FrieslandCampina Gets Royal Certification

Meanwhile FrieslandCampina reported that prices for raw milk have been under pressure in Germany, Denmark and the Netherlands in recent months. This is reflected in the first guaranteed price announced by FrieslandCampina for the month of January 2009.

Newly formed merged dairy company FrieslandCampina has been awarded the title ‘Royal’ (‘Koninklijk’). The company was informed of the award in a letter from Her Majesty Queen Beatrix of the Netherlands and its official name will now be Koninklijke FrieslandCampina N.V.

“We are very delighted by Her Majesty’s announcement that we have been awarded the title ‘Royal’. We are very proud of the fact that, although our activities are global, our roots are in the Netherlands and go back to the end of the nineteenth century”, said Cees ‘t Hart, CEO of Royal FrieslandCampina.

Based on the figures of 2007 FrieslandCampina’s annual revenue will amount to 9.1 billion euros. The 17,000 member dairy farmers will jointly deliver 8.3 billion kilos of milk. The company will employ 22,000 people and has about 100 production and sales locations in 24 different countries. FrieslandCampina will organise its activities in a structure comprising four business groups: Consumer Products Western Europe, Consumer Products International, Cheese & Butter and Ingredients. The product range consists of consumer milk, milk in powder and concentrated form, dairy drinks, yoghurts, desserts, cream, coffee creamers, baby and infant food, cheese, butter and ingredients.

Cees ’t Hart is the chairman of the Executive Board (CEO) of the new business. Other members of the Board will be: Kees Gielen (Chief Financial Officer), André Boudewijns (Chief Integration Officer), Piet Hilarides (Chief Operating Officer Cheese & Butter), Freek Rijna (Chief Operating Officer Consumer Products Western Europe), Theo Spierings (Chief Operating Officer Consumer Products International) and Frans Visser (Chief Operating Officer Ingredients). The head office will be located in Amersfoort (the Netherlands).

On 17 December 2008 the General Meeting of Zuivelcoöperatie Friesland Foods and the Members’ Council of Zuivelcoöperatie Campina agreed to the merger between both dairy cooperatives and dairy companies. Earlier that day the European Commission had approved the merger.

The merger between Koninklijke Friesland Foods N.V. and Campina BV was officially completed on 31 December 2008. A day earlier Zuivelcoöperatie Friesland Foods U.A. and Zuivelcoöperatie Campina u.a. merged to form Zuivelcoöperatie FrieslandCampina U.A.

Meanwhile FrieslandCampina reported that prices for raw milk have been under pressure in Germany, Denmark and the Netherlands in recent months. This is reflected in the first guaranteed price announced by FrieslandCampina for the month of January 2009. The guaranteed price is the price that they guarantee member dairy farmers for the milk they supply in January 2009. It is independent of FrieslandCampina’s results. FrieslandCampina’s guaranteed price for January is EUR 28.75 per 100 kilograms of milk, exclusive of VAT. This is EUR 1.50 per 100 kilo milk lower than the indication would have been for the guaranteed price in December 2008.

The guaranteed price is the price for 100 kilograms of raw milk containing 4.41% fat and 3.47% protein, exclusive of VAT. The guaranteed price does not include the effects of additional payments or charges, such as the quantum supplement or seasonal additional payments and charges.