Market Outlook for Corn, Wheat, and Soybeans

Market Outlook for Corn, Wheat, and Soybeans Identifying Risks - Protecting Profits Can you go wrong with $5 Corn, $12 Beans and $8 Wheat? Progressive Farmer Meeting St. Johns, Michigan Jim Hilker Agriculture, Food, and Resource Economics Department Michigan State University March 14, 2008

MONTHLY CORN FUTURES

Corn and Soy Meetings 2008 %Change in Plantings, Alma Corn Soys Wheat Average -3.6 6.2 8.2 Min -40.0-50.0-100.0 Max 20.0 100.0 300.0 Standard Deviation 9.6 17.2 40.3 Median 0 0 0 # took 98 97 85

Corn and Soy Meetings 2008 %Change in Plantings, Coldwater Corn Soys Wheat Average -3.9 8.1 11.2 Min -100.0-20.0-20.0 Max 15.0 100.0 100.0 Standard Deviation 15.6 21.0 28.3 Median 0 0 0 # took 53 51 40

Corn and Soy Meetings 2008 %Change in Plantings, Monroe Corn Soys Wheat Average -3.2 2.7 10.3 Min -100.0-100.0-100.0 Max 100.0 80.0 350.0 Standard Deviation 15.9 15.5 41.5 Median 0 0 0 # took 116 117 105

Corn and Soy Meetings 2008 %Change in Plantings, Plainwell Corn Soys Wheat Average -4.5 9.6 58.8 Min -50.0 0.0-5.0 Max 10.0 60.0 500.0 Standard Deviation 11.2 16.8 134.6 Median 0 0 0 # took 29 27 21

Corn and Soy Meetings 2008 %Change in Plantings, Peck Corn Soys Wheat Average -4.8 4.6 8.6 Min -70.0-20.0-20.0 Max 20.0 100.0 300.0 Standard Deviation 13.7 16.3 33.7 Median 0 0 0 # took 96 95 91

Corn and Soy Meetings 2008 %Change in Plantings, Frankenmuth Corn Soys Wheat Average -4.2 5.7 1.9 Min -100.0-50.0-100.0 Max 50.0 100.0 50.0 Standard Deviation 15.0 16.8 17.9 Median 0 0 0 # took 138 139 129

Corn and Soy Meetings 2008 %Change in Plantings, Combined Corn Soys Wheat Average -4.0 5.4 9.5 Min -100.0-100.0-100.0 Max 100.0 100.0 500.0 Standard Deviation 14.5 17.0 44.0 Median 0 0 0 # took 530 526 471

Weekly Natural Gas Futures

TABLE 1 SUPPLY/DEMAND BALANCE SHEET FOR CORN Est. Proj. USDA Ave. 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-13 (million acres) Acres Planted 78.9 78.6 80.9 81.8 78.3 93.6 90 93.7 Acres Harvested 69.3 70.9 73.6 75.1 70.6 86.5 82.7 86.3 Bu./Harvested Acre 129.3 142.2 160.4 148 149.1 151.1 154.9 158.5 (million bushels) Beginning Stocks 1596 1087 958 2114 1967 1304 1438 1343 Production 8967 10089 11807 11114 10535 13074 12810 13679 Imports 14 14 11 9 12 15 15 15 Total Supply 10578 11190 12776 13237 12514 14393 14263 15037 Use: Feed and Residual 5563 5798 6158 6155 5598 5950 5400 5500 Food, Seed and Ind. 2340 2537 2686 2981 3488 4555 5470 6260 Ethanol for fuel 996 1168 1323 1603 2117 3200 4100 4900 Total Domestic 7903 8335 8844 9136 9086 10505 10870 11760 Exports 1588 1897 1818 2134 2125 2450 2150 1825 Total Use 9491 10232 10662 11270 11210 12955 13020 13585 Ending Stocks 1087 958 2114 1967 1304 1438 1243 1452 Ending Stocks, %of Use 11.5 9.4 19.8 17.5 11.6 11.1 9.5 10.7 U.S. Loan Rate $1.98 $1.98 $1.95 $1.95 $1.95 $1.95 $1.95 $1.95 U.S. Season Average Farm Price, $/Bu. $2.32 $2.42 $2.06 $2.00 $3.04 $4.00 $4.60 $3.85 Source: USDA and Jim Hilker. (03-11 - 08)

2008 160 140 120 100 80 60 Corn Yields 1978-2008 1987 1990 1993 1996 1999 2002 2005 Years Corn Yields Linear (Corn Yields) 1984 1981 1978 Bushels/Acre

160 140 120 100 80 60 Corn Yields 1991-2008 1995 1997 1999 2001 2003 2005 2007 Years Corn Yields Linear (Corn Yields) 1993 1991 Bushels/Acre

Ethanol Futures

Gasoline Futures

Policy Themes Dec 19, 2007: New energy bill signed by President (EISA) Corn ethanol is mandated to grow from 9 billion gallons in 2008 to 13.2 in 2012 to 15 in 2015 Was 7.5 in 2012 in 1995 Energy Act Federal and state tax credits Oxygenation requirements Macroeconomic policy (e.g., exchange rates, growth, inflation, and interest rates)

ENERGY MARKETS Crystal balls are very cloudy High by historical standards Extremely volatile Linkages to commodities Price of ethanol driven by price of oil which drives gasoline which in turn sets parameters on break-even prices for corn to ethanol manufacturers.

Current ethanol capacity is 7.5 B gal 5.8 B gal under construction 13+ B gal within next three years Several plants were placed on hold in mid and late 2006 as expected profit prospects dimmed B illio n g a l 16.0 14.0 12.0 10.0 Renewable Fuel Standard for Conventional Biofuels 8.0 6.0 4.0 2.0 0.0 2008 2009 2010 2011 2012 2013 2014 2015

Corn Price Table1: Estimated Break Even Ethanol Prices for a New Plant 0% Return on Equity 12% Return on Equity 60 Million Gallon Plant 120 Million Gallon Plant 60 Million Gallon Plant 120 Million Gallon Plant $2.00 $1.19 $1.14 $1.32 $1.24 $3.00 $1.44 $1.40 $1.57 $1.49 $4.00 $1.70 $1.66 $1.83 $1.75 $5.00 $1.96 $1.91 $2.09 $2.00 $6.00 $2.21 $2.16 $2.34 $2.25 Source: Eidman V. Assumes: $90/bl oil, $2.74/gal wholesale gasoline price, DDGS price = 90% corn price, Inv = $112.5 m @ 60 m gal or $180 m @ 120 m gal Jan 29, 2008: Delivered corn @ $5.01, Ethanol $2.20, Natural gas @ $7.99/mmBtu

Estimated Historical Ethanol Gross Margins

Costs Gross Margin Needs to Cover $0.85 - $0.90 gal (Eidman) Capital is $0.25 of this component

