Tate & Lyle PLC
Tate & Lyle to Explore the Full or Partial Disposal of its European Starch
Operations
Tate & Lyle announces that, following the EU's adoption of a new regulatory
regime for the sugar industry which took effect on 1 July 2006, Tate & Lyle has
reviewed its plans for the future of its Food & Industrial Ingredients, Europe
division ('TALFIIE' or 'the business') and has concluded that ownership of the
business is no longer an essential element of its strategy to focus on value
added ingredients.
Tate & Lyle is therefore exploring the possibility of the full or partial
disposal of TALFIIE.
Tate & Lyle believes that the interests of TALFIIE and its employees may be best
served by the transfer of all or part of the business to an owner whose
objectives and strategy are more closely aligned with the business and its
investment opportunities.
Tate & Lyle will continue to develop its value added food ingredients business
in Europe through its Global Food Ingredients Group, which includes Cesalpinia
Foods Srl. As previously advised, Tate & Lyle will continue to seek to
supplement its value added business through the further acquisition of bolt-on
ingredient companies.
Iain Ferguson, Chief Executive of Tate & Lyle said 'The decision to explore a
full or partial disposal of Food & Industrial Ingredients, Europe is in response
to the consequences of far reaching reform to the EU sugar regime and builds on
the recently announced consultation on the surrender of quota in our Eastern
Sugar joint venture. Today's announcement reflects our strategic commitment to
focus on growing our value added ingredients business.'
Further announcements will be made as appropriate.
Mark Robinson, Director of Investor Relations
Tel: 020 7626 6525 or Mobile: 07793 515861
Ferne Hudson, Head of Media and Public Relations
Tel: 020 7626 6525
*T
About Tate & Lyle: Tate & Lyle is a world leading manufacturer of renewable food
and industrial ingredients. It uses innovative technology to transform corn,
wheat and sugar into value-added ingredients for customers in the food,
beverage, pharmaceutical, cosmetic, paper, packaging and building industries.
The Company is a leader in cereal sweeteners and starches, sugar refining, value
added food and industrial ingredients, and citric acid. Tate & Lyle is the world
number-one in industrial starches and is the sole manufacturer of SPLENDA(R)
Sucralose.
Headquartered in London, Tate & Lyle is listed on the London Stock Exchange
under the symbol TATE.L. In the US its ADRs trade under TATYY. The Company
operates more than 65 production facilities in 29 countries, throughout Europe,
the Americas and South East Asia. It employs 7,000 people in its subsidiaries
with a further 4,800 employed in joint ventures. Sales in the year to 31 March
2006 totalled £3.7 billion. Additional information can be found on this website
www.tateandlyle.com.
SPLENDA(R) and the SPLENDA(R) logo are trademarks of McNeil Nutritionals, LLC
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