Cooperative Producers and Lansing Trade Group Announce Joint Ownership in Red Cloud Grain

Cooperative Producers, Inc. (CPI) announced today that it has entered into an agreement with Lansing Trade Group, LLC in which each party will own 50% of Red Cloud Grain, LLC. Red Cloud Grain operates a 1.3 million bushel grain elevator facility located in Red Cloud, NE.
Red Cloud Grain was formed in 2003 between Lansing Trade Group, LLC and Wright- Lorenz Grain Company. Since its formation, Red Cloud Grain upgraded its capacity to handle BNSF 110 car shuttle trains. Gary Jordan, President and primary owner of Wright-Lorenz, is retiring and selling Wright-Lorenz's interest in the entity. All parties expect the transactions to be completed by May 1, 2008.

Red Cloud Grain's elevator location is very advantageous to several of CPI's existing grain facilities. Red Cloud's shuttle capability will provide a significant shipping advantage for these facilities in the future.

“Lansing Trade Group has had a long standing, strong trading relationship with CPI,” said Bill Krueger, CEO of Lansing Trade Group. “We are excited to combine the originations and operational strength of CPI with Lansing’s trading excellence.”

CPI’s CEO Bob Fifield said, “We really like the fit that CPI has with Lansing and Red Cloud Grain. We hope to grow our relationship beyond this one facility over time. We see opportunities in grains and feed ingredients into expanding markets. This fits with our vision of
growing partnerships through agriculture.”

About Cooperative Producers, Inc.

Cooperative Producers, Inc. is a large cooperative, headquartered in Hastings, NE. They are currently located in 29 communities, with 415 employees who operate 65 million bushels

About Lansing Trade Group, LLC

Lansing Trade Group is a privately owned firm formed in 1931. The current ownership group has grown Lansing into a national trading company, growing beyond its grain roots with growth into the energy market. Lansing Trade Group formed Lansing Ethanol Services, LLC in March 2006 to trade ethanol. Lansing Trade Group trades whole grains, feed ingredients, and energy products, including biodiesel, in U.S. domestic and export markets. Current annual revenues are approximately $5 billion. Company headquarters are in Overland Park, Kansas. Additional information is available online at www.lansingtradegroup.com and www.lansingethanolservices.com.