SEABOARD CORPORATION


                       2010 Annual Report



<PAGE>



 Description of Business

 Seaboard    Corporation   is   a   diversified   international
 agribusiness  and  transportation  company.   In  the   United
 States,  Seaboard is primarily engaged in pork production  and
 processing  and ocean transportation.  Overseas,  Seaboard  is
 primarily   engaged   in   commodity   merchandising,    grain
 processing,  sugar production, and electric power  generation.
 Seaboard  also  has  an interest in turkey operations  in  the
 United States.

 Table of Contents

  Letter to Stockholders                                      2

  Principal Locations                                         5

  Division Summaries                                          6

  Summary of Selected Financial Data                          8

  Company Performance Graph                                   9

  Quarterly Financial Data (unaudited)                       10

  Management's Discussion & Analysis of Financial Condition
   and Results of Operations                                 11

  Management's Responsibility for Consolidated Financial
   Statements                                                26

  Management's Report on Internal Control over Financial
   Reporting                                                 26

  Report of Independent Registered Public Accounting Firm
   on Consolidated Financial Statements                      27

  Report of Independent Registered Public Accounting Firm
   on Internal Control over Financial Reporting              28

  Consolidated Statements of Earnings                        29

  Consolidated Balance Sheets                                30

  Consolidated Statements of Cash Flows                      31

  Consolidated Statements of Changes in Equity               32

  Notes to Consolidated Financial Statements                 33

  Stockholder Information                                    60

This report, including information included or incorporated  by
reference  in  this  report, contains  certain  forward-looking
statements with respect to the financial condition, results  of
operations, plans, objectives, future performance and  business
of   Seaboard  Corporation  and  its  subsidiaries  (Seaboard).
Forward-looking  statements  generally  may  be  identified  as
statements  that  are not historical in nature  and  statements
preceded by, followed by or that include the words: "believes,"
"expects,"  "may,"  "will," "should,"  "could,"  "anticipates,"
"estimates,"  "intends,"  or  similar  expressions.   In   more
specific  terms,  forward-looking statements, include,  without
limitation:  statements concerning the projection of  revenues,
income  or  loss,  capital expenditures, capital  structure  or
other  financial items, including the impact of  mark-to-market
accounting on operating income; statements regarding the  plans
and  objectives of management for future operations; statements
of   future  economic  performance;  statements  regarding  the
intent,  belief  or current expectations of  Seaboard  and  its
management  with respect to: (i) Seaboard's ability  to  obtain
adequate financing and liquidity, (ii) the price of feed stocks
and other materials used by Seaboard, (iii) the sales price  or
market  conditions for pork, grains, sugar,  turkey  and  other
products  and services, (iv) statements concerning management's
expectations   of   recorded   tax   effects   under    certain
circumstances,  (v) the volume of business and working  capital
requirements   associated   with   the   competitive    trading
environment  for  the  Commodity Trading and  Milling  segment,
(vi)   the  charter  hire rates and fuel  prices  for  vessels,
(vii)  the stability of the Dominican Republic's economy,  fuel
costs  and  related  spot  market  prices  and  collection   of
receivables  in the Dominican Republic, (viii) the  ability  of
Seaboard to sell certain grain inventories in foreign countries
at a current cost basis and the related contract performance by
customers,  (ix)  the  effect  of the  fluctuation  in  foreign
currency    exchange    rates,   (x)   statements    concerning
profitability  or  sales volume of any of Seaboard's  segments,
(xi)  the  anticipated  costs  and  completion  timetable   for
Seaboard's  scheduled  capital improvements,  acquisitions  and
dispositions,  or  (xii)  other  trends  affecting   Seaboard's
financial condition or results of operations, and statements of
the  assumptions underlying or relating to any of the foregoing
statements.

This  list  of  forward-looking statements  is  not  exclusive.
Seaboard undertakes no obligation to publicly update or  revise
any  forward-looking statement, whether  as  a  result  of  new
information,   future  events,  changes   in   assumptions   or
otherwise.   Forward-looking statements are not  guarantees  of
future   performance   or   results.    They   involve   risks,
uncertainties  and  assumptions.   Actual  results  may  differ
materially  from  those  contemplated  by  the  forward-looking
statements  due  to  a  variety of  factors.   The  information
contained  in  this  report, including without  limitation  the
information  under  the headings "Management's  Discussion  and
Analysis of Financial Condition and Results of Operations"  and
"Letter  to  Stockholders", identifies important factors  which
could cause such differences.

<PAGE> 1

                  Letter to Stockholders

2010 was a year to remember as we posted record results in sales,
operating  income and net income. Seaboard Foods, our  integrated
pork  division, is largely responsible for these high water marks
but  our other divisions also delivered very respectable results.
This  is  laudable  during this time of  worldwide  economic  and
political   instability.    As   an   international   food    and
transportation  company,  our results  are  not  only  driven  by
industry  fundamentals,  but  are heavily  influenced  by  global
economic, social and political conditions. While 2010 is  in  the
bank,   it   is   clear  that  2011  will  be   challenging   and
unpredictable. As a company reliant on commodity inputs  such  as
grain  and  energy and in industries which are heavily  regulated
by  government  and  scrutinized  by  special  interest   groups,
managing margins becomes more challenging  as  major  costs   are
tougher  to  control.   The current volatility and high prices of
many of our  critical  raw  materials  and  products has provided
some benefits in  the  short term, but could ultimately impact us
negatively. Higher   prices  for  our  finished  products are not
beneficial long term  to  our  customers  or to the growth of our
industries. Going forward,  as we attempt to maintain margins and
market share with our finished  products  we  face the reality of
consumer price  resistance and food substitution. Maintaining our
focus on aspects that we  can control,  namely quality of product
and service, broader  product mix and a strong company culture is
increasingly important.

As  noted  in  this Annual Report, some divisions  posted  record
revenue  and operating income largely due to higher sales  prices
and, in nearly all segments, volume increases. Revenues increased
almost 22% year over year to $4.386 billion with operating income
up  $297.3  million. Our operations generated $236.5  million  in
cash after adjusting for capital expenditures and strengthened an
already solid balance sheet. We remain in a favorable position to
fund  increased  working  capital  needs,  new  investments   and
continued  organic growth. Although it is tempting to deploy  our
liquid   position  quickly  to  improve  on  current   short-term
investment returns, we value strong cash reserves and  prefer  to
remain in an opportunistic and flexible position. To create  cash
flow,  long term value and sustainable businesses, we need to  be
patient and thoughtful as we grow the Company.

A  significant  accomplishment for our Company in  2010  was  our
acquisition  in December of a 50% voting interest  in  Butterball
LLC.  With the Butterball acquisition, we are pleased to  be  co-
owners  with the Maxwell Group who has been involved  in  several
agricultural   businesses  since  1916.  As  with  all   business
combinations,  there is the risk of successfully merging  company
cultures and philosophies. The transition period with the Maxwell
and  Butterball  Groups  has been exceptionally  smooth.  Sharing
similar business principles, priorities and practices give us the
confidence  that we can be of mutual benefit to one  another  and
bring strength and value to our common interests.  Butterball  is
a   company  that  has  tremendous  brand  recognition,   quality
products,  and  a  strong  customer  base  supported  by  focused
customer service and disciplined and enthusiastic employees.

As  shareholders, I encourage you to seek out Butterball, Prairie
Fresh and Daily's products at retailers wherever and whenever you
get the chance!

Looking  beyond  2010,  this may be one of the  more  challenging
years in recent memory for Seaboard and other grain reliant  food
businesses  in  the U.S. and worldwide. Beginning in  2005,  when
Congress  enacted  the U.S. Energy Policy Act  and  mandated  the
compulsory blending of ethanol with gasoline, the battle of  food
versus  fuel  was underway. Unfortunately, for consumers  in  the
U.S. and abroad, the expansion of land use to produce enough corn
to  meet  the  increased demand from the ethanol mandate  without
significant   price  disruption  has  not  taken  place.   As   a
consequence, corn and other row crops competing for the same land
base have skyrocketed in price.

The  U.S. government has not modified its current renewable fuels
energy  program (in fact, it has moved to increase the  mandates)
and as a result, prices for grain-based consumer foods have risen
dramatically. Meat products are quickly becoming less  affordable
for  most  consumers. Domestic per capita consumption of  protein
has decreased in all meat categories over the last five years and
is  down  over  20%  and 15% respectively in the  beef  and  pork
sectors since 1980. Sadly, over time, the U.S., with perhaps  the
best  infrastructure and commercial skills to convert grain  into
value  added food products, may lose its competitive edge in  the
export  markets  and with high prices, cause further  erosion  in
overall demand.

This   period  of  high  unemployment  coupled  with  an  economy
struggling for normalcy is a troubling time. As we reflect on the
health of our agricultural markets and specifically the livestock
sector,  we  must look hard at major reformation of  the  current
legislation coming up for review this year. It is our  hope  that
the  U.S.  government  will see the

<PAGE> 2

                  Letter to Stockholders

unintended  consequences  and enormous impact the renewable fuels
standard has had on the livestock  sector  and amend or legislate
a  more  durable  and  predictable  structure for  the  industry.
The  current  food  crisis  not  only  impacts  quality  of  life
issues  domestically  but   as  we have  seen, contributes toward
destabilizing nations around  the world.

Seaboard  Foods  is responsible, in large part,  for  our  record
results this year. Pork processing margins were unusually high as
sales  prices accelerated faster than live production  costs.  In
addition,  export volumes increased particularly  to  our  higher
valued markets in the Far East while domestic volumes nearly kept
pace with 2009. With the price of animal feed dramatically rising
over the last six months and the expectation that prices will not
decline materially over the near term, the entire meat sector has
taken  a  conservative approach on the supply side and this  will
continue until the federal government brings more clarity to farm
program  and  energy policy. Going forward, as  meat  prices  and
government  regulation  increase, it  will  be  tougher  for  the
industry to maintain volumes, margins and export competitiveness.

As  an  integrated producer and processor, it is uncertain if  we
will continue to enjoy historically high processor margins and to
weather variable returns on hog production. Seaboard Foods should
continue  to  have greater control over the quality  of  our  raw
materials  and finished product which is a competitive  advantage
and key part of our business model. The benefits of our model are
many  as we deliver safe and consistent high quality products  to
our  customers.  We continue to make headway in  the  retail  and
institutional  markets with enhanced and further processed  value
added products. With Butterball's strengths in certain categories
and  markets  and Seaboard Foods in others, we should  be  in  an
ideal  position to better both of these businesses with continued
coordination and cooperation. Over time, the distinct skill  sets
and  synergies between these two companies should bring  tangible
and intangible benefits to both.

Seaboard  Marine  posted  significantly  better  year  over  year
results with increased revenue and operating income as the global
economy  gradually recovered from its low levels  in  2009.  Unit
volumes increased approximately 20% while average container rates
remained about the same as higher trucking and fuel expenses were
more  than offset by lower charter rates and terminal costs. Last
year, margins suffered as operators tried to maintain volume  and
market  share in a shrinking market. Over the next few years,  we
expect  to  implement  a  fairly  aggressive  vessel  replacement
program.   We  intend to replace many older, less fuel  efficient
ships with new, more efficient vessels. Our mixture of owned  and
chartered  vessels  will also change as we  move  toward  a  more
modern,  specialized, fuel efficient and higher  capacity  fleet.
Over  the  last  several  years we have undergone  an  aggressive
capital  expenditure program to drive our operating  costs  lower
with   infrastructure  improvements,  cargo  handling   equipment
purchases  and software systems.  These initiatives should  lower
our  overall cost structure and provide improved service  to  our
client  base. In addition, we continue to add or modify  existing
routes in response to customer demands and particularly where  it
strengthens our position in the Americas. Although cargo carriage
is a basic business, there are many moving parts and coordinating
and  executing  all  components  is  critical  in  delivering   a
reliable,  flexible and premium service. We continue  to  perform
well in this regard.

