals, or foods that have health-promoting or therapeutic components to them.

Galaxy Foods is widely recognized as the pioneer of the nutraceutical, or functional foods category. Since creating the first healthy cheese in 1972, Galaxy Foods Company has consistently provided innovative, delicious dairy alternatives to health-conscious consumers. This commitment has earned Galaxy Foods category leadership in health food and retail supermarkets.

Galaxy's #1 retail brand, Veggie, forms a complete line of dairy alternatives made with the goodness of soy. It is this ingredient, combined with cholesterol free, lactose free and saturated fat free characteristics, that transforms Veggie products into a nutraceutical and sets them apart from conventional reduced fat and fat free dairy products. Veggie brands offer the consumer the same delicious taste of cheese and dairy-related products fortified with the health-promoting power of soy, which recent research indicates may have numerous health promoting and disease preventing characteristics. For example, the phytonutrients found in soy may help reduce cholesterol, improve bone density, reduce symptoms of menopause and aid in the prevention of a variety of diseases, including certain forms of cancer. Galaxy Foods management expects this shift in consumption of natural foods and nutraceuticals to continue to grow as we move into the next millenium.

Galaxy Foods Company is the inventor and originator of a new, healthier, and better way to make cheese and dairy-related products. Our products are primarily low or no fat (no saturated fat), have no cholesterol and no lactose and contain more vitamins and minerals than conventional cheese. Galaxy brand names include formagg, Soyco, Soymage, Veggie Slices, Wholesome Valley, and Lite Bakery. For more information, contact Tracy Rushwin at (407) 855-5500, extension 105. You may also obtain more information from our site on the World Wide Web at http://www.galaxyfoods.com (best viewed through Netscape Navigator).