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ATRIA AND HK RUOKATALO TO ESTABLISH TURKEY MEAT JOINT-VENTURE

29.6.2006 15:00
ATRIA AND HK RUOKATALO TO ESTABLISH TURKEY MEAT JOINT-VENTURE

In January 2006, Finland's largest turkey meat processing companies Atria and HK
Ruokatalo announced they had embarked on a feasibility study to work together to
safeguard turkey production in Finland. Based on the study, they have decided to
establish a joint venture, Länsi-Kalkkuna Oy, owned on a 50-50 basis, to produce
turkey meat. The employees working in the turkey business of each owner will
transfer to the employ of the new company.

The companies are working together on this front in a bid to safeguard turkey
farming and turkey meat processing in Finland and to provide competitive Finnish
turkey products for consumers.

It is planned the turkey meat production company will be operative from the start
of 2007. This arrangement applies solely to the start of the production chain:
Länsi-Kalkkuna Oy will be responsible for primary production, slaughtering and
cutting. Atria and HK Ruokatalo will continue to compete with their own brands in
the production, R&D and marketing of turkey products as they have to date. Atria
sells its turkey products under the Atria brand and HK Ruokatalo under the
Kariniemen brand.

Atria and HK Ruokatalo expect the joint-venture to improve the poor profitability
currently experienced in the turkey business. The sector is suffering from
industrial overcapacity exacerbated by growing imports. The joint-venture will
reduce capacity and enable more effective use of the remaining capacity.
Rationalisation is expected to have an impact of around EUR 2 million.

Länsi-Kalkkuna Oy's turkey hatching business will be centred on Atria's hatchery
in Jalasjärvi, whereas slaughtering and cutting will take place at HK Ruokatalo's
turkey slaughterhouse in Säkylä. The new company will also assume responsibility
for importing and supplying turkey breeds in Finland.

A total of some 14 million kg of turkey meat was slaughtered in Finland in 2005.
Atria has a 38.0% share of the fresh turkey market and HK Ruokatalo an 18.5%
share (Source: A.C. Nielsen 1-4/2006). Imports accounted for 10% of consumption
at the start of the year (Source: TNS Gallup 6/2006).

For further information, please contact Mrs Merja Leino, Director, Atria Oy,
tel.+358 40 580 1210.


ATRIA GROUP PLC

Matti Tikkakoski
President & CEO


DISTRIBUTION
Helsinki Stock Exchange
Principal media
www.atria.fi