General
Information
MITSIDES Public Company Ltd, (former CHR & C. MITSIDES LTD) was established in Nicosia, Cyprus in 1932 and deals with the production and sale of products
and by-products of flour milling, the trading of grains, the production and sale of pasta products,
pasta sauces, tomato products and other foodstuffs, as well as the sale of raw materials for the baking and confectionery industries.
Ever since its establishment,
the company has dominated the Cyprus Market and it now constitutes the
major flour and pasta Industry in Cyprus, holding impressive shares of around 50% in the local pasta and flour markets. With offices and production units
in Nicosia, Dhali and Aradippou and regional offices and distribution
centers in all main cities of Cyprus, Mitsides locally employs around
160 people, including qualified personnel in Marketing, Sales, Production,
Food Technology, etc.
Recently, the company has proceeded with an expansion of its operations abroad, through the acquisition of a 45,57% shareholding stake in a Serbian company involved in the grains, flour and pasta industries.
TOP
Group Structure
The Mitsides Group consists of Mitsides Public Company Ltd, which since 2001 owns Larnaca Flourmills Zenon Ltd, after the 100% takeover of Zenon's holding company Blue Azul Investments Ltd. In addition, Mitsides Public Company Ltd and Blue Azul Investments Ltd together hold a joint 45,57% shareholding stake of Serbian company Zitopromet Bratstvo A.D.
TOP
Board
of Directors and other officers
The company is governed by a Board of Directors,
composed of executive, non-executive and independent, non-executive members. The company adopts
the Corporate Governance Code of the Cyprus Stock Exchange (2002).
Board
of Directors
| Constantinos
P. Mitsides |
Board
Chairman and Managing Director |
| Chrysostomos
P. Mitsides |
Executive
Director |
| Chrysostomos
St. Mitsides |
Executive
Director |
| Marios. Ph.
Demetriades |
Executive
Director |
| Mikis
Michaelides |
Non-Executive
Director |
| Nikolas
Ph. Epifaniou |
Independent, non-Executive
Director |
| Achilleas
L. Demetriades |
Independent, non-Executive
Director |
Company
Secretary
Marios. Ph.
Demetriades
Nikiforos Fokas Avenue 34 - 38, P.O. Box 21778,
1513 Nicosia, Cyprus
Registered
Office
Nikiforos Fokas Avenue 34 - 38, P.O. Box 21778,
1513 Nicosia, Cyprus
TOP
Areas
of activity
The company has three
main divisions:
a.
Flourmills Division:
|
The company owns two Mills,
one in Nicosia and one in Larnaka.
The Mitsides
Flourmill is situated in the old town of Nicosia and it is the largest
and most modern Flourmill on the island, with a milling capacity
of 130 metric tons per day. It is a combined mill that can handle
all kinds of wheat, i.e. soft, hard and durum wheat. The present
mill was rebuilt in 1971 on the site of the earlier mill which was
destroyed in a fire the previous year. The machinery was fully refurbished
in 1984, and ever since, many more individual machines have been
continuously added, giving the mill the ability to introduce the
latest technology to the industry.
|
|
The Zenon Flourmill was established
in 1976, at the Aradippou Industrial Zone in Larnaka, with an initial milling capacity
of 60 metric tons per day. It was refurbished with new silos and machinery in 1991 and
now its milling capacity stands at 100 metric tons per day.
The company also owns two fully automated, computer-controlled Mixing Plants, one in Dhali and one in Nicosia. The Plants have the capacity of homogeneous mixing of up to 18 tons of flour, improvers and other raw materials per hour and can produce a wide range of specialized flours and mixes.
The company also owns four Grain Silos, of a total capacity of 10,000 tons, at its headquarter grounds in Dhali.
The main products of the Flourmills
Division include common flour (used for the production of traditional Cyprus bread),
various kinds of farina (used mainly for the production of white and luxury breads,
confectioneries, biscuits, pizzas and many other delicacies), semolina (mainly used for
the production of pasta)and various kinds of specialized flour such as Multicereal flour,
barley flour, whole wheat and village whole meal flour, Tsoureki and other mixes, as well as
by-products such as bran and fine bran.
The largest share
of these products are sold in bulk or in 10 25 and 50 kilo bags to bakeries, restaurants, confectioneries,
pasta and other food producing industries, as well as to animal feed industries
which use the various by-products ( various grades of bran). In addition,
a line of 5 kinds of quality flours ( Farina "00", Self-raising flour, Semolina, Village flour and Whole Meal flour ) are also sold in 1kg packages to supermarkets and retail outlets. Delivery is done through an extensive network
of delivery centers and stores all over the island, in company owned trucks
and lorries.
b.
