[News Releases] Capital and business alliance with Sodrugestvo Group in Russia to strengthen grain export business

News Releases: 2012

Capital and business alliance with Sodrugestvo Group in Russia to strengthen grain export business

• Japanese translation

Jul. 2, 2012

Mitsui & Co., Ltd. ("Mitsui" Head office: Chiyoda-ku, Tokyo, President: Masami Iijima) came to an agreement of 10% participation in Sodrugestvo Group S.A. ("Sodrugestvo"), the largest oilseed crusher in Russia and having ownership of grain export facilities, and signed relevant agreements. Mitsui also agreed to have strategic alliance with Sodrugestvo and cooperate in grain export business.

Sodrugestvo operates crushing plants in Kaliningrad Oblast, the westernmost part of Russia and situated on the Baltic coast. Sodrugestvo also has ownership of good grain business assets such as the facility in the ice-free port and the grain hopper wagons, which are very valuable in Russia. Making the best use of these assets, Sodrugestvo has established an integrated supply system of raw materials for feedstuff. In addition, Sodrugestvo is launching a grain export business in full swing this fall; to export grains produced in Russia and FSU to Europe, Africa and the Middle East.

Based on the Strategic Alliance Agreement, Mitsui plans to export and merchandize with the preferential right of the grains Sodrugestvo collects from Russia and FSU countries. In addition, Mitsui intends to cooperate in feedstuff and livestock business in Russia and FSU countries where such demand has been increasing. Mitsui makes contributions in upgrading and expanding the items Sodrugestvo handles, adding value and promoting sales. Furthermore, Mitsui will consider measures to make the best use of its expertise in various business areas towards Sodrugestvo's future growth.

With growing demand for grains over the world, Mitsui has strengthened its ability to supply grains from diversified major originations. The capital and business alliance this time adds Russia to Mitsui's grain business and helps strengthen its global grain collection system together with North America, South America and Australia, etc. where Mitsui has already developed such business. Russia is one of the leading grain exporting countries in the world and a further increase of grain production is expected. Mitsui will help bring a stable grain supply to meet world demand in the eyes of global grain business flow.

Summary of Sodrugestvo

Notice:
This announcement contains forward-looking statements. These forward-looking statements are based on Mitsui's current assumptions, expectations and beliefs in light of the information currently possessed by it and involve known and unknown risks, uncertainties and other factors. Such risks, uncertainties and other factors may cause Mitsui's actual results, financial position or cash flows to be materially different from any future results, financial position or cash flows expressed or implied by these forward-looking statements. These risks, uncertainties and other factors referred to above include, but are not limited to, those contained in Mitsui's latest Annual Securities Report and Quarterly Securities Report, and Mitsui undertakes no obligation to publicly update or revise any forward-looking statements.
This announcement is published in order to publicly announce specific facts stated above, and does not constitute a solicitation of investments or any similar act inside or outside of Japan, regarding the shares, bonds or other securities issued by us.

For inquiries on this matter, please contact

• Mitsui & Co., Ltd.
  Corporate Communications Division
  Kayo Kobayashi
  Telephone: +81-3-3285-7618
  Facsimile: +81-3-3285-9819

The information contained in this news release is true and accurate at the time of publication; however, it may be subject to change without prior notice.