Aurora Foods Expects Continued Double-Digit EBITDA Growth, July Volumes Up 16% Versus Year Ago

St. Louis, MO - August 8, 2001 - Aurora Foods Inc. (NYSE: AOR), a leading manufacturer of premium branded food products, today announced that it expects continued strong double-digit EBITDA growth for the second six months of 2001.

Based on its strong first-half performance and anticipated continued strong performance in the second half, Aurora said it expects adjusted EBITDA for 2001, or earnings before interest, taxes, depreciation, amortization and other special items, to be in the $170-million to $175-million range, compared with $152.7 million in 2000. This is a significant increase versus a year ago and demonstrates the magnitude of the turnaround underway at the Company in spite of the general business slowdown in the U.S. economy.

In another example of the Company's turnaround, Aurora said that its case volume in July increased 16% from year-ago levels, which followed an increase in the second quarter of almost 4% versus year ago. Carryover orders going into August were also up significantly.

"We are continuing to see improvements throughout the Company, and our business is getting stronger each day," said James T. Smith, Chairman, President and Chief Executive Officer of Aurora Foods. "The July volume increases and strong carryover into August clearly illustrate the strong turnaround underway."

Previously, Aurora had expected EBITDA for 2001 to grow to $175 million to $180 million. The slight revision in the estimate primarily reflects higher-than-anticipated promotion spending that was obscured by an error in the Company's promotion spending tracking system. The error was discovered after the quarter ended, charged to the second quarter and has now been corrected.

Mr. Smith added, "Our second-quarter financials clearly demonstrate the improving health of the Company. The first six months double-digit EBITDA growth was well in excess of current projected food company averages, and we expect similar growth in the balance of the year."