Ethanol to Gas Relationship Sold at a premium when needed for an oxygenate. Averaged $0.64/gal in 2006 (wholesale) Has fallen as this market is getting filled and in response to logistics challenges 2007 premium fell to $0.10/gal Oct 2007 discount was $0.45 Long-run with substantial volume will sell closer to its relative energy value

2400 2200 2000 1800 1600 1400 1200 Exports 1978-2008 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 Years Exports Linear (Exports) Bushels(millions)

U.S. Grain Exports GRAINS INSPECTED AND/OR WEIGHED FOR EXPORT - 1,000 BUSHELS - ------------------------------------------------------------------------------- CURRENT PREVIOUS ------------ WEEK ENDING ----------- MARKET YEAR MARKET YEAR GRAIN 03/06/08 02/28/08 03/08/07 TO DATE TO DATE WHEAT 18,122 17,013 20,481 985,370 676,351 RYE 0 0 0 0 0 OATS 0 0 28 364 391 BARLEY 8 47 8 30,540 16,429 FLAXSEED 0 0 0 1,018 631 CORN 44,791 50,122 37,365 1,324,799 1,126,234 SORGHUM 5,252 4,634 2,965 188,015 81,738 SOYBEANS 29,857 34,081 29,939 757,066 799,476 SUNFLOWER 0 0 0 0 0 TOTAL 98,030 105,897 90,786 3,287,172 2,701,250 -------------------------------------------------------------------------------

U.S. Grain Export Sales USDA Export Sales Report 03/13 07:30 Export Sales Report for Week Ending 03/06/08 (in mil bus) Weekly New Crop Sales GRAINS Sales Unshipped Total Prev Yr Weekly Unshipped Corn 30.3 696.5 2025.0 1575.1 18.0 64.1 Sorghum 2.5 54.4 226.3 95.1 0.1 0.4 Soybeans 9.5 202.4 959.1 959.4 4.6 25.5 All Wheat 7.7 224.6 1184.7 782.0 7.8 82.7 Durum 0.9 2.8 37.9 26.8 0.6 7.0 Hard Red Spring 1.6 51.0 291.0 219.3 1.9 16.5 Hard Red Winter 5.4 118.5 508.0 232.8 1.6 31.1 Soft Red Winter 0.3 24.9 194.4 126.6 0.3 14.5 White Wheat -0.5 27.4 153.3 176.5 4.6 13.5 OTHER COMMODITIES Soyoil (000 mt) 29.1 212.8 756.5 360.5 0.0 0.0 Soymeal (000 mt) 147.8 1602.4 5018.9 4884.0 2.1 145.2 Rice (000 mt) 50.0 997.1 3041.3 2539.1 0.0 0.0 Upland Cotton(000bales) 42.6 2918.1 9689.8 7963.7 1.1

World Coarse Grain Supply and Use 1/ (Million Metric Tons) =============================================================================== : Supply : Use : :=========================:=======================:Ending Region : : : : Domestic 2/ : :stocks :Beginning:Produc-: :===============: : : stocks : tion :Imports: Feed : Total :Exports: =============================================================================== : : 2005/06 : World 3/ : 178.57 977.34 104.50 635.27 991.50 107.12 164.40 United States : 58.80 298.76 2.05 163.33 245.07 59.77 54.77 Total foreign : 119.77 678.57 102.45 471.93 746.43 47.34 109.64 Major exporters 4/ : 13.61 65.04 3.09 35.55 48.23 20.26 13.26 Argentina : 1.56 19.22 0.06 6.81 9.37 10.02 1.46 Australia : 2.30 13.54 0.00 5.89 7.17 5.59 3.08 Canada : 6.32 24.97 1.99 18.64 22.92 4.08 6.28 Major importers 5/ : 47.64 216.52 77.50 218.30 293.31 5.66 42.69 EU-27 6/ : 25.12 146.74 2.78 109.42 147.54 4.36 22.75 Japan : 1.88 0.19 19.77 15.06 20.09 0.01 1.74 Mexico : 5.40 25.83 9.90 21.19 37.59 0.21 3.34 N. Afr & Mideast 7/: 8.57 26.61 18.84 38.90 45.80 0.89 7.33 Saudi Arabia : 2.71 0.20 8.52 8.00 8.19 0.00 3.25 Southeast Asia 8/ : 1.69 16.55 4.41 14.57 20.33 0.20 2.13 South Korea : 1.40 0.34 8.55 6.56 8.91 0.00 1.38 Selected other : Brazil : 4.38 44.17 1.36 35.01 42.22 4.52 3.17 China : 37.02 147.70 2.31 103.12 147.46 3.76 35.81 FSU-12 : 7.24 55.31 1.16 33.76 49.75 8.47 5.49 Russia : 2.67 27.60 0.54 17.65 27.70 1.78 1.33 Ukraine : 2.67 18.14 0.07 8.45 11.99 6.50 2.40 : ===============================================================================

World Coarse Grain Supply and Use 1/ (Million Metric Tons) =============================================================================== : Supply : Use : :=========================:=======================:Ending Region : : : : Domestic 2/ : :stocks :Beginning:Produc-: :===============: : : stocks : tion :Imports: Feed : Total :Exports: =============================================================================== : 2006/07 (Estimated) : World 3/ : 164.40 979.65 112.94 630.12 1008.58 116.48 135.48 United States : 54.77 280.11 2.55 148.37 242.81 58.45 36.17 Total foreign : 109.64 699.54 110.39 481.75 765.76 58.03 99.31 Major exporters 4/ : 13.26 65.02 3.74 36.28 49.92 23.00 9.10 Argentina : 1.46 27.54 0.00 7.36 10.02 16.81 2.17 Australia : 3.08 6.58 0.00 4.96 6.20 2.02 1.44 Canada : 6.28 23.15 2.17 19.45 24.45 3.65 3.49 Major importers 5/ : 42.69 211.99 84.72 220.21 295.85 5.69 37.87 EU-27 6/ : 22.75 138.32 7.99 108.01 146.51 4.69 17.86 Japan : 1.74 0.18 19.67 14.88 19.82 0.00 1.76 Mexico : 3.34 28.73 11.02 22.90 39.45 0.22 3.43 N. Afr & Mideast 7/: 7.33 27.29 20.92 40.20 47.43 0.31 7.80 Saudi Arabia : 3.25 0.20 8.10 8.43 8.61 0.00 2.94 Southeast Asia 8/ : 2.13 16.90 3.70 14.56 20.32 0.47 1.94 South Korea : 1.38 0.33 8.80 6.96 9.16 0.00 1.35 Selected other : Brazil : 3.17 53.17 1.76 36.29 43.44 10.82 3.84 China : 35.81 153.50 1.16 104.47 152.23 5.41 32.83 FSU-12 : 5.49 58.70 0.89 35.67 51.27 8.48 5.34 Russia : 1.33 30.20 0.36 18.60 28.60 1.62 1.67 Ukraine : 2.40 19.18 0.05 9.95 13.38 6.13 2.12 ===============================================================================

