EUR 36 million in Campina bonds converted into FrieslandCampina free member bonds

2 June 2009

Former member dairy farmers and member dairy farmers closing their businesses have converted EUR 36 million in subordinated Campina bonds into FrieslandCampina free member bonds. These holders of Campina bonds were given from 24  April to 5.30 pm on Monday, 25 May to decide whether they wished to convert Campina bonds voluntarily into FrieslandCampina free member bonds.

The opportunity to convert the bonds voluntarily stems from the merger between Friesland Foods and Campina to form FrieslandCampina, which was finalsed at the end of December 2008.

Holders of Campina bonds who opted to convert, received notice of the conversion. They will receive the interest on the FrieslandCampina free member bonds retroactive to 30 December 2008. They also have the opportunity to offer the free member bonds on the internal market.

The Campina bonds that have not been converted will remain in the name of the respective bond holders. The conditions governing Campina bonds, including the interest payment, remain in full force.

Campina bonds and FrieslandCampina free member bonds FrieslandCampina
The Campina bonds are subordinated bonds issued by the former Zuivelcooperatie Campina U.A. in three separate tranches with different maturity dates for each tranche. The total amount involved is approximately EUR 177 million in bond loans.

FrieslandCampina free member bonds are perpetual, subordinated bonds with a variable interest rate and are issued by Koninklijke FrieslandCampina N.V.

Free member bonds are part of FrieslandCampina’s equity. Taking account of the interests of the members and keeping the business on a sound financial footing, FrieslandCampina intends for members to participate in the financing of Koninklijke FrieslandCampina N.V.

Announcement of result of swap bid
You can download the English translation official announcement of the results of the swap bid as a PDF file here.