Perdigao and Sadia Create Export Company to Act in the International Market

Partnership Aims to Increase External Sales of Brazilian Products

To Emerging Markets



Apr 25, 2001, 01:00 ET from Perdigao S.A.

    SAO PAULO, Brazil, April 25 /PRNewswire/ -- Perdigao S.A. (NYSE:   PDA) and
 Sadia (NYSE:   SDA), leading companies in the poultry and pork sectors in
 Brazil, today announced that they have agreed to form an export trading
 company that will act exclusively abroad, with the intent of increasing
 national exports of pork and poultry to emerging markets that are seen as
 having high business potential for Brazilian food products.  Perdigao and
 Sadia will continue competing in markets in which the two companies already
 have an established presence.
     Each partner will participate with 50% of the capital stock of the BRF
 Trading Company, whose headquarters will be located abroad.  Independent
 management, with an executive officer from the market, will be to liaise with
 the operating areas of Perdigao and Sadia.  Estimates are that in the first
 year of operation the new company will reach sales of approximately US$ 150
 million, exporting 120 thousand tons of pork and poultry meats.
     The new company intends to have the size and capacity to compete with the
 world's largest food sector companies, thus optimizing the expertise that the
 two leading Brazilian companies have in the export market, in terms of their
 negotiating power, logistics, and technology to develop products that meet
 specific market needs.  With the perspective of reinforcing export sales of
 Brazilian meat products through this new enterprise, the entire national
 production chain linked to the pork and poultry industry may expand in the
 medium term.
     The markets targeted by BRF Trading Company include Russia, Euro-Asian
 countries, Egypt, South Africa, Angola, Cuba, the Dominican Republic, Iran,
 Jordan and Iraq.  The new company will develop its own brand names and new
 products, according to the demand and peculiarities of each country.
     An example of the potential of emerging markets is exhibited by Russia,
 the world's third-largest importer of pork, which purchased approximately
 310 thousand tons in 2000, and which has perspectives of importing close to
 400 thousand tons through the end of 2001.  Russia is also considered to be a
 large importer of poultry, bringing in close 900 thousand tons in 2000.
     Countries from the African continent constitute another example of a
 potentially lucrative market for Brazilian poultry, as its imports in 2000
 were 39,500 tons, 68% higher than in 1999.
     Brazil is the world's fourth-largest producer and exporter of pork, with
 production of 1.97 million tons, and exports of 128 thousand tons last year.
 The country is also the world's second-largest poultry producer and exporter,
 with production in 2000 of 5.98 million tons and exports of 906 thousand tons.
 In 2000, Brazilian poultry exports totaled US$ 805.7 million, with the Middle
 East accounting for 37.5% of that total, Asia for 27.4%, European Union 23.6%,
 Mercosur 4.7%, and other regions 6.7%.
     Due to the worldwide sanitary crisis that is affecting cattle in Europe
 and Argentina, the possibility of increasing Brazilian meat product exports
 has increased significantly, given international recognition of the country's
 quality and health standards.
 
     (Note: Certain statements in this Press Release are "forward looking
 statements" within the meaning of the Private Securities Litigation Act of
 1995.)
 
     Perdigao S.A. is a leading Brazilian producer and processor of high
 quality poultry, pork and other products, and has a Level II ADR Program. Its
 shares are traded on the New York Stock Exchange with trading symbol PDA.
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X80610667
 
 

SOURCE Perdigao S.A.
    SAO PAULO, Brazil, April 25 /PRNewswire/ -- Perdigao S.A. (NYSE:   PDA) and
 Sadia (NYSE:   SDA), leading companies in the poultry and pork sectors in
 Brazil, today announced that they have agreed to form an export trading
 company that will act exclusively abroad, with the intent of increasing
 national exports of pork and poultry to emerging markets that are seen as
 having high business potential for Brazilian food products.  Perdigao and
 Sadia will continue competing in markets in which the two companies already
 have an established presence.
     Each partner will participate with 50% of the capital stock of the BRF
 Trading Company, whose headquarters will be located abroad.  Independent
 management, with an executive officer from the market, will be to liaise with
 the operating areas of Perdigao and Sadia.  Estimates are that in the first
 year of operation the new company will reach sales of approximately US$ 150
 million, exporting 120 thousand tons of pork and poultry meats.
     The new company intends to have the size and capacity to compete with the
 world's largest food sector companies, thus optimizing the expertise that the
 two leading Brazilian companies have in the export market, in terms of their
 negotiating power, logistics, and technology to develop products that meet
 specific market needs.  With the perspective of reinforcing export sales of
 Brazilian meat products through this new enterprise, the entire national
 production chain linked to the pork and poultry industry may expand in the
 medium term.
     The markets targeted by BRF Trading Company include Russia, Euro-Asian
 countries, Egypt, South Africa, Angola, Cuba, the Dominican Republic, Iran,
 Jordan and Iraq.  The new company will develop its own brand names and new
 products, according to the demand and peculiarities of each country.
     An example of the potential of emerging markets is exhibited by Russia,
 the world's third-largest importer of pork, which purchased approximately
 310 thousand tons in 2000, and which has perspectives of importing close to
 400 thousand tons through the end of 2001.  Russia is also considered to be a
 large importer of poultry, bringing in close 900 thousand tons in 2000.
     Countries from the African continent constitute another example of a
 potentially lucrative market for Brazilian poultry, as its imports in 2000
 were 39,500 tons, 68% higher than in 1999.
     Brazil is the world's fourth-largest producer and exporter of pork, with
 production of 1.97 million tons, and exports of 128 thousand tons last year.
 The country is also the world's second-largest poultry producer and exporter,
 with production in 2000 of 5.98 million tons and exports of 906 thousand tons.
 In 2000, Brazilian poultry exports totaled US$ 805.7 million, with the Middle
 East accounting for 37.5% of that total, Asia for 27.4%, European Union 23.6%,
 Mercosur 4.7%, and other regions 6.7%.
     Due to the worldwide sanitary crisis that is affecting cattle in Europe
 and Argentina, the possibility of increasing Brazilian meat product exports
 has increased significantly, given international recognition of the country's
 quality and health standards.
 
     (Note: Certain statements in this Press Release are "forward looking
 statements" within the meaning of the Private Securities Litigation Act of
 1995.)
 
     Perdigao S.A. is a leading Brazilian producer and processor of high
 quality poultry, pork and other products, and has a Level II ADR Program. Its
 shares are traded on the New York Stock Exchange with trading symbol PDA.
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X80610667
 
 SOURCE  Perdigao S.A.