Bunge Reports Decline in Net Profits

NEW YORK - Jul 27/06 - SNS -- Bunge Limited reported net income of U.S. $30 million on sales of $5,980 million during the second quarter ending June 30, compared to net of $113 million on sales of $5,872 million during the same three month period last year.

This lifted net income for the first half of the current fiscal year to $33 million on sales of $11,581 million, compared to a net of $211 million on sales of $11,323 million during the same six month period last year.

Bunge reports the total volume of commodities handled came in at 30.5 million metric tons (MT) during the quarter, down from 31.6 million last year. Handle for the first half of the year totals 55.4 million MT< down from 58.1 million last year.

Alberto Weisser, Bunge's Chairman and Chief Executive Officer stated: "Conditions in the first half of 2006 proved more challenging than expected. Additional losses in freight, farmer protests in Brazil, excess capacity in Argentina and lower volumes and margins in international marketing all contributed to a weak first half. On the positive side, we have seen continued strong performance in North America and in our edible oil and milling businesses."

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