Theo Hoen is the new CEO of Marel Food Systems • The Board of Directors of Marel Food Systems has made an agreement with Theo Hoen to lead the united companies of Marel and Stork Food Systems as CEO. • Under Theo Hoen's leadership, Stork Food Systems has become the global market leader in serving the poultry processing industry and has at the same time delivered strong operational results, with an EBIT of 10-12%. • Sigsteinn Grétarsson, Managing Director of Marel ehf., will join the Management Board. • Marel Food Systems' intention is to remain headquartered in Iceland. Marel Food Systems is a leading global provider of advanced equipment and systems for the poultry, fish and meat processing industries, with a 15% market share and close to 600 million Euros in revenues. At the annual shareholder meeting in 2006, the company announced a two-stage growth strategy, the first phase of which was completed with the acquisition of Stork Food Systems last year. The second phase of the strategy shifts the focus shifts towards capturing synergies and increasing the profitably of the company. The Board of Directors unanimously decided to ask the CEO of Stork Food Systems, Theo Hoen, to lead the united companies. Theo Hoen has an excellent track record as CEO of Stork Food Systems from 2001 to date and has close to 25 years of experience in the industry, having previously served as head of R&D and production. Under his leadership, Stork Food Systems has become the global market leader in serving the poultry processing industry and has at the same time delivered strong operational results, with a profit from operations (EBIT) of 10-12%. Sigsteinn Grétarsson will join Theo Hoen and our CFO, Erik Kaman, as a member of the Management Board. Since April last year, Sigsteinn has successfully lead the full merger of Marel and Scanvaegt. He first joined Marel in 1997 as a sales manager, became Managing Director of Marel's operation in Australia for four years and later headed Business Development during the acquisition period of Marel. Hörður Arnarson has decided to step down after having served the company as CEO for the past 10 years. Hörður has been with Marel since 1985, previously serving as head of R&D and production. Lárus Ásgeirsson, Director of Sales, who joined Marel in 1987, has also decided to step down. “Under Hörður's and Lárus's leadership, Marel Food Systems has grown into an undisputed global market leader in its field. The company now has the necessary size and critical mass to serve its global customers. In the past 10 years, the quality of earnings has improved significantly, first through internal development and an increased focus on standardizing products, and then by increasing service revenues following several successful acquisitions of more mature companies. On behalf of the Board of Directors, I would like to thank Hörður and Lárus for their contributions to the growth and success of Marel Food Systems.” Árni Oddur Þórðarson, Chairman of Marel Food Systems. “In May last year, a dream came true when the two great companies of Marel and Stork Food Systems joined forces. The two companies had been industrial partners for over a decade and the merger was finally achieved through the efforts of Hörður, Lárus and their team. After a period of successful acquisitions, we will now focus on increasing synergies and leveraging our strengths. Our future is bright and our aim is to realize our full potential.” Theo Hoen, CEO of Marel Food Systems. Marel began as a research project at the University of Iceland in 1977 and was incorporated in 1983. Today, the company is a true global leader in its industry and is proud of its Icelandic and entrepreneurial roots. The company's intention is to remain headquartered in Iceland. Marel Food Systems has a team of excellent and highly committed people all around the globe. Together, the team now embarks on the second phase of our growth strategy with an increased focus on driving the cost base to sustainable lower levels and increasing profitability with the end goal of maximizing shareholder value. The Board of Directors, Árni Oddur Þórðarson Friðrik Jóhannsson Lars Grundvigt Helgi Magnússon Margrét Jónsdóttir Arnar Már Másson