The Commodity Trading and Milling Division experienced a year  of
growth and development as well as good overall operating results.
After  eliminating  the  impact of mark-to-market  accounting  on
derivatives and a one time litigation gain in 2009, the  division
achieved  solid  earnings  growth this year.  Third  party  grain
trading had a better year in Latin America while grain processing
margins were mixed in both Africa and the Americas. We have added
new trade offices in the U.S., Canada and Australia and added  to
our  industrial base in Latin America and Africa.  Now,  with  13
trading  offices and 32 plant locations in 21 countries  on  five
continents,  our  network of industrial  operations  and  trading
offices  gives us the leverage and scale to provide our customers
multiple  choices  in  origins of supply,  a  range  of  raw  and
processed  products  and cost competitive positions  through  our
owned  and chartered vessel fleet. With this broad base, we  have
been   able  to  expand  into  different  commodities,  including
specialty  grains and value added products and incrementally  add
to  our  regular  trade routes. In 2011, we  expect  to  add  new
commodity channels and routes to the existing trade portfolio. We
also continue to look for industrial investment opportunities  in
value added grain based businesses.

This  coming year, with a virtual certainty of historically  high
commodity  prices, we expect heavy price resistance and generally
lower  margins  and volumes on the milling side. We  are  already
seeing  this  in  some  locations in West Africa  and  additional
pressure  from  host  governments to  reduce  product  prices  to
maintain social stability. In Haiti, we plan

<PAGE> 3

                    Letter to Stockholders

on resuming  milling operations  later  this year after an entire
year  of  downtime  for  mill  reconstruction  as a result of the
earthquake in January 2010.  Overall,  although  we  expect  this
coming  year  to  be  challenging due to volatile and high priced
commodities, we  will  continue  to focus on upgrading our supply
chain logistics,  risk  management  activities and administrative
support system.  As  a  global division with over 45 years in the
commodity and  milling business in various forms of partnerships,
we have  a  wide  and diverse  network  through  which   we   can
analyze   various opportunities  and build synergistically on our
commodity  based platform.

Tabacal,  our  sugar cane production and processing  business  in
northern  Argentina  performed exceptionally  well  in  2010.  As
mentioned  in previous annual reports, we have spent considerable
sums over the last five years in expanding cane acreage, crushing
capacity, distillery functionality and energy production. We  now
have  a modern, efficient and flexible operation which allows  us
to  produce  many grades of sugar and alcohol for both  fuel  and
industrial use. With our new co-generation plant expected to come
on  stream in the 2nd quarter this year, our energy costs  should
be  reduced  significantly and our excess power  should  generate
incremental returns for the company.

With state and national elections coming up in October this year,
the  political  and  economic issues  are  crystallizing  now  in
Argentina.  Inflationary factors, government price  controls  and
labor  issues are some of the major challenges going forward  and
we are hoping that no major disruption upsets the momentum we are
building.  That being said, we believe the government understands
the ongoing contribution of our company and value of our industry
and  with our new capabilities and disciplined approach, we  feel
confident  that  we  will continue to earn  respectable  returns.
Sugar and fuel are close to historic highs and although they  may
correct to the downside, we believe our costs should enable us to
remain profitable.

Operating income for 2010 was 63% higher than last year from $8.2
to  $13.4 million as price increases more than offset higher fuel
expenses  in the Dominican Republic. As mentioned previously,  we
anticipate  closing  on the sale of our current  power  producing
assets  to a third party in the second quarter of 2011.  The  two
power  barges will be replaced by one new 106 MW barge  with  the
capability  of burning heavy fuel oil or natural  gas.   Our  net
investment  in  the  new 106 MW power barge  will  be  about  $55
million  after considering the anticipated sale proceeds  of  $70
million for the existing barges. The new engines will give us the
flexibility  to  produce electricity with either natural  gas  or
heavy fuel oil depending on price and availability of fuel stock.
We  have  a  solid infrastructure, good relations with  the  host
government  and  the  industrial  private  sector  and   we   are
optimistic that when we begin commercial operations in 2012,  the
new  power barge will be fully dispatched and will rank among the
most  efficient  power producers in the Dominican  Republic.  Our
expectations are that we will exceed prior year financial results
once we begin continuous operations in 2012.

It  is with pride and thanks that we deliver these record results
for the year and although it is only one in the Company's 83 year
history, it is many years in the making. Seaboard is made  up  of
many  unique  people who have helped shape this  Company  into  a
special one as measured not just by financial performance but  by
product  value, customer appreciation and employee  satisfaction.
For  this,  I  am  extremely grateful  and  appreciative  and  as
shareholders, I hope you are as well. If stockholder's equity  is
a  reliable  measure of financial performance  (as  some  notable
investment  analysts proclaim), then we haven't  done  too  badly
over  the last several years. We will no doubt face some  tougher
financial  times in 2011 but longer term, our selected industries
and  integrated  business model ought to  bring  some  reasonable
growth and value to our invested group.


                                /s/Steven J. Bresky
                                Steven J. Bresky
                                President and
                                Chief Executive Officer

<PAGE> 4

                            Principal Locations

Corporate Office        Minoterie de              Seaboard de Nicaragua, S.A.
Seaboard Corporation    Matadi, S.A.R.L.*          Nicaragua
Merriam, Kansas
                        Democratic Republic       Seaboard del Peru, S.A.
Pork                     of Congo                  Peru
Seaboard Foods LLC
 Pork Division Office   Minoterie du Congo,       Seaboard Freight & Shipping
  Merriam, Kansas        S.A.                      Jamaica Limited
                          Republic of Congo         Jamaica
 Processing Plant
  Guymon, Oklahoma      Moderna Alimentos, S.A.*  Seaboard Honduras, S. de R.L.
                        Molinos Champion, S.A.*    de C.V.
 Live Production         Ecuador                    Honduras
  Operation Offices
  Julesburg, Colorado   National Milling          Seaboard Marine Bahamas Ltd.
  Hugoton, Kansas        Company                   Bahamas
  Leoti, Kansas          of Guyana, Inc.
  Liberal, Kansas         Guyana                  Seaboard Marine (Trinidad)
  Rolla, Kansas                                    Ltd.
  Guymon, Oklahoma      National Milling            Trinidad
  Hennessey, Oklahoma    Corporation Limited
  Optima, Oklahoma        Zambia                  Seaboard Marine of Haiti,
                                                   S.E.
 Processed Meats        Companie Industrial de      Haiti
  Salt Lake City, Utah   Productos Agreopecuarios
  Missoula, Montana      SA*                      SEADOM, S.A.
                        Rafael del Castillo &      Dominican Republic
 High Plains             Cia. S.A.*
  Bioenergy, LLC          Colombia                SeaMaritima S.A. de C.V.
  Guymon, Oklahoma                                 Mexico
                        Seaboard West Africa
Seaboard de Mexico       Limited*                 Sugar
  USA LLC                 Sierra Leone            Ingenio y Refineria San
    Mexico                                         Martin del Tabacal SRL
                        Unga Holdings Limited*      Argentina
Commodity Trading &      Kenya and Uganda
 Milling                                          Power
Commodity Trading       Marine                    Transcontinental Capital
 Operations             Seaboard Marine Ltd.       Corp. (Bermuda) Ltd.
  Australia*             Marine Division Office     Dominican Republic
  Bermuda                 Miami, Florida
  Canada                                          Turkey
  Chapel Hill,          Port Operations            Butterball LLC*
   North Carolina*       Brooklyn, New York         Division Office
  Colombia               Fernandina Beach, Florida   Garner, North Carolina
  Ecuador                Houston, Texas             Processing Plants
  Greece                 Miami, Florida              Huntsville, Arkansas
  Isle of Man            New Orleans, Louisiana      Jonesboro, Arkansas
  Miami, Florida                                     Ozark, Arkansas
  Peru*                 Agencias Generales Conaven,  Longmont, Colorado
  South Africa           C.A.                        Carthage, Missouri
  Switzerland             Venezuela                  Kinston, North Carolina
                                                     Mt. Olive, North Carolina
 African Poultry        Agencia Maritima del Istmo,
  Development            S.A.
  Limited*                Costa Rica                Other
   Democratic Republic                               Mount Dora Farms de
   of Congo,            Cayman Freight Shipping       Honduras, S.R.L.
   Kenya and Zambia      Services, Ltd.                Honduras
                          Cayman Islands
 Fairfield Rice Inc.*                                  Mount Dora Farms Inc.
  Guyana                JacintoPort International LLC   Houston, Texas
                         Houston, Texas
 Les Moulins d'Haiti
  S.E.M.*               Representaciones Maritimas y
   Haiti                 Aereas, S.A.
                          Guatemala
 Lesotho Flour Mills
  Limited*              Sea Cargo, S.A.
   Lesotho               Panama

 Life Flour Mill Ltd.*  Seaboard de Colombia, S.A.
 Premier Feeds Mills     Colombia
  Company Limited*
   Nigeria

*Represents a non-controlled, non-consolidated affiliate

<PAGE> 5

                     Division Summaries

Pork Division

Seaboard's  Pork  Division  is  one  of  the  largest  vertically
integrated  pork  processors in the United States.   Seaboard  is
able  to  control animal production and processing from  research
and  development in nutrition and genetics, to the production  of
high quality meat products at our processing facilities.

Seaboard's  processing facility is located in  Guymon,  Oklahoma.
The  facility  has  a  daily  double shift  capacity  to  process
approximately 19,400 hogs and generally operates at capacity with
additional   weekend  shifts  depending  on  market   conditions.
Seaboard  produces and sells fresh and frozen  pork  products  to
further   processors,  foodservice  operators,  grocery   stores,
distributors  and  retail outlets throughout the  United  States.
Seaboard  also  sells to distributors and further  processors  in
Japan,  Mexico and other foreign markets.  Hogs processed at  the
plant  principally include Seaboard raised hogs as well  as  hogs
raised by third parties purchased under contract and in the  spot
market.

Seaboard's  hog  production facilities  consist  of  genetic  and
commercial  breeding, farrowing, nursery and finishing  buildings
located   in   Oklahoma,  Kansas,  Texas  and  Colorado.    These
facilities have a capacity to produce approximately four  million
hogs  annually.  Seaboard owns and operates six centrally located
feed mills to provide formulated feed to these facilities.

Seaboard's  Pork  Division also owns two bacon processing  plants
located  in  Salt  Lake  City, Utah and Missoula,  Montana.   The
processing  plants produce sliced and pre-cooked bacon  primarily
for food service.  These operations enable Seaboard to expand its
integrated  pork model into value-added products and  to  enhance
its  ability  to  extend  production  to  include  other  further
processed pork products.

In  the second quarter of 2008, Seaboard commenced production  of
biodiesel  at  a facility constructed in Guymon,  Oklahoma.   The
biodiesel  is  primarily produced from pork fat  from  Seaboard's
Guymon pork processing plant and from animal fat supplied by non-
Seaboard  facilities.  The biodiesel is sold  to  third  parties.
The  facility  can  also produce biodiesel  from  vegetable  oil.
Also,  during 2009 Seaboard completed construction of  and  began
operations at a majority-owned ham-boning and processing plant in
Mexico.

Seaboard's  Pork Division has an agreement with  a  similar  size
pork processor, Triumph Foods LLC (Triumph), to market all of the
pork   products  produced  at  Triumph's  plant  in  St.  Joseph,
Missouri.   Pursuant  to  this agreement,  Seaboard  is  able  to
provide  the  same  quality products to its  customers  that  are
produced  in  its  own  facilities.  Seaboard  markets  the  pork
products  for  a  fee  primarily based  on  the  number  of  head
processed  by Triumph Foods and is entitled to be reimbursed  for
certain expenses.

Commodity Trading & Milling Division

Seaboard's  Commodity Trading & Milling Division  markets  wheat,
corn,  soybean meal, rice and other similar commodities  in  bulk
overseas  to  third  party  customers and  affiliated  companies.
These   commodities   are   purchased  worldwide   with   primary
destinations in Africa, South America, and the Caribbean.

The   division  sources,  transports  and  markets  approximately
five  million metric tons per year of wheat, corn, soybean  meal,
rice  and  other similar commodities to the food and animal  feed
industries.   The division efficiently provides quality  products
and   reliable  services  to  industrial  customers  in  selected
markets.  Seaboard integrates the delivery of commodities to  its
customers  primarily  through  the  use  of  company  owned   and
chartered bulk carriers.

Seaboard's  Commodity Trading and Milling Division has facilities
in  28 countries. The commodity trading business operates through
ten   offices   in  nine  countries  and  three  non-consolidated
affiliates  located  in  nine countries.   The  grain  processing
businesses operate facilities at 32 locations in 14 countries and
include   four   consolidated   and   fourteen   non-consolidated
affiliates  in  Africa, South America, and the Caribbean.   These
businesses  produce approximately three million  metric  tons  of
finished product per year.

