Calavo - Limoneira Equity Agreement

NEW YORK - Jun 7/05 - SNS -- Calavo Growers, Inc. and Limoneira Company announced equity cross-investments in each other's avocado packing and marketing operations.

The transaction involves an exchange of cash, stock and other considerations, but terms were not further disclosed.

Under the agreement, Calavo acquires approximately 15% ownership interest in Limoneira, and becomes the company's single-largest shareholder. Limoneira's land holdings include 7,000 prime California agriculture acres, principally located in Ventura Country, that also afford promising real-estate development opportunities. The 112-year-old international land, farming and food company becomes Calavo's second-largest shareholder through its newly obtained approximately seven% equity stake.

With the agreement, Calavo will pack, market and distribute between seven and 10 million pounds annually of avocados grown by Limoneira, which also produces lemons, oranges and other specialty crops.