Kalev's sales of sugar and chocolate confectionery and flour confectionery products in May up 14%

Kalev's May sales figures for sugar and chocolate confectionery and flour
confectionery products were up 14% from the previous period last year,
amounting to 38.5 million kroons. Sales growth for 11 months of the financial
year was 12%, and total sales amounted to 440.4 million kroons. Total weight
sold in May was 807 tons and 9,254 tons for the 11 month period. 

In major product groups, sales of chocolate bars were up 32.5%, candy sales
increased 3.5% and sales of boxes of candy increased 8.7%. Sales of flour
confectionery products (cookies and biscuits, flour mixes, bread, cakes and
pies) were up 33.1% compared to the same period last year. The growth is based
on optimization of the product portfolio, successful new product launches, and
consumer and price campaigns in larger retail chains. 

According to a retail sales study conducted by AC Nielsen, Kalev continues to
be the leader on the chocolate and sugar confectionery market (March 2007) -
the market share according to turnover was 35.7% of the domestic market and the
market share by weight sold was 41.4%. By major product groups, Kalev's market
shares are as follows: chocolate bars 56.7% (1st), chocolate candies 49.2%
(1st), boxes of candy 24.8% (1st), and soft candies 18.2% (1st). On the
cookie/biscuit market, Kalev's market share is 9.1% (3rd) and on the bread
market, around 3%. 

Sales of confectionery products (including sugar, chocolate and flour
confectionery) on the domestic market in May made up 92% of total sales
(Estonian sales accounted for 91% of total sales over the 11 month period). Of
export sales of confectionery products in May, the so-called Travel Trade
segment made up 48%, sales to Latvia about 27%, sales to Russia 14% and sales
to other countries 11%. 


Additional information: 
Kati Kusmin
Kalev Chocolate Factory Chairman of the Board
E-mail: kati.kusmin@kalev.eu
Phone: 6077810