<PAGE> 6

                     Division Summaries

Marine Division

Seaboard's   Marine  Division  provides  containerized   shipping
service  between  the  United States, the  Caribbean  Basin,  and
Central   and  South  America.   Seaboard's  primary  operations,
located   in  Miami,  include  a  135,000  square-foot   off-port
warehouse  for cargo consolidation and temporary storage  and  an
81  acre  terminal at the Port of Miami.  At the Port of Houston,
Seaboard operates a 62 acre cargo terminal facility that includes
approximately 690,000 square feet of on-dock warehouse space  for
temporary  storage  of bagged grains, resins and  other  cargoes.
Seaboard also makes scheduled vessel calls to Brooklyn, New York,
Fernandina Beach, Florida, New Orleans, Louisiana and 42  foreign
ports.

Seaboard's  marine fleet consists of 10 owned  and  29  chartered
vessels,  as well as dry, refrigerated and specialized containers
and other related equipment.  Seaboard is the largest shipper  in
terms  of  cargo volume to and from the Port of Miami.   Seaboard
Marine  provides direct service to 26 countries.   Seaboard  also
provides extended service from our domestic ports of call to  and
from   multiple  foreign  destinations  through  a   network   of
connecting  carrier  agreements with major  regional  and  global
carriers.

To maximize fleet utilization, Seaboard uses a network of offices
and  agents throughout the United States, Canada, Latin  America,
and  the  Caribbean Basin to book both northbound and  southbound
cargo to and from the United States and between the countries  it
serves.    Seaboard's   full   service  capabilities,   including
agreements with a network of connecting carriers, allow transport
by  truck or rail of import and export cargo to and from  various
U.S. ports.  Seaboard's frequent sailings and fixed-day schedules
make  it  convenient  for  customers to coordinate  manufacturing
schedules  and  maintain  inventories at  cost-efficient  levels.
Seaboard's approach is to work in partnership with its  customers
to  provide  the  most reliable and effective  level  of  service
throughout  the  United States, Latin America and  the  Caribbean
Basin and between the countries it serves.

Other Divisions

In  Argentina,  Seaboard grows sugar cane, produces  and  refines
sugar,  and  produces alcohol.  The sugar is  primarily  marketed
locally  with some exports to the United States and  other  South
American  countries.   Seaboard's mill, one  of  the  largest  in
Argentina,   has   a   processing   capacity   of   approximately
250,000 metric tons of sugar and approximately 14 million gallons
of  alcohol  (hydrated and dehydrated) per  year.   The  mill  is
located  in  the  Salta Province of Argentina with administrative
offices  in  Buenos Aires.  Approximately 60,000  acres  of  land
owned  by Seaboard in Argentina is planted with sugar cane, which
supplies  the majority of the raw product processed by the  mill.
Depending on local market conditions, sugar may also be purchased
from  third parties for resale.  During 2008 this division  began
construction of a 40 megawatt cogeneration power plant, which  is
expected  to  be  completed in the second quarter  of  2011.   In
addition,  in the first quarter of 2010, the Company began  sales
of   dehydrated  alcohol  to  certain  oil  companies  under  the
Argentine  government bio-ethanol program which requires  alcohol
to be blended with gasoline.

Seaboard  owns two floating electric power generating  facilities
in  the  Dominican  Republic, consisting of a  system  of  diesel
engines  mounted  on  barges with a combined  rated  capacity  of
approximately 112 megawatts.    Seaboard has an agreement to sell
these  electric  power  generating  facilities,  which  sale   is
anticipated  to be finalized during the second quarter  in  2011.
Seaboard is retaining all other physical properties of its  power
generation  business and is currently constructing a  replacement
power  generation facility with a rated capacity of 106 megawatts
for use in the Dominican Republic.  Operations are anticipated to
begin by the end of 2011 or early 2012.  Seaboard operates as  an
independent power producer generating electricity for  the  local
power   grid.    Seaboard  is  not  directly  involved   in   the
transmission  or  distribution  of  electricity  but  does   have
contracts to sell directly to third party users.

On  December 6, 2010,  Seaboard  purchased  a  50  percent   non-
controlling  voting interest in Butterball, LLC   ("Butterball").
Butterball  is  a vertically integrated producer,  processor  and
marketer  of  branded and non-branded turkeys, and  other  turkey
products.   Butterball has seven processing plants  and  numerous
live production and feed milling operations located  in Arkansas,
Colorado,  Kansas,  Missouri  and  North  Carolina.    Butterball
produces approximately 1 billion pounds of turkey each  year, and
supplies its products to more than 30 countries.  Butterball is a
national  supplier to retail and foodservice  outlets   and  also
exports products to Mexico and other countries.

Seaboard processes jalapeno  peppers  at  its  plant in Honduras.
These  products  are  shipped to the United States   on  Seaboard
Marine vessels and distributed from Seaboard's port facilities.

<PAGE> 7

                    Summary of Selected Financial Data

(Thousands of dollars except
 per share amounts)                       Years ended December 31,
                             2010       2009       2008       2007       2006

Net sales                $4,385,702 $3,601,308 $4,267,804 $3,213,301 $2,707,397

Operating income         $  321,066 $   23,723 $  121,809 $  169,915 $  296,995

Net earnings attributable
 to Seaboard             $  283,611 $   92,482 $  146,919 $  181,332 $  258,689

Basic earnings per common
 share                   $   231.69 $    74.74 $   118.19 $   144.15 $   205.09

Diluted earnings per
 common share            $   231.69 $    74.74 $   118.19 $   144.15 $   205.09

Total assets             $2,734,086 $2,337,133 $2,331,361 $2,093,699 $1,961,433

Long-term debt, less
 current maturities      $   91,407 $   76,532 $   78,560 $  125,532 $  137,817

Stockholders' equity     $1,778,249 $1,545,419 $1,463,578 $1,355,199 $1,242,410

Dividends per common
 share                   $     9.00 $     3.00 $     3.00 $     3.00 $     3.00

In  December 2010, Seaboard declared and paid a dividend of $6.75
per  share  on  the common stock.  The increased  amount  of  the
dividend  (which  has  historically been $0.75  per  share  on  a
quarterly   basis  or  $3.00  per  share  on  an  annual   basis)
represented  payment  of the regular fourth quarter  dividend  of
$0.75  per  share and a prepayment of the annual  2011  and  2012
dividends  ($3.00 per share per year).  Seaboard does not  intend
to declare any further dividends for the years 2011 and 2012.

Seaboard  Corporation, and affiliated companies in its  Commodity
Trading  and  Milling segment, resolved a dispute  with  a  third
party  related  to  a  2005 transaction.  As a  result,  Seaboard
Overseas Limited received $16,787,000, net of expenses, or $13.57
per  common share in the third quarter of 2009 included in  other
income.   There was no tax expense on this transaction. See  Note
11   to   the  Consolidated  Financial  Statements  for   further
discussion.

<PAGE> 8

                  Company Performance Graph

The  Securities  and  Exchange Commission  requires  a  five-year
comparison  of  stock performance for Seaboard with  that  of  an
appropriate broad equity market index and similar industry index.
Seaboard's  common stock is traded on the NYSE Amex Equities  and
provides   an   appropriate  comparison  for   Seaboard's   stock
performance.   Because  there  is no  single  industry  index  to
compare stock performance, the companies comprising the Dow Jones
Food  and  Marine  Transportation  Industry  indices  (the  "Peer
Group") were chosen as the second comparison.

The  following  graph shows a five-year comparison of  cumulative
total  return for Seaboard, the NYSE Amex Equities Index and  the
companies comprising the Dow Jones Food and Marine Transportation
Industry  indices weighted by market capitalization for the  five
fiscal  years  commencing December 31, 2005, and ending  December
31, 2010.  The information presented in the performance graph  is
historical  in  nature  and  is  not  intended  to  represent  or
guarantee future returns.

           COMPARISON OF 5 YEAR CUMULATIVE TOTAL RETURN*
Among Seaboard Corporation, the NYSE Amex Equities Composite Index
                        and a Peer Group

                The graph depicts data points below.

*$100 invested on 12/31/05 in stock or index, including
reinvestment of dividends.  Fiscal year ending December 31.


The comparison of cumulative total returns presented in the above
graph was plotted using the following index values and common
stock price values:

                      12/31/05  12/31/06  12/31/07  12/31/08 12/31/09  12/31/10

Seaboard Corporation   $100.00   $117.05   $ 97.64   $ 79.49  $ 90.05   $133.55
NYSE Amex Equities
 Composite             $100.00   $119.54   $144.62   $ 87.02  $118.50   $152.13
Peer Group             $100.00   $120.20   $131.33   $101.27  $121.20   $139.55

<PAGE> 9


                         Quarterly Financial Data (unaudited)

(UNAUDITED)
(Thousands of dollars except per share amounts)

                             1st        2nd        3rd        4th     Total for
                           Quarter    Quarter    Quarter    Quarter    the Year

2010

Net sales                $1,020,276 $1,048,463 $1,111,813 $1,205,150 $4,385,702

Operating income         $   67,466 $  101,247 $   41,642 $  110,711 $  321,066

Net earnings
 attributable to
 Seaboard                $   62,778 $   77,604 $   39,869 $  103,360 $  283,611

Earnings per common
 share                   $    50.84 $    63.21 $    32.74 $    85.01 $   231.69

Dividends per common
 share                   $     0.75 $     0.75 $     0.75 $     6.75 $     9.00

Closing market price range per common share:

                  High   $ 1,430.00 $ 1,610.00 $ 1,795.00 $ 2,006.00
                  Low    $ 1,195.00 $ 1,261.00 $ 1,387.05 $ 1,750.01
2009

Net sales                $  917,568 $  869,830 $  854,625 $  959,285 $3,601,308

Operating income (loss)  $   16,042 $    2,769 $   (2,679)$    7,591 $   23,723

Net earnings
 attributable to
 Seaboard                $   15,973 $   26,919 $   36,715 $   12,875 $   92,482

Earnings per common
 share                   $    12.89 $    21.76 $    29.69 $    10.41 $    74.74

Dividends per common
 share                   $     0.75 $     0.75 $     0.75 $     0.75 $     3.00

Closing market price range per common share:

                  High   $ 1,215.00 $ 1,285.00 $ 1,382.82 $ 1,549.00
                  Low    $   805.00 $   935.00 $ 1,040.00 $ 1,172.00

In  December 2010, Seaboard declared and paid a dividend of $6.75
per  share  on  the common stock.  The increased  amount  of  the
dividend  (which  has  historically been $0.75  per  share  on  a
quarterly   basis  or  $3.00  per  share  on  an  annual   basis)
represented  payment  of the regular fourth quarter  dividend  of
$0.75  per  share and a prepayment of the annual  2011  and  2012
dividends  ($3.00 per share per year).  Seaboard does not  intend
to declare any further dividends for the years 2011 and 2012.

During  2010,  Seaboard repurchased 5,452 common  shares  in  the
first quarter, 6,680 in the second quarter and 8,747 in the third
quarter, as authorized by Seaboard's Board of Directors.   During
the first and second quarters of 2009, Seaboard repurchased 3,233
and  435  common shares respectively, as authorized by Seaboard's
Board  of  Directors.  See Note 12 to the Consolidated  Financial
Statements for further discussion.

Seaboard  Corporation, and affiliated companies in its  Commodity
Trading  and  Milling segment, resolved a dispute  with  a  third
party  related  to  a  2005 transaction.  As a  result,  Seaboard
Overseas Limited received $16,787,000, net of expenses, or $13.57
per  common share in the third quarter of 2009 included in  other
income.   There was no tax expense on this transaction. See  Note
11   to   the  Consolidated  Financial  Statements  for   further
discussion.

<PAGE> 10

             Management's Discussion & Anaylsis

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS

OVERVIEW

Seaboard  is  a  diverse agribusiness and transportation  company
with  global operations in several industries.  Most of the sales
and costs of Seaboard's segments are significantly influenced  by
worldwide fluctuations in commodity prices and changes in foreign
political and economic conditions.  Accordingly, sales, operating
income  and cash flows can fluctuate significantly from  year  to
year.  As  each  segment  operates  in  distinct  industries  and
different  geographical  locations,  management  evaluates  their
operations separately.  Seaboard's reporting segments  are  based
on  information used by Seaboard's Chief Executive Officer in his
capacity   as   chief  operating  decision  maker  to   determine
allocation of resources and assess performance.

