• E-mail
• Print
• Comment
• Font Size
• Digg
• del.icio.us
• Discuss article

Wimm-Bill-Dann Foods OJSC Acquires 63.53% Stake in ''Nazarovskoe Milk'' OJSC In Krasnoyarsk Region

Posted on: Wednesday, 28 December 2005, 03:02 CST

Wimm-Bill-Dann Foods OJSC (NYSE: WBD) today announced an acquisition of a 63.53% stake in the "Nazarovskoe Milk" OJSC in Krasnoyarsk region, which increased the total number of manufacturing facilities owned by Wimm-Bill-Dann to 29.

Following Wimm-Bill-Dann's strategy of regional expansion the Company acquired dairy plant in Krasnoyarsk region, where Wimm-Bill-Dann didn't have its own production.

The Plant, which was founded in 1944, was reconstructed during the recent 15 years. Production infrastructure of the plant was modernized in 2000-2004. The plant is currently processing up to 300 tons of raw milk per day. This raw milk is being purchased from the farms, situated not far than 150 kilometers from the plant. Currently about 70% of total plant's production is made of canned dairy products.

Following the acquisition of "Nazarovskoe Milk" OJSC the Company will develop the new categories of the dairy market and to penetrate the new perspective region with high growth potential. Prior to the acquisition Wimm-Bill-Dann was delivering its dairy products from its plant in Novosibirsk, which is situated in 800 km from Krasnoyarsk, what made impossible the development of the Company's sales in such an important city.

Some of the information contained in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of Wimm-Bill-Dann Foods OJSC, as defined in the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. We wish to caution you that these statements are only predictions and that actual events or results may differ materially. We do not intend to update these statements to conform them to actual results. We refer you to the documents Wimm-Bill-Dann Foods OJSC files from time to time with the U.S. Securities and Exchange Commission, specifically, the Company's most recent Form 20-F. These documents contain and identify important factors, including those contained in the section captioned "Risk Factors" in our Form 20-F, that could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, potential fluctuations in quarterly results, and risks associated with our competitive environment, acquisition strategy, ability to develop new products or maintain market share, brand and company image, operating in Russia, volatility of stock price, financial risk management, and future growth.

NOTES TO EDITORS

Wimm-Bill-Dann Foods OJSC is a leading manufacturer of dairy products and beverages in Russia. The company was founded in 1992.

The Company currently owns 29 manufacturing facilities in Russia and the Commonwealth of Independent States (CIS), as well as trade affiliates in 26 cities in Russia and the CIS.

Wimm-Bill-Dann has a diversified branded portfolio with over 1,100 types of dairy products and over 150 types of juice, nectars and still drinks. The company currently employs over 17,000 people.

Wimm-Bill-Dann was awarded Grand Prix for Best Overall Investor Relations in 2004 - Small & Mid cap companies and Best Investor Relations Officer in 2004- Small & Mid cap companies at the Second Annual IR Magazine Russia Awards held in December 2004 and organized by IR Magazine and the Association of Investor Relations Professionals. Wimm-Bill-Dann previously received the Grand Prix for Best Overall Investor Relations in 2003- Small & Mid cap - at the first annual IR Russia Awards Ceremony held in Moscow last year.

Source: Business Wire

More News in this Category