Bakkafrost P/f

Environmental & Social Information • Jan 20, 2017

BAKKAFROST: Suspicion of pathogenic ISA at A-73 Hvannasund Norður rises again

BAKKAFROST: Suspicion of pathogenic ISA at A-73 Hvannasund Norður rises again

Tests taken by the Faroese Veterinary Authority at farming site A-73 Hvannasund

Norður in January 2017 have again resulted in suspicion of pathogenic ISA virus

at the farming site. Farming site A-73 Hvannasund Norður has been under

increased surveillance since July 2016, when the farming site initially was

suspected of being infected with pathogenic ISA virus. Reference is made to

market announcement on 14 July 2016 and 21 July 2016. The tests taken in January

2017 were part of this increased surveillance of A-73 Hvannasund Norður.

Farming site A-73 Hvannasund Norður has 1.2 million fish with an average weight

of 2.8 kg whole fish equivalent. The suspicion of pathogenic ISA virus concerns

two cages, whereof one cage is the same that was under suspicion of pathogenic

ISA virus in July 2016.

Bakkafrost is prepared to take necessary actions and has decided to take

immediate actions regarding these two cages. Bakkafrost has harvested all fish

in the first cage (approx. 100,000 fish) and will also harvest the next cage

(approx. 90,000 fish) immediately. Farming site A-73 Hvannasund Norður will hold

1.0 million fish after these two cages have been harvested.

Preliminary estimates show that harvest volumes for 2017 will be reduced with

600 tonnes gutted weight by the harvest of these two cages. Preliminary

estimates show that the harvest volumes for 2017 may be reduced with another

2,400 tonnes gutted weight, should the harvest of the remaining biomass at

farming site A-73 Hvannasund Norður be accelerated.

Farming site A-73 Hvannasund Norður will continue to be under increased

surveillance, and further notice will be given, when the final results from the

tests at the farming site are available and conclusion is made regarding future

actions.

Contacts:

Regin Jacobsen, CEO of P/F Bakkafrost: +298 23 50 01 (mobile)

Gunnar Nielsen, CFO of P/F Bakkafrost: +298 23 50 60 (mobile)

This information is subject of the disclosure requirements pursuant to section 5

-12 of the Norwegian Securities Trading Act.