Emmi Acquires Minority Holdings in France and Italy

Emmi continues to expand its international business. In France, one of Emmi's strategic markets in the cheese segment, Emmi and Ambrosi Emmi France SA will hold a 25% stake in Diprola as at 1 January 2010.

9 Dec 2009 --- Emmi has acquired shares in two companies located in strategic sales markets for its cheese products - one in Italy and one in France. Emmi is reinforcing its position on France's cheese market by purchasing a 25% share in French cheese packaging specialist Diprola, which trades under the Schöpfer name. Emmi is also solidifying its standing through a commercial collaboration with Venchiaredo, a specialist in fresh cheese and mozzarella.

Emmi continues to expand its international business. In France, one of Emmi's strategic markets in the cheese segment, Emmi and Ambrosi Emmi France SA will hold a 25% stake in Diprola as at 1 January 2010. Located in Avignon, Diprola is a holding company of family enterprise ETS Schöpfer SAS, which specialises in portioning and preparing cheese as well as packaging fresh cheese. Freshly portioned and packaged cheese, primarily available at self-service counters, has been a growing segment in France for many years now. With its investment in Diprola, Emmi can tap synergies in France in the logistics and pre-packaging segments while improving Emmi's market performance in France and surrounding markets. Emmi's Swiss cheese specialities are marketed in France by Ambrosi Emmi France SA, which is also a market leader in Italian cheese products. Ambrosi Emmi France will continue to expand its market position in France in the coming years.

Emmi is working with Venchiaredo, a northern Italian cooperative, to cultivate the key market of Italy. As part of a share capital increase for Venchiaredo in January 2010, it is acquiring a minority stake in the company, which specialises in fresh cheese and mozzarella. Venchiaredo produces and markets its own products as well as private labels for Coop Italia, Conad and European retailers. As part of the collaboration, Emmi Italy will handle the sales and marketing activities for Venchiaredo. Emmi is thereby reinforcing its market position in Italy while enhancing the volume of its own brand business via existing clients. At the same time, it can promote the development of its fresh cheese and mozzarella products under the Trentinalatte brand, both nationally and via the Emmi Group subsidiaries. Italy is one of Emmi's key international markets alongside Germany, Austria, the UK and the US. Emmi is represented in Italy by subsidiary Emmi Italia, primarily on the cheese market. It is also active in the marketing of branded and private-label fresh products via the Trentinalatte company, which it acquired three years ago.