Lantmännen reports big improvement in earnings

Lantmännen reported a full year profit of MSEK 1,246 for 2015 after net
financial items and adjusted for items affecting comparability; compared to MSEK
740 in 2014. All sectors reported increased profits compared to the previous
year. The Agriculture and Energy Sectors in particular achieved significant
improvements. The Board has decided to raise the refund and final price
adjustment.
“Adjusted for items affecting comparability, the 2015 earnings are the best
Lantmännen has ever delivered. Even when you include non-recurring items, the
earnings are historically high and on a par with last year when we reported
large effects on earnings such as the IPO of Scandi Standard,” says Per Olof
Nyman, Group President and CEO, Lantmännen.

“During the course of the year we have achieved our long-term targets of an 8
percent return on shareholders' equity and an equity ratio of 40 percent.
Lantmännen continues to deliver in accordance with our strategy; we have
strengthened our position in the grain value chain in the Baltic Sea region via
the acquisition of Vaasan and have created a broader platform for exports to
other important markets. We have also implemented measures to make our
purchasing and logistics more efficient, and are continuing our efforts to
create added value from Swedish grain, which strengthens Swedish agriculture,”
Per Olof Nyman continues.

All the figures below relate to operating profit for the full year 2015,
adjusted for items affecting comparability. The previous year's figures are in
brackets.

Agriculture Sector earnings continue to improve and amount to MSEK 237 (56). A
strong improvement in earnings within the Swedish operation is primarily the
result of increased customer focus and well implemented cost reduction and
efficiency programs. The 2015 harvest was the largest in many years, with a
total of 2.7 million tons delivered to Lantmännen; almost 500,000 tons more than
the previous year. The feed business has developed well during the year, helped
by more efficient production and the successful launch of a new feed range.

All Machinery Sector businesses delivered improved earnings and total operating
profit for the Sector amounted to MSEK 255 (181). Our Machinery Sector managed
to improve earnings despite yet another year with a decreasing Swedish tractor
market. The market downturn has been countered by comprehensive efforts to
improve efficiency and customer focus which have helped Lantmännen retain its
leading position on the Swedish market. Once again, Valtra was the market leader
in 2015 with a market share of around 24 percent. Lantmännen has also acquired
Kalmar Lantmän's machinery business with effect from 1 January 2016.

There was a sharp improvement in earnings in the Energy Sector that amounted to
MSEK 218 (61). The most notable improvement came in Lantmännen Agroetanol,
thanks to a continuing efficiency drive, a more diversified raw material base
and the introduction of new products. An important breakthrough was also
achieved in Germany where demand for more sustainable ethanol with low carbon
dioxide emissions benefited Lantmännen Agroetanol.

The Food Sector increased earnings to MSEK 733 (521), an improvement driven by
efficiency gains within production, innovative new customer offers and the
acquisition of the Finnish bakery group Vaasan, Lantmännen’s biggest acquisition
ever. The integration of Vaasan into Lantmännen Cerealia and Lantmännen Unibake
is going according to plan. The combined resources and expertise of Lantmännen
and Vaasan have created an even stronger food business within the grain value
chain in the Baltic Sea region.

Lantmännen Real Estate has continued its development and delivered earnings of
MSEK 314 (223). This increase is due to improvements in day-to-day operations
and from various property development projects.

“We have strategically positioned Lantmännen for continued profitable growth
within the framework of Strategy 2020. In 2016 we will continue to expand our
business operations in our home markets and also in strategic export markets.
Innovation, in terms of both new products and smarter ways of working, remains
key. We will continue to improve cooperation between businesses in the grain
value chain to further strengthen the competitiveness and profitability of our
owners' farms,” says Nyman.

Dividend proposal
The Board has decided to raise the refund and final price adjustment of trading
with Lantmännen Lantbruk Sweden by 0.5 percent, to 2.0 percent (1.5). The Board
has also resolved to pay a 0.5 percent (0.5) refund to members on purchases from
our Machinery Sector's Swedish business. In total, refunds and final price
adjustment are expected to amount to MSEK 189 (135).

The Board proposes that the Annual Association Meeting resolves on an investment
dividend of 9 percent (9), totalling MSEK 193 (178) and a contribution issue of
MSEK 50 (150). Altogether, the proposed investment dividend and contribution
issue amount to 11 percent (17) of the association's investment capital. The
total dividend to owners would then amount to MSEK 432 (463). The Board proposes
that the Annual Association Meeting resolves that the dividend on subordinated
debentures should be 6.5 percent (9), or MSEK 16 (5) in total.

The full report is available at http://lantmannen.se/bokslutskommunike.

Lantmännen ek för discloses the information in this press release according to
the Swedish Securities Markets Act and/or the Swedish Financial Trading Act. The
information was provided for public release on 9 February 2016 at 8.30 AM CET.
If you have any further questions, please contact:

Per Olof Nyman, Group President and CEO of Lantmännen, tel.: +46 706 57 42 47
email: per.olof.nyman@lantmannen.com

Ulf Zenk, Chief Financial Officer, Lantmännen, tel. +46 725 61 15 63 email:
ulf.zenk@lantmannen.com

Lantmännen Press Office, tel: +46 730 46 58 00
Lantmännen is an agricultural cooperative and Northern Europe’s leader in
agriculture, machinery, bioenergy and food products. Owned by 27,000 Swedish
farmers, we have 10,000 employees, operations in around 20 countries and annual
revenues of SEK 37 billion. With grain as our basis, we process arable land
resources for economically viable farming. Some of our best-known food brands
are AXA, Kungsörnen, GoGreen, Schulstad, Gooh, Finn Crisp and Bonjour. Our
company is firmly rooted in the knowledge and values that have existed among our
owners for generations. Having research, development and operations throughout
the value chain means that we can take responsibility together from field to
fork. Read more at: lantmannen.se/omlantmannen