We apologize to all of our customers for the temporary unavailability of our most popular medium sized diapers (Classico, Teddy, and Bianco). For the past 3 months we have been in the process of re-engineering our diapers and did not anticipate some technical issues that came up during that time. The combination of production technology delays, coinciding with a recent increase in size medium sales (new customers), created a perfect storm resulting in our depletion of size medium Bambino diapers before the arrival of new product.

In order to better serve our customers more efficiently, we have now moved our Bambino Diaper production to a brand new state of the art diaper line with a new patent pending core technology. The new machine is a double drum form type, which allows for both precision sculpting of the core and placing of super absorbent polymer directly where it’s needed most. The resulting new core design can now transfer fluid more directly to the bottom of the core and across a wider area of blended pulp fibers without pooling caused by gel blocking. The machine also incorporates built in sensors that can detect frontal landing zone placement, missing tape tabs, and missing or out of alignment front and back stretch waistbands. This new technology is designed to offer the user more overall absorbent capacity while providing superior surface dryness, all in a diaper with a far less occurrence of production imperfections. We also expect an environmental benefit due to the enhanced manufacturing efficiency, which means less material wastage and lower energy consumption.

The new machine will also allow us to increase the efficiency of our super absorbent polymer loading, which we could not do before. Some other important facts:

• Our specifications of the diapers have not changed.

• The prices of our diapers have not changed.

• The diapers will still remain all plastic.

• The frontal landing zone surface on all styles (including Teddy) will be the high gloss type that customers have told us they prefer.

The new 2011 machine started producing diapers a few weeks ago, a little later than anticipated, which is one of the reasons we misjudged the ability to keep our stock level correct. As mentioned before, this has contributed to our running out of stock on mediums, and again we apologize for the inconvenience.