Whole Living, Inc. (OTCBB:WLIV), dba Brain Garden, yesterday announced results for its third quarter ending September 30, 2000.

Net sales for the third quarter 2000 totaled $1,565,799, an increase of $516,650 compared to the same quarter the prior year. Revenues increased 49% from the previous quarter and 77% for the nine-month period ending September 30, 2000 compared to the same period in 1999.

The increase in sales resulted primarily from launching distribution in Australia. “The Australia launch is the first step in our international expansion, which we have always believed is the key to our future growth,” commented Whole Living Sr. Vice President Bill Turnbull. “As growth in the U.S. has proven to be an uphill battle for all direct selling companies during an economic era of full employment, we began to aggressively pursue overseas expansion, with exciting results in Australia. And we are now prepared to expand into Asia. At the same time, we have brought on powerful new distributor groups in the U.S. that promise to bring new growth domestically.”

Weighted average loss per share was $.048. Operating losses grew due primarily to 1) international development costs–launching distribution in Australia and laying the groundwork for Asian expansion and 2) an aggressive third-quarter plan that substantially increased distributor incentives to reward distributors for bringing new long-term business.

Due largely to the higher-than-normal distributor incentive payouts, contribution margins (sales minus cost of goods, distributor incentives and merchant account fees), declined to 25%, down from an average contribution margin during the first two quarters of 34%.

“We expect contribution margins to increase somewhat during the fourth quarter as distributor incentives begin to recede to more normal levels following our very successful promotions, and as we are able to source products more economically for our overseas market. We believe we can return contribution margins to normal levels for the first quarter of 2001,” comments Turnbull.

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Whole Living’s full Form 10-QSB quarterly report is available at www.freeedgar.com.

Whole Living, Inc. (OTCBB:WLIV) is a premier whole- foods nutrition company in the direct-selling industry, with premium products reaching consumers throughout the USA, Canada, and Australia. For additional information, visit the company website at www.thebraingarden.com or contact Bill Turnbull, Senior Vice President of Whole Living, Inc. at 801/772-3300.

Brokers and Analysts may contact Columbia Financial Group at 888/301-6271.

The above statements regarding this announcement, which are not purely historical, are forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995, including Whole Living, Inc. beliefs, expectations, hopes or intentions regarding the future.

All forward-looking statements are made as of the date hereof and based on information available to Whole Living, Inc. as of such date. It is important to note that actual outcome and the actual results could differ materially form those in such forward-looking statements.

Factors that could affect results to differ materially include risks and uncertainties such as technological, legislative, and marketplace changes.