Pasta Factory Division:
|
The Mitsides Pasta factory
was built in 1989 in Dhali Industrial zone, using all up to date technology to
produce a wide range of some 40 high quality pasta items. It comprises three
independent production lines for long pasta, short pasta and nests, as well as
6 packaging lines. It also comprises a separate production line for fresh / frozen
pasta. The production capacity of the Pasta Plant lies at 1500 kgs/hour or 4,500
metric tons a year, when in full operation.
Apart from its own brand, following a relevant agreement with Rummo SpA of Italy, the company also imports and distributes the Italian pasta brand Spiga di Puglia.
|
|
Following agreements with another two Italian companies, Mitsides also imports and distributes,
under the Mitsides brand name, a line of dry tortellini products, as well as a line of ready-made pasta sauces.
In addition, following another similar agreement with a Greek company, Mitsides
also imports, packages and distributes, under the Mitsides name, a range of processed tomato products, in both retail and catering packages.
These products are sold
in supermarkets and groceries all over the island, as well as to many
catering businesses, regularly serviced by the company's own distribution
fleet.
c.
Proffessional Foods Division:
Following an agreement
with Puratos N.
V., the world leader in ingredients for bakers, confectioners,
chocolatiers and caterers, Mitsides imports and distributes
a wide range of Puratos products, including improvers, bread mixes and
additives for baking, confectionery mixes, margarines, chocolate, vegetable
creams, glazes, etc. A separate distribution network is used for this
division.
TOP
Strategic Agreements and Expansion Abroad
Ever since 1996, Mitsides Public Co Ltd has been successful in securing a number of strategic
agreements and alliances with various important overseas companies.
Agreement
with Puratos N.V.
of Belgium
 In
1997, Mitsides signed an agreement with Puratos
N. V., the world leader in raw materials for confectioneries,
bakeries and other food industries, for the exclusive distribution of
Puratos products in Cyprus. A wide range of products is imported under
this agreement, including improvers, bread mixes and additives for baking,
confectionery mixes, margarines, chocolate, vegetable creams, glazes,
etc.
Cooperation
with Yum! Brands Inc
and Pizza Hut
Yum! Brands Inc. (former Tricon Global Restaurants Inc), listed in the New York Stock Exchange, is among the largest multinational restaurant companies worldwide, owning the franchise rights for the KFC, Tago Bell, Pizza Hut, Long John Silvers and A&W Hamburger labels globally. It has over 30,000 restaurants in 100 countries worldwide and employs some 725,000 people.
Following a two-year procedure which included quality controls and safety and hygiene compliance tests, Mitsides was approved in 1997 by
Yum! Brands Inc to act as an approved supplier of flour for the Pizza Hut chain
globally, and as such the company started exports of substantial quantities of flour to nearly all
Pizza
Hut restaurants in the Middle East and Arab Gulf.
World Distinction:
Every year, Yum! Brands grants the "Supplier of the Year" awards among its best suppliers,
based on criteria of quality, hygiene, service, timely delivery and sales volumes.
These awards are granted on a regional basis and then Regional winners compete for the
grant award of the "International Supplier of the Year".
Mitsides was the first approved supplier to win the award for its region, four times in six years, as it was pronounced "Supplier
of the Year" for its Region for 2000, 2001, 2003 and 2005. In addition, for 2001 Mitsides also won the highest distinction
of all and was pronounced, among 630 suppliers worldwide as the "International
Supplier of the Year", a distinction which honours both the company and Cyprus
Industry as a whole.
These achievements led to a significant expansion of Mitsides clientele among Pizza Hut restaurants, both in the Middle East and Gulf regions as well as in new markets such as India, Pakistan, Bangladesh, Brunei and others.
Agreement with Rummo SpA of Italy
In 2006, Mitsides reached an agreement with Rummo SpA of Italy, for the import and distribution of the "Spiga di Puglia" pasta brand to Cyprus
Rummo SpA, operating since 1846 in Benevento, southern Italy, currently holds a significant share in the Italian pasta market. The company has also expanded to overseas markets with established offices in USA, the U.K., Australia and Spain.
