Minnesota Corn Processors Securities Litigation

On April 23, 2003, former Minnesota Corn Processors, Inc. shareholders filed a class action lawsuit on behalf of investors who purchased stock during the time from March 27, 2002 through September 5, 2002. Minnesota Corn Processors ("MCP") is a Colorado limited liability corporation that was headquartered in Marshall, Minnesota.

The farmers/former shareholders allege that in negotiating a merger with ADM, certain MCP officers and directors engaged in self dealing and breached their duty of loyalty to shareholders to enhance their personal worth by millions of dollars. Specifically, the Complaint alleges that certain Defendants entered into deals whereby ADM agreed to pay them substantial sums in exchange for which they violated their duties and responsibilities to Class A shareholders of MCP.

The Complaint seeks to recover all gains illegally and improperly obtained by the Defendants as a result of their wrongful conduct. The Complaint also seeks damages from the Chairman of the MCP Board of Directors and currently unnamed others who failed in their duty to the putative class by negligently and recklessly permitting the breaches of fiduciary responsibility by the other Defendants to occur.

In February 2005, the Parties entered into a settlement agreement. Judge John R. Rodenberg granted final approval of the proposed $5.75 million Settlement on April 18, 2005 and the settlement proceeds were subsequently distributed to Class Members.