TESCO MEDIA STATEMENT 16.1.02 TALKS AVOID DISRUPTION TO TESCO DISTRIBUTION CENTRES

Following positive dialogue with David Handley, Chairman of Farmers For Action (FFA), we have today agreed to further talks.

Confrontation has been avoided and we look forward to constructive discussions at which we can listen to FFAs concerns and share our understanding of the industry and knowledge of customers.

Tesco listens and talks to farmers through regular meetings around the country. These meetings introduce greater transparency in the supply chain and encourage closer working relationships between farmers, suppliers and Tesco.

ENDS

For further information please call the Tesco press office on 01992 644645. Out of hours please call 01992 644733 (select option 5 from the voicemail)

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www.farmersforaction.org Tel: 01291 690224 Fax: 01291 690984 Email: secretary@farmersforaction.org

PRESS RELEASE

TESCO PLC

Following negotiations with Tesco plc, Farmers For Action are pleased to announce a successful conclusion to this dispute.

The decision reached within Farmers For Action we felt was for the long-term benefit of not only our own membership but British farmers and their families. The talks we will be having with Tesco hopefully will enable us to ensure that British farming is here for generations to come and that we can get farmers back into profitability. The task ahead between both parties will not be easy but we have always stated, as Farmers For Action, dialogue must come before direct action.

Tesco plc have agreed with us to have talks around a number of issues, which will affect everyone living in the rural community. We will shortly be meeting with a senior board director to discuss all issues that surrounded this dispute. Farmers For Action will also be attending future Tesco Producer Club meetings and will start discussions on farmgate issues with the Tesco plc commercial teams in the very near future. We trust that all parties interested in British agriculture will take notice of this successful conclusion with Tesco plc and it will send out a very strong signal to all businesses that are involved with British agriculture that we must work very, very closely within the food chain to make sure we can all achieve our goals. These goals enable us to provide the consumer with the very best British produce.

Farmers For Action trust this agreement will last indefinitely and that the threat of direct action is no longer needed as a tool to make sure British farming families can survive. This needs the transparency and commitment of all parties involved in the food chain.