Cedar Falls, Iowa
November 5, 2002

As previously reported, Ag Services of America, Inc.'s (NYSE:ASV) current credit facilities expire in November of 2002. At the present time, the Company has received an extension of the securitization program financing its current receivables. The Company continues to negotiate with several parties to arrange a facility to finance the 2003 crop year. While the Company remains optimistic, the unexpected tightness in the credit markets has made refinancing more challenging and, therefore, there can be no assurance of timing or the amount of a new facility for 2003 crop year.

Failure to obtain sufficient financing would materially impair the Company's ability to finance sales of farm inputs in the normal course of business. Concurrently, the Company is also pursuing other alternatives, including the sale of or strategic investment in the Company and has retained the services of Rabobank International to pursue these alternatives.

Ag Services of America, Inc. is based in Cedar Falls, Iowa, and is a leading supplier of crop input financing and agricultural inputs, including seed, chemicals and fertilizers to primarily corn and soybean growers in the U.S. The Company's one-stop shopping business model includes competitive and flexible financing packages through its AgriFlex Credit(R) program combined with the most comprehensive offering of agricultural inputs from national sources such as Asgrow, BASF, Dekalb,
Dow AgroSciences, DuPont, Garst, Monsanto, Syngenta and Pioneer Hi-Bred. The Company also administers additional financing programs for various suppliers, manufacturers and distributors in the agricultural industry and provides ancillary services such as crop insurance and grain marketing.

AgriFlex Credit is a registered trademark of Ag Services of America, Inc.
All other trademarks or product names are the property of their respective owners.