Collaboration Between Emmi and LRG Group SA

Emmi and LRG Group SA signed an agreement on the acquisition of 60% of the shares of Nutrifrais SA by the Emmi Group on 7 April 2009. The acquisition of the stake will take place subject to the approval of the Swiss Federal Competition Commission.

08/04/09 Emmi has reached an agreement with Geneva-based LRG Group SA concerning the acquisition of a majority holding in Nutrifrais SA. Nutrifrais is a subsidiary of the LRG Group specialising in the production of yoghurt and desserts. Emmi aims to reinforce its market presence in the yoghurt and dessert segments through Nutrifrais with the licence for "Yoplait" and the "TamTam" brand. The collaboration will mean good prospects for the future of the Geneva site. The acquisition of the stake will take place subject to the approval of the Swiss Federal Competition Commission.

Emmi and LRG Group SA signed an agreement on the acquisition of 60% of the shares of Nutrifrais SA by the Emmi Group on 7 April 2009. The acquisition of the stake will take place subject to the approval of the Swiss Federal Competition Commission. Both parties have agreed not to disclose the purchase price.

The Geneva-based company Nutrifrais is a wholly owned subsidiary of LRG Group SA (holding company of Laiteries Réunies Genève). It employs a workforce of around 30 people and pro-cesses a total of approximately 5 million kilograms of milk supplied by farms in the region surrounding Geneva. The dairy specialises in the production of desserts, yoghurt and quark and generates sales of around CHF 20 million. Nutrifrais has been a major provider of fresh milk desserts with the "TamTam" brand for a considerable number of years, and it also produces and distributes "Yoplait" branded products under licence in Switzerland. "It is important to the LRG Group that milk processing stays in the region. From our perspective, Emmi is a strong partner for the sustainable development of Nutrifrais", explained Frédy Currat, Director of the LRG Group, with regard to the reasons behind the sale of the holding to Emmi.

Through the acquisition of Nutrifrais, Emmi aims to reinforce its market position in French-speaking Switzerland and in the yoghurt and dessert segments through the acquisition of Nutrifrais. Emmi plans to expand the technically well-equipped dairy as a centre of competence for flan and other specialities for the national and international markets. Jobs will be maintained. "With a majority holding in Nutrifrais, we will not only be strengthening the presence of Emmi in French-speaking Switzerland, but also responding to the constantly increasing pressure from imports", commented Urs Riedener, CEO of the Emmi Group, concerning this targeted expansion move.

The Emmi Group is currently represented in French-speaking Switzerland via the ageing facility Fromco SA in Moudon, the Tête-de-Moîne cheese dairy FDS Fromagerie de Saignelégier SA and Emmi Interfrais SA in Lausanne. In addition, Emmi holds a stake in the Gruyère dairy FDC Fromagerie de Courgenay SA.