Milkiland made a statement that it uses only natural raw milk to produce cheese. All Milkiland plants are certified under quality
management system (ISO 9001) and Hazard Analysis and Critical Control Point (''HACCP'') methodology, which are used to ensure
the high quality of cheese produced and would not allow the use of vegetable oils.

Therefore declaration of the Russian Federal Service on Customers' Rights Protection and Human Well-Being Surveillance
(Rospotrebnadzor) that Milkiland's cheese contains vegetable oils, does not have any ground.

Rospotrebnadzor has only announced its findings and did not revealed details of its investigation. Rospotrebnadzor claims that the
Group's cheese contains palmitoleic and linolic acids. However, this fact as such does not lead to a conclusion that the Group uses
vegetable oils to produce cheese, since these acids are components of natural milk fat.
 

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