Cermaq's operations in Chile after earthquake
The impact on Cermaq's operation in Chile from the earth quake is mainly related to the operations in Coronel where EWOS has around 250 employees in its feed factory. Current information provides no reports on physical casualties on our employees and limited damages on the properties and constructions, reports http://www.megafishnet.com/ with reference to Cermaq's release dated 1st March 2010.
The EWOS feed plant is located in Coronel, close to Concepción, and limited information has been available due to the communication infrastructure being down. With regards to company personnel, no physical casualties have been reported so far. However, as we have not been able to get in contact with all our employees, it is to early conclude on the situation for our personnel.
A preliminary review suggests limited damages on the feed plant, which may indicate restart of production within a reasonable time. EWOS has finished goods stocked in Puerto Montt that was not affected by the earth quake and this warehouse may serve EWOS' customers for one week. Measures to secure supply to EWOS' customers also after that have been initiated.
The impact from the earth quake in the X and XI regions where Mainstream farming operations are located has been limited. No sea sites seem affected and only minor damages are reported in our fresh water facilities. Harvesting will be postponed a few days to ensure that road transport is running properly. This will not impact materially on the operations.
Based on current information Cermaq expects the financial impact to be limited. The company's primary effort now is to ensure the safety of and support to its employees.