Disposal

Unilever PLC
Unilever NV.
16 October 2000


UNILEVER PLANS SALE OF BESTFOODS BAKING BUSINESS

Unilever announced today that it intends to divest Bestfoods Baking Company
in the USA. The business was acquired as part of Unilever's merger with
Bestfoods which closed on October 4.
 
Bestfoods Baking Company is the leading premium fresh baked goods company in
the US and in 1999 had sales of US$ 1.7 billion. Headquartered in Bay Shore,
New York, it has 19 plants across the country selling mainly to retailers.
Its best known brands are Entenmann's, Thomas' English muffins and bagels,
and Oroweat, Brownberry and Arnold breads.
 
Commenting on the decision, Patrick Cescau the Unilever Director responsible
for Bestfoods, said: 'We recognize that Bestfoods have built an outstanding
fresh baking business in the USA with a very strong management team. However,
this activity falls outside Unilever's strategy which focuses on a reduced
number of brands in defined categories. We have therefore decided to seek a
new owner for the baking business for whom it will be a better fit.'
 
Goldman Sachs has been engaged to assist Unilever in the sale process.
Further announcements will be made as appropriate.

 
Note to Editors: 
 
BACKGROUND NOTE TO EDITORS 
 
* Bestfoods Baking business is in a category which does not exist
elsewhere in Unilever and has its own business characteristics. It is
believed to have a greater value outside Unilever.

* Selling this business is consistent with Unilever's Path to Growth
strategy of concentrating on a limited number of brands that it is able to
grow and expand within its core categories.

* This is a very strong business which is likely to be attractive to a number
of potential buyers and it is expected to attract a premium price.
 
* Unilever expects a deal to be announced within the first half of next year. 
 
* This is a stand-alone business and Unilever anticipates no major separation
issues. Managing the separation can be done without diverting resources from
the task of integrating the Bestfoods culinary business. 
 
* In 1999 sales were around $1.7 billion, with an operating margin of 8%, a
good performance in its industry. 
 
* The business is entirely US based. Headquartered in Bay Shore, New York, it
has 19 plants across the country and employs 12,000 people.  
 
* Its best known brands are Entenmann's, Thomas' English muffins and bagels,
Oroweat, Brownberry and Arnold breads.