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EFTA01381353

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Form S-I Table of Contents Blue Buffalo Pet Products, Inc. Notes to Unaudited Condensed Consolidated Financial Statements (Continued) Note 10— Related Parties Invus PartnersILLC holds $20.1 million of the Company's outstanding debt under the Amended Facility. Several of the members of the Company's Board of Directors ("BOW) arc members of Invus Partners I.I.C, as well as managing directors and officers of the general partner of our majority stockholder. In addition, KunkeinuclIcr Enterprises LP, which is owned in part by the wife of one of the members of our BOD, holds $1.5 million of ow debt under the Amended Facility. Note 11— Legal Proceedings On May 6, 2014, Nestle Purina filed a lawsuit against us in the United States District Court for the Eastern District of Missouri. As amended, Nestle Purina's complaint alleges that we have engaged in false advertising, commercial disparagement and unjust enrichment. Nestle Purina asserts that, contrary to our advertising and labeling claims, certain BLUE products contain chicken or poultry by-product meals, artificial preservatives and/or corn and that certain products in the BLUE grain-free line contain grains. Nestle Purina also alleges that we have made false claims that our products (including LifeS'ource Bits) provide superior nutrition and health benefits compare) to our competitors' products. In addition. Nestle Purina contends that we have been unjustly enriched as consumers have paid a premium for BLUE products in reliance on these alleged false and misleading statements, at the expense of our competitors. Nestle Purina seeks an injunction prohibiting us from making these alleged false and misleading statements, as well as treble damages, nstitution and disgorgement of our profits. among other things. In addition, Nestle Purina has issued press releases and made other public announcements, including advertising and promotional communications through emails and interact and social media websites

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