Wimm-Bill-Dann Strengthens Regional Position

27/01/06 Following its strategy of regional expansion, Russian dairy giant Wimm-Bill-Dann acquired a new dairy plant in the city of Pervouralsk in the Sverdlovsk region. Prior to the acquisition the Company did not have its own production in the region.

The plant was put into operation in 1970; its designed capacity is 120 tons per day. Currently the plant processes up to 20 tons of milk per day and specializes in the production of natural dairy and curds products, as well as drinking yogurts under the Snegirevo brand. The plant employs 165 people.The acquisition of Pervouralsk City Dairy Plant allows Wimm-Bill-Dann to explore new dairy markets, expand the geography of sales and optimize logistic expenses, thus eliminating the necessity of additional transportation of the Company’s products across the regions. Initially the products will be manufactured under the Snegirevo brand.

The Company envisages launching its own Domik v derevne and Vesely molochnik brands in the future.