CSM makes further progress in first half of 2007

CSM has made further progress with the implementation of its initiatives in the first half-year of 2007. The country-based European Bakery Supplies organization is being transformed into a market-oriented European business unit structure. Strategic acquisitions in out-of-home growth markets and the sale of non-strategic activities are leading to more focus. The implementation of the 3-S efficiency improvement program is on schedule. The favorable trend in EBITA* due to those structural improvements was significantly offset by adverse effects of strong increases in the prices of raw materials and exchange rate fluctuations, particularly at PURAC. As a result of these effects the financial targets set for PURAC and therefore for CSM as a whole will be achieved in 2009 instead of 2008.

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