Pork Segment

The  Pork  segment  is primarily a domestic  business  with  some
export  sales  to  Japan,  Mexico,  and  other  foreign  markets.
Revenues  from the sale of pork products are primarily  generated
from  a  single  hog processing plant in Guymon, Oklahoma,  which
operates  at  daily  double shift processing capacity  of  19,400
hogs,  two  bacon further processing plants located in Salt  Lake
City, Utah and Missoula, Montana, and a ham-boning and processing
plant  in Mexico.  In 2010 Seaboard raised approximately  75%  of
the  hogs  processed at the Guymon plant with the  remaining  hog
requirements purchased primarily under contracts from independent
producers.   This  segment is Seaboard's most  capital  intensive
segment  with  approximately 55% of Seaboard's fixed  assets  and
material amounts of inventories.

Of  Seaboard's businesses, management believes the  Pork  segment
also  has  the greatest exposure to commodity price fluctuations.
As  a result, this segment's operating income and cash flows  can
materially  fluctuate from year to year, significantly  affecting
Seaboard's  consolidated operating income and cash flows.   Sales
prices  are  directly  affected by both  domestic  and  worldwide
supply  and  demand for pork products and other  proteins.   Feed
costs  are the most significant single component of the  cost  of
raising  hogs and can be materially affected by prices  for  corn
and  soybean meal.  In addition, costs can be materially affected
by  market  prices  for  hogs purchased from  third  parties  for
processing  at  the  plant.   As the  Guymon  plant  operates  at
capacity,  to  improve  operating income Seaboard  is  constantly
working  towards improving the efficiencies of the operations  as
well as considering ways to increase margins by expanding product
offerings.

The  Pork segment also produces biodiesel which is sold to  third
parties.   Biodiesel  is  produced from pork  fat  obtained  from
Seaboard's  pork processing plant and from animal  fat  purchased
from  third  parties.   The processing  plant  also  can  produce
biodiesel  from vegetable oil.  This plant was completed  in  the
second   quarter   of  2008.   During  2009  Seaboard   completed
construction  of  and  began operations at a majority-owned  ham-
boning and processing plant in Mexico.

The  Pork  segment  has  an  agreement  with  Triumph  Foods  LLC
(Triumph),  to  market  all  of the  pork  products  produced  at
Triumph's  plant  in  St.  Joseph, Missouri.   The  Pork  segment
markets  the related pork products for a fee primarily  based  on
the number of head processed by Triumph Foods.  This plant has  a
capacity  similar to that of Seaboard's Guymon plant and operates
upon   an   integrated  model  similar  to  that  of  Seaboard's.
Seaboard's sales prices for its pork products are primarily based
on  a margin sharing arrangement that considers the average sales
price  and mix of products sold from both Seaboard's and  Triumph
Food's hog processing plants.

Commodity Trading and Milling Segment

The Commodity Trading and Milling segment, which is managed under
the  name  of  Seaboard  Overseas and  Trading  Group,  primarily
operates  overseas  with  locations  in  Africa,  Bermuda,  South
America, the Caribbean and Europe.  These foreign operations  can
be  significantly  impacted by local crop  production,  political
instability,  local  government policies, economic  and  industry
conditions, and currency fluctuations.  This segment's sales  are
also  significantly  affected by fluctuating  prices  of  various
commodities,  such  as  wheat,  corn,  soybean  meal  and   rice.
Although this segment owns eight ships, the majority of the third
party  trading  business  is  transacted  with  chartered  ships.
Freight  rates,  influenced  by available  charter  capacity  for
worldwide  trade in bulk cargoes, and related fuel  costs  affect
business  volumes  and  margins.  The  milling  businesses,  both
consolidated and non-consolidated affiliates, operate in  foreign
and, in most cases, lesser developed countries.  Subsidized wheat
and  flour exports can create fluctuating market conditions  that
can  have  a  significant impact on both the trading and  milling
businesses' sales and operating income.

<PAGE> 11

The majority of the Commodity Trading and Milling segment's sales
pertain to the commodity trading business.  Grain is sourced from
multiple  origins  and  delivered to third  party  and  affiliate
customers  in various international locations.  The execution  of
these  purchase  and delivery transactions have  long  cycles  of
completion which may extend for several months with a high degree
of   price   volatility.   As  a  result,   these   factors   can
significantly  affect  sales volumes, operating  income,  working
capital and related cash flows from quarter-to-quarter.

Seaboard  invested in several entities during 2010 and  continues
to   seek   opportunities  to  expand  its  trading  and  milling
businesses.

Marine Segment

The Marine segment provides containerized cargo shipping services
primarily from the United States to 26 countries in the Caribbean
Basin,  Central and South America.  As a result, fluctuations  in
economic  conditions  or  unstable political  situations  in  the
regions or countries in which Seaboard operates can affect  trade
volumes and operating profits.  In addition, containerized  cargo
rates  can  fluctuate depending on local supply  and  demand  for
shipping  services.   This segment time-charters  or  leases  the
majority  of  its  ocean cargo vessels and is  thus  affected  by
fluctuations in charter hire rates as well as fuel costs.

Seaboard  continues  to  explore  ways  to  increase  volumes  on
existing routes while seeking opportunities to broaden its  route
structure in the regions it serves.

Sugar Segment

Seaboard's  Sugar segment operates a vertically integrated  sugar
production  facility  in  Argentina.  This  segment's  sales  and
operating   income  are  significantly  affected  by  local   and
worldwide sugar prices.  Yields from the Argentine sugar  harvest
can  have an impact on the local price of sugar.  Also, but to  a
lesser  degree, price fluctuations in the world market can affect
local   sugar  prices  and  export  sales  volumes  and   prices.
Depending  on  local  market conditions, this business  purchases
sugar  from  third  parties for resale.  Over  the  past  several
years,  Seaboard made numerous improvements to this  business  to
increase  the efficiency of its operations and expand  its  sugar
and  alcohol  production capabilities. In the  first  quarter  of
2010,  the  Company began sales of dehydrated alcohol to  certain
oil  companies under an Argentine government bio-ethanol program,
which mandates alcohol to be blended with gasoline.

The  functional  currency of the Sugar segment is  the  Argentine
peso.   The currency exchange rate can have an impact on reported
U.S.   dollar   sales,   operating   income   and   cash   flows.
Historically, the financing needs were relatively high  for  this
operation  as  a result of ongoing expansion of sugar  production
and  construction  of  a  40 megawatt cogeneration  power  plant.
However,  with  the  completion of the cogeneration  power  plant
anticipated  during the second quarter of 2011,  financing  needs
for  this  segment  should  be minimal.   Seaboard  continues  to
explore ways to improve and expand its existing operations  while
considering other alternatives to expand this segment.

Power Segment

Seaboard's  Power  segment  operates  as  an  independent   power
producer in the Dominican Republic (DR) generating power  from  a
system  of diesel engines mounted on two barges having a combined
rated  capacity of approximately 112 megawatts.  As discussed  in
Note  13  to  the Consolidated Financial Statements,  during  the
second  quarter  of  2011, it is anticipated that  Seaboard  will
complete  the sale of the two existing electric power  generating
facilities.   Seaboard is currently in process of constructing  a
replacement power generation facility capable of generating power
from liquid natural gas or diesel fuel which will be mounted on a
single barge and will have a rated capacity of approximately  106
megawatts.  It is anticipated the replacement power facility will
be  placed  in  service  by  the  end  of  2011  or  early  2012.
Development  of the replacement power facility is being  financed
with  a  $114,000,000 financing facility and Seaboard's available
cash or borrowing capacity.  During the past few years, operating
cash   flows   have   fluctuated   from   inconsistent   customer
collections.

The  DR  regulatory body schedules power production based on  the
amount  of funds available to pay for the power produced and  the
relative  costs of the power produced.  Fuel is the largest  cost
component,  but  increases  in fuel prices  generally  have  been
passed  on to customers.  In addition, from time to time Seaboard
pursues   additional  investment  opportunities  in   the   power
industry.

<PAGE> 12

Turkey Segment

On  December  6,  2010,  Seaboard purchased  a  50  percent  non-
controlling  voting  interest in Butterball, LLC  ("Butterball").
Butterball  is  a vertically integrated producer,  processor  and
marketer  of  branded and non-branded turkeys, and  other  turkey
products.   Butterball has seven processing plants  and  numerous
live  production and feed milling operations located in Arkansas,
Colorado, Kansas, Missouri and North Carolina.  Sales prices  are
directly  affected  by  both domestic and  worldwide  supply  and
demand  for turkey products and other proteins.  Feed  costs  are
the  most  significant single component of the  cost  of  raising
turkeys  and  can be materially affected by prices for  corn  and
soybean meal.  The turkey business is seasonal only on the  whole
bird  side  with Thanksgiving and Christmas holidays driving  the
majority  of  those sales.  As part of this investment,  Seaboard
provided   financing   to  Butterball  of   $100.0   million   in
subordinated debt with detachable warrants.  See Note  4  to  the
Consolidated Financial Statements for further discussion.

LIQUIDITY AND CAPITAL RESOURCES

Summary of Sources and Uses of Cash

Cash and short-term investments as of December 31, 2010 decreased
$95.9 million from December 31, 2009.  The decrease was primarily
the  result of investing $177.5 million for a 50% non-controlling
voting  interest  in  Butterball plus  $100.0  million  financing
provided  to Butterball in subordinated debt.  Also during  2010,
cash  was  used  for  capital  expenditures  of  $103.3  million,
investments   in   four  new  non-consolidated   affiliates   and
acquisitions of a business of $33.3 million, as discussed  below,
repurchases  of common stock in the amount of $30.0  million  and
dividends  paid  of  $11.0  million.   Partially  offsetting  the
decrease  was  cash generated by operating activities  of  $339.8
million.  Cash from operating activities for 2010 increased $93.5
million  compared to 2009, primarily as a result  of  higher  net
earnings  in 2010 compared to 2009, partially offset by  a  prior
year increase in net working capital that did not repeat in 2010.

Cash and short-term investments as of December 31, 2009 increased
$95.9  million  from  December 31, 2008.  The  increase  was  the
result  of  cash  generated  by operating  activities  of  $246.4
million, $16.8 million received from a gain on a disputed sale as
discussed in Note 11 to the Consolidated Financial Statements and
$15.0 million received for the potential sale of power barges, as
discussed  in  Note 13 to the Consolidated Financial  Statements.
During  2009,  cash  was used to reduce notes  payable  by  $95.1
million,  to  reduce  long-term debt by  $46.9  million  and  for
capital  expenditures  of  $54.3 million.   Cash  from  operating
activities  for 2009 increased $135.1 million compared  to  2008,
primarily  as a result of decreases in working capital  items  of
accounts  receivable and inventory in 2009 compared to  increases
in  2008, partially offset by lower net earnings in 2009 compared
to 2008.

Capital Expenditures, Acquisitions and Other Investing Activities

During 2010, Seaboard invested $103.3 million in property,  plant
and  equipment, of which $9.6 million was expended  in  the  Pork
segment,  $28.4 million in the Marine segment, $30.6  million  in
the  Sugar segment, $31.7 million in the Power segment  and  $3.0
million  in the remaining businesses.  For the Pork segment,  the
expenditures   were  primarily  for  improvements   to   existing
facilities and related equipment.  For the Marine segment,  $23.5
million  was  spent  to  purchase  cargo  carrying  and  handling
equipment.   In the Sugar segment, the capital expenditures  were
primarily  used for construction of the cogeneration power  plant
with  the  remaining capital expenditures for normal upgrades  to
existing  operations.  For the Power segment,  expenditures  were
primarily  used  for  the construction of a  106  megawatt  power
generation facility for use in the Dominican Republic.  The total
cost  of  this  project  is estimated to be approximately  $125.0
million.  Operations are anticipated to begin by the end of  2011
or  early 2012.  All other capital expenditures were primarily of
a  normal recurring nature and primarily included replacement  of
machinery and equipment, and general facility modernizations  and
upgrades.

