VEGA ALTA, Puerto Rico , July 11 /PRNewswire-FirstCall/ -- Margo Caribe, Inc. (Nasdaq: MRGO) ('the Company') announced that it has signed a licensing agreement with Termarid, LLC to produce and distribute a family of termite eradication products identified as Term-A-Rid 613 for the states of Florida, South Carolina, the southern half of Georgia , and the Commonwealth of Puerto Rico .

The Company intends to produce Term-A-Rid 613 products at its wholly owned subsidiary, Margo State Line, Inc., located in Folkston, Georgia . Margo State Line, Inc. has received approval from the Environmental Protection Agency (EPA) to produce Term-A-Rid 613. The Company expects to begin producing Term- A-Rid 613 during the fourth quarter 2006, and plans to market it through do- it-yourself home centers, big box retailers and garden centers. The Company believes that Term-A-Rid 613 will be an important addition to Margo State Line's product line.

About Margo Caribe

Margo Caribe, Inc. is currently engaged in the business of growing and distributing a wide range of both indoor and outdoor tropical foliage and flowering plants in Puerto Rico and the northeast Caribbean. The Company is also engaged in the sale and manufacturing of lawn and garden products throughout Puerto Rico , the northeast Caribbean and the Southeast United States . In addition, the Company is in the process of securing permits for a residential project in Arecibo, Puerto Rico .

Forward-Looking Statements

This press release contains certain 'forward-looking statements' concerning Margo Caribe's economic future performance. The words 'expect,' 'anticipate,' 'hope', 'believe' and similar expressions are meant to identify 'forward-looking statements' within the meaning of the Private Securities Litigation Reform Act of 1995.

Margo Caribe cautions readers not to place undue reliance on any such 'forward-looking statements,' which speak only as of the date made and to advise readers that various factors, including regional and national economic conditions, natural disasters, competitive and regulatory factors, and legislative changes, could affect Margo Caribe's financial performance and could cause Margo Caribe's actual results for the future periods to differ materially from those anticipated or projected.

Margo Caribe does not undertake and specifically disclaims any obligation to update any 'forward-looking statements' to reflect occurrences or unanticipated events or circumstances after the date of such statements.

SOURCE Margo Caribe, Inc.