<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>3
<FILENAME>exhibit99-1_11331.txt
<DESCRIPTION>PRESS RELEASE
<TEXT>

                                                                    EXHIBIT 99.1
                                                                    ------------


Lifeway Foods Announces Death of President Michael Smolyansky; Board Appoints
Julie Smolyansky as Successor

Updated: Tuesday, June 11, 2002 10:03 AM ET

MORTON GROVE, Ill.--(BUSINESS WIRE)--June 11, 2002--Lifeway Foods, Inc. (Nasdaq:
LWAY, news, msgs), a leading manufacturer of kefir and other cultured dairy
products, announced today that company founder and president Michael Smolyansky
died Sunday of a heart attack at the age of 55. Julie Smolyansky, the founder's
daughter and the company's director of sales and marketing, was appointed
president, CEO and treasurer at a special board of directors meeting late
Monday.

Ms. Smolyansky was also named to the board of directors to fill a vacancy left
by her father's death.

Valeriy Nikolenko, company secretary and vice president in charge of production,
will continue to oversee the day-to-day manufacturing operations.

Julie Smolyansky joined Lifeway in 1997 and has implemented new marketing,
advertising and public relations campaigns that have contributed significantly
to the company's growth. She has also played a key role in new product
introductions. She is a graduate of the University of Illinois and is currently
pursuing a M.B.A. at the Stuart Graduate School of Business at the Illinois
Institute of Technology.

Lifeway is a manufacturer of cultured, probiotic and functional food products in
the health food industry, and is America's leading supplier of the cultured
dairy product known as kefir. The Company markets 12 flavors of kefir and does a
successful business exporting its products to Canada. The Company also
participates in the organic and soy markets with Lifeway Organic(TM), Organic
Kefir and Kefir Cheese, and America's first non-dairy soy kefir called
SoyTreat(TM).

This press release contains forward-looking statements. Investors are cautioned
that actual results may differ materially from such forward-looking statements.
Forward-looking statements involve risk and uncertainties including, but not
limited to, competitive pressures and other important factors detailed in the
Company's reports filed with the Securities and Exchange Commission.



    CONTACT:  Press
              S&S Public Relations
              Roxanne Pascente, 847/955-7730 ext. 288
              Steve Simon, 847/955-7730 ext. 237





</TEXT>
</DOCUMENT>
