12/03/2004

The Board of Directors approved the Financial Statement for 2003 FY. Sales growing to € 95.6 million (+3.9%), higher EBITDA amounting to € 10.3 million (+48%), net profit amounting to € 1.1 million. The distribution of € 0.03 Euro dividends per share was proposed.

The Board of Directors of Centrale del Latte di Torino & C. - 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 - approved today the Consolidated Financial Statement as of December 31, 2003, which will be submitted to the approval of the Meeting of Shareholders to be held, in first call, on April 29 2004 and, if required, in second call, on April 30 2004.

All 2003 year-end economic/financial figures show a significant increase. More specifically, as of 2003 year end, the Group reported net sales amounting to € 95.6 million, with a 3.9% increase over € 92 million in 2002.

Consolidated EBITDA amounted to € 10.3 million, with a 48% increase over € 6.9 million in 2002, and EBIT amounted to € 4.5 million, with a significant growth over € 508 thousand as of December 31, 2002.

The Consolidated Balance Sheet for 2003, after payment of taxes for € 2.3 million, closes with a net consolidated profit of € 1.148 million, against a € 1.6 million loss in 2002.

The net financial position as of December 31, 2003 - recording € -6.2 million , as against € -15.3 million as of December 31, 2002 and € -9.7 million as of September 30, 2003 - also improved.

As to the Holding Company Centrale del Latte di Torino, the 2003 financial year closed with net total sales amounting € 53.6 million, thus showing an increase over € 51.3 million in 2002; EBITDA amounting to € 7 million, also increasing from € 4.5 million in 2002, and EBIT amounting to € 3.5 million , again an improvement over € 617 thousand in 2002.

The Holding Company, finally closes the 2003 FY with a net profit of € 1.793 million, after having paid taxes for approximately € 1.4 million.

Therefore, in the light of the positive results obtained, the Board of Directors decided to submit to the approval of the next Meeting of Shareholders the proposal of a distribution of dividends for € 0.03 for each of the 10 million ordinary shares, for a total of € 300 thousand, to be paid starting from May 20 2004, against detachment of coupon on May 17, 2004.

During the 2003 FY, Centrale del Latte di Torino and its subsidiary companies confirmed their positioning on the reference markets. Owing to good local market penetration, brand awareness, and a good price/quality ratio, they were able to best cope with a difficult economic situation characterized by a general slump in consumption. 

As already stated, with reference to forecasts, the targets set in the 2004 Budget are confirmed, envisaging a limited sales growth obtained through the introduction of new products, and overall stable profit margins.

Turin - March 12, 2004