World Coarse Grain Supply and Use 1/ (Cont'd.) (Million Metric Tons) =============================================================================== : Supply : Use : :=========================:=======================:Ending Region : : : : Domestic 2/ : :stocks :Beginning:Produc-: :===============: : : stocks : tion :Imports: Feed : Total :Exports: =============================================================================== : : 2007/08 (Projected) World 3/ : February : 136.52 1051.91 116.91 651.96 1062.46 119.50 125.97 March : 135.48 1056.19 117.86 652.43 1063.28 120.18 128.39 United States : February : 36.17 351.06 2.84 159.05 280.13 70.59 39.36 March : 36.17 351.06 3.01 159.26 280.33 70.48 39.43 Total foreign : February : 100.35 700.84 114.07 492.90 782.33 48.91 86.61 March : 99.31 705.13 114.85 493.17 782.95 49.70 88.96 Major exporters 4/ : February : 9.05 75.40 2.45 36.90 51.47 25.47 9.96 March : 9.10 75.70 2.45 36.92 51.51 25.62 10.12 Argentina Feb : 2.17 26.67 0.00 7.51 10.27 16.61 1.97 Mar : 2.17 26.67 0.00 7.51 10.27 16.61 1.97 Australia Feb : 1.40 9.41 0.00 5.59 6.88 2.54 1.39 Mar : 1.44 9.71 0.00 5.62 6.91 2.69 1.55 Canada Feb : 3.49 27.84 2.07 19.09 24.65 4.80 3.95 Mar : 3.49 27.84 2.07 19.09 24.65 4.80 3.95 ===============================================================================

World Coarse Grain Supply and Use 1/ (Cont'd.) (Million Metric Tons) =============================================================================== : Supply : Use : :=========================:=======================:Ending Region : : : : Domestic 2/ : :stocks :Beginning:Produc-: :===============: : : stocks : tion :Imports: Feed : Total :Exports: =============================================================================== : 2007/08 (Projected) Major importers 5/ : February : 37.94 208.91 90.92 226.94 303.27 5.47 29.03 March : 37.87 209.37 92.00 228.09 304.45 5.47 29.32 EU-27 6/ Feb : 17.86 136.60 14.56 112.37 151.47 5.06 12.49 Mar : 17.86 136.63 15.46 113.35 152.45 5.06 12.44 Japan Feb : 1.76 0.17 19.14 14.51 19.54 0.00 1.53 Mar : 1.76 0.20 19.14 14.54 19.57 0.00 1.53 Mexico Feb : 3.43 29.78 11.80 24.48 41.18 0.10 3.73 Mar : 3.43 29.78 11.33 23.98 40.71 0.10 3.73 N Afr/M.East 7/Feb : 7.87 24.65 20.50 40.02 47.01 0.05 5.96 Mar : 7.80 24.65 21.70 41.07 48.06 0.05 6.05 Saudi Arabia Feb : 2.94 0.20 7.40 8.63 8.81 0.00 1.73 Mar : 2.94 0.20 7.40 8.63 8.81 0.00 1.73 S.-east Asia 8/Feb : 1.94 17.12 4.21 15.56 21.42 0.26 1.59 Mar : 1.94 17.53 3.66 15.16 21.02 0.26 1.84 South Korea Feb : 1.35 0.32 8.87 7.05 9.23 0.00 1.31 Mar : 1.35 0.32 8.87 7.05 9.23 0.00 1.31 Selected other : Brazil Feb : 4.84 52.86 1.01 38.28 45.51 8.53 4.67 Mar : 3.84 55.86 1.01 38.15 45.38 9.15 6.17 China Feb : 32.83 153.40 1.43 106.60 157.74 1.04 28.88 Mar : 32.83 153.60 1.33 106.51 157.51 0.75 29.50 FSU-12 Feb : 5.34 53.91 0.56 34.85 50.37 4.95 4.49 Mar : 5.34 53.91 0.56 34.85 50.37 4.95 4.49 Russia Feb : 1.67 29.33 0.38 18.78 29.05 1.05 1.27 Mar : 1.67 29.33 0.38 18.78 29.05 1.05 1.27 Ukraine Feb : 2.12 14.59 0.02 9.29 12.29 2.51 1.93 Mar : 2.12 14.59 0.02 9.29 12.29 2.51 1.93 ===============================================================================

2008 5.00 4.50 4.00 3.50 3.00 2.50 2.00 1.50 1.00 0.50 0.00 Corn Prices 1978-2008 1987 1990 1993 1996 1999 2002 2005 Years 1984 1981 1978 Prices/bushel

5.00 4.50 4.00 3.50 3.00 2.50 2.00 1.50 1.00 0.50 0.00 Corn Prices versus E.S. 1978-2008 5000 4500 4000 3500 3000 2500 2000 1500 1000 500 0 1984 1987 1990 1993 1996 1999 2002 2005 2008 Years 1981 1978 Prices/bushel Ending Stocks

5.00 4.50 4.00 3.50 3.00 2.50 2.00 1.50 1.00 0.50 0.00 Corn Prices versus E.S. to Use 1978-2008 0.7 0.6 0.5 0.4 0.3 0.2 0.1 0 1981 1984 1987 1990 1993 1996 1999 2002 2005 2008 Years 1978 Prices/bushel Ending Stocks

U.S. Corn Price vs Ending Stocks/Use Ratio 1978-2008 5.00 4.50 4.00 Price ($/BU) 3.50 3.00 2.50 2.00 1.50 1.00 0 0.1 0.2 0.3 0.4 0.5 0.6 0.7 Ending Stocks/Use Ratio

Corn Futures Month Year Close Mar 2008 5.11 May 2008 5.23 July 2008 5.33 Sept 2008 5.33 Dec 2008 5.33 Mar 2009 5.41 May 2009 5.45 July 2009 5.49 Dec 2009 5.09 Dec 2010 5.08

Corn Futures Futures Detail DAY CORN (C) [10 minute delay] Future Symbol Search Symbol Lookup More Info Month Last Chg Open High Low Volume Open Int Trade Time chart options Mar-08 559'6s 3'0 558'0 568'0 558'0 24 1755 03/13/08 13:41 chart options May-08 569'4s 2'2 568'4 579'4 567'2 394 518393 03/13/08 13:41 chart options Jul-08 581'4s 2'0 581'4 591'0 579'0 221 282109 03/13/08 13:41 chart options Sep-08 583'0s 4'2 584'0 588'6 580'0 27 61677 03/13/08 13:41 chart options Dec-08 583'2s 4'2 581'4 590'0 579'0 193 411815 03/13/08 13:41 chart options Mar-09 591'4s 4'6 591'0 597'2 587'2 57 39460 03/13/08 13:41 chart options May-09 594'0s 5'0 594'0 601'0 591'0 16 3837 03/13/08 13:41 chart options Jul-09 597'0s 5'0 594'4 601'0 594'0 16 12364 03/13/08 13:41 chart options Dec-09 555'4s 2'0 555'4 559'0 555'0 34 76508 03/13/08 13:41 chart options Mar-10 561'4s 3'0 --- --- --- 3 1090 03/13/08 13:41 chart options Jul-10 565'0s 3'0 --- --- --- 76 653 03/13/08 13:41 chart options Dec-10 552'4s 2'0 556'0 556'0 552'0 14 20393 03/13/08 13:41 Thu, Mar 13, 2008 2:15 PM CDT *Quotes are in market time

