Kerry acquires Armour

Kerry Group PLC
17 October 2000



Kerry acquires Armour Food Ingredients in the US

Kerry Group today announced a further expansion of its US food ingredients
business through the acquisition of Armour Food Ingredients (AFI) from ConAgra
Inc.  The AFI business, with forecast sales in the current year of US$40m, was
acquired for a total consideration of US$35m.  Anti-trust approval has been
received for this transaction.

Armour Food Ingredients provide a wide range of speciality food ingredients
including savoury flavourings, cheese and dairy flavourings and speciality
lipid powders to the US food industry.  The business, employing 160 people in
two manufacturing plants located in Springfield, Kentucky and Albert Lea,
Minnesota, has established strong relationships with major multinational food
processors.

Commenting on the proposed acquisition Mr. Stan McCarthy, CEO of Kerry
Ingredients Americas said, 'the AFI business complements the Beatreme business
acquired in 1988 and further strengthens our leadership positions in the snack
and convenience sectors of the US market.  This acquisition is a perfect fit
in respect of the Group's core speciality ingredients product portfolio and US
customer base'.

Kerry Group is a major international food ingredients and consumer foods
corporation with current annualised sales in excess of euro 2.5 billion
(US$2.2 billion).  In ingredients markets Kerry's core technologies and global
resources in cheese and dairy flavourings, savoury flavourings and
ingredients, coating systems, sweet flavourings and speciality lipid systems
provide innovative, practical product solutions to food manufacturers and
foodservice companies in over eighty countries.  In the financial year ended
31 December 1999, 25% of total Group sales and 37% of Group operating profits
originated in American markets.


For further information please contact:
Frank Hayes,
Director of Corporate Affairs,
Kerry Group plc,
Prince's Street, Tralee, Co. Kerry, Ireland.
Telephone:       [phone]              Fax:       [phone]
Kerry Web Site: www.kerrygroup.com