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NEWS

The J.C. Robinson Seed Co. motion to dismiss granted

Waterloo, Nebraska
July 27,  2001

On Tuesday, July 24, 2001, the U.S. District Court granted The J.C. Robinson Seed Company’s motion to dismiss a lawsuit filed against it by the Illinois member companies of Golden Harvest Seeds, Inc.

"We are pleased that the judgment re-enforces what we have contended all along," Ed Robinson, president of The J.C. Robinson Seed Co. said.

In his opinion, the District Court Judge agreed with The J.C. Robinson Seed Co. arguments and cited several reasons for dismissing the suit at the earliest stage in the process of the case. In a nutshell, the judge decided under the current facts that the Illinois member companies have not raised issues sufficient to justify involvement by the court and that the role of the court is not to act in an advisory capacity.

"While the judge's opinion analyzed many different legal concepts and theories that apply to the relationship between the member companies, including fiduciary duties that may be owed to The J.C. Robinson Seed Co. by the Illinois members," Rob Robinson, executive vice president said, "the bottom line is that the judge agreed with the arguments that were raised in our request to dismiss the case, rejected the arguments made by the Illinois members, and dismissed the entire case."

The case should now be over unless the Illinois members ask the Judge to reconsider his decision, or if they appeal his decision to the Court of Appeals.

"While they are free to pursue either or both options, we firmly believe that the Judge made the right decision and that any effort to pursue those options would neither be successful nor beneficial to Golden Harvest," Rob Robinson said.

"The J.C. Robinson Seed Co. intends to continue to be a member of Golden Harvest, to sell Golden Harvest products, and to continue to support the Golden Harvest brand," Doug Robinson, senior vice president of The J.C. Robinson Seed Co. said. "We remain committed to our mission of bringing unique products of value to our customers."

The dismissed lawsuit filed in March, 2001, by board representatives from Golden Seed Co., Sommer Bros. Seed Co., Thorp Seed Co.and Garwood Seed Co.asked the court to decide the ability of the Illinois-based directors of Golden Harvest to separate, without the existence of any default, The J.C. Robinson Seed Co. from its association with Golden Harvest. In addition, the suit asked the court to rule whether the Illinois directors and the Illinois companies of Golden Harvest were free of liability for damages resulting from their actions.

The J. C. Robinson Seed Company is one of five member companies comprising Golden Harvest Seeds, Inc., the nations fastest growing seed corn brand. Family-owned and family-led since 1888, The J.C. Robinson Seed Company has grown into a network of more than 1,500 employees, farmer-dealers and distributors. The company markets to the western Corn Belt states of Colorado, Kansas, Iowa, Minnesota, Missouri, North Dakota, Nebraska, New Mexico, Oklahoma, South Dakota, Texas, Wyoming, the West Coast, plus international sales in Europe and Mexico.

Golden Harvest® is a registered trademark of Golden Harvest Seeds, Inc.

Company news release
N3688

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