ORGANIZATION FOR COMPETITIVE MARKETS

P.O. Box 6486

Lincoln, NE 68506

Web site: www.competitivemarkets.com

Date: June 25, 2002 For Immediate Release

Contact: Fred Stokes: 662.476.5568

Michael C. Stumo: 860.379.6199

OCM to Co-Sponsor Livestock Price Crisis Meeting in Memphis

The Organization for Competitive Markets (OCM), R-CALF USA (United Stockgrowers of America), Southern Livestock Review, Mississippi Cattlemen’s Association, Missouri Stockgrowers Assn., and Louisiana Cattlemen’s Association will hold a Livestock Price Crisis Meeting in Memphis on July 26, 2002. The meeting will be held from 9:30 am to 4 pm at the Agricenter International in east Memphis. This will be an informational session on market failures with a focus on potential solutions. Attendees will vote on their top market competition priorities at the end of the meeting. All U.S. livestock producers are invited to attend.

U.S. livestock producers are suffering from a devastating price crash, which is not explained by the market fundamentals. Large numbers of producers have lost substantial amounts of money and equity; consequently many will be forced out of the business.

Yet, meat packers and retailers are increasing margins and profits. In fact food giant Tyson/IBP reported their fiscal second quarter net earnings had increased $65 million, as of March 30. Retail supermarket profits have increased even more than packer profits. While antitrust law is designed to address this mis-allocation of resources and profits, enforcement agencies have been less than equal to the task.

Presentation topics:

1. Packer Concentration: The problem of monopoly;

2. Captive Supplies: Shrinking demand in the cash market;

3. Rebirth of the Packers & Stockyards Act: Pickett v. IBP and newly filed antitrust cases against the Cargill/Excel and Monfort; and

4. Futures Markets: To fix or to ditch

The Place: Agricenter International, 7777 Walnut Grove Road, Memphis, TN (901.757.7777)

The Time and Date: 9:30 am to 5 pm, Friday, July 26, 2002

Invitees: All U.S. livestock producers

Presenters (subject to change):

Don Dowdle, editor, Southern Livestock Review

Fred Stokes, President, OCM

Leo McDonnell, President, R-CALF USA

Dr. Jim Anderson, President, Mississippi Cattlemen’s Association

Max Thornsberry, Missouri Stockgrowers Assn.

David Domina, attorney, Domina Law

* Overview of the Pickett v. IBP cattle case

Robert Taylor, ag economist, Auburn University

* The anatomy of market power: packing and retail

Michael Stumo, general counsel, OCM

* Is it efficiency or market power?

Luke Schweiterman, livestock futures broker

* The Merc: To fix or to ditch

Steve Holland, Chairman, Mississippi House Ag Committee

* Country of origin labeling in Mississippi

Significant open microphone period

The Organization for Competitive Markets is a multidisciplinary, nonprofit group of farmers, ranchers, academics, attorneys, and policy makers dedicated to reclaiming the agricultural marketplace for independent farmers, ranchers and rural communities.

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