The  total  2011  capital expenditures budget is $211.2  million.
The  Pork  segment  plans to spend $33.5  million  primarily  for
additional  finishing barns and, to a lesser degree, improvements
to existing facilities and related equipment.  The Marine segment
has  budgeted  to  spend $51.4 million primarily  for  additional
cargo  carrying  and  handling  equipment  and  port  development
projects.  In addition, management will be evaluating whether  to
purchase  additional containerized cargo vessels for  the  Marine
segment  and  dry  bulk  vessels for the  Commodity  Trading  and
Milling  segment during 2011.  The Sugar segment plans  to  spend
$18.3 million, including $2.1 million for the completion of a  40
megawatt cogeneration power plant, with the remaining amount  for
normal  upgrades to existing operations.  The cogeneration  power
plant  is  expected to be operational by the end  of  the  second
quarter of 2011 at a total completed cost of approximately  $50.0
million.   The  Power  segment  plans  to  spend  $87.4   million
primarily  for the new power barge being constructed as discussed
above.   The balance of $20.6 million is planned to be  spent  in

<PAGE> 13

all  other  businesses.  Management anticipates paying for  these
capital  expenditures from available cash, the use  of  available
short-term   investments   or  Seaboard's   available   borrowing
capacity.   As  of December 31, 2010 Seaboard had commitments  of
$100.4  million  to  spend  on  construction  projects,  purchase
equipment, and make facility improvements.

During  2009  Seaboard invested $54.3 million in property,  plant
and  equipment, of which $15.2 million was expended in  the  Pork
segment,  $14.7 million in the Marine segment, $21.6  million  in
the  Sugar  segment and $2.8 million in the remaining businesses.
For  the  Pork  segment,  the  expenditures  were  primarily  for
improvements to existing hog facilities, upgrades to  the  Guymon
pork  processing  plant and construction of  the  ham-boning  and
processing plant in Mexico.  The ham-boning and processing  plant
was  completed  in the second quarter of 2009.   For  the  Marine
segment,  $10.3 million was spent to purchase cargo carrying  and
handling equipment.  In the Sugar segment, $13.8 million was used
for   development  of  the  cogeneration  power  plant  with  the
remaining capital expenditures primarily being used for expansion
of  cane growing operations. All other capital expenditures  were
primarily  of  a  normal recurring nature and primarily  included
replacement  of  machinery and equipment,  and  general  facility
modernizations and upgrades.

During  2008 Seaboard invested $134.6 million in property,  plant
and  equipment, of which $52.6 million was expended in  the  Pork
segment,  $46.3 million in the Marine segment, $31.0  million  in
the  Sugar  segment and $4.7 million in the remaining businesses.
For  the  Pork  segment,  $12.8 million  was  spent  constructing
additional  hog finishing space, $9.3 million was  spent  on  the
construction of a biodiesel plant and $8.2 million was  spent  on
the  ham-boning  and processing plant.  For the  Marine  segment,
$36.5  million was spent to purchase cargo carrying and  handling
equipment.   In  the Sugar segment, $10.4 million  was  used  for
development  of the cogeneration power plant with  the  remaining
capital  expenditures  being  used  primarily  for  expansion  of
alcohol  distillery  operations and  expansion  of  cane  growing
operations.  All other capital expenditures were primarily  of  a
normal  recurring  nature and primarily included  replacement  of
machinery and equipment, and general facility modernizations  and
upgrades.

On  December  6,  2010,  Seaboard  acquired  a  50  percent  non-
controlling  voting interest in Butterball for  a  cash  purchase
price  of  $177.5  million.  In connection with this  investment,
Seaboard  provided to Butterball $100.0 million  of  subordinated
financing.    See Note 4 to the Consolidated Financial Statements
for further discussion of this transaction.

During  the fourth quarter of 2010, Seaboard acquired a 25%  non-
controlling interest in a commodity trading business in Australia
for  $5.0  million.   Also  during the fourth  quarter  of  2010,
Seaboard  invested  $10.5  million in a  newly  combined  poultry
business in Africa for a 50% non-controlling interest.

During  the  third quarter of 2010, Seaboard acquired a  majority
interest  in  a  commodity origination,  storage  and  processing
business  in  Canada for approximately $6.7 million,  subject  to
final  working capital adjustments.  The assets acquired included
cash  of  $1.2 million.  Also during the third quarter  of  2010,
Seaboard finalized an agreement to invest in a bakery to be built
in  Central  Africa for a 50% non-controlling  interest  in  this
business.    As of December 31, 2010, Seaboard had invested $10.1
million in this project.  The total project cost is estimated  to
be $58.0 million but Seaboard's total investment has not yet been
determined   pending  finalization  of  third   party   financing
alternatives  for a portion of the project.  The  bakery  is  not
anticipated  to  be fully operational until the  second  half  of
2011.

In  late  March  2010,  Seaboard acquired a  50%  non-controlling
interest  in an international commodity trading business  located
in North Carolina for approximately $7.7 million.

See  Note 4 to the Consolidated Financial Statements for  further
discussion of these non-controlling interest investments made  in
2010.

During  2010,  Seaboard  agreed  to  invest  in  various  limited
partnerships  as  a  limited partner that are expected  to  allow
Seaboard to obtain certain low income housing tax credits over  a
period  of  approximately  ten years.  The  total  commitment  is
approximately $17.5 million and the majority of the investment is
expected to be made during late 2011 and 2012.

On  March  2,  2009,  an agreement became effective  under  which
Seaboard  will  sell its two power generating facilities  in  the
Dominican  Republic for $70.0 million.  During March 2009,  $15.0
million was paid to Seaboard and the $55.0 million balance of the
purchase  price was paid into escrow and will be paid to Seaboard
at  the  closing of the sale

<PAGE> 14

anticipated to be during the  second quarter.   See   Note 13  to
the Consolidated Financial  Statements for further discussion.

Financing Activities, Debt and Related Covenants

The  following table represents a summary of Seaboard's available
borrowing  capacity  as of December 31, 2010.   At  December  31,
2010,  there  were no borrowings outstanding under the  committed
lines  of  credit and borrowings under the uncommitted  lines  of
credit   totaled   $33.7   million,  all   related   to   foreign
subsidiaries.   Letters  of credit reduced  Seaboard's  borrowing
capacity  under  its committed and uncommitted  credit  lines  by
$42.6   million   and   $8.1  million,  respectively,   primarily
representing $26.4 million for Seaboard's outstanding  Industrial
Development Revenue Bonds and $20.2 million related to  insurance
coverage.   Also included in notes payable at December  31,  2010
was a term note of $45.0 million denominated in U.S. dollars.

                                                       Total amount
(Thousands of dollars)                                  available

Long-term credit facilities - committed                   $300,000

Short-term uncommitted demand notes                        164,479

Uncommitted term note                                       45,000

Total borrowing capacity                                   509,479

Amounts drawn against lines                                (33,729)

Uncommitted term note                                      (45,000)

Letters of credit reducing borrowing availability          (50,714)

Available borrowing capacity at December 31, 2010         $380,036

On  September 17, 2010, Seaboard entered into a credit  agreement
for $114.0 million at a fixed rate of 5.34% for the financing  of
the  construction  of  a replacement power  generation  facility,
which  will operate in the Dominican Republic as discussed above.
This  credit  facility  has a term of ten years  commencing  upon
achievement  of  commercial operation which is expected  to  take
place  prior to April 24, 2012.  The credit facility will  mature
no  later  than  April  24,  2022 and is  secured  by  the  power
generating  facility.  At December 31, 2010,  $16.4  million  had
been borrowed from this credit facility.

Seaboard  has capacity under existing loan covenants to undertake
additional debt financings of approximately $1,681.7 million.  As
of  December  31,  2010,  Seaboard  is  in  compliance  with  all
restrictive covenants related to these loans and facilities.  See
Note 8 to the Consolidated Financial Statements for a summary  of
the  material  terms  of Seaboard's credit facilities,  including
financial ratios and covenants.

Scheduled  long-term  debt maturities  are  $1.7  million,  $34.2
million  and  $2.2  million over the next  three  years.   As  of
December  31, 2010, Seaboard has cash and short-term  investments
of $373.3 million, total working capital of $847.2 million and  a
$300.0  million  line  of  credit  maturing  on  July  10,  2013.
Accordingly,   management  believes  Seaboard's  combination   of
internally  generated  cash,  liquidity,  capital  resources  and
borrowing   capabilities  will  be  adequate  for  its   existing
operations  and  any  currently  known  plans  for  expansion  of
existing  operations or business segments for  2011.   Management
does,  however,  periodically  review  various  alternatives  for
future  financing  to  provide additional  liquidity  for  future
operating   plans.    Management  intends  to  continue   seeking
opportunities  for expansion in the industries in which  Seaboard
operates,   utilizing  existing  liquidity,  available  borrowing
capacity and other financing alternatives.

In  December 2010, Seaboard declared and paid a dividend of $6.75
per  share  on  the common stock.  The increased  amount  of  the
dividend  (which  has  historically been $0.75  per  share  on  a
quarterly   basis  or  $3.00  per  share  on  an  annual   basis)
represented  payment  of the regular fourth quarter  dividend  of
$0.75  per  share and a prepayment of the annual  2011  and  2012
dividends  ($3.00 per share per year).  Seaboard does not  intend
to declare any further dividends for the years 2011 and 2012.

On November 6, 2009, the Board of Directors authorized up to $100
million  for a new share repurchase program.  The previous  share
repurchase program approved by the Board of Directors  on  August
7,  2007,  ended  on  August 31, 2009.   Seaboard  used  cash  to
repurchase  20,879 shares of common stock at  a  total  price  of
$30.0  million in 2010,

<PAGE> 15

3,668 shares of common stock at  a total price of $3.4 million in
2009 and 3,852 shares of common stock at a  total  price  of $5.0
million in 2008.  See  Note  12  to  the Consolidated   Financial
Statements for further discussion.

Contractual Obligations and Off-Balance-Sheet Arrangements

The  following table provides a summary of Seaboard's contractual
cash obligations as of December 31, 2010.

                                                 Payments due by period
                                             Less than   1-3     3-5  More than
(Thousands of dollars)                Total   1  year   years   years   5 years

Vessel time and voyage-charter
 commitments                      $  220,889 $ 68,911 $ 59,664 $23,569 $ 68,745

Contract grower finishing
 agreements                           73,993   11,473   20,082  17,661   24,777

Other operating lease payments       273,097   17,572   29,444  25,894  200,187

Total lease obligations              567,979   97,956  109,190  67,124  293,709

Long-term debt                        93,104    1,697   36,373  11,223   43,811

Short-term notes payable              78,729   78,729        -       -        -

Other purchase commitments           782,153  689,818   86,970   5,170      195

Total contractual cash
 obligations and commitments      $1,521,965 $868,200 $232,533 $83,517 $337,715

The  Marine segment enters into contracts to time-charter vessels
for use in its operations.  To support the operations of the Pork
segment,  Seaboard  has contract grower finishing  agreements  in
place  with  farmers  to  raise  a portion  of  Seaboard's  hogs.
Seaboard  has  entered  into grain and feed  ingredient  purchase
contracts to support the live hog operations of the Pork  segment
and has contracted for the purchase of additional hogs from third
parties.   The Commodity Trading and Milling segment enters  into
commodity   purchase  contracts  and  ocean  freight   contracts,
primarily  to  support sales commitments.  Seaboard  also  leases
various  facilities  and equipment under noncancelable  operating
lease  agreements.   See  Note 11 to the  Consolidated  Financial
Statements  for  a  further discussion and for  a  more  detailed
listing of other purchase commitments.

Seaboard  has also issued $1.4 million of guarantees  to  support
certain  activities  of  non-consolidated  affiliates  and  third
parties  who provide services for Seaboard.  See Note 11  to  the
Consolidated Financial Statements for a detailed discussion.

RESULTS OF OPERATIONS

Net  sales for the years ended December 31, 2010, 2009  and  2008
were  $4,385.7  million, $3,601.3 million and  $4,267.8  million,
respectively.   The  increase  in net  sales  in  2010  primarily
reflected an increase in sale prices for pork products, increased
commodities  trading  volumes and higher cargo  volumes  for  the
Marine  segment.  The decrease in net sales in 2009 was primarily
the  result  of  price  decreases for  commodities  sold  by  the
commodity  trading business, lower cargo volumes for  the  Marine
segment  and, to a lesser extent, a decrease in sales prices  for
pork products.  Partially offsetting the decreases were increased
commodities trading volumes to non-consolidated affiliates.

