FrieslandCampina Sells Prenzlau Location to Uckermärker Milch

As part of the sale, FrieslandCampina is moving part of its production to the location at Cologne. The company is to invest EUR 10 million (2008 and 2009) in the production facility in Cologne primarily aimed at optimising the production of liquid milk and logistics.

13/01/09 Dairy company Royal FrieslandCampina has sold its production facility Prenzlau to Uckermärker Milch GmbH in Potsdam (Germany). The sale has no adverse consequences for the employees. All jobs will be retained and the new employer will adopt all contracts of employment without change.

The Prenzlau location is specialised in the production of quark, butter, milk powder and industrial products. Uckermärker Milch GmbH has thus completed its own product range and will continue its other activities without change. As part of the sale, FrieslandCampina is moving part of its production to the location at Cologne. The company is to invest EUR 10 million (2008 and 2009) in the production facility in Cologne primarily aimed at optimising the production of liquid milk and logistics.

Norbert Reuss, Director Operations at FrieslandCampina in Germany, stated: “From the outset our central priority with the sale was to ensure that the employees would retain their jobs and to safeguard the economic future of the dairy farmers in the region. In Uckermärker Milch GmbH we have found a strong partner for the region.”

Uckermärker Milch GmbH is established in Potsdam. Within this enterprise five companies have concentrated their activities in order to realise synergy benefits.

The contract partners have agreed not to make any announcements about the selling price. The Works Council was kept informed of and involved in the process throughout.