Press Release

    Olam and Lansing to Form 50/50 Grain Origination and Merchandising Joint Venture in Canada

    Press release

    Olam International Limited (“Olam“), a leading global integrated supply chain manager and processor of agricultural products and food ingredients, and Lansing Trade Group LLC (“Lansing“), a leading independent commodity merchandising company in the US, announce the intention to form a 50/50 joint venture (“JV”) to originate and merchandise Canadian grains and oilseeds.

    The JV, to be known as Lansing Olam Canada, will combine the global market presence, captive consumption and customer relationships of Olam with the North American merchandising skills and experience of Lansing.  The complementary fit provides a strong platform to establish a meaningful position in the liberalised Western Canadian Grains market place.  Lansing Olam Canada will focus on merchandising Canadian grains and oilseeds to meet the food and feed demand in North America as well as international markets. Customers will benefit from the relationship focus and extensive combined network of Lansing and Olam.

    Bill Krueger, President and CEO of Lansing Trade Group said: “We believe the individual company strengths of Lansing and Olam together will be able to deliver innovative solutions from origin to destination for the western Canadian grain customers much like Lansing has done in Ontario since those markets were opened up to free trade.”

    KC Suresh, President and Global Head of Olam’s Grains Business said: “The JV will leverage Olam’s in-house milling demand in Africa, its rapidly growing global trading platform and customer base along with Lansing’s deep knowledge of North American market. This will enable the JV to become a valuable contributor in the liberalised market.”

    Lansing Olam Canada is expected to commence operations in July 2012.

    The JV is not expected to have any material impact on the net tangible assets and earnings per share of Olam for the financial year ending 30 June 2012 and no directors or substantial shareholders of Olam have any direct or indirect interest in the aforesaid transaction.

     

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    About Lansing Trade Group, LLC

    Lansing Trade Group, LLC is an entrepreneurial commodity merchandising company committed to growth in existing and emerging markets. Lansing is focused on the physical movement of many different commodities including whole grains, oilseeds, feed ingredients, energy products, containerized commodities and freight throughout North America and internationally. Formed in 1932, Lansing’s success is attributable to building long term relationships, providing outstanding customer service and having the experience to understand evolving markets. In recent years Lansing has significantly expanded its platform of commodities traded, and in 2011 Lansing merchandised in excess of 15 million metric tonnes of grain, feed ingredient, and energy products. Lansing owns and leases approximately 800,000 metric tonnes of commodity handling facilities in strategic locations across the United States. Adding depth to its profile, Lansing has multiple investments in businesses that are complementary to, or an extension of existing Company activity. Lansing is headquartered in Overland Park, Kansas. Additional information is available online at www.lansingtradegroup.com.

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