September 25, 2008

Cherkizovo's second pork Breeding module opens in Russia

Cherkizovo Group OJSC, one of Russia's leading integrated and diversified meat producers, has opened the second and final module at the Group's new state-of-the-art pork breeding facility in the Tambov region.

The opening of the module is the final phase in the completion of the group's facility in Tambov, where it is established as the group's second major pork production facility.

The Tambov pork complex consists of two modules with a total completed capacity to breed more than 200,000 pigs per year which is anticipated to translate into 12,500 tonnes of live weight per year in each module.

The first Tambov module, commissioned in June 2008, will be operating at full capacity by mid 2009. The second module, a major step for the group to strengthen its presence in pork breeding and production, is expected to reach full capacity by the second half of 2009.

The opening follows the establishment of the Group's largest pork production facility, located in Lipetsk region. The Lipetsk facility comprises four modules, each of which has an expected capacity of 12,500 tonnes of live weight per year in each module.

After Lipetsk and Tambov facilities operate at full capacity, they will produce more than 75,000 tonnes of live weight which is expected by the end of 2009.