SASKATOON, Saskatchewan–(BUSINESS WIRE)–July 7, 2005–Maple Leaf
Foods (TSX:MFI) today announced that the Company will significantly
expand its fresh and value-added pork processing operations in
Saskatchewan through construction of a state-of-the-art fresh pork
processing plant and related value-added investments.

“This investment in Saskatchewan reinforces our strategy of
establishing a network of world-class meat processing operations to
meet growing consumer demand domestically and around the world for
premium quality innovative pork products that are made in Canada,”
said Michael McCain, President and CEO of Maple Leaf Foods.

Maple Leaf will construct a $110 million primary pork processing
facility on 35 acres in the Marquis Industrial area in Saskatoon and
invest up to $50 million in its value-added pork processing
operations in the Province. The new plant will replace the 65
year-old Mitchell’s plant in Saskatoon, which Maple Leaf purchased
through the acquisition of Schneider Foods. The plant currently
processes 17,000 hogs per week and is operating at full capacity. It
is highly integrated into the Schneider Foods procurement and
production chain, with over two-thirds of its production supporting
other value-added meat operations, and plays an important role in
supporting the Saskatchewan pork industry.

“Maple Leaf, through its Mitchell’s Foods subsidiary, has a long
and proud history in our province,” Saskatchewan Premier Lorne
Calvert said. “The company is building on that legacy with this major
and long-term investment in one of our key economic sectors. Through
its continued commitment to Saskatchewan, Maple Leaf is helping drive
major growth and jobs in our hog production and pork processing
industries.”

The new plant will process 20,000 hogs per week on a single shift
basis with the capacity to expand to 40,000 hogs per week on a
double-shift operation. This new state-of-the-art facility will meet
rigorous quality and product specifications for value-added fresh
pork and specialty products. It will complement the Company’s higher
throughput pork plant in Brandon, which will continue to focus on
value-added processing for domestic and global markets. Maple Leaf
continues to support a double shift expansion at its Brandon plant
based on international market growth for high quality pork.

“Major investments like this do not occur every day, and with the
future expansion that is to come with Maple Leaf Foods, it means a
positive atmosphere for all, not only in Saskatoon, but surrounding
communities as well,” said Saskatoon Mayor Donald Atchison.

Maple Leaf, the Province and the City of Saskatoon are proceeding
to execute a definitive agreement. Design and engineering work is
underway, and construction of the hog slaughter and cutting plant is
expected to commence by mid-late 2006, with the hog slaughter
operation commissioned approximately 18 to 24 months later.

This investment will support up to 1,400 existing jobs throughout
Maple Leaf’s primary and value-added pork processing operations in
Saskatoon, and is expected to create up to 300 to 350 new jobs in a
double shift hog slaughter and cutting plant. It will also generate
new jobs in the Company’s value-added pork operations, and through
driving growth in the Province’s feed, hog production and related
service industries.

Maple Leaf Foods Inc. is a leading Canadian food processing
company committed to delivering quality food products to consumers
around the world. Headquartered in Toronto, Canada, the Company
employs approximately 23,000 people at its operations across Canada
and in the United States, Europe and Asia. The Company had sales of
$6.4 billion in 2004.

MAPLE LEAF FOODS INC. (TSX:MFI)

CONTACT: Maple Leaf Foods Inc.
Lynda Kuhn
Vice-President, Public & Investor Relations
416-963-6159 or 416-926-2026
Saskatoon: 306-931-4200
www.mapleleaf.com

SOURCE: MAPLE LEAF FOODS INC.