1. Copyright 1991-2011 Sterling Marketing, Inc.

5. Mountain 12,320,000 13.0% South Central 27,220,000 28.8% North Central 35,850,000 37.9% South Atlantic 5,938,000 6.3% Pacific * 7,725,000 8.2% North Atlantic 3,530,000 3.7% * Includes Hawaii & Alaska Copyright 1991-2011 Sterling Marketing, Inc.

13. Forage Supply PricesProfitability

14. Copyright 1991-2011 Sterling Marketing, Inc. Demographics Age of Producers Willingness & Ability to Assume Risk More Risk Adverse Access to Capital Tighter lending

15. Copyright 1991-2011 Sterling Marketing, Inc. Generate Cash Uncertainty About Increasing Costs of Production Feed & Energy

16. Copyright 1991-2011 Sterling Marketing, Inc.

17. Value-Based Marketing

18. Copyright 1991-2011 Sterling Marketing, Inc. On Average, Break Even High Low Cost of Production Market Value of Production High Low Opportunity Risk Opportunity Risk

19. Copyright 1991-2011 Sterling Marketing, Inc.

26. 2010 +5% 2011 -7% Copyright 1991-2011 Sterling Marketing, Inc.

27. For 2010 +10% Over 2009 Highest Since 1996 Copyright 1991-2011 Sterling Marketing, Inc.

28. For 2010 0% From 2009 Copyright 1991-2011 Sterling Marketing, Inc.

29. Jan 1, 2013* 39.585 mil. Jan 1, 2011 40.014 mil. Copyright 1991-2011 Sterling Marketing, Inc. Jan 1, 2016* 40.35 mil.

30. Jan 1, 2013* 30.5 mil. Jan 1, 2011 30.865 mil. Copyright 1991-2011 Sterling Marketing, Inc. Jan 1, 2016* 31.3 mil.

31.  increased costs throughout the entire beef supply chain,  increased consumer input regarding both the final product and inputs,  increased competition in both domestic and global markets,  increasingly greater change in how business must be done,  increased regulatory pressure, and ultimately,  increased CONSOLIDATION Copyright 1991-2011 Sterling Marketing, Inc.