News Release

March 25, 2015

Satake Receives an Order for a Flour Milling Plant from the Largest Confectionery and Bakery Company in South Korea

Expanding the Flour Milling Plant in terms of Rated Performance by use of the latest SATAKE Technology

Satake has received an order for a 160 t/d hard wheat flour milling plant from the flour milling company “Mildawon Co., Ltd”, a member of South Korea’s largest confectionery and bakery company, SPC group, in December 2014. It will be completed in December 2015.

Exterior of Mildawon Flour Mill	Inside the Flour Mill (1)

The SPC group operates about 3,200 stores under the brand bakery FCs “PARIS BAGUETTE” in South Korea. The group is the largest confectionery and bakery company in South Korea, being first in the sales of FC bakeries for a consecutive 25 years and has about 80 % of market share. It also has about 180 stores in China, USA, Vietnam, Singapore and France.

Satake received orders for 480 t/d hard wheat flour milling plant (A mill) in 2009 and 360 t/d soft wheat flour milling plant (B mill) in 2011. These mills operate at full capacity. To expand the production capacity, construction of 160 t/d hard wheat flour milling plant (C mill) was planned in 2014. Satake received an order for C mill in December 2014 as a result of A and B mills successfully operation and Satake’s flour milling technology being highly rated (The plant will be completed in December 2015). C mill is to be used for both rye and durum wheat. The material is used for rye bread and pasta.

Appendix

Outline of Mildawon Flour Mill

1. Company: Mildawon
2. Place of plant: Sejong, South Korea
3. Capacity: A mill: Hard wheat flour milling plant 480 t/d
   B mill: Soft wheat flour milling plant 360 t/d
   C mill: Hard wheat flour milling plant 160 t/d
4. Supplied machinery: Flour milling machinery
5. Contract and start of operation: A mill: Contract October 2009, start of operation January 2011
   B mill: Contract July 2011, start of operation December 2012
   C mill: Contract December 2014, scheduled start of operation December 2015

Inside the Flour Mill - Sifter Floor (2)	Inside the Flour Mill - Purifiers (3)

* Please note descriptions in news releases are accurate as of the date of release and may differ from the most up-to-date information.