LM_HG206 Des Moines, Iowa Wed, May 14, 2008 USDA Market News This report is based on information provided by companies that agreed to continue to participate in Livestock Mandatory Reporting on a voluntary basis. IOWA/MINNESOTA DAILY DIRECT AFTERNOON HOG REPORT BASED ON STATE OF ORIGIN PLANT DELIVERED PURCHASE DATA FOR Wednesday, May 14, 2008 (As of 1:30 PM) CURRENT VOLUME BY PURCHASE TYPE LIVE AND CARCASS BASIS Estimated Actual Actual Actual Today Today Week Ago Year Ago Producer Sold: Negotiated 14,272 17,484 17,296 10,140 Other Market Formula 11,549 9,570 12,376 5,704 Swine or Pork Market Formula 44,669 31,721 38,881 37,940 Other Purchase Arrangement 12,727 9,273 9,875 9,735 Packer Sold (All Purchase Types): 6,134 2,923 2,478 6,745 -------------------------------------------------------------------------------- NEGOTIATED PURCHASE (Including Packer Sold) Barrows & Gilts (carcass basis): 13,209 Compared to Prior Day's closing weighted average (LM_HG204), 1.88 higher. Base Price Range $73.00 - $86.49, Weighted Average $83.78 Base Price is the price from which no discounts are subtracted and no premiums are added. -------------------------------------------------------------------------------- IOWA/MINNESOTA DAILY DIRECT NEGOTIATED HOG PURCHASES MATRIX 185 lb Carcass Basis (Defined by Muscle and Fat) LOIN AREA/DEPTH (INCHES) BACK-FAT 4.0/1.4 5.0/1.7 6.0/2.0 7.0/2.3 8.0/2.7 0.4 75.50 90.49 75.71 89.49 75.71 88.99 75.71 90.00 75.71 91.00 0.5 73.00 90.49 75.50 90.49 75.71 90.49 75.71 89.49 75.71 90.50 0.6 73.00 89.99 75.50 90.49 76.50 90.49 77.50 90.49 79.00 90.00 0.7 73.00 87.49 73.00 88.49 75.50 89.99 77.50 90.49 78.50 90.49 0.8 71.00 86.49 73.00 87.49 75.50 88.49 76.50 88.49 78.50 90.49 0.9 71.00 84.49 73.00 85.49 73.00 86.49 75.50 87.49 75.71 88.49 1.0 70.00 83.49 71.00 84.49 73.00 84.49 75.50 85.49 75.71 87.49 1.1 69.00 80.49 71.00 81.99 71.30 83.49 71.30 84.49 71.30 86.00 1.2 69.00 79.49 70.00 79.49 71.00 81.00 71.30 83.00 71.30 85.00 1.4 61.01 79.00 61.01 79.00 61.01 79.00 61.01 81.00 61.01 83.00 -------------------------------------------------------------------------------- CARCASS WEIGHT DIFFERENTIALS 145# -32.00 -9.52 175# -4.07 0.00 205# 0.00 0.00 155# -32.00 -6.32 185# -1.50 0.00 215# -0.81 0.00 165# -12.00 -1.35 195# 0.00 0.00 225# -5.25 0.00 -------------------------------------------------------------------------------- MEASUREMENTS BASED ON SLAUGHTER DATA SUBMITTED 5 Day Rolling Average Market Hog: 199.41 lb carcass, 0.70 inch back-fat, 7.14 square inch loin/2.38 inch loin depth, FFLI: 52.21% Price Range $77.50 - $90.49 -------------------------------------------------------------------------------- SWINE OR PORK MARKET FORMULA PURCHASE (Including Packer Sold) Barrows & Gilts (carcass basis): 28,981 Base Price Range $71.75 - $85.97, Weighted Average $77.26 -------------------------------------------------------------------------------- NEGOTIATED PURCHASE (Including Packer Sold) Barrows & Gilts (live basis, 240-300 lbs): 6,520 Compared to Prior Day's closing weighted average (LM_HG204), .86 higher. Price Range $53.91 - $64.00, Weighted Average $63.72 -------------------------------------------------------------------------------- SOWS NEGOTIATED PURCHASE (Including Packer Sold) Sows Purchased (live and carcass basis): 647 Weight Range Head Count Avg Weight Price Range Wtd Avg (Live Basis) 300-449 lbs. 312 411 25.00-32.00 30.37 450-499 lbs. 132 475 28.00-35.10 31.51 500/up lbs. 203 554 30.00-36.75 34.32 -------------------------------------------------------------------------------- ALL SWINE PURCHASES BY STATE OF ORIGIN Iowa 47,319 Minnesota 23,900 -------------------------------------------------------------------------------- Source: USDA Market News, Des Moines, IA 515-284-4460 email: desm.lgmn@usda.gov 24 Hour recorded market information 515-284-4830 http://www.ams.usda.gov/LSMarketNews 1500C .