11/05/2004

Improved results reported during the first quarter of 2004. Net sales amounting to € 24.9 million (+4.7%), EBITDA amounting to € 2.9 million (+27.3%), and earnings before taxes amounting to € 1.7 million (vs. € 398 thousand).

Better results were reported for the first quarter of 2004 as approved today by the Board of Directors of Centrale del Latte di Torino & C. S.p.A, a Company listed in the Star Segment of Borsa Italiana (the Italian Stock Exchange) which, together with its subsidiaries Centrale Latte Rapallo and Centrale del Latte di Vicenza, produces and sells fresh milk, dairy, and ultrafresh products

More specifically, as at March 31 2004, the Group reported net sales amounting to € 24.9 million, with a 4.7% growth over € 23.8 million recorded as at end of March 2003, thus showing a sales increase, both in value and volume, despite stagnant consumption trends recorded during the same period.

With regard to the various business areas, sales volumes also recorded an increase over the same period of last year, namely +3.9% for 'fresh milk', +1.4% for 'UHT milk', +7% for 'Yogurt', and +5.4% for 'other packed products' .

EBITDA amounted to € 2.9 million, recording a 27.3% increase from € 2.3 million in the same period of 2003, while EBIT amounted to € 1.5 million, showing a significant growth from € 874 thousand as at March 31, 2003.

Following the increase in EBITDA as at March 2004, the Group was able to report earnings before taxes totaling € 1.7 million, as against € 398 thousand as at end of March 2003.

The net financial position also recorded a significant increase as at end of March 2004, totaling € - 4.6 million, as against € - 11.9 million in the same period of the previous FY, and € - 6.2 million as at December 31, 2003.

The Holding Company - Centrale del Latte di Torino & C. SPA - in the first quarter of 2004 reported sales amounting to € 14.8 million, with a 6.7% growth from € 13.8 million as at end of March 2003, EBITDA amounting to 2.2 million with a 28.6% growth from € 1.7 million in 2003, EBIT amounting to € 1.4 million, with an 80% growth from € 809 thousand in 2003, and earnings before taxes amounting to € 1.69 million, as against € 427 thousand in 2003.

As to forecasts, the growth recorded during the first quarter is expected to be confirmed on an annual basis, thus falling in line with the goals set in the 2004 Budget.

The Board of Directors further resolved to call an Extraordinary Meeting of Shareholders to be held on June 28 2004 at 11:00 a.m., in first call, and, if necessary, on June 30 2004, same time, in second call, to resolve on the adoption of new By-Laws, which are required in order to comply with a newly enforced Company Law.

Turin - May 11, 2004