May 08 Corn Futures

July 08 Corn Futures

Dec 08 Corn Futures

Corn Futures Month Year Close Mar 2008 5.11 May 2008 5.23 July 2008 5.33 Sept 2008 5.33 Dec 2008 5.33 Mar 2009 5.41 May 2009 5.45 July 2009 5.49 Dec 2009 5.09 Dec 2010 5.08

Ethanol Futures

Ethanol Plants Bu/MillionsRunning Sum Caro 19.5 20 2006/07 Woodbury 19.5 39 Albion 21.0 60 Riga 06/07 7.9 68 4.5 months Riga 07/08 21.0 81 2007/08 Maryville 20.0 101 Ithaca 40.0 141 2008/09 Maryville II 19.0 160 08 or 09?? Riga II? 10.5 171 08 or 09?? Watervliet 19.0 190 Corunna 40.0 230 McBain 19.0 249 Manistee 19.0 268 Alma 19.0 287

160 150 140 130 120 110 100 90 80 70 60 Michigan Corn Yields 1970-2011 1970 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 Years Corn Yields "Trend Yields" Bushels/Acre

1/11/2008 Michigan Supply/Use Balance Sheet for Corn Estimated Projected Projected Corn Marketing Year 2004/05 2005/06 2006/07 2007/08 2008/09 Corn Grain Production Thousand Acres Planted Acres 2200 2250 2200 2650 2450 Harvested Acres 1920 2010 1960 2350 2210 Yield bushels/acre 134 143 147 124 137 Million Bushels Beginning stocks 29.2 38.9 46.0 24.2 26.6 Production 257.3 287.4 288.1 291.4 302.8 Imports 0.0 0.0 0.0 0.0 0.0 Total Supply 286.5 326.3 334.1 315.6 329.4 Corn Use Livestock Feed 78.0 78.0 73.0 71.0 71.0 Ethanol 16.0 19.5 67.9 101.0 141.0 Canada for Ethanol 0.0 5.0 8.0 25.0 25.0 Other Exports to Canda 10.0 10.0 5.0 8.0 10.0 Exports out of Michigan to U.S. 138.6 162.8 151.0 80.0 55.0 Other Uses and Residual 5.0 5.0 5.0 4.0 5.0 Total Disapperance 247.6 280.3 309.9 289.0 307.0 Ending Stocks 38.9 46.0 24.2 26.6 22.4

MONTHLY SPRING WHEAT FUTURES

May Spring Wheat Futures

MONTHLY CBT WHEAT FUTURES

TABLE 2 SUPPLY/DEMAND BALANCE SHEET FOR WHEAT Est. Proj. USDA Ave. 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-13 (Million Acres) Acres Planted 62.1 59.7 57.2 57.3 60.4 64.0 59.0 Acres Harvested 53.1 50.0 50.1 46.8 51.0 54.4 50.0 Bu./Harvested Acre 44.2 43.2 42.0 38.7 40.5 42.8 43.1 (Million Bushels) Beginning Stocks 491 546 540 571 456 242 508 Production 2345 2158 2105 1812 2067 2330 2155 Imports 68 71 82 122 90 100 100 Total Supply 2904 2775 2727 2505 2613 2672 2763 Use: Food 907 910 915 933 950 957 970 Seed 80 78 78 81 86 82 80 Feed and Residual 212 182 160 125 110 175 200 Total Domestic 1194 1169 1152 1140 1146 1214 1250 Exports 1159 1066 1003 909 1225 950 1000 Total Use 2353 2235 2155 2049 2371 2164 2250 Ending Stocks 546 540 571 456 242 508 513 Ending Stocks, %of Use 23.2 24.2 26.5 22.2 10.2 23.5 22.8 U.S. Loan Rate $2.80 $2.75 $2.75 $2.75 $2.75 $2.75 $2.75 U.S. Season Average U.S. $/Bu. $3.40 $3.40 $3.42 $4.26 $6.65 $7.00 $5.50 Michigan $/Bu. $3.35 $2.95 $3.05 $3.40 $5.30 $6.10 $5.40 Source: USDA and Jim Hilker. (03-11 - 08)

2006 2008 50.0 45.0 40.0 35.0 30.0 25.0 Wheat Yields 1988 1990 1992 1994 1996 1998 2000 2002 2004 Wheat Yield Years Linear (Wheat Yield) 1986 1984 1982 1980 1978 Bushels/Acre

World Wheat Supply and Use 1/ (Million Metric Tons) =============================================================================== : Supply : Use : :=========================:=======================:Ending Region : : : : Domestic 2/ : :stocks :Beginning:Produc-: :===============: : : stocks : tion :Imports: Feed : Total :Exports: =============================================================================== : : 2005/06 : World 3/ : 150.62 621.46 110.15 111.30 624.43 116.16 147.65 United States : 14.70 57.28 2.21 4.35 31.36 27.29 15.55 Total foreign : 135.92 564.18 107.93 106.95 593.07 88.87 132.10 Major exporters 4/ : 42.75 197.78 7.13 70.94 147.24 57.27 43.15 Argentina : 0.55 14.50 0.01 0.08 5.00 9.56 0.50 Australia : 6.78 25.17 0.08 3.70 6.40 16.01 9.62 Canada : 7.92 25.75 0.29 4.18 8.32 16.00 9.64 EU-27 5/ : 27.50 132.36 6.76 62.98 127.53 15.69 23.39 Major importers 6/ : 61.99 162.78 58.77 8.40 218.96 4.42 60.16 Brazil : 1.35 4.87 6.72 0.60 10.80 0.81 1.33 China : 38.82 97.45 1.02 3.50 101.00 1.40 34.89 Select. Mideast 7/ : 5.46 19.77 12.18 1.95 30.02 0.60 6.78 N. Africa 8/ : 10.52 15.18 18.56 0.30 33.51 0.23 10.51 Pakistan : 2.25 21.61 0.95 0.40 21.50 0.05 3.26 Southeast Asia 9/ : 2.05 0.00 10.33 1.23 10.00 0.38 2.00 Selected other : India : 4.10 68.64 0.03 0.30 69.97 0.80 2.00 FSU-12 : 13.46 91.92 5.15 23.31 75.74 21.13 13.67 Russia : 3.89 47.70 1.28 14.90 38.40 10.66 3.81 Kazakhstan : 3.19 11.00 0.04 2.70 7.40 3.82 3.01 Ukraine : 2.61 18.70 0.07 2.90 12.50 6.46 2.41 : ===============================================================================