Operating income for the years ended December 31, 2010, 2009  and
2008  were  $321.1  million, $23.7 million  and  $121.8  million,
respectively.  The 2010 increase primarily reflected higher  Pork
segment  margins and, to a lesser extent, increased  margins  for
the Sugar segment and the Marine segment as discussed below.  The
2009   decrease  compared  to  2008  primarily  reflected   lower
commodity trading and Marine segment margins and a $32.6  million
fluctuation  of marking to market Commodity Trading  and  Milling
derivative  contracts,  respectively, as  discussed  below.   The
decrease  was partially offset by higher margins on pork products
sold primarily from lower feed costs.

<PAGE> 16

Pork Segment

(Dollars in millions)              2010         2009        2008

Net sales                       $ 1,388.3    $ 1,065.3   $ 1,126.0
Operating income (loss)         $   213.3    $   (15.0)  $   (45.9)

Net  sales of the Pork segment increased $323.0 million  for  the
year  ended  December 31, 2010 compared to  2009.   The  increase
primarily reflected an increase in overall sales prices for  pork
products.

Operating  income  increased $228.3 million for  the  year  ended
December 31, 2010 compared with 2009.  The increase was primarily
a result of higher sales prices, partially offset by higher costs
for hogs purchased from third parties.

Management  is  unable to predict future market prices  for  pork
products  or  the  cost  of feed and hogs  purchased  from  third
parties.   Recent increases in corn prices, the primary  cost  of
feed,  could result in higher overall live production  costs  for
2011.  Management anticipates positive operating income for  2011
although  at lower levels than 2010.  As discussed in Note  5  to
the  Consolidated  Financial Statements, there is  a  possibility
that  some  amount  of the ham-boning plant in  Mexico  could  be
deemed impaired during some future period including fiscal  2011,
which  may  result in a charge to earnings if current projections
are not met.

Net  sales  of the Pork segment decreased $60.7 million  for  the
year ended December 31, 2009 compared to 2008.  The decrease  was
primarily  the result of a decrease in overall sales  prices  for
pork  products,  partially  offset  by  higher  volumes  of  pork
products  sold for export.  Increased volumes were made  possible
by the expansion in daily capacity at the Guymon processing plant
during  the  first quarter of 2008.  The lower sales  prices  for
pork products appear to be the result of an excess supply of pork
products in the domestic market, the world economic challenges as
well as the impacts of H1N1 flu related concerns.  In April 2009,
reports  of  a  new  flu strain believed to originate  in  Mexico
rapidly  received wide-spread public attention.  In  response  to
initial  reports referring to this strain as "swine flu", certain
countries  banned  U.S. pork exports and  this  segment  noted  a
decrease in overall market prices for its pork products.  By year-
end, several foreign markets lifted their bans on imports of U.S.
pork products and prices began to improve slightly.

Operating  loss  decreased  $30.9  million  for  the  year  ended
December  31,  2009  compared with  2008.   The  improvement  was
primarily  a  result of cost decreases more than  offsetting  the
sales  price  decreases  discussed  above.   The  cost  decreases
primarily  were  related  to lower feed costs  (principally  from
lower  corn  prices),  the impact of using the  LIFO  method  for
determining  certain inventory costs, and lower  costs  of  third
party hogs.  LIFO increased operating results by $17.9 million in
2009 compared to a decrease of $17.2 million in 2008 primarily as
a  result of lower costs to purchase corn and soybean meal during
2009.   Also, in 2008 Seaboard incurred an impairment  charge  of
$7.0 million.

Commodity Trading and Milling Segment

(Dollars in millions)                  2010        2009        2008

Net sales                          $  1,808.9  $  1,531.6  $  1,897.4
Operating income as reported       $     34.4  $     24.8  $     96.5
  Less mark-to-market adjustments        17.2        14.5       (18.1)
     Operating income excluding
     mark-to-market adjustments    $     51.6  $     39.3  $     78.4
Income from affiliates             $     21.0  $     19.1  $     12.6

Net  sales of the Commodity Trading and Milling segment increased
$277.3  million for the year ended December 31, 2010 compared  to
2009.   The increase is primarily the result of increased volumes
of  commodities sold to third parties, principally corn,  soybean
meal and soybeans, and, to a lesser extent, increased prices  for
wheat  and  corn  during the fourth quarter of  2010.   Partially
offsetting  this  increase was a decrease  in  commodity  trading
volumes  to non-consolidated affiliates.  As worldwide  commodity
price  fluctuations cannot be predicted, management is unable  to
predict the level of future sales.

Operating  income  increased $9.6 million for  2010  compared  to
2009.   The  increase primarily reflects the write-down  of  $8.8
million in the first quarter of 2009 of certain grain inventories
for  customer  contract performance issues and related  lower  of
cost or market adjustments, as discussed further in Note 3 to the
Consolidated  Financial Statements.

<PAGE> 17

Also, the increase  reflects the  $2.7  million  fluctuation   of
marking to market the derivative contracts, as discussed below.

Due  to  the uncertain political and economic conditions  in  the
countries  in which Seaboard operates and the current  volatility
in  the commodity markets, management is unable to predict future
sales  and  operating  results.  However, management  anticipates
positive operating income for this segment in 2011, excluding the
potential effects of marking to market derivative contracts.

If  Seaboard  had  not applied mark-to-market accounting  to  its
derivative instruments, operating income for this segment in 2010
and  2009  would  have  been higher by $17.2  million  and  $14.5
million,  respectively and 2008 would have been  lower  by  $18.1
million.   While  management believes its commodity  futures  and
options  and  foreign exchange contracts are  primarily  economic
hedges  of  its firm purchase and sales contracts or  anticipated
sales  contracts, Seaboard does not perform the extensive record-
keeping  required to account for these types of  transactions  as
hedges  for accounting purposes.  Accordingly, while the  changes
in value of the derivative instruments were marked to market, the
changes in value of the firm purchase or sale contracts were not.
As  products are delivered to customers, these existing  mark-to-
market adjustments should be primarily offset by realized margins
or losses as revenue is recognized and thus, these mark-to-market
adjustments  should reverse in fiscal 2011.  Management  believes
eliminating  these  adjustments, as noted  in  the  table  above,
provides  a more reasonable presentation to compare and  evaluate
period-to-period financial results for this segment.

Income  from  affiliates  for the year ended  December  31,  2010
increased  $1.9  million  from 2009  primarily  as  a  result  of
favorable market conditions for certain affiliates.  Based on the
uncertainty  of  local political and economic situations  in  the
countries  in  which the flour and feed mills and  other  related
businesses operate, management cannot predict future results.

Net  sales of the Commodity Trading and Milling segment decreased
$365.8  million for the year ended December 31, 2009 compared  to
2008.   The  decrease was primarily the result of price decreases
for   commodities   sold  by  the  commodity  trading   business,
especially  for  wheat, partially offset by  increased  commodity
trading volumes to non-consolidated affiliates.

Operating  income  decreased $71.7 million for 2009  compared  to
2008.   The  decrease primarily reflected certain long  inventory
positions,  especially  wheat, taken by Seaboard  which  provided
higher  than average commodity trading margins during  the  first
six   months   of   2008  as  the  price  of  these   commodities
significantly increased to historic highs at the time of sale  in
2008.   In  addition,  the  decrease  includes  a  $32.6  million
fluctuation  of  marking  to market the derivative  contracts  as
discussed  below.  Operating income was also impacted by  certain
grain inventory related write-downs in 2009 and 2008 as discussed
in Note 3 to the Consolidated Financial Statements.

Income  from  affiliates  for the year ended  December  31,  2009
increased  $6.5  million  from 2008  primarily  as  a  result  of
favorable market conditions for certain affiliates.  The increase
was  also  the  result of one of the entities  discontinuing  its
operations  by selling its trade name and certain  assets  to  an
entity in exchange for a minority ownership in such entity and  a
separate  sale of land and building to a third party.  Seaboard's
proportionate   share   of  these  two  transactions   represents
approximately  $2.3  million of the income  from  affiliates  for
2009.   See  Note 4 to the Consolidated Financial Statements  for
further discussion.

Marine Segment

(Dollars in millions)              2010       2009       2008

Net sales                       $  853.6   $  737.6   $  958.0
Operating income                $   47.6   $   24.1   $   62.4

Net  sales of the Marine segment increased $116.0 million for the
year  ended  December 31, 2010, compared to 2009 primarily  as  a
result of higher cargo volumes in most markets served during 2010
as  economic  activity  increased.   The  growth  in  volume  was
partially  offset by overall lower cargo rates in 2010  as  cargo
rates  in  the first quarter of 2009 had just started to  decline
from the impacts of the slow economic conditions and continued to
decline  for  most of 2009.  Overall, cargo rates  have  remained
fairly  constant  during 2010 but increased slightly  during  the
second half of 2010 compared to the same period in 2009.

<PAGE> 18

Operating  income  increased by $23.5 million compared  to  2009.
The  increase  was  primarily the result of  cost  decreases  for
charterhire and, to a lesser extent, certain terminal  and  other
operating   costs  on  a  per  unit  shipped  basis.    Partially
offsetting  the  increase were lower cargo  rates,  as  discussed
above,  and higher fuel costs for vessels and increased  trucking
costs  on  a  per unit shipped basis.  Management cannot  predict
changes in future cargo volumes and cargo rates or to what extent
changes in economic conditions in markets served will affect  net
sales  or  operating  income  during  2011,  however,  management
anticipates positive operating income for this segment in 2011.

Net  sales of the Marine segment decreased $220.4 million for the
year  ended  December 31, 2009, compared to 2008 primarily  as  a
result  of  economic declines in most markets served by  Seaboard
resulting  in lower cargo volumes and, to a lesser extent,  lower
cargo rates especially during the last half of 2009.

Operating  income  decreased by $38.3 million compared  to  2008.
The  decrease  was  primarily  the  result  of  lower  rates,  as
discussed  above,  not  being offset by comparable  decreases  in
certain  costs,  such  as port costs and  stevedoring.   However,
significant  decreases  did  occur  related  to  fuel  costs  for
vessels, charterhire and trucking expenses on a per unit  shipped
basis.

Sugar Segment

(Dollars in millions)                2010       2009       2008

Net sales                         $  196.0   $  143.0   $  142.1
Operating income (loss)           $   31.7   $   (0.9)  $    3.7
Income from affiliates            $    1.0   $    1.0   $    0.5

Net  sales of the Sugar segment increased $53.0 million  for  the
year  ended  December 31, 2010 compared to  2009.   The  increase
primarily  reflects increased domestic sugar and  alcohol  prices
and,  to  a  lesser extent, increased alcohol volumes,  partially
offset  by  lower  sugar volumes produced and sold.   During  the
first quarter of 2010, Seaboard began sales of dehydrated alcohol
under the Argentine government bio-ethanol program which requires
alcohol  to  be  blended  with gasoline.  Argentine  governmental
authorities continue to attempt to control inflation by  limiting
the  price  increases of basic commodities and  related  exports,
including  certain  sugar  products  produced  by  this  segment.
Accordingly,  management cannot predict sugar  prices  for  2011.
Management anticipates the cogeneration power plant, discussed in
capital  expenditures  above, will begin  operations  during  the
second quarter of 2011.

Operating income increased $32.6 million during 2010 compared  to
2009.  The increase primarily represents higher margins from  the
increase  in alcohol and sugar prices discussed above and,  to  a
lesser  extent,  increased  alcohol volumes.   In  addition,  the
increase  reflected  a $5.3 million charge to  earnings  in  2009
related  to the write-down of citrus inventories, the integration
and  transformation of land previously used for citrus production
into sugar cane production and related costs as discussed in Note
13  to  the Consolidated Financial Statements which did not occur
in  2010.   Management anticipates positive operating income  for
this segment in 2011.

Net  sales  of the Sugar segment increased $0.9 million  for  the
year  ended December 31, 2009 compared to 2008.  The increase  is
primarily  the result of increased volumes produced and  sold  in
the  export  markets  partially offset by  lower  domestic  sugar
prices  and the elimination of the citrus operations.   Argentine
governmental authorities continue to attempt to control inflation
by limiting the price of basic commodities, including sugar.

