AAK and Lantmännen intend to form joint venture for rapeseed crushing, investment of some SEK 400 million.

AAK and Lantmännen intend to form joint venture for rapeseed crushing,
investment of some SEK 400 million.

AAK and Lantmännen Energi have signed an agreement of intent on the formation of
a joint venture company (51/49) for investment in increased capacity for the
production of rapeseed oil for foodstuffs and biodiesel in Karlshamn.

The use of vegetable oils in the energy sector is increasing rapidly. This,
combined with the competitive pressure currently facing the retail trade, is
putting all players in the food industry's value chain under strong pressure to
bring down prices, resulting in increasing demands for innovative,
cost-effective solutions. For that reason have AAK and Lantmännen Energi signed
an intention agreement with purpose to invest in a new crushing plant to satisfy
the increased demands. 

-The new plant will have a capacity sufficient to crush and refine all Swedish
rapeseed. With a joint, large scale plant we will satisfy the increased demand
for rapeseed based products for both foodstuffs and biofuels, says Magnus
Jörsmo, President Business Area AAK Technical Products & Feed. 

The planned investment at some SEK 400 million signals a significant increase in
capacity over that currently in place at Karlshamn, making it by far the
greatest in any of the Nordic countries. Use of the most modern technology
available to the industry will ensure that the plant is one of the most
efficient in the world. The plant will be placed within AAK's plant in Karlshamn
where also Lantmännens production of biodiesel (RME) is placed. 

-The joint venture will further strengthen our market position and secures a
Swedish biodiesel with high quality, while at the same time providing
prerequisites for increased production of biodiesel within Lantmännen. The
investment will strengthen the competitiveness for Swedish farmers, says Bengt
Håkansson, President Business Area Lantmännen Energi. 

The jointly owned crushing plant is scheduled to come on line in the second half
of 2009 and will generate profits from the end of 2009. 

- We are striving for a growing proportion of high value added products, and a
jointly-owned company for the crushing of rapeseed oil is an important step in
the right direction, says Jerker Hartwall, AAK's President and CEO. 

For further information, contact: 
Jerker Hartwall, President and CEO AAK AB - phone +46 40 627 83 26 Bo Svensson,
Information Manager AAK AB - phone: +46 708 18 21 93 Bengt Håkansson, President
Business Area Lantmännen Energi, phone +46 705 88 83 14 Eva Emrin, Information
Manager, Lantmännen, phone +46 703 59 59 20 



Facts/AarhusKarlshamn 
AarhusKarlshamn is the world's leading manufacturer of highly refined vegetable
special fats. These fats are noted for their high technology content and are
used as butterfat and cocoa butter substitutes, transfree solutions for
chocolate fillings and confectionery, and in the cosmetics industry.
AarhusKarlshamn has production plants in Denmark, the Netherlands, Mexico, Great
Britain, Sweden, Uruguay and the U.S.A. AAK is organised into three business
areas: Chocolate & Confectionery Fats, Food Ingredients, and Technical Products& Feed. For further information on AarhusKarlshamn, visit the company's website
at www.aak.com  

Facts/Lantmännen Energi 
Lantmännen is on of the Nordic countries' biggest group within foodstuffs, the
energy sector and agriculture. Examples of owned trademarks are Axa, Kungsörnen,
Skogaholm, Hattings, Schulstad and Kronfågel. The multiple chain is Granngården.
Lantmännen is owned by 44,000 Swedish farmers, and has 13,000 employees, is
active in 19 countries and has a turnover by SEK 32 billion. For further
information on Lantmännen Energi, visit the company's website at
www.lantmannen.com