World Wheat Supply and Use 1/ (Million Metric Tons) =============================================================================== : Supply : Use : :=========================:=======================:Ending Region : : : : Domestic 2/ : :stocks :Beginning:Produc-: :===============: : : stocks : tion :Imports: Feed : Total :Exports: =============================================================================== : 2006/07 (Estimated) : World 3/ : 147.65 593.19 112.33 105.56 615.77 110.69 125.06 United States : 15.55 49.32 3.32 3.42 31.04 24.73 12.41 Total foreign : 132.10 543.87 109.01 102.14 584.73 85.96 112.65 Major exporters 4/ : 43.15 175.91 5.56 69.31 146.54 52.74 25.34 Argentina : 0.50 15.20 0.01 0.08 4.90 10.50 0.31 Australia : 9.62 10.64 0.09 4.70 7.40 8.73 4.22 Canada : 9.64 25.27 0.32 4.33 8.74 19.64 6.85 EU-27 5/ : 23.39 124.80 5.14 60.20 125.50 13.87 13.96 Major importers 6/ : 60.16 171.15 55.01 7.68 219.53 5.21 61.58 Brazil : 1.33 2.23 7.75 0.20 10.50 0.04 0.78 China : 34.89 104.47 0.38 4.00 101.00 2.78 35.96 Select. Mideast 7/ : 6.78 20.14 10.52 1.55 30.08 0.55 6.81 N. Africa 8/ : 10.51 18.53 16.30 0.25 33.90 0.26 11.18 Pakistan : 3.26 21.70 0.06 0.40 21.90 0.20 2.92 Southeast Asia 9/ : 2.00 0.00 10.65 0.88 9.96 0.42 2.28 Selected other : India : 2.00 69.35 6.71 0.30 73.36 0.20 4.50 FSU-12 : 13.67 85.98 5.93 21.45 73.64 22.35 9.60 Russia : 3.81 44.90 0.86 14.10 36.40 10.79 2.38 Kazakhstan : 3.01 13.50 0.03 2.70 7.50 8.00 1.04 Ukraine : 2.41 14.00 0.08 2.10 11.70 3.37 1.43 ===============================================================================

World Wheat Supply and Use 1/ (Cont'd.) (Million Metric Tons) =============================================================================== : Supply : Use : :=========================:=======================:Ending Region : : : : Domestic 2/ : :stocks :Beginning:Produc-: :===============: : : stocks : tion :Imports: Feed : Total :Exports: =============================================================================== : : 2007/08 (Projected) World 3/ : February : 125.08 603.59 104.73 99.39 618.97 106.40 109.70 March : 125.06 604.96 104.86 99.49 619.62 106.89 110.40 United States : February : 12.41 56.25 2.45 2.99 31.05 32.66 7.40 March : 12.41 56.25 2.45 2.99 31.19 33.34 6.58 Total foreign : February : 112.66 547.35 102.29 96.40 587.91 73.74 102.31 March : 112.65 548.71 102.41 96.50 588.43 73.55 103.82 Major exporters 4/ : February : 25.34 168.09 6.86 62.65 140.56 41.00 18.72 March : 25.34 168.30 6.86 62.75 140.67 40.50 19.32 Argentina Feb : 0.31 15.50 0.01 0.08 5.40 10.00 0.41 Mar : 0.31 15.50 0.01 0.08 5.40 9.50 0.91 Australia Feb : 4.22 13.00 0.08 3.40 6.10 8.00 3.20 Mar : 4.22 13.10 0.08 3.50 6.20 8.00 3.20 Canada Feb : 6.85 20.05 0.28 4.50 9.10 14.00 4.07 Mar : 6.85 20.05 0.28 4.50 9.10 14.00 4.07 EU-27 5/ Feb : 13.96 119.54 6.50 54.67 119.97 9.00 11.03 Mar : 13.96 119.65 6.50 54.67 119.97 9.00 11.14 ===============================================================================

World Wheat Supply and Use 1/ (Cont'd.) (Million Metric Tons) =============================================================================== : Supply : Use : :=========================:=======================:Ending Region : : : : Domestic 2/ : :stocks :Beginning:Produc-: :===============: : : stocks : tion :Imports: Feed : Total :Exports: =============================================================================== Major importers 6/ : February : 61.56 170.71 54.00 6.95 219.95 5.65 60.67 March : 61.58 171.01 53.83 6.95 219.78 5.91 60.73 Brazil Feb : 0.78 3.40 7.00 0.20 10.50 0.04 0.64 Mar : 0.78 3.83 7.00 0.20 10.50 0.30 0.81 China Feb : 35.96 106.00 0.15 4.00 100.50 2.50 39.11 Mar : 35.96 106.00 0.15 4.00 100.50 2.50 39.11 Sel. Mideast 7/Feb : 6.79 20.27 8.75 0.90 29.05 0.55 6.21 Mar : 6.81 20.09 8.58 0.90 28.88 0.55 6.04 N. Africa 8/ Feb : 11.18 13.78 17.80 0.15 34.88 0.16 7.73 Mar : 11.18 13.78 17.80 0.15 34.88 0.16 7.73 Pakistan Feb : 2.92 23.00 1.00 0.40 22.40 1.00 3.52 Mar : 2.92 23.00 1.00 0.40 22.40 1.00 3.52 SE Asia 9/ Feb : 2.28 0.00 10.20 0.90 10.28 0.43 1.78 Mar : 2.28 0.00 10.20 0.90 10.28 0.43 1.78 Selected other : India Feb : 4.50 74.89 2.00 0.20 75.85 0.05 5.49 Mar : 4.50 75.81 2.00 0.20 75.85 0.05 6.41 FSU-12 Feb : 9.60 93.49 5.37 23.68 76.42 22.65 9.39 Mar : 9.60 93.49 5.57 23.68 76.61 22.65 9.39 Russia Feb : 2.38 49.40 1.00 15.40 38.20 12.50 2.08 Mar : 2.38 49.40 1.00 15.40 38.20 12.50 2.08 Kazakhstan Feb : 1.04 16.60 0.02 2.70 7.50 8.50 1.66 Mar : 1.04 16.60 0.02 2.70 7.50 8.50 1.66 Ukraine Feb : 1.43 13.90 0.35 3.10 12.70 1.50 1.48 Mar : 1.43 13.90 0.35 3.10 12.70 1.50 1.48 ===============================================================================

2008 8.00 7.00 6.00 5.00 4.00 3.00 2.00 1.00 0.00 Wheat Prices 1978-2008 1987 1990 1993 1996 1999 2002 2005 Years 1984 1978 1981 Prices/bushel

8.00 7.00 6.00 5.00 4.00 3.00 2.00 1.00 0.00 Wheat Prices versus E.S. 1978-2008 5000 4500 4000 3500 3000 2500 2000 1500 1000 500 0 1984 1987 1990 1993 1996 1999 2002 2005 2008 Years 1978 1981 Prices/bushel Ending Stocks

8.00 7.00 6.00 5.00 4.00 3.00 2.00 1.00 0.00 Wheat Prices versus E.S. to Use 1978-2008 1.000 0.900 0.800 0.700 0.600 0.500 0.400 0.300 0.200 0.100 0.000 1984 1987 1990 1993 1996 1999 2002 2005 2008 Years 1978 1981 Prices/bushel Ending Stocks

