AGRANA Launches Second Joint Venture for Juice Concentrate in China

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merger, acquisition and takeover

Wien (euro adhoc) - AGRANA Group and Yantai North Andre Group (YNA)
have signed an agreement to form a second joint venture. AGRANA and
YNA will set up the Yongji Andre Juice Co. Ltd., based in Yongji,
China, for the production of apple juice concentrate. Each partner
will hold a 50% interest in the new company. The transaction is
subject to the approval of the respective antitrust authorities. The
plant in Yongji, with a processing capacity of 140,000 tonnes of
apples per year, started production in July 2007. The joint venture
partners are planning to double the plant´s capacity by 2009.

"This second joint venture in China is another important strategic
step toward growing our business segment Fruit on a global basis. It
strengthens AGRANA´s presence in the fast growing Chinese market and
consolidates our strategic alliance with Yantai North Andre", Johann
Marihart, CEO of AGRANA Group, commented on the transaction. "The
Chinese production joint ventures perfectly complement our
distribution activities. While Yantai North Andre is the market
leader in "sweet" Chinese apple juice concentrate in the United
States, AGRANA is one of the leading apple and berry juice
concentrate producers in Europe", Marihart said.

AGRANA and Yantai North Andre have successfully operated the joint
venture Xianyang Andre Juice, located in Xianyang, China, for the
production of "sweet" apple juice concentrate, since 2006. The
company, with a headcount of approx. 180, is currently increasing its
capacity by 50%.

In addition to its own European concentrates, AGRANA also distributes
apple juice concentrate produced by Xianyang Andre Juice in Europe.
The concentrate produced in the new plant will, like that already
produced in Xianyang, fulfil the high quality standards of the
European market, which are defined by the EU´s Code of Practice for
Evaluation of Fruit and Vegetable Juices (A.I.J.N.).

As Chinese apple juice concentrate lacks the acidity typical of
European concentrates, it is classified as "sweet". The joint venture
partners believe that there is further global sales potential for
both "sweet" and "sour" concentrates.

AGRANA in China AGRANA owns a fruit preparation plant North of
Beijing and runs two sales offices in Beijing and Shanghai
respectively. After the closing of the Yongji transaction, AGRANA and
YNA will jointly own two apple juice concentrate plants in China.

This press release is available in German and English on the Internet
at www.agrana.com.

end of announcement euro adhoc
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ots Originaltext: AGRANA Beteiligungs-AG
Im Internet recherchierbar: http://www.presseportal.de

Further inquiry note:

AGRANA Beteiligungs-AG

Mag. Maria Fally

Investor Relations

Tel.: +43-1-211 37-12905

e-mail:maria.fally@agrana.com

Mag. Ulrike Pichler

Public Relations

Tel.: +43-1-211 37-12084

e-mail:ulrike.pichler@agrana.com

Branche: Food
ISIN: AT0000603709
WKN: 779535
Index: WBI, ATX Prime
Börsen: Börse Berlin / Präsenzhandel
Börse Frankfurt / Präsenzhandel
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