The beverage pouch package filling activity will be performed at an established beverage co-packer facility in Corona, California.

Technology for the pull-push pouch consists of a patent spout die and use of a Bossar flat pout machine. The company has an agreement with the manufacture to have the right of first refusal for the shipment of this type of machine to the United States of America or Mexico. In addition to the filling machine, case erector, case filler and bundler equipment will be used in the manufacturing process. This equipment can also be used in a co-packer configuration, should the company elect to co-pack beverages for other manufacturers.

The co-packer provides labor for the manufacturing process, except for a machine operator. Manufacturing supplies are based upon production activity. Product package artwork, box plates and film plates are fixed expenses provided by the company. Shipping and transportation activities are the responsibility of the distributor/broker. Manufacturing for fulfillment of each month's sales will occur the month before the projected sale.

With an initial production capability of 5,000 cases daily, Sports Pouch's initial geographic market area will be southern California and southern Nevada (Clark County). Over time, as the marketplace accepts this beverage with its pull-push pouch packaging technology, the marketing will be expanded to include all of the United States, Mexico, Canada, and Central-South America.