U.S. Wheat Price vs Ending Stocks/Use Ratio 1978-2008 8.00 7.00 6.00 Price ($/BU) 5.00 4.00 3.00 2.00 1.00 0.000 0.200 0.400 0.600 0.800 1.000 1.200 Ending Stocks/Use Ratio

Wheat Futures Month Year Close Mar 2008 9.73 May 2008 9.90 July 2008 9.05 Sept 2008 9.11 July 2009 8.81 July 2010 8.96

Wheat Futures Futures Detail DAY WHEAT (W) [10 minute delay] Future Symbol Search Symbol Lookup More Info Month Last Chg Open High Low Volume Open Int Trade Time chart options Mar-08 1234'0s -36'0 1275'0 1275'0 1275'0 1 425 03/13/08 13:41 chart options May-08 1244'0s -38'4 1265'0 1318'0 1240'0 141 163639 03/13/08 13:41 chart options Jul-08 1213'4s -31'4 1234'0 1270'0 1210'0 37753 127327 03/13/08 13:41 chart options Sep-08 1220'4s -31'0 1241'0 1253'0 1217'0 2642 27677 03/13/08 13:41 chart options Dec-08 1222'4s -35'0 1248'0 1280'0 1220'0 13036 61795 03/13/08 13:41 chart options Mar-09 1225'0s -39'0 1225'0 1225'0 1225'0 207 1733 03/13/08 13:41 chart options May-09 1190'0s 16'0 --- --- --- 3 253 03/13/08 13:41 chart options Jul-09 1111'0s -22'4 1114'0 1125'0 1110'0 1215 14753 03/13/08 13:41 chart options Sep-09 1114'0s -12'0 --- --- --- 0 6 03/13/08 13:41 chart options Dec-09 1120'0s -20'0 --- --- --- 1011 9162 03/13/08 13:41 chart options Jul-10 1090'0s -20'0 1090'0 1110'0 1090'0 133 4735 03/13/08 13:41 Thu, Mar 13, 2008 7:23 PM CDT *Quotes are in market time

May 08 Wheat Futures

July 08 Wheat Futures

Dec 08 Wheat Futures

2008 8.00 7.00 6.00 5.00 4.00 3.00 2.00 1.00 0.00 Wheat Prices 1978-2008 1987 1990 1993 1996 1999 2002 2005 Years 1984 1978 1981 Prices/bushel

8.00 7.00 6.00 5.00 4.00 3.00 2.00 1.00 0.00 Wheat Prices 1978-2017 2002 2005 2008 2011 2014 2017 1978 1981 1984 1987 1990 1993 1996 1999 Years Prices/bushel

Wheat Futures Month Year Close Mar 2008 9.73 May 2008 9.90 July 2008 9.05 Sept 2008 9.11 July 2009 8.81 July 2010 8.96

MONTHLY SOYBEAN FUTURES

TABLE 3 SUPPLY/DEMAND BALANCE SHEET FOR SOYBEANS Est. Proj. USDA Ave. 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-13 (Million Acres) Acres Planted 74 73.4 75.2 72 75.5 63.6 71.0 69.0 Acres Harvested 72.5 72.3 74.0 71.3 74.6 62.8 70.1 68.1 Bu./Harvested Acre 38 33.9 42.2 43 42.7 41.2 42.1 43.2 (Million Bushels) Beginning Stocks 208 178 112 256 449 574 140 149 Production 2756 2454 3124 3063 3188 2585 2950 2942 Imports 5 6 6 3 9 6 4 4 Total Supply 2969 2638 3242 3322 3647 3165 3094 3095 Use: Crushings 1615 1530 1696 1739 1806 1835 1860 1850 Exports 1045 885 1097 940 1118 1025 910 930 Seed and Residual 131 111 193 194 148 165 177 150 Total Use 2791 2526 2986 2873 3073 3025 2947 2930 Ending Stocks 178 112 256 449 574 140 149 164 Ending Stocks, %of Use 6.4 4.4 8.6 15.6 18.7 4.6 5.1 5.6 U.S. Loan Rate $5.00 $5.00 $5.00 $5.00 $5.00 $5.00 $5.00 $5.00 U.S. Season Average Farm Price, $/Bu. $5.53 $7.34 $5.74 $5.66 $6.43 $10.40 $11.50 $9.25 Source: USDA and Jim Hilker. (03-11 - 08)

45.0 40.0 35.0 30.0 25.0 20.0 Soybean Yields 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 Soybean Yield Years Linear (Soybean Yield) 1982 1984 1978 1980 Bushels/Acre

World Soybean Supply and Use 1/ (Million Metric Tons) =============================================================================== : Supply : Use : :=========================:=======================:Ending Region : : : : : :stocks :Beginning:Produc-: : Domestic : : : stocks : tion :Imports: Crush : Total :Exports: =============================================================================== : : 2005/06 World 2/ : 47.50 220.54 64.04 185.08 215.25 63.94 52.88 United States : 6.96 83.37 0.09 47.32 52.61 25.58 12.23 Total foreign : 40.54 137.17 63.95 137.76 162.64 38.36 40.66 Major exporters 3/ : 32.91 101.14 0.66 61.39 65.87 35.63 33.21 Argentina : 15.98 40.50 0.58 31.89 33.34 7.25 16.47 Brazil : 16.75 57.00 0.06 28.29 31.17 25.91 16.73 Major importers 4/ : 6.40 18.99 53.04 56.66 72.05 0.42 5.97 China : 4.70 16.35 28.32 34.50 44.54 0.35 4.47 EU-27 : 0.88 1.17 13.94 13.53 14.97 0.05 0.98 Japan : 0.26 0.23 3.96 2.82 4.19 0.00 0.26 Mexico : 0.05 0.19 3.67 3.82 3.86 0.00 0.04 : : 2006/07 (Estimated) World 2/ : 52.88 237.23 68.91 195.30 224.82 70.92 63.29 United States : 12.23 86.77 0.25 49.16 53.20 30.43 15.62 Total foreign : 40.66 150.46 68.66 146.14 171.62 40.49 47.67 Major exporters 3/ : 33.21 114.00 2.05 66.32 70.90 37.02 41.34 Argentina : 16.47 48.80 1.99 33.59 35.09 9.54 22.63 Brazil : 16.73 59.00 0.05 30.68 33.63 23.49 18.67 Major importers 4/ : 5.97 18.54 55.50 58.83 74.42 0.52 5.07 China : 4.47 15.97 28.73 35.48 45.60 0.45 3.12 EU-27 : 0.98 1.24 15.29 14.56 16.00 0.05 1.46 Japan : 0.26 0.23 4.09 2.93 4.31 0.00 0.27 Mexico : 0.04 0.08 3.94 3.99 4.02 0.00 0.04 ===============================================================================

