RAISIO INITIATES MANDATORY CODETERMINATION TALKS IN ORDER TO ADAPT VEGETABLE OIL PRODUCTION TO THE MARKET SITUATION

Raisio plc   Press release 9 March 2009 

RAISIO INITIATES MANDATORY CODETERMINATION TALKS IN ORDER TO ADAPT VEGETABLE OIL
PRODUCTION TO THE MARKET SITUATION                                              

For reasons of production and the economy, Raisio is initiating mandatory       
codetermination talks in order to adapt vegetable oil production to the market  
situation. The effects of the economic crisis can be seen in the oil milling    
business as a weakening of demand for rapeseed oil and its resultant a weakening
in profitability. Raisio is initiating the talks with the aim of laying off the 
entire staff at its oil milling plant for a maximum of 90 days. The talks       
concern 31 people.                                                              

The indirect effects of the global financial crisis can be seen also as a fall  
in vegetable oil price and a weakening of export possibilities. One significant 
reason is the reduction in the manufacture of biodiesel as a result of the low  
crude oil price and the economic downturn. The price of vegetable oil in global 
markets has decreased by almost one half during the past six months. The        
weakening in demand can be seen as a bloating of stocks and a weakening in      
profitability. The profitability of the Finnish oil milling industry is also    
being weakened by the scant availability of domestic raw materials and the      
necessity of resorting to the use of imported seed.                             

Of the products at its oil milling plant, Raisio is utilising meals in its feed 
production, but only one quarter of the oil is being used as a raw material in  
the company's own food chain production. Most of the oil being manufactured is  
being sold on international markets.                                            

Adapting vegetable oil production to the market situation is Raisio's way of    
controlling the pressures on the profitability of feed raw material. The company
is ensuring that it maintains its profitability and is reacting to changes in   
demand by adapting its operations.                                              

RAISIO PLC                                                                      

Heidi Hirvonen                                                                  
Communications Manager                                                          
tel. +358 50 567 3060                                                           

Further information:                                                            
Leif Liedes, Vice President, Feed & Malt Division, Raisio plc, tel. +358 50 608 
26                                                                              



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About Us

Raisio is an international company specialised in healthy, responsibly produced food, ingredients and fish feeds. Our well-known brands include, for example, Benecol, Elovena, Sunnuntai, Torino and Benella. In Raisio’s products, the focus is on well-being, health, good taste and sustainable development. Profitable growth is ensured through our strong expertise and passion for creating new. Raisio’s shares are listed on Nasdaq Helsinki Ltd. In 2019, the Group’s net sales totalled EUR 236 million and EBIT was EUR 27 million. Our food is good for Health, Heart and Earth. For more information on Raisio go to www.raisio.com.

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