Operating  income decreased $4.6 million during 2009 compared  to
2008 primarily as a result of lower margins on alcohol sales from
lower  sales prices and lower margins from the citrus operations.
Although  the  citrus operations had negative margins  for  2008,
during  2009  the negative margins were slightly higher  as  this
segment  recorded  a $5.3 million charge to earnings  during  the
first  and  second quarters of 2009 related to the write-down  of
citrus  inventories, the integration and transformation  of  land
previously  used for citrus production into sugar cane production
and  related  costs as discussed in Note 13 to  the  Consolidated
Financial Statements.  The decrease also reflects higher  selling
and administrative costs in 2009.

<PAGE> 19


Power Segment

(Dollars in millions)              2010       2009       2008

Net sales                       $  124.0   $  107.1   $  129.4
Operating income                $   13.4   $    8.2   $    7.8

Net  sales of the Power segment increased $16.9 million for  2010
compared  to  2009  primarily reflecting higher rates,  partially
offset  by  lower  production  levels.   The  higher  rates  were
attributable  primarily  to higher fuel  costs,  a  component  of
pricing,  especially during the first half of  2010.    Operating
income  increased  $5.2  million during  2010  compared  to  2009
primarily  as a result of higher rates being in excess of  higher
fuel  costs, partially offset by lower production levels.   There
was  no  depreciation  expense in  2010  related  to  the  assets
classified as held for sale although this was principally  offset
by increases in certain other production costs.

See   Note  13  to  the  Consolidated  Financial  Statements  for
discussion  of  the pending sale of the two existing  barges  and
construction  of  a  new replacement power  generating  facility.
Upon  finalization  of  the sale, which is anticipated  to  occur
during  the second quarter of 2011, a gain on sale of  assets  of
approximately  $50.0  million will  be  recognized  in  operating
income.   As  a  result of these transactions,  after  the  first
quarter,  sales will be significantly lower for the remainder  of
2011  as a result of the limited operations during the period  of
time  between  the sale of the existing barges is completed,  and
the start-up of the new barge, anticipated by the end of 2011  or
early  2012.  Management cannot predict future fuel costs or  the
extent  to  which rates will fluctuate compared  to  fuel  costs,
although  management  anticipates positive operating  income  for
this  segment  in 2011.  However, after the first half  of  2011,
operating  income will be lower than 2010 as a  result  of  lower
sales discussed above.

Net  sales for the Power segment decreased $22.3 million for 2009
compared  to  2008 primarily reflecting lower rates.   The  lower
rates  were  attributable  primarily  to  lower  fuel  costs,   a
component  of  pricing.  Operating income increased $0.4  million
during  2009  compared to 2008 primarily as  a  result  of  lower
production costs partially offset by higher administrative costs.

Selling, General and Administrative Expenses

Selling, general and administrative (SG&A) expenses for the  year
ended  December 31, 2010 increased by $11.0 million over 2009  to
$204.9  million.   This increase was primarily due  to  increased
personnel costs in most segments and, to a lesser extent, project
development  costs including the Butterball transaction.    As  a
percentage of revenues, SG&A decreased to 4.7% for 2010  compared
to  5.4% for 2009 primarily as a result of increased sales in the
Pork and Commodity Trading and Milling segments.

SG&A  expenses for the year ended December 31, 2009 increased  by
$18.0  million  over 2008 to $193.9 million.  This  increase  was
primarily  due to increased personnel costs, including  increased
costs  of $13.9 million, included in Corporate expenses,  related
to Seaboard's deferred compensation programs (which are offset by
the  effect of the mark-to-market investments recorded  in  other
investment   income  discussed  below).    As  a  percentage   of
revenues,  SG&A increased to 5.4% for 2009 compared to  4.1%  for
2008  primarily as a result of decreased sales in  the  Commodity
Trading and Milling and Marine segments.

Interest Expense

Interest  expense totaled $5.6 million, $13.2 million  and  $15.4
million  for  the years ended December 31, 2010, 2009  and  2008,
respectively.   Interest expense decreased for 2010  compared  to
2009,  primarily as a result of a lower average  level  of  total
borrowings outstanding during 2010 and, to a lesser extent, lower
average  interest  rates on total borrowings  outstanding  during
2010.   In addition, interest expense decreased for 2010 compared
to 2009 as a result of more capitalized interest in 2010 compared
to  2009.  Interest expense capitalized in 2010 was $3.4  million
compared to $0.7 million in 2009, Interest expense decreased  for
2009  compared to 2008, primarily as a result of a lower  average
level  of  total  borrowings outstanding  during  2009  partially
offset  by higher average interest rates on short-term borrowings
outstanding.

Interest Income

Interest  income totaled $12.6 million, $17.3 million  and  $14.9
million  for  the years ended December 31, 2010, 2009  and  2008,
respectively.   The decrease for 2010 primarily  reflected  lower
average  interest rate on funds invested.  The increase for  2009
primarily reflected an increase in average funds invested.

<PAGE> 20

Other Investment Income, Net

Other investment income, net totaled $14.1 million, $15.5 million
and  $7.5 million for the years ended December 31, 2010, 2009 and
2008,  respectively.  Other investment income for 2010  primarily
reflected  realized  gains  on  short-term  investments  of  $6.6
million,  a gain of $4.2 million in the mark-to-market  value  of
Seaboard's  investments  related  to  the  deferred  compensation
programs and $2.2 million in syndication fees recognized from the
Butterball transaction as discussed in Note 4 to the Consolidated
Financial Statements.  Other investment income for 2009 primarily
reflected income of $6.0 million in the Power segment related  to
the  settlement  of  a receivable, not directly  related  to  its
business  and purchased at a discount, gains of $4.3  million  in
the mark-to-market value of Seaboard's investments related to the
deferred compensation programs and gains of $2.8 million on  debt
trading securities.

Foreign Currency Gains (Losses)

Foreign  currency  gains  (losses)  totaled  $1.3  million,  $2.4
million  and  $(19.7) million for the years  ended  December  31,
2010,  2009  and  2008, respectively.  The fluctuation  for  2009
compared to 2008 primarily related to the unusually high currency
losses  incurred  during the fourth quarter  of  2008,  as  noted
below,  from the global liquidity crisis occurring at  that  time
which  did  not occur during 2009.   In addition, the  2008  loss
includes  currency losses related to the yen based  borrowing  by
the Sugar segment, principally during the fourth quarter of 2008.
A  significant  portion of this currency loss  was  offset  by  a
currency  gain  on the underlying debt, which was recorded  in  a
cumulative  translation  adjustment  account  in  equity  as   of
December 31, 2008.

Although   Seaboard  does  not  utilize  hedge  accounting,   the
commodity trading business does utilize foreign currency exchange
contracts  to  manage its risks and exposure to foreign  currency
fluctuations primarily related to the South African Rand and  the
Euro  Zone  euro.   Management believes these gains  and  losses,
including  the mark-to-market effects, of these foreign  currency
contracts  relate  to the underlying commodity  transactions  and
classifies  such  gains and losses in cost of  sales.    Seaboard
operates  in  many  developing  countries.   The  political   and
economic conditions of these markets, along with fluctuations  in
the  value  of  the  U.S.  dollar, cause volatility  in  currency
exchange  rates  which  exposes Seaboard to  fluctuating  foreign
currency gains and losses which cannot be predicted by Seaboard.

Gain on Disputed Sale, Net

In  July 2009, Seaboard Corporation, and affiliated companies  in
its  Commodity  Trading and Milling segment, resolved  a  dispute
with  a  third  party related to a 2005 transaction  in  which  a
portion  of  its  trading operations was sold to a  firm  located
abroad.  As  a  result of this action, Seaboard Overseas  Limited
received $16.8 million, net of expenses, in the third quarter  of
2009.  There was no tax expense on this transaction.

Miscellaneous, Net

Miscellaneous, net totaled $(0.4) million, $6.5 million and  $2.5
million  for  the years ended December 31, 2010, 2009  and  2008,
respectively.  For 2010, miscellaneous, net included  a  loss  of
$1.3  million  on  interest rate exchange agreements.  For  2009,
miscellaneous, net included a $5.3 million gain on interest  rate
exchange agreements.

Income Tax Expense

The  change to income tax expense in 2010 from income tax benefit
in  2009  is the result of domestic earnings during 2010 compared
to  domestic  losses  in 2009.  The effective  tax  benefit  rate
decreased  for  2009  compared  to  2008  primarily  from   lower
permanently deferred foreign earnings and lower domestic  taxable
loss.

OTHER FINANCIAL INFORMATION

Seaboard  is  subject  to various federal and  state  regulations
regarding environmental protection and land and water use.  Among
other  things, these regulations affect the disposal of livestock
waste  and  corporate  farming matters  in  general.   Management
believes it is in compliance, in all material respects, with  all
such  regulations.   Laws and regulations  in  the  states  where
Seaboard  conducts  its pork operations are restrictive.   Future
changes   in  environmental  or  corporate  farming  laws   could
adversely  affect  the  manner  in which  Seaboard  operates  its
business and its cost structure.

Management  does not believe its businesses have been  materially
adversely affected by inflation.

<PAGE> 21

CRITICAL ACCOUNTING ESTIMATES

The  preparation  of  the  consolidated financial  statements  in
conformity with accounting principles generally accepted  in  the
United   States   requires  management  to  make  estimates   and
assumptions  that  affect  the reported  amounts  of  assets  and
liabilities   and  the  disclosure  of  contingent   assets   and
liabilities at the date of the consolidated financial  statements
and  the  reported  amounts of revenue and  expenses  during  the
reporting  period.   Actual  results  could  differ  from   those
estimates.   Management has identified the  accounting  estimates
believed  to be the most important to the portrayal of Seaboard's
financial  condition and results, and which require  management's
most  difficult,  subjective or complex  judgments,  often  as  a
result  of the need to make estimates about the effect of matters
that  are  inherently uncertain.  Management has  reviewed  these
critical  accounting estimates with the Audit  Committee  of  the
Board of Directors.  These critical accounting estimates include:

Allowance  for  Doubtful  Accounts - Seaboard  primarily  uses  a
specific  identification approach, in management's best judgment,
to   evaluate   the  adequacy  of  this  reserve  for   estimated
uncollectible  receivables as of the consolidated  balance  sheet
date.   Changes  in estimates, developing trends  and  other  new
information  can  have a material effect on  future  evaluations.
Furthermore,  Seaboard's total current and long-term  receivables
are  heavily weighted toward foreign receivables ($258.6  million
or 53.6% at December 31, 2010), including foreign receivables due
from  affiliates  ($75.4  million at December  31,  2010),  which
generally  represent more of a collection risk than its  domestic
receivables.   Receivables  due  from  affiliates  are  generally
associated  with entities located in foreign countries considered
underdeveloped,   as  discussed  below,  which   can   experience
conditions causing sudden changes to their ability to repay  such
receivables on a timely basis or in full.  For the Power segment,
which   operates  in  the  Dominican  Republic  (DR),  collection
patterns  have  been  sporadic  and  are  sometimes  based   upon
negotiated  settlements  for past due  receivables  resulting  in
material  revisions to the allowance for doubtful  accounts  from
year  to year.  Future collections of receivables or lack thereof
could result in a material charge or credit to earnings depending
on  the ultimate resolution of each individual customer past  due
receivable.   Bad debt expense for the years ended  December  31,
2010,  2009  and  2008 was $2.8 million, $2.1  million  and  $0.8
million, respectively.

Valuation  of Inventories - Inventories are generally  valued  at
the  lower  of cost or market.  In determining market, management
makes  assumptions regarding replacement costs,  estimated  sales
prices,  estimated costs to complete, estimated  disposal  costs,
and  normal  profit margins.  For commodity trading  inventories,
when  contract  performance  by a  customer  becomes  a  concern,
management must also evaluate available options to dispose of the
inventory,   including  assumptions  about  potential  negotiated
changes  to sales contracts, sales prices in alternative  markets
in   various   foreign   countries  and  potentially   additional
transportation  costs.   At  times,  management   must   consider
probability   weighting  various  viable  alternatives   in   its
determination  of  the net realizable value of  the  inventories.
These assumptions and probabilities are subjective in nature  and
are  based on management's best estimates and judgments  existing
at  the time of preparation.  Changes in future market prices  of
grains  or  facts and circumstances could result  in  a  material
write-down  in value of inventory or increased future margins  on
the sale of inventory.

