Lawrence Bates, President and CEO of Sun- Rype Products Ltd., announces that Sun-Rype's earnings for the third quarter of 2001 are $0.9 million, or $0.08 per share, on sales of $24.2 million. This compares to earnings of $0.8 million, or $0.08 per share, on sales of $21.7 million for the third quarter of 2000.

Nine-month earnings are $4.3 million, or $0.41 per share, on sales of $74.5 million compared to earnings of $3.0 million, or $0.31 per share, on sales of $70.5 million for the same nine-month period of 2000. The higher sales are due to increases in Sun-Rype's branded beverages and existing branded food business, supplemented by the introduction of the new-to-market Fruit & Veggie bar and increased co-pack sales.

"Most of the transformation of our beverage processing and packaging equipment took place in the third quarter," Bates says. "If you live in Western Canada, you should see the new 200 ml single serve and 1 litre reclosable slim packages on your supermarket shelves soon. Also, the production of the new Fruit & Veggie bar commenced in this quarter. In addition, we increased fruit snack production to a seven day, three-shift operation. All in all it was a busy quarter, especially for our manufacturing personnel."

The non-capital portion of these third quarter start-up costs is primarily responsible for the lower gross profit margins of this quarter compared to the first six months of 2001. The third quarter gross profit of 34.8% is, however, slightly higher than the third quarter of 2000. "We have enjoyed lower than normal commodity prices for some raw materials during the first nine months of 2001," says Bates. "Orange juice concentrate prices are returning to normal levels. While the 2001 apple crops in BC and Washington State are approximately 25% lower in volume than last year, world supplies of apple juice concentrate remain high."

Selling, general and administrative expenses are up $0.9 million over the same quarter last year, primarily as a result of higher marketing spending and sales costs associated with higher sales.

"We are looking forward to a positive consumer response to our Fruit & Veggie bar and our new family and single serve sized beverage packaging in the fourth quarter of this year," Bates says.

Sun-Rype Products Ltd., based in Kelowna, B.C., is a national manufacturer of apple-based food and beverage products. The company manufactures and markets a variety of juice and snack food products including the company's flagship Blue Label Apple Juice and Fruit to Go 100% all natural fruit snacks. Sun-Rype is a publicly traded company with its common shares listed on The Toronto Stock Exchange under the symbol SRF.

	    Consolidated Interim Statements of Earnings and Retained Earnings
	    (in thousands of dollars except per share amounts)


	                             For the three months       For the nine months
	                               ended September 30        ended September 30
	                                2001         2000         2001         2000

	    Net sales              $  24,195    $  21,728    $  74,504      70,534
	    Cost of sales             15,772       14,302       43,982      44,244
	    Gross profit               8,423        7,426       30,522      26,290

	    Selling, general and
	     expenses                  6,400        5,503       21,508      18,760
	    Amortization                 676          694        2,131       2,259
	    Interest expense              23           90           86         289
	    Other                       (118)           -         (185)        (99)
	    Earnings before income
	     taxes                     1,442        1,139        6,982       5,081

	    Income taxes                 554          361        2,644       2,045
	    Net earnings                 888          778        4,338       3,036

	    Retained earnings,
	     beginning of period       8,877        2,833        5,427         575

	    Retained earnings,
	     end of period         $   9,765    $   3,611    $   9,765       3,611

	    Earnings per share
	    Basic                  $    0.08    $    0.08    $    0.41        0.31
	    Fully diluted          $    0.08    $    0.07    $    0.40        0.29