The Strauss Group today announced that Strauss Coffee B.V. has acquired a further 49% holding in Le Café and Instanta, thus completing the acquisition of 100% of the shares of these companies, which are active in Russia.

Strauss Coffee is to pay US$13.4 million for the shares.

The transaction will be financed by Strauss Coffee’s own resources and is subject to approval by the Russian antitrust authority.

Gadi Lesin, President & CEO of the Strauss Group, said today: “Strauss Coffee continues to enhance its operational footprint in the CIS region. Completion of the acquisition of the shares of Le Café and Instanta in Russia is another step in our continuing growth in the region, which is considered the second largest instant coffee market in the world.

The roasted and ground coffee plant, which we completed last December, along with the instant coffee packaging facility, are becoming Strauss Russia’s major infrastructure for production, packaging and logistics in addition to the freeze-dried coffee plant that serves us from Germany. All these facilities form an important foundation in the realization of Strauss Coffee’s strategy as it continues to invest and develop capabilities in Russia and the CIS countries.”

Todd Morgan, CEO of Strauss Coffee, said today: “This transaction enables Strauss CIS to further develop its manufacturing and supply chain regional foot print, along with enhancing its cost structure and operational effectiveness”.

About the transaction:

Further to its Immediate Report of November 28, 2010, the Company announces that the subsidiary Strauss Coffee B.V. (74.9%) has acquired the remaining shares of the companies Le Café and Instanta (49%), thus completing the purchase of 100% of the shares of these companies.

Strauss Coffee is to pay US$13.4 million for the shares.

Le Café and Instanta own a roasted and ground coffee manufacturing and packaging site and a logistic center, which serve the operations of Strauss Russia.

The transaction will be financed by Strauss Coffee’s own resources, and is subject to approval by the Russian antitrust authority.

About Strauss Coffee of the Strauss Group:

Strauss Coffee is one of the five companies operating in the Strauss Group today. Strauss Coffee is active in CEE, Brazil and Israel and is considered the world’s fifth largest coffee company in terms of green coffee purchases and one of the fastest growing coffee companies in the past five years.

Strauss Coffee employs some 6,257 employees and its sales turnover amounted to NIS 3.9 billion at the end of 2011.

Strauss Coffee’s operations are focused on roasted and ground coffee. In Russia and Israel it also manufactures and markets instant coffee. Additionally, Strauss Coffee is active in complementary coffee products to provide solutions for the home consumption market as well as the away-from-home market, including restaurants, hotels and offices.

Strauss Coffee commands a leading position in the coffee markets of Central and Eastern Europe, Brazil and Israel.

For additional information:

Osnat Golan

VP Corp Communications, Digital & Spokesperson Strauss Group

+972-3-675-2281

+972-52-828-8111

Osnat.Golan@Strauss-Group.com

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