HKScan Oyj - Company Announcement

HKScan to initiate statutory negotiations concerning white-collar employees in Finland

HKScan Corporation                                Stock Exchange Release 6
August 2014, at 8:00 am 



HKScan to initiate statutory negotiations concerning white-collar employees in
Finland 



HKScan intends to initiate statutory employee negotiations in Finland. The
negotiations concern potential headcount reductions associated with the
forthcoming restructuring of the Group's operations in Finland, targeting an
annual profit improvement of approximately four million euros. The
restructuring process is scheduled to be completed by the end of 2014. 

Tough competition in the Finnish meat industry, combined with the impact of
export challenges, has had a tangible adverse impact on HKScan Group's
financial performance. HKScan Finland's year-to-date result was negative. 

HKScan plans to continue to harmonizing its organisation and consolidating its
structure in order to improve profitability in Finland. With the planned
restructuring, HKScan aims to reduce costs, improve operational efficiency and
anchor a more business-driven way of working. 

The statutory negotiations proposed today and the planned restructuring process
will impact the majority of HKScan Group's office and managerial personnel in
Finland, amounting to a total of approximately 400 employees. The anticipated
headcount reduction is estimated to concern no more than 75 office or
managerial employees. The negotiations will commence on Monday, 11 August 2014
and their estimated duration will be 6-8 weeks. The need for any headcount
reduction and the possible number of affected employees will be determined in
the course of the negotiations. HKScan currently has on average roughly 2 800
employees in Finland. 



For further information:

Samuli Eskola, Executive Vice President, Consumer Business, Finland and
Baltics, HKScan Group 
Hannu Kottonen, CEO, HKScan Group



Please submit your callback request to:

Marja Siltala, VP Communications, Market Area Finland,
firstname.lastname@hkscan.com, tel. +358 10 570 2290 
Marja-Leena Dahlskog, SVP Communications, firstname.lastname@hkscan.com, tel.
+358 10 570 2142 



HKScan is the leading Nordic meat expert. We sell, market and produce
high-quality, responsibly-produced pork, beef, poultry and lamb products,
processed meats and convenience foods under strong brand names. Our customers
are the retail, food service, industrial and export sectors, and our home
markets comprise Finland, Sweden, Denmark and the Baltics. We export to close
to 50 countries. HKScan's net sales is EUR 2.1 billion and we have some 7 700
employees, making us one of the Europe's leading meat companies. 



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