SWP Increases Agricore Bid

SASKATOON - Mar 29/07 - SNS -- A potential bidding war for Agricore United is now getting underway, with the Saskatchewan Wheat Pool (SWP) sweetening its bid for the company's outstanding shares.

Under the revised common share offer, which includes proceeds from its previous subscription receipts offerings, each Agricore shareholder will receive $8.00 in cash and 0.95 SWP common shares for each Agricore common share held.

In a statement, the SWP says its bid is now worth significantly more per common share than the James Richardson International Ltd. (JRI) offer of February 21, 2007.

Based on a March 29 closing share price of CDN $8.53, the SWP bid would be worth $16.10 per Agricore common share. It calculates the JRI bid as being equivalent to $13.79. Agricore United's common shares closed at $15.16 on March 29.

The ability of the SWP to sweeten its bid results from the Canadian Competition Bureau's approval of the merger, subject to the sale of certain assets to Cargill Limited, including a swap of terminal elevator assets in Vancouver and the sale of eight primary elevators to Cargill.