World Soybean Supply and Use 1/ (Million Metric Tons) =============================================================================== : Supply : Use : :=========================:=======================:Ending Region : : : : : :stocks :Beginning:Produc-: : Domestic : : : stocks : tion :Imports: Crush : Total :Exports: =============================================================================== : 2007/08 (Projected) World 2/ : February : 61.67 220.07 75.32 204.85 235.50 75.75 45.82 March : 63.29 219.85 75.00 205.63 236.03 74.67 47.44 United States : February : 15.62 70.36 0.16 49.94 54.44 27.35 4.35 March : 15.62 70.36 0.16 49.94 54.44 27.90 3.81 Total foreign : February : 46.05 149.72 75.16 154.91 181.06 48.40 41.47 March : 47.67 149.49 74.84 155.69 181.59 46.78 43.63 Major exporters 3/ : February : 39.74 114.50 2.22 70.53 75.16 45.49 35.81 March : 41.34 115.00 2.54 72.53 77.16 43.79 37.93 Argentina Feb : 21.03 47.00 2.10 38.50 40.04 11.20 18.89 Mar : 22.63 47.00 2.40 38.50 40.04 11.50 20.49 Brazil Feb : 18.67 60.50 0.10 29.70 32.68 29.69 16.91 Mar : 18.67 61.00 0.12 31.70 34.68 27.69 17.43 Major importers 4/ : February : 5.07 16.47 61.41 61.99 77.99 0.35 4.61 March : 5.07 16.47 60.73 61.51 77.26 0.35 4.66 China Feb : 3.12 14.30 34.00 38.10 48.35 0.30 2.77 Mar : 3.12 14.30 34.00 38.10 48.30 0.30 2.82 EU-27 Feb : 1.46 0.84 15.45 15.00 16.44 0.03 1.29 Mar : 1.46 0.84 14.95 14.50 15.94 0.03 1.29 Japan Feb : 0.27 0.23 4.15 2.93 4.33 0.00 0.32 Mar : 0.27 0.23 4.10 2.88 4.28 0.00 0.32 Mexico Feb : 0.04 0.10 3.95 4.01 4.05 0.00 0.04 Mar : 0.04 0.10 3.95 4.01 4.05 0.00 0.04 ===============================================================================

14.00 12.00 10.00 8.00 6.00 4.00 2.00 0.00 Soybean Prices 1980-2008 1986 1989 1992 1995 1998 2001 2004 2007 Years 1983 1980 Prices/bushel

14.00 12.00 10.00 8.00 6.00 4.00 2.00 0.00 Soybean Prices versus E.S. 1980-2008 5000 4500 4000 3500 3000 2500 2000 1500 1000 500 0 1986 1989 1992 1995 1998 2001 2004 2007 Years 1980 1983 Prices/bushel Ending Stocks

14.00 12.00 10.00 8.00 6.00 4.00 2.00 0.00 Soybean Prices versus E.S. to Use 1980-2008 0.700 0.600 0.500 0.400 0.300 0.200 0.100 0.000 1980 1983 1986 1989 1992 1995 1998 2001 2004 2007 Years Prices/bushel Ending Stocks

U.S. Soybean Price vs Ending Stocks/Use Ratio 1980-2008 12.00 11.00 10.00 Price ($/BU) 9.00 8.00 7.00 6.00 5.00 4.00 0.000 0.050 0.100 0.150 0.200 0.250 0.300 Ending Stocks/Use Ratio

Soybean Futures Futures Detail DAY SOYBEANS (S) [10 minute delay] Future Symbol Search Symbol Lookup More Info Month Last Chg Open High Low Volume Open Int Trade Time chart options Mar-08 1387'0s 8'0 1398'0 1412'0 1387'0 1408 513 03/13/08 13:41 chart options May-08 1402'6s 7'6 1413'0 1430'4 1400'4 77580 228664 03/13/08 13:41 chart options Jul-08 1418'6s 8'2 1427'0 1444'0 1415'0 24927 112688 03/13/08 13:41 chart options Aug-08 1406'0s 6'0 1424'0 1429'0 1405'0 2209 9897 03/13/08 13:41 chart options Sep-08 1364'0s -1'0 1384'0 1390'0 1364'0 760 7821 03/13/08 13:41 chart options Nov-08 1320'4s 3'2 1334'0 1348'0 1316'0 16536 138169 03/13/08 13:41 chart options Jan-09 1328'0s 5'0 1349'0 1353'0 1326'0 350 10151 03/13/08 13:41 chart options Mar-09 1331'0s -1'0 1357'0 1358'0 1331'0 60 4240 03/13/08 13:41 chart options May-09 1339'0s 6'0 --- --- --- 107 4924 03/13/08 13:41 chart options Jul-09 1340'0s -1'0 1363'0 1363'0 1338'0 121 4151 03/13/08 13:41 chart options Aug-09 1340'0s -1'0 --- --- --- 0 0 03/13/08 13:41 chart options Sep-09 1290'0s 0'0 --- --- --- 0 0 03/13/08 13:41 chart options Nov-09 1275'0s -3'0 1290'0 1298'0 1275'0 767 26087 03/13/08 13:41 chart options Jul-10 1295'0s -5'0 --- --- --- 0 1 03/13/08 13:41 chart options Nov-10 1270'0s 0'0 1275'0 1275'0 1275'0 14 3704 03/13/08 13:41 Thu, Mar 13, 2008 7:33 PM CDT *Quotes are in market time

Soy Sector Futures Month Year Soybeans Soymeal Soyoil Mar 2008 13.26 353 55.76 May 2008 13.45 359 56.54 July 2008 13.59 358 57.05 Sept 2008 13.17 348 57.45 Nov 2008 12.95 Dec 337 Dec 57.76 Nov 2009 12.41 Dec 317 Dec 57.00 Nov 2010 12.50 Dec 311 Dec 57.00

May 08 Soy Futures

July 08 Soy Futures

Nov 08 Soy Futures

Nov 09 Soy Futures

Nov 10 Soy Futures

U.S. Soybeans and Products Supply and Use (Domestic Measure) 1/ =============================================================================== : : : 2007/08 Projections Item : 2005/06 : 2006/07 :=============================== : : Est. : February March =============================================================================== : : Million pounds SOYBEAN OIL: : Beginning stocks : 1,699 3,010 2,904 2,904 Production : 20,387 20,487 21,010 21,195 Imports : 35 37 37 37 Supply, total : 22,122 23,535 23,952 24,137 Domestic : 17,959 18,743 19,500 18,900 For methyl ester 4/ : 1,555 2,796 3,400 2,800 Exports : 1,153 1,888 1,950 2,400 Use, total : 19,112 20,630 21,450 21,300 Ending stocks : 3,010 2,904 2,502 2,837 Average price (c/lb) 2/ : 23.41 31.02 47.50-53.00- : 51.50 57.00 : : Thousand short tons SOYBEAN MEAL: : Beginning stocks : 172 314 351 351 Production : 41,244 43,027 43,784 43,784 Imports : 141 156 165 165 Supply, total : 41,557 43,497 44,300 44,300 Domestic : 33,195 34,360 35,300 35,300 Exports : 8,048 8,786 8,700 8,700 Use, total : 41,243 43,146 44,000 44,000 Ending stocks : 314 351 300 300 Average price ($/s.t.) 2/ : 174.17 205.44 305.00-320.00- : 335.00 350.00 ===============================================================================

