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30/03/01 . Nicole Maestri . CBS.MarketWatch.com . USA
A new container for the Big Mac
McDonald's OK's EarthShell's container for its burger
SANTA BARBARA, Calif. (CBS.MW) - There's only one way to get a Big Mac - and now that way is wrapped in an EarthShell hinged-lid container.
"This is the most significant development to date for our company," said Simon K. Hodson, Chief Executive Officer, in a statement.
In trading Friday, shares soared 91 percent to $2.50.
The containers had been on trial in Chicago since April, and EarthShell said 7 million of them had been used so far. EarthShell said the containers are made out of reclaimed potato starch, natural limestone, post-consumer recycled fiber and biodegradable wax coating.
The packaging company said it will now work with McDonald's (MCD: news, msgs, alerts) to expand its products.
EarthShell also released quarterly results, posting a loss of $7.6 million, or 7 cents per share, compared with a loss of $11.3 million, or 11 cents per share, in the comparable year-earlier quarter. There were no analyst estimates provided by First Call.
The results excluded a one-time $11 million charge to write-off equipment and install manufacturing lines.
Shares of McDonald's finished up $1.21, or 4.8 percent, to $26.49.