Innovative Food Holdings Inc (IVFH)

[Gan]

IVFH Announces Restructuring of Notes at Conversion Premium to Market

Wednesday September 12, 3:17 pm ET

Agreement Includes Conversion Price at an Over 60 Percent Premium to the Current Market Price

NAPLES, FL--(MARKET WIRE)--Sep 12, 2007 -- Innovative Food Holdings, Inc. (Other OTC:IVFH.PK - News) announced today that it had reached an agreement with its largest institutional investors to restructure $150,000 of senior secured non-convertible notes. As part of the agreement, the notes, which were due February 7, 2007 and were not convertible, will now be convertible at conversion price of $0.005 per share, which represents approximately a 66% premium to yesterday's closing price. The agreement also changes the due date of the notes to October 31, 2007.

Sam Klepfish, Interim President, commented, "We believe that this agreement, which represents a conversion price at a premium to the market, is a vote of confidence by our largest institutional investors in the future of our company and we are delighted that the institutional investors, with whom we continue to have an excellent relationship, have chosen to be in a position to potentially increase their equity position in the company. In addition, we shortly expect to provide information regarding our contract discussions with our largest customer."

Innovative Food Holdings, Inc., through its wholly owned subsidiary, Food Innovations, Inc., provides, with a commitment to chef level extreme quality and service, gourmet food products to discerning chefs throughout the United States.

This release contains certain forward-looking statements and information relating to Innovative Food Holdings, Inc. (the "Company") that are based on the beliefs of the Company's management, as well as assumptions made by and information currently available to the Company. Such statements reflect the current views of the Company with respect to future events and are subject to certain assumptions, including those described in this Release. Should one or more of these underlying assumptions prove incorrect, actual results may vary materially from those described herein as anticipated, believed, or expected. The Company does not intend to update these forward-looking statements.

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