Press release, July 24 ,2007:

The Management of the paper manufacturer Condat SAS, a subsidiary of Lecta S.A.,
presented today to its Works Council a comprehensive restructuring program. This
project is being considered because Condat has experienced cumulative net losses of approximately €44 million over the past three years (2004 – 2006).

The company operates in a mature market, characterized by strong raw material and energy price increases, declining sales prices and the penalization of exports due to the Euro/dollar exchange rate. This program is part of a European-wide organization efficiency program planned by the Lecta Group. Its objective is to restore the company’s competitiveness in France.

We estimate that the proposed actions would result in Condat recovering approximately €40 million in EBITDA from 2006 to 2009. To reach this objective, Lecta plans to develop synergies between its businesses in Spain and France.

The program would preserve Condat’s identity, brands and products.

The program would also include a reorganization of all company departments, the elimination of 104 positions and the creation of 12 positions.

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