Expansion in Serbia
As part of its strategic plans for the expansion of its operations abroad and in particular in the Balkan States, Mitsides completed the acquisition of a 45,57% stake in Serbian company Zitopromet Bratstvo A.D. in December 2005.
Zitopromet is based in Sremska Mitrovica, within the Vojvodina granary, and deals with the production of flour, pasta and bakery products, as well as the trading of grains. The company already owns a fresh pasta plant, two flour mills of a total capacity of 230 metric tons per day, a bakery plant and 7 bakery sales outlets.
In June 2005, Zitopromet started the construction of a new, modern dry pasta plant, of a total capacity of 2,000 kg/hour, in its headquarters in Sremska Mitrovica. The first phase, which involves an automatic short-pasta line of a 1,000 kg/hour capacity, is already in operation, while the second and final phase, involving an automated long-pasta line of another 1,000 kg/hour capacity, is to be completed within 2007.
TOP
Sales
and Exports
The major product
categories offered by the Mitsides Group are:
| • |
Products
and By-products of flour milling |
| • |
Dry Pasta |
| • |
Fresh / Frozen Pasta |
| • |
Pasta
Sauces and Tomato Products |
| • |
Raw
Materials for baking and confectionery |
The largest part of the production is
consumed by the local market. The Mitsides group is by far the largest producer of flour on
the island with a substantial share in the local market of milling products and by-products
which approaches 50%, while it is also by far the largest player both in the packaged flour
and the pasta markets, again with shares of over 50%.
Exports represent around 12% of the company's
total sales. The largest share of exports consists of flour exports to Pizza Hut Restaurants in the
Arab countries, Middle East, India and elsewhere. Export destinations for Mitsides flour include Lebanon,
Egypt, Jordan, Bahrain, Kuwait, Saudi Arabia, UAE, Qatar, Oman, India, Pakistan, Bangladesh, Brunei, Yemen, Iraq, Afganistan and Vietnam.
Mitsides pasta is
also exported in various countries including the UK, Greece, USA, Australia, New
Zealand and Japan, as well as to various counties in the Middle East and
Arab Gulf.
TOP
Technical
Equipment - Company machinery and fleet
It is the company's
standard policy to have all necessary technical equipment available at
all times for the smooth and unhindered flow of operations and for the
improvement of productivity. In this light, the company has heavily invested
in equipment and runs a full-fledged maintenance department, headed by
experienced engineers and mechanics.
The group also owns
an extensive distribution fleet of 75 trucks, vans and lorries.
TOP
Quality
Control
Strict Quality Control is exercised over all process functions, from raw materials to finished goods supply. Mitsides Public Company Ltd runs a fully-equipped Laboratory next to the Flour Mill in Nicosia,
run by food scientists and milling technicians, who are responsible for
the quality control of production, done on a daily basis.
In addition, in 2001 the company has created
a fully equipped Quality Centre, which hosts seminars and demonstrations of bakery and confectionery
techniques, with the participation of foreign experts, which also works as a test laboratory for current
and newly developed products of the company.
Both the Mitsides Flourmill and the Mitsides Pasta Factory
have acquired the HACCP Food Safety Management System and ISO 9001:2000 Quality System certifications, by the
Cyprus Certification Company (CCC) and the Greek
Certification Organisation (ELOT).
TOP
Our
Mission Statement
| • |
Our Aim: To maintain
the leadership position in the Cyprus Pasta & Flour industry and further expand our operations globally. |
| • |
Our Commitment: The maintaining
of Total Quality Management through systematic and continuous training of our personnel, the employment of modern
technology in our production, sales and administration facilities and the constant revision and improvement of
our internal organizational procedures and methods. |
| • |
Our dedication: To enhance
our shareholders value through strategic alliances and quick adaption to change that will increase the company's
profitability. |
TOP
Future
plans and prospects
The company's future
plans concentrate both on the increase of exports but, most importantly, on the international expansion of its operations, mainly
in neighbouring countries, through strategic alliances and joint ventures
with local manufacturers. The recent acquisition of a large shareholding stake of a Serbian company is a step in this direction.
This strategic move
enforces the company as it expands its market and at the same
time helps improve the company's performance in various areas through
enhanced know-how, advanced production facilities and methods, and through
more thorough market research.
The company's prospects
are seen as most healthy and promising and its expansion plans most feasible,
as the company already enjoys high levels of recognition both domestically and overseas and is well under way in the achievement of its future goals.
TOP
|
