Agricore United

Agricore United

August 12, 2005 16:56 ET

Agricore United Announces Competition Act Filing in Respect of Terminal Sale

WINNIPEG, MANITOBA--(CCNMatthews - Aug. 12, 2005) - Agricore United (TSX:AU.LV) On May 6, 2005, Agricore United announced that it had signed an agreement for the sale of the former United Grain Growers Limited terminal elevator in Vancouver, British Columbia to Terminal One Vancouver Ltd. ("Terminal One"). The sale was entered into pursuant to a consent agreement between Agricore United and the Commissioner of Competition (the "Commissioner") dated October 17, 2002, in connection with the merger of United Grain Growers Limited and Agricore Cooperative Ltd. to form Agricore United. The consent agreement requires Agricore United to offer to divest the terminal elevator.

On July 29, 2005, Agricore United reported that the transaction with Terminal One was not expected to close by the original August 1, 2005 closing date, but that both parties were continuing to work diligently to complete a transaction as early as practicable.

Each of Agricore United and Terminal One have since requested the Commissioner extend the timeframe allowed for the parties to conclude a transaction. The Commissioner has denied these requests. As a result, Agricore United has filed an application with the Competition Tribunal seeking, among other things, an order pursuant to section 106 of the Competition Act rescinding the consent agreement between the Commissioner and Agricore United.

Agricore United is one of Canada's leading agri-businesses. The prairie-based company is diversified into sales of crop inputs and services, grain merchandising, livestock production services and financial markets. Agricore United's shares are publicly traded on the Toronto Stock Exchange under the symbol "AU.LV".

Contact Information