BELARUS NEWS AND ANALYSIS

DATE:

28/12/2007

Heineken acquires Syabar Brewing Company in Belarus

Dec 28, 2007 (Hugin via COMTEX) -- Amsterdam, 28 December 2007 - Heineken N.V. announced today the acquisition of the Cypriot holding company of the Syabar Brewing Company, in Bobruysk, Belarus.

Under the terms of the transaction, Heineken will acquire Syabar's Cypriot parent company from a consortium led by Detroit Investments Limited (Cyprus) and from the International Finance Corporation, an affiliate of the World Bank. The acquisition price is not disclosed. The transaction will be funded from existing cash resources and will be earnings enhancing in 2008 and value enhancing in 2012.

The Syabar Brewing Company has been operational since October 2005 following the reconstruction of a state owned brewery, employs 280 staff and is located in Bobruysk, 140 km South-East of Minsk. The portfolio consists of the national mainstream beer brand Bobrov, which holds the number two position in the market and the recently introduced premium brand Syabar. In 2007 it is estimated that sales volume will be 600,000 hectolitres, compared to 370,000 hectolitres in 2006. Technical production capacity is 1.1 million hectolitres with the possibility to extend to 2.1 million hectolitres.

Nico Nusmeier, Regional President Central and Eastern Europe, Heineken N.V., commented: "This transaction is in line with our strategy to obtain leading market positions and brands. Belarus is a fast growing market and this deal will give us an excellent platform from which to grow both the Heineken brand as well as our imported Russian brands."

The Belarus beer market is showing double-digit growth. Annual consumption is currently estimated at almost 4.5 million hectolitres. Current estimated per capita consumption is 45 litres.

Editorial information: Heineken N.V. is the most international brewer in the world. The Heineken brand is sold in almost every country in the world and the company owns over 115 breweries in more than 65 countries. With a Group beer volume of 132 million hectolitres Heineken ranks fourth in the world beer market by volume. Heineken strives for an excellent sustainable financial performance through marketing a portfolio of strong local and international brands with the emphasis on the Heineken brand, through a carefully selected combination of broad and segment leadership positions and through a continuous focus on cost control. In 2006, revenues amounted to n 12 billion and net profit before exceptional items and amortisation of brands amounted to n 930 million. Heineken employs over 57,500 people. Heineken N.V. and Heineken Holding N.V. shares are listed on the Amsterdam stock exchange. Prices for the ordinary shares may be accessed on Bloomberg under the symbols HEIA NA and HEIO NA and on the Reuter Equities 2000 Service under HEIN.AS and HEIO.AS. Additional information is available on Heineken's home page: http//www.heinekeninternational.com.

Press enquiries Veronique Schyns Tel: +31 (0)20 52 39 355 veronique.schyns@heineken.com

Investor and analyst enquiries Jan van de Merbel Tel: +31 (0)20 52 39 590 investors@heineken.com

SOURCE: Heineken N.V.

Source:

http://www.foxbusiness.com/markets/industries/retail/article/heineken-acquires-syabar-brewing-company-belarus_419688_7.html