Millennium Quest, Inc. Reports First Quarter 2007 Results

Millennium Quest, Inc. Reports First Quarter 2007 Results

June 12, 2007

    JUNAN COUNTY, Shandong Province, China, June 12
/Xinhua-PRNewswire/ --
Millennium Quest, Inc. (OTC Bulletin Board: MLQT.OB; the
"Company") a leading
China-based food processing company engaged in the
development, manufacture
and sale of food products worldwide, today announced
financial results for the
first quarter of the Company's 2007 fiscal year, ended
March 31, 2007.  The
Company develops, manufactures and sells its food products
through its
subsidiaries under the brand name "Lorain
Foods."

    Quarter to quarter comparison

    For the three months ended March 31, 2007, the Company
reported revenues
of $11.9 million, an increase of 112.9% compared to the
$5.6 million reported
for the same period last year.  Gross profits for the three
months ended March
31, 2007, were $2.9 million, or 24.8% of sales, compared to
gross profits of
$1.3 million, or 23.3% of sales, for the same quarter last
year.  Total
operating expenses for the three months ended March 31,
2007 were $0.49
million, or 4.1% of sales, compared to $0.66 million, or
11.8% of sales, for
the same period last year.  Net income for the three months
ended March 31,
2007 was $1.5 million, an increase of 522.7% compared to
net income of $0.25
million in the same period a year ago.

    Balance sheet items

    The Company's cash and cash equivalents balances as of
March 31, 2007 was
$8.5 million, compared to cash and cash equivalents of
$11.6 million as of
December 31, 2006.  As of March 31, 2007, total current
assets were $35.7
million and stockholders equity was $5.6 million.

    According to Chairman, President and CEO Si Chen,
"We are extremely
pleased with our first quarter results, and as the demand
for our products
remains strong we expect continued growth for the balance
of the year."
Referring to a May 31, 2007 release describing a fire in
the Company's Beijing
factory, Mr. Chen stated, "Despite the recent setback
caused by the fire, we
are quickly recovering.  We are moving forward and taking
the right steps to
assure that the entire organization is focused totally on
meeting all of our
objectives."

    About Millennium Quest, Inc.

    Millennium Quest, Inc. ("Lorain") is a U.S.
public company that only
operates through its four indirect subsidiaries, two in
Junan County, one in
Luotian Hubei Province and one in Beijing. Lorain is a
leading food processing
company engaging in the development, manufacture and sale
of food products
worldwide. Formed in 1994, the company produces hundreds of
varieties of food
products, categorized into three interrelated divisions:
chestnut products,
processed food, including frozen, canned and packaged
goods, and convenience
foods, consisting of meals ready to eat (MRE) and ready to
cook (RTC).

    FORWARD LOOKING STATEMENTS

    This release contains certain "forward-looking
statements" relating to the
business of Lorain and its subsidiary companies, which can
be identified by
the use of forward-looking terminology such as
"believes, expects" or similar
expressions, including but not limited to, statements
regarding the continued
demand for Lorain's products, Lorain's ability to sustain
growth for the
balance of the year and Lorain's ability to generally meet
all of its
objectives. Such forward looking statements involve known
and unknown risks
and uncertainties, including all business uncertainties
relating to product
development, marketing, and concentration in a single
customer, raw material
costs, market acceptance, future capital requirements, and
competition in
general and other factors that may cause actual results to
be materially
different from those described herein as anticipated,
believed, estimated or
expected. Certain of these risks and uncertainties are or
will be described in
greater detail in our filings with the SEC. Lorain is under
no obligation to
(and expressly disclaims any such obligation to) update or
alter its forward-
looking statements whether as a result of new information,
future events or
otherwise.

    Contact: Mr. Sheldon Saidman
            (719-548-9963)