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Lotus Bakeries: announces major investments in Belgium

Lembeke / BE. (lbbv) Lotus Bakeries Group is investing approximately 27 million EUR over the next three years to boost production capacity at two of its plants. The group will expand its production and storage space of caramelised biscuits at its plant in Lembeke in reaction to a significant increase in sales of the product to various export markets including France, Netherlands, UK, USA and Asia. Lotus will also increase the output of cakes at its Oostakker (Ghent) plant by expanding the production space there by almost 50 percent. Meanwhile the frangipane production will be transferred from Lembeke to Oostakker. This way, the Lembeke site will become a pure caramelised biscuit plant, with Oostakker fully focused on the various cake specialities, the company said in a press release. Both projects are expected to be operational in 2013 and about 20 jobs will be created in the medium term.

Caramelized biscuit plant at Lembeke

In recent years, sales of Lotus caramelized biscuits have significantly increased in various export markets including France, Netherlands, UK, USA and Asia. At the basis of this growth lie the quality and the distinctive taste of the biscuit, the major investments made in the Lotus brand and an efficient production process. A clear focus on caramelized biscuits is a major pillar in the long-term strategy of the Lotus Bakeries Group. Production capacity is therefore being increased to meet rising demand for these biscuits. Lotus Bakeries has decided to undertake a major investment on its Lembeke site, where already all its caramelized biscuits are produced. Extending production capacity requires space for new production lines and, following on from this, additional warehouse and storage space.

Cake plant at Oostakker (Ghent)

Supporting the growth of the cake segment in Belgium calls for a production plant that is specialized, efficient and has the infrastructure to accommodate future product- and packaging innovations. The Oostakker plant, today already a major cake producer, is ideally suited for further expansion into a strategic cake plant. The idea is to concentrate all cake production in Belgium at Oostakker. This will provide the high volumes needed to further increase the plant´s profitability, and provide the basis for expanding production capacity. Concretely this means extending the production hall at Oostakker, increasing the available production space there by almost 50 percent. In a subsequent phase, frangipane production will be transferred there from Lembeke. In this way, the Lembeke site will become a pure caramelized biscuit plant, with Oostakker fully focused on the various cake specialities.

Conclusion

The planned investments in the two strategic projects in Belgium are estimated at approximately 27 million EUR. Investments will be spread over three years, with both projects operational in 2013. Some 20 jobs will be created in the medium term. These major investments will enable Lotus Bakeries to further increase the high quality and the productivity of its specialist production units in Belgium. As a leader in our authentic specialities this opens the way to our further growth and profitability.

About: Lotus Bakeries Group focuses on authentic specialities from the biscuit and cake world: caramelized biscuits (speculoos), gingerbread, cake specialities, waffles and pepparkakor biscuits. Lotus Bakeries, with headquarters in Belgium, is a dynamic, internationally oriented company with production facilities in Belgium, the Netherlands, France, Sweden and Canada, own sales organizations in nine European countries and in the United States/Canada, and an export department for the other countries. With 1’224 employees, Lotus Bakeries produces and sells products under the Lotus, Peijnenburg and Anna´s brand names. In 2009 the Group achieved a turnover of 261,1 million EUR.