What happens when one of America's favorite candies teams up with one of kids' favorite snacks? An innovative new product called Jolly Rancher(TM) Gel Snacks.

Through a licensing agreement with Hershey Foods Corporation, ConAgra Foods has developed new, ready-to-eat gelatin snacks that pack a taste punch with trademark Jolly Rancher(TM) fruit flavors: Watermelon, Green Apple, Cherry, Strawberry and Sugar-Free Raspberry.

"This is a category with tremendous growth potential," said Charlene Lee, Brand Manager of Snacks at ConAgra Foods' Grocery Products Company. "As a matter of fact, tests show that children and adults prefer Jolly Rancher(TM) Gels over the leading competitor by nearly a two-to-one margin." Lee continued, "It's also a category that has seen little innovation or variety until now. We expect Jolly Rancher(TM) to bring new users to the refrigerated gels category, perhaps enough to stimulate double-digit sales growth."

ConAgra Foods has a strong presence in the refrigerated snack category with Swiss Miss Pudding, and on grocery store shelves with shelf-stable Juicy Gels and Hunt's Snack Pack. This licensing agreement with Hershey Foods Corporation to use the Jolly Rancher(TM) name and flavors promises to bring the company even more success.

"We're excited to be working with ConAgra Foods on this new product introduction," said Dottie Pharmer, Licensing Manager, Equity - Brands, Hershey's. "Refrigerated gel snacks have seen double-digit growth and represent one of the fastest growing segments of the refrigerated snack category."

"We think Jolly Rancher(TM) Gel Snacks are going to be big -- real big, and bring excitement to the marketplace," Lee added. The Jolly Rancher(TM) brand is recognized by 90 percent of consumers and is a top-five-selling hard candy brand name.

The product launch includes an extensive ad campaign targeting kids magazines and television shows, as well as print media, trade and in-store support beginning in January 2001.

Hershey Foods Corporation is the leading North American manufacturer of quality chocolate and non-chocolate confectionery and chocolate-related grocery products and has a variety of international operations.

ConAgra Foods, Inc. (NYSE: CAG), a $27-billion food company, sets America's tables at home with a powerhouse of consumer brands, and away from home with its foodservice products served by restaurants and institutions. ConAgra Foods' consumer brands include: Hunt's tomato products, Healthy Choice, Banquet, Armour, Bumble Bee, Louis Kemp, Libby's, La Choy, Wesson, Country Pride, Blue Bonnet, Kid Cuisine, Longmont, Parkay, Reddi-wip, Marie Callender's, Cook's, Swift Premium, Butterball, ACT II, County Line, Slim Jim, Decker, Chef Boyardee, Orville Redenbacher's, PAM Cooking Spray, Snack Pack, Van Camp's, Peter Pan, Hebrew National, and Swiss Miss. For more information, please visit us at www.conagra.com. ConAgra Grocery Products Company is a leading producer and marketer of tomato, cooking oils, snacks and convenience food products in the United States. ConAgra Grocery Products is an operating company of ConAgra Foods.