La Coop fédérée Closes Deal with Agronomy Company of Canada Ltd

    MONTREAL, Jan. 9 /CNW Telbec/ - Upon the conclusion of a buy-sell
agreement, which was submitted last October, La Coop fédérée is announcing the
legal acquisition of Agronomy Company of Canada Ltd (ACC) shares, an equal
partnership joint venture with Land O'Lakes and CHS. The financial terms of
the agreement however have not been disclosed.
    The deal has been in effect since December 31, 2008 and notably includes
the acquisition of the ACC head office, grain assets located in Belton,
Ontario, and Wellburn Agromart Limited, an agricultural subsidiary located in
Wellburn, Ontario. The agreement further includes:

    - Ownership in 20 Agromart retail outlets located throughout four of
      Canada's eastern provinces and operated as a joint between ACC and
      independent business partners;
    - Indirect holding in companies members of the same group serving
      Agromart businesses, including Agromart Terminals, Inc. and Agromart
      Processing Company, Inc.

    "By becoming a major player in the distribution of plant production input
across eastern Canada, by integrating our partners' expertise and by improving
La Coop fédérée's results, this transaction allows La Coop network to better
its member producers' competitive position", stated Mr. Denis Richard,
president of La Coop fédérée.
    This ambitious transaction will enable La Coop fédérée to expand its
playing field as it assures itself a firm presence in Quebec, Ontario and the
Maritimes. Consequently, this acquisition will bring forth greater
profitability. As part of its development plan, this initiative falls into the
company's design for expansion as it intends to gain market share outside
Quebec and secure a more attractive buying position as well as replicate its
sales in the plant production field.

    La Coop fédérée is a federation of agricultural cooperatives in the
province of Quebec, Canada. Originally founded in 1922, it is now comprised of
91 cooperatives belonging to 76 000 members. These cooperatives meet the many
and varied needs of both agricultural producers and consumers who joined
together for greater access to high quality products and services at
competitive prices. In fact, as a wholesaler, La Coop fédérée supplies farmers
in Quebec, Ontario and New Brunswick with the goods and services required to
operate their businesses, including hardware and oil products. Furthermore,
through its subsidiary company, Olymel L.P., La Coop fédérée is involved in
the processing and marketing of pork and poultry products on local and
international markets. La Coop fédérée and its network of affiliated
cooperatives employ nearly 17,000 people with cumulative sales approaching 5
billion dollars.

For further information:

For further information: Martin Scallon, Manager, Communications, Public
Affairs and Media Relations - La Coop fédérée, (514) 858-2244, Cellular: (514)

Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890