PRESS RELEASE

Livingston, 27th April 2009

VION Announces Concentration of its Pigmeat Processing Operations

VION Food Group Ltd has today announced proposals to close operations at its Ashton site which processes and slices bacon products.

The combination of an increasingly competitive marketplace and significant over-capacity within parts of the UK meat sector has demanded an increased focus on operational efficiency. Following an extensive review of its UK operations, VION plans to increase the focus of its pigmeat processing plants in order to improve plant throughput and production efficiencies.

As a result of this review, VION UK is proposing to close its operation at Ashton with bacon curing being transferred to VION Malton and bacon slicing moving to VION Scunthorpe.

Commenting on this announcement, Alasdair Cox, Director of Corporate Affairs said, “Due to increasingly competitive pressures from the marketplace, we must continually look to optimise our production facilities to ensure sound foundations for the development of our UK business. The proposed changes will provide a stronger platform upon which VION can meet the demands from the market. The planned changes will be supported by additional investment in the Scunthorpe and Malton operations.

We very much regret the need for these changes in our activities announced today and have informed our employees and their Union representatives of our commitment to consult with them. The commitment from the team at Ashton has never been in question.”

The company will be consulting with the affected people and their nominated representatives to explore ways of avoiding redundancies, including transfers to other sites within the company.

VION Food Group Ltd, the UK arm of VION N.V., produces and processes high quality beef, lamb, pork, bacon and chicken as well as a wide range of convenience products such as sausages, cooked meats and added value cooked chicken. The UK operation has extensive facilities across the UK from farms and hatcheries to primary production, processing and packing, and supplies products according to customer and market demands. The business is primarily focused on the UK retail market but also includes important foodservice and wholesale clients within its portfolio.

VION N.V. is an internationally operating food company with two core activities Food and Ingredients. The company produces high-quality foods and ingredients for humans and animals. VION has an annual turnover of € 9.6 billion and employs 35,500 staff worldwide. VION is a non-listed company and has a single agricultural shareholder: the Zuidelijke Land- en tuinbouworganisatie ZLTO [Dutch Southern Farmers and Market Gardeners Union] which has 18,000 members. VION’s head office is located in Son en Breugel, the Netherlands.

Note for the editors

For further information please contact:
Robert Smith, Group Communications Controller, VION Food Group Ltd
+44 (0)1506 400400
+44 (0)7785 502976
rob.smith@vionfood.co.uk

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PRESS RELEASE

VION Announces Concentration of its Pigmeat Processing Operations


	PRESS RELEASE Livingston, 27th April 2009 VION Announces Concentration of its Pigmeat Processing Operations VION Food Group Ltd has today announced proposals to close operations at its Ashton site which processes and slices bacon products. The combination of an increasingly competitive marketplace and significant over-capacity within parts of the UK meat sector has demanded an increased focus on operational efficiency. Following an extensive review of its UK operations, VION plans to increase the focus of its pigmeat processing plants in order to improve plant throughput and production efficiencies. As a result of this review, VION UK is proposing to close its operation at Ashton with bacon curing being transferred to VION Malton and bacon slicing moving to VION Scunthorpe. Commenting on this announcement, Alasdair Cox, Director of Corporate Affairs said, “Due to increasingly competitive pressures from the marketplace, we must continually look to optimise our production facilities to ensure sound foundations for the development of our UK business. The proposed changes will provide a stronger platform upon which VION can meet the demands from the market. The planned changes will be supported by additional investment in the Scunthorpe and Malton operations. We very much regret the need for these changes in our activities announced today and have informed our employees and their Union representatives of our commitment to consult with them. The commitment from the team at Ashton has never been in question.” The company will be consulting with the affected people and their nominated representatives to explore ways of avoiding redundancies, including transfers to other sites within the company. VION Food Group Ltd, the UK arm of VION N.V., produces and processes high quality beef, lamb, pork, bacon and chicken as well as a wide range of convenience products such as sausages, cooked meats and added value cooked chicken. The UK operation has extensive facilities across the UK from farms and hatcheries to primary production, processing and packing, and supplies products according to customer and market demands. The business is primarily focused on the UK retail market but also includes important foodservice and wholesale clients within its portfolio. VION N.V. is an internationally operating food company with two core activities Food and Ingredients. The company produces high-quality foods and ingredients for humans and animals. VION has an annual turnover of € 9.6 billion and employs 35,500 staff worldwide. VION is a non-listed company and has a single agricultural shareholder: the Zuidelijke Land- en tuinbouworganisatie ZLTO [Dutch Southern Farmers and Market Gardeners Union] which has 18,000 members. VION’s head office is located in Son en Breugel, the Netherlands. Note for the editors For further information please contact: Robert Smith, Group Communications Controller, VION Food Group Ltd +44 (0)1506 400400 +44 (0)7785 502976 rob.smith@vionfood.co.uk