Soymeal Futures Futures Detail DAY SOYBEAN MEAL (SM) [10 minute delay] Future Symbol Search Symbol Lookup More Info Month Last Chg Open High Low Volume Open Int Trade Time chart options Mar-08 353.0s 7.5 351.8 353.0 349.0 1615 835 03/13/08 13:55 chart options May-08 356.0s 5.5 356.0 359.2 352.7 29867 74951 03/13/08 13:55 chart options Jul-08 358.5s 4.7 361.0 362.0 356.8 11387 49405 03/13/08 13:55 chart options Aug-08 353.7s 2.5 358.0 359.5 353.5 3269 13949 03/13/08 13:55 chart options Sep-08 344.7s 3.7 347.0 349.0 344.0 1053 9772 03/13/08 13:55 chart options Oct-08 324.2s 2.7 325.5 326.0 322.0 711 12191 03/13/08 13:55 chart options Dec-08 320.5s 3.0 322.5 324.0 319.5 2658 51182 03/13/08 13:55 chart options Jan-09 320.5s 3.8 323.0 323.0 320.0 76 2876 03/13/08 13:55 chart options Mar-09 321.2s 4.0 323.0 323.5 321.0 8 2581 03/13/08 13:55 chart options May-09 322.2s 4.0 324.0 324.0 322.0 0 1333 03/13/08 13:55 chart options Jul-09 323.2s 4.5 --- --- --- 2 917 03/13/08 13:55 chart options Aug-09 319.2s 2.5 --- --- --- 0 358 03/13/08 13:55 chart options Sep-09 316.2s 2.5 --- --- --- 0 369 03/13/08 13:55 chart options Oct-09 304.5s 1.0 --- --- --- 0 177 03/13/08 13:55 chart options Dec-09 304.5s 1.0 --- --- --- 21 2307 03/13/08 13:55 chart options Jul-10 300.5s 2.0 --- --- --- 0 0 03/13/08 13:55 chart options Oct-10 300.5s 2.0 --- --- --- 0 0 03/13/08 13:55 chart options Dec-10 300.5s 2.0 --- --- --- 0 0 03/13/08 13:55 Thu, Mar 13, 2008 7:37 PM CDT *Quotes are in market time

July 08 Meal Futures

Soyoil Futures Futures Detail DAY SOYBEAN OIL (BO) [10 minute delay] Future Symbol Search Symbol Lookup More Info Month Last Chg Open High Low Volume Open Int Trade Time chart options Mar-08 62.10s 0.45 --- --- --- 1 791 03/13/08 12:25 chart options May-08 62.56s 0.32 63.10 64.11 62.53 36399 130314 03/13/08 13:41 chart options Jul-08 63.32s 0.37 64.00 64.72 63.30 11648 67384 03/13/08 13:41 chart options Aug-08 63.70s 0.40 64.25 64.95 63.55 2193 10044 03/13/08 13:41 chart options Sep-08 63.77s 0.39 64.65 65.15 63.62 1315 8256 03/13/08 13:41 chart options Oct-08 63.72s 0.37 64.85 65.15 63.70 627 7209 03/13/08 13:41 chart options Dec-08 64.35s 0.37 65.10 65.70 64.20 5888 53844 03/13/08 13:41 chart options Jan-09 64.40s 0.30 --- --- --- 90 2049 03/13/08 13:41 chart options Mar-09 64.60s 0.35 --- --- --- 113 2656 03/13/08 13:41 chart options May-09 64.50s 0.50 --- --- --- 1 2026 03/13/08 13:41 chart options Jul-09 64.50s 0.50 --- --- --- 0 787 03/13/08 13:41 chart options Aug-09 64.25s 0.50 --- --- --- 0 75 03/13/08 13:41 chart options Sep-09 64.00s 0.50 --- --- --- 0 80 03/13/08 13:41 chart options Oct-09 63.75s 0.50 --- --- --- 0 82 03/13/08 13:41 chart options Dec-09 63.00s 0.75 --- --- --- 20 1044 03/13/08 13:41 chart options Jul-10 63.00s 0.75 --- --- --- 0 0 03/13/08 13:41 chart options Oct-10 63.00s 0.75 --- --- --- 0 0 03/13/08 13:41 chart options Dec-10 63.00s 0.75 --- --- --- 0 5 03/13/08 13:41 Thu, Mar 13, 2008 7:40 PM CDT *Quotes are in market time

May 08 SoyOil Futures

My Cash Bids for U.S. Zip Code 48824, Radius 100 miles Elevator Distance Date Corn Corn, New Soybeans Soybeans, New HRW #1 SRW ADM GRAIN CO 13 3/13 5.38 5.22 13.22 11.31 --- 11.49 ADM GRAIN CO 17 3/13 5.38 5.22 13.22 11.31 --- 11.49 MACCPS 29 3/13 5.21 5.08 12.88 11.20 --- 11.62 WOODBURY GRAIN LLC 30 3/13 --- 5.13 12.87 11.90 --- ---

Break-even soybean price / bu for alternative cor soy yields given corn price of 5.00 $/bu Soybean yield, bu/acre 35.0 40.0 45.0 Corn 130 $12.45 $10.93 $9.75 yield 140 $13.73 $12.05 $10.74 bu/acre 150 $15.01 $13.17 $11.74

Break-even soybean yield (bu/ acre) for alternativ corn & soybean prices given an expected corn yield of 140 bu / acre Soybean price, $/ bu $9.60 $12.00 $14.40 Corn $4.00 35.5 28.2 23.4 price $5.00 50.5 40.2 33.3 $/bu $6.00 65.5 52.1 43.3

SO HOW DO I MAKE CORN AND SOYBEAN PRICING DECISIONS? The first step in this new approach is to select the appropriate time window for pricing corn and soybean crops. The second step in the new approach is to determine the relevant set of crop pricing strategies. The third step in the new approach is to decide on the proportions of the crop to be marketed via each of the pricing strategies. The fourth step in the new approach is to evaluate performance after the marketing window is completed. University of Illinois, http://www.farmdoc.uiuc.edu/marketing/index.asp

Decide on the proportions of the crop to be marketed via each of the pricing strategies. Mechanical Active Self-Directed %? %? Externally-Managed %? %?

Decide on the proportions of the crop to be marketed via each of the pricing strategies. http://www.farmdoc.uiuc.edu/marketing/index.asp

Decide on the proportions of the crop to be marketed via each of the pricing strategies. Mechanical Active Self-Directed 0 %? 25 %? Externally-Managed 25%? 50 %?

Decide on the proportions of the crop to be marketed via each of the pricing strategies. Mechanical Active Self-Directed 60 %? 10 %? Externally-Managed 20%? 10 %?