São Paulo, July 3, 2008 - LAEP Investments Ltd., which produces, processes, sells and distributes milk and dairy products, through its subsidiary, Lácteos do Brasil S/A, pursuant to CVM Instruction 358, of January 3, 2002, hereby informs its investors and the market that on July 3, 2008, Laep signed an agreement with Montelac Alimentos S/A and its former shareholders, which was the subject of the Material Fact notice published on April 22, 2008.
To settle the dispute an agreement was made in which Lácteos received the payment of a fine in the amount of R$ 12,500,000.00.