Winnipeg, Manitoba
July 16, 2002

Agricore United announced today that it has entered into an agreement to sell its Trans Canada crop production centre to Portage la Prairie Consumers Cooperative Limited. The retail facility, which was built in 1995, is located east of Austin, Manitoba.

"The sale is a good business fit for both parties - the Co-op had committed to expanding their presence in the area and the merger left us with an overlap of facilities," said Ron Enns, Managing Director of Country Operations for Agricore United. "We already have a strong presence in the area and will continue to meet customers' crop input needs."

Agricore United will continue to provide crop input services and products to its customers in the area through its crop production centres at Petrel to the west, Gladstone to the north and Dundonald to the east. The Portage la Prairie Co-op sale is subject to a number of conditions, but is expected to close by August 8, 2002. Financial terms of the deal were not disclosed.

"The acquisition of this new agro facility will really enhance our farm supply operations in the MacGregor-Austin area and enable us to further improve our service to members," said Allan Merritt, General Manager for Portage la Prairie Consumers Co-operative Limited. "Since 1998, our MacGregor branch agro sales have increased significantly thanks to the strong support of our members and the dedicated efforts of our staff."

Agricore United is one of Canada's leading agri-businesses. The prairie-based company is diversified into sales of crop inputs and services, grain merchandising, livestock production services and farm business communications. Agricore United's shares are publicly traded on the Toronto Stock Exchange under the symbol "UGG".