Palladium Equity Partners, LLC, a private equity firm based in New York, announced recently that it has made a significant minority investment in Sahale Snacks, a Seattle-based producer of branded and private label all-natural, gourmet snack food products. Winner of Health Magazine’s “Best of Food” award in the snack category in 2006, Sahale Snacks produces unique products that intersect important consumer trends in natural and gourmet foods. The Sahale Snacks branded line of six nut blends combines nuts and fruit with ingredients inspired by regional cuisines, such as Moroccan Harissa and Chipotle. This product line captured the top four positions in the all-natural trail mix category among 134 SKUs within two years of launch, according to SPINS, a leading provider of information on the natural products industry.

Sahale Snacks launched its first products in January 2004, at a small grocery store in Seattle. Today, Sahale’s products can be found in over 4,000 locations nationwide including Target stores and many Costco warehouses. Sahale products are distributed through a national network of natural, grocery and specialty distributors and also sold in venues such as luxury hotels, cafes, theaters, and health clubs.

“We are excited to be partnering with Sahale Snacks,” said Luis Zaldivar, Vice President of Palladium Equity Partners, LLC. “We are looking forward to working with Sahale Snacks’ co-founders Edmond Sanctis and Josh Schroeter and their dynamic management team to advance the Company’s successful strategy. With Sahale Snacks’ superior product offerings and Palladium’s industry experience, we expect our collaboration to further enhance the Company’s outstanding recent growth,” Mr. Zaldivar concluded.

“When we launched our first line of products in 2004 with the help of friends and family, we did so with the belief that there was a need for all-natural, healthy products that offer an epicurean taste experience,” said Edmond Sanctis, co-founder of Sahale Snacks. “Palladium’s commitment will allow Sahale to create even more innovative and exciting new products and to further our core mission of offering people sophisticated, convenient and healthy food.”

This is the fifth investment of Palladium Fund III, which closed in March 2006 with $520 million of committed capital.

Sahale Snacks, based in Seattle, was founded in 2003 by Josh Schroeter and Edmond Sanctis after climbing Mt. Rainier and enduring days of uninspiring trail mix and energy bars. The two set out to create a natural and healthy snack that tasted like great food. The Company follows a simple product philosophy: start with all-natural ingredients, add a dash of “culinary magic” and produce great tasting healthy snacks. Sahale Snacks is dedicated to helping people “Snack Better.”

For more information, please visit: www.sahalesnacks.com