April 2005


To Our Valued Customers:

ANNOUNCING NEW DEVELOPMENTS AT BOSTON JOJOBA COMPANY

We last wrote to all of our customers in August of 2003 to announce a price reduction. Those of you who've been with us for the past eleven years know that we don't write often and that when we do, we have something important to say. This letter is no exception.

During October of last year we sold our farm in Arizona. The decision was very difficult, but in the final analysis it was our only option. Late summer examinations of our fields confirmed that we had almost no crop from the 2004 growing season. Likewise, extremes of temperature, a ten-year drought and yields which paled in comparison to those obtained elsewhere convinced us that we must either get out of the business altogether or locate other sources for our product. The decision was made all the more urgent by news that our processor was experiencing management problems, which could jeopardize our ability to continue having our seed pressed to our exacting specifications. It is significant to note that the purchaser of our farm grows dates, not jojoba.

By the middle of June this year we will have come close to depleting the inventory we obtained directly from our farm. In the interim we have been working very hard to obtain the cooperation of grower/processors willing to meet our exacting and unsurpassed standards for first-press quality, unrefined, golden jojoba. We have succeeded in this. Had we not, we would have closed down our business.

In fact, we are certain you will be very pleased with the quality of the unrefined, first-press golden jojoba we are obtaining from our new suppliers. The new seed sources contain a higher percentage of extractable liquids, 54% to 56%, compared to our former 52% to 54%. Moreover, pressing our product from higher yielding seed has permitted us to reduce our extraction rate to 37% (from 38.5%). A lighter pressing from richer seed has yielded a lighter, far milder product. We will commence shipping this product after exhausting our present inventory, probably near the end of June.

The cost of obtaining our product has increased. However, we are not burdened by the carrying costs of the farm, so, we will continue in our efforts to offer our unrefined, first-press golden liquid HobaCare Jojoba at existing prices. HobaCare has always been, and will continue to be, certified as pesticide-free. However, we can no longer certify it as "organic in accordance with the California Food Act of 1990", as we will no longer be the grower.

However, we do intend to offer certified organic first-press, unrefined golden jojoba. We request your patience while we work on obtaining firm prices for it.

We value the loyalty of our customers, who now number more than 9,000. We will continue to provide to you the best possible first-press, unrefined, golden liquid jojoba at the most reasonable prices.

That being said, Boston Jojoba is entering into a new era of relationships. If you are not comfortable with this and if you wish to be removed from our customer list, please let us know. We will, reluctantly, accede to your request.

Please call Bob or Sally at 1.800 2 JOJOBA (1.800.256.5622) if you have questions or need further information. Or, go to our web site. We look forward to being of continuing service to you.

Bob and Sally Butler