Wessanen Strengthens Convenience Food Group With German Acquisitions.

Business Editors

AMSTELVEEN, The Netherlands--(BUSINESS WIRE)--Jan. 7, 2000

The Executive Board of Koninklijke Wessanen nv, the international food group, today announced that its Convenience Food Group has reached an agreement on the acquisition of two companies in Germany: Karl Kemper GmbH, Borken, and Vegeta GmbH, Cologne.

Karl Kemper produces frozen meal components, primarily chicken and meat specialties, as well as vegetarian products. Vegeta specializes in vegetarian products. Both companies maintain strong positions in the food services and take home markets. Combined sales for Kemper and Vegeta total about EUR 30 million. The companies employ 240 people.

These acquisitions will considerably strengthen the position of Wessanen's Convenience Food Group in the German market. In addition to its own sales in this growing market, Kemper will also handle the sales of Becker BV. Becker, part of Wessanen's Convenience Food Group with strong brand name recognition, will continue to source chicken from Golden Foods International, the Thai entity of the Convenience Food Group.

The acquisitions will be consolidated as of January 1, 2000. Both will be paid for in cash and are expected to contribute immediately to earnings per share in the year 2000.

Based in The Netherlands, Wessanen produces and markets a wide range of branded and private label dairy, breakfast, frozen and chilled foods. US units (some 50% of sales) include market leader Kemps Frozen Yogurt; Axelrod, Crowley, and Heluva Good Cheese dairy products; and Tree of Life natural and specialty foods distribution.

Wessanen ordinary shares are listed on the Amsterdam, London, Swiss and German stock exchanges and trade in the US in ADR form. Each ADR is equal to one ordinary share and prices may be accessed on the NASD OTC Bulletin Board under the symbol KNKWY. Prices for the ordinary shares may be accessed on Bloomberg under the symbol WESS NA.