NISSUi Letter

Back to Press Release IndexMarch 5, 2010

Re: Effects of the Earthquake in Chile (Update)

Nissui engages in salmon aquaculture, fishing, and related businesses in the Republic of Chile. This notice serves to report the effects of the great earthquake, occurred before dawn on February 27, local time. The damage and effects to our local business as of March 4 are as follows.

The business operations remain unaffected, although we are still working to confirm the safety of some of our local employees and their family members.

Salmon farming:
Some of the juvenile salmon in the freshwater juvenile farm near Los Ángeles (close to the epicenter) were lost; however, the damage was negligible and poses no serious effects for the business. In the local feed mill, the silo was partly collapsed and the inside of the building was damaged, which will take a few months to recover. The amount of loss and effects to the business in future, however, are considered to be light, as the damage will be covered by insurance and supply routes from other feed manufacturers are secured. Since there was no property damage in seawater farms and processing plants in both Chiloé and Aisén, and the infrastructure for feed transportation and shipment of products is gradually recovering, there are no or little effects to the local business operation, except that the feed price may rise.

Fishing business:
There was one fishing vessel that was hit by the tsunami while docked in Talcahuano close to the epicenter. Although it appears to have sustained no major damage, it will be scrutinized at another dock. There was no property damage to other fishing vessels and facilities.

Santiago Office: Business is operating as usual.