000134 Farmland Files Debt Offering With SECJanuary 25, 2000Washington - Farmland Industries Inc., the largest farmer-owned cooperative in North America, filed to offer, from time to time, up to $100 million in demand loan certificates and $236 million in subordinated debenture bonds. The Kansas City, Mo.-based cooperative said it would receive $100 million from the sale of the certificates and $196 million from the sale of the bonds. It will also exchange bonds with a face amount of up to $40 million for other subordinated debt securities. If more than $196 million is sold for cash, a lesser amount will be available for exchange. Farmland plans to use the proceeds for general corporate purposes, including repaying long-term debt and funding capital spending, according to a filing with the Securities and Exchange Commission. Farmland Securities Co. will serve as the agent, the filing said. Farmland Industries' member-owners are entitled to patronage refunds distributed by Farmland from the member-sourced portion of its annual net earnings, the filing said. At the end of August its membership consisted of about 1,400 cooperative associations of farmers and ranchers and 5,700 pork or beef producers or associations of producers. In 1999 Farmland posted net sales of $10.7 billion, including international sales of about $3.2 billion. Its business is focused in two areas -- agricultural inputs, where it operates as a farm supply cooperative, and agricultural outputs, where it operates as a processing and marketing cooperative.
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