Impairment  of  Long-lived Assets - At each balance  sheet  date,
long-lived  assets, primarily property, plant and equipment,  are
reviewed  for  impairment when events or changes in circumstances
indicate  that  the  carrying  amount  may  not  be  recoverable.
Recoverability  of assets to be held and used is  measured  by  a
comparison of the carrying amount of the asset to future net cash
flows  expected  to  be generated by the asset  group.   If  such
assets  are  considered  to be impaired,  the  impairment  to  be
recognized is measured by the amount by which the carrying amount
of  the assets exceeds the fair value of the assets.  Some of the
key  assumptions  utilized in determining future  projected  cash
flows  include  estimated  growth rates,  expected  future  sales
prices  and  estimated  costs. In some cases,  judgment  is  also
required in assigning probability weighting to the various future
cash  flow scenarios.  The probability weighting percentages used
and  the  various future projected cash flow models  prepared  by
management are based on facts and circumstances existing  at  the
time  of preparation and management's best estimates and judgment
of   future  operating  results.   Seaboard  cannot  predict  the
occurrence  of certain future events that might adversely  affect
the  reported value of long-lived assets, which include  but  are
not  limited  to,  a  change in the business climate,  government
incentives,  a negative change in relationships with  significant
customers, and changes to strategic decisions made in response to
economic  and  competitive conditions.  Changes in  these  facts,
circumstances  and  management's  estimates  and  judgment  could
result  in an impairment of fixed assets resulting in a  material
charge  to  earnings.   See Note 5 to the Consolidated  Financial
Statements  for  further discussion on the Pork Segment  and  its
recorded value for the ham-boning and processing plant in  Mexico
of $10.0 million at December 31, 2010.

<PAGE> 22

Goodwill  and  Other  Intangible  Assets  -  Goodwill  and  other
indefinite-life  intangible assets, not subject to  amortization,
are  evaluated annually for impairment at the quarter-end closest
to the anniversary date of the acquisition, or more frequently if
circumstances   indicate  that  impairment  is   possible.    The
impairment   tests  require  management  to  make  judgments   in
determining  what  assumptions to use in estimating  fair  value.
One  of  the methods used by Seaboard to determine fair value  is
the income approach using discounted future projected cash flows.
Some  of  the  key  assumptions utilized  in  determining  future
projected  cash  flows include estimated growth  rates,  expected
future  sales  prices and costs, and future capital  expenditures
requirements.   In  some  cases, judgment  is  also  required  in
assigning  probability weighting to the various future cash  flow
scenarios.   The probability weighting percentages used  and  the
various  future projected cash flow models prepared by management
are  based  on facts and circumstances existing at  the  time  of
preparation  and  management's best  estimates  and  judgment  of
future operating results.  Seaboard cannot predict the occurrence
of certain future events that might adversely affect the reported
value of goodwill and indefinite-life intangible assets that  may
include,  but  are  not  limited to, a  change  in  the  business
climate,  a  negative  change in relationships  with  significant
customers,   and   changes  to  strategic  decisions,   including
decisions to expand, made in response to economic and competitive
conditions.    Changes   in   these  facts,   circumstances   and
management's estimates and judgment could result in an impairment
of  goodwill  and/or  other  intangible  assets  resulting  in  a
material  charge  to  earnings.  See Note 6 to  the  Consolidated
Financial  Statements for further discussion regarding  the  Pork
segment  and  its  recorded intangible asset  values  related  to
Daily's,  including an impairment charge of $7.0 million recorded
in  the fourth quarter of 2008 related to Daily's trade name.  At
December  31,  2010, Seaboard had goodwill of $40.6  million  and
other  intangible  assets not subject to  amortization  of  $17.0
million.

Income Taxes - Income taxes are determined by management based on
current   tax   regulations  in  the  various  worldwide   taxing
jurisdictions  in  which  Seaboard  conducts  its  business.   In
various situations, accruals have been made for estimates of  the
tax  effects  for certain transactions, business structures,  the
estimated  reversal  of timing differences and  future  projected
profitability  of  Seaboard's various  business  units  based  on
management's interpretation of existing facts, circumstances  and
tax  regulations.   Should  new  evidence  come  to  management's
attention  which could alter previous conclusions  or  if  taxing
authorities  disagree with the positions taken by  Seaboard,  the
change  in  estimate  could  result  in  a  material  adverse  or
favorable   impact   on   the  financial   statements.    As   of
December  31,  2010, Seaboard has deferred tax  assets  of  $84.9
million,  net  of the valuation allowance of $30.7  million,  and
deferred tax liabilities of $142.2 million.  For the years  ended
December  31,  2010, 2009 and 2008, income tax  expense  included
$13.4  million, $(11.5) million and $(6.3) million, respectively,
for  deferred  taxes to federal, foreign, state and local  taxing
jurisdictions.

Accrued Pension Liability - The measurement of Seaboard's pension
liability  and  related  expense is dependent  on  a  variety  of
assumptions   and  estimates  regarding  future  events.    These
assumptions  include discount rates, assumed rate  of  return  on
plan  assets,  compensation increases, turnover rates,  mortality
rates and retirement rates.  The discount rate and return on plan
assets   are   important  elements  of  liability   and   expense
measurement and are reviewed on an annual basis.  The  effect  of
decreasing both the discount rate and assumed rate of  return  on
plan  assets by 50 basis points would be an increase  in  pension
expense  of approximately $1.9 million per year.  The effects  of
actual  results  differing from the assumptions  (i.e.  gains  or
losses)  are  primarily accumulated in accrued pension  liability
and  amortized over future periods if it exceeds the 10% corridor
and,   therefore,  could  affect  Seaboard's  recognized  pension
expense  in  such future periods, as permitted under  U.S.  GAAP.
Accordingly,  accumulated gains or losses in excess  of  the  10%
corridor are amortized over the average future service of  active
participants.   The unrecognized losses as of December  31,  2008
exceeded  this  10%  threshold as a  result  of  the  significant
investment  losses incurred during 2008.  As a result, Seaboard's
pension  expense  for its defined benefit pension  plan  for  its
salaried  and clerical employees increased by approximately  $3.1
million  for  2009 as compared to 2008 due to loss  amortization.
See  Note 10 to the Consolidated Financial Statements for further
discussion of management's assumptions.

<PAGE> 23

DERIVATIVE INFORMATION

Seaboard is exposed to various types of market risks in its  day-
to-day  operations.   Primary market risk exposures  result  from
changing   commodity  prices,  freight  rates,  foreign  currency
exchange rates and interest rates.  These derivatives are used to
manage  overall market risks, however, Seaboard does not  perform
the  extensive record-keeping required to account for  derivative
transactions as hedges.  Management believes it uses  derivatives
primarily  as  economic hedges although they do  not  qualify  as
hedges for accounting purposes.  Since these derivatives are  not
accounted for as hedges, fluctuations in the related prices could
have  a material impact on earnings in any given year.  From time
to   time,   Seaboard  may  enter  into  speculative   derivative
transactions related to its market risks.

Changes  in  commodity prices affect the cost  of  necessary  raw
materials and other inventories, finished product sales and  firm
sales  commitments.   Seaboard uses  various  grain  and  oilseed
futures and options purchase contracts to manage certain risks of
increasing prices of raw materials and firm sales commitments  or
anticipated sales contracts.  Short sales contracts are then used
to   offset  the  open  purchase  derivatives  when  the  related
commodity  inventory is purchased in advance  of  the  derivative
maturity,  effectively offsetting the initial futures  or  option
purchase  contract.  From time to time, hog futures are  used  to
manage  risks  of  increasing prices of live  hogs  acquired  for
processing  and  hog  futures  are  used  to  manage   risks   of
fluctuating prices of pork product inventories and related future
sales.   From  time  to  time,  Seaboard  may  enter  into  short
positions  in energy related resources (i.e. heating  oil,  crude
oil,  etc.)  to  manage  certain exposures related  to  bioenergy
margins.   Inventories that are sensitive to changes in commodity
prices, including carrying amounts at December 31, 2010 and 2009,
are presented in Note 3 to the Consolidated Financial Statements.
Raw material requirements, finished product sales, and firm sales
commitments are also sensitive to changes in commodity prices.

From  time-to-time,  the Commodity Trading  and  Milling  segment
enters into certain forward freight agreements (FFAs), viewed  as
taking  long positions in the freight market as well as  covering
short freight sales, which may or may not result in actual losses
when  future  trades  are executed.  These  FFAs  are  viewed  by
management as an economic hedge against the potential  of  future
rising charter hire rates to be incurred by this segment for bulk
cargo shipping while conducting its business of delivering grains
to customers in many international locations.  As of December 31,
2010 and 2009, there were no such agreements outstanding.

Because  changes  in foreign currency exchange rates  affect  the
cash paid or received on foreign currency denominated receivables
and payables, Seaboard manages certain of these risks through the
use of foreign currency forward exchange agreements.  Changes  in
interest rates affect the cash required to service variable  rate
debt.  From  time to time, Seaboard uses interest rate  swaps  to
manage risks of increasing interest rates.

During  2010,  Seaboard entered into four ten-year interest  rate
exchange agreements which involve the exchange of fixed-rate  and
variable-rate  interest payments over the life of the  agreements
without  the  exchange  of  the underlying  notional  amounts  to
mitigate  the  effects  of  fluctuations  in  interest  rates  on
variable  rate debt.  Seaboard pays a fixed rate and  receives  a
variable  rate  of  interest on four notional  amounts  of  $25.0
million  each.   While Seaboard has certain variable  rate  debt,
these  interest rate exchange agreements do not qualify as hedges
for  accounting purposes.  Accordingly, the changes in fair value
of  these  agreements are recorded in Miscellaneous, net  in  the
Consolidated Statement of Earnings.

In  December 2008 and again in March 2009, Seaboard entered  into
ten-year interest rate exchange agreements with notional  amounts
of $25.0 million each, with similar terms to agreements discussed
above  to mitigate the effects of fluctuation in interest  rates.
In  June  2009,  Seaboard terminated both interest rate  exchange
agreements and received payments of $4.0 million to unwind  these
agreements.  As of December 31, 2009, there were no interest rate
exchange agreements outstanding.

The following table presents the sensitivity of the fair value of
Seaboard's  open  net  commodity  future  and  option  contracts,
foreign  currency contracts and interest rate exchange agreements
to  a  hypothetical  10% adverse change in market  prices  or  in
foreign exchange rates and interest rates as of December 31, 2010
and  December 31, 2009.  For all open derivatives, the fair value
of  such  positions is a summation of the fair values  calculated
for  each  item  by  valuing each net position at  quoted  market
prices as of the applicable date.

<PAGE> 24


(Thousands of dollars)       December 31, 2010  December 31, 2009

Grains and oilseeds               $  3,787           $  9,808
Hogs and pork bellies                3,809                186
Energy related resources               459                284
Foreign currencies                  22,415             23,080
Interest rates                       2,636                  -

The table below provides information about Seaboard's non-trading
financial instruments sensitive to changes in interest  rates  at
December  31,  2010.   For debt obligations, the  table  presents
principal cash flows and related weighted average interest  rates
by expected maturity dates.  At December 31, 2010, long-term debt
included foreign subsidiary obligations of $16.4 million  payable
in  U.S. dollars and $0.2 million payable in Argentine pesos.  At
December  31,  2009,  long-term debt included foreign  subsidiary
obligations of $0.7 million denominated in CFA francs (a currency
used  in  several  central African countries)  and  $0.2  million
payable in Argentine pesos.  Weighted average variable rates  are
based  on  rates  in  place  at the reporting  date.   Short-term
instruments    including   short-term   investments,    non-trade
receivables  and current notes payable have carrying values  that
approximate  market and are not included in  this  table  due  to
their short-term nature.

(Dollars in thousands) 2011     2012    2013    2014    2015 Thereafter  Total

Long-term debt:

 Fixed rate           $1,476  $34,182  $2,191  $1,788  $1,635  $ 9,811  $51,083

 Average interest rate 8.87%    6.95%   8.02%   6.25%   5.34%    5.34%    6.66%

 Variable rate        $  221  $     -  $    -  $7,800  $    -  $34,000  $42,021

 Average interest rate 7.00%        -       -   1.51%       -    1.71%    1.70%

Non-trading  financial  instruments  sensitive  to   changes   in
interest rates at December 31, 2009 consisted of fixed rate long-
term debt totaling $36.8 million with an average interest rate of
7.52%,  and  variable rate long-term debt totaling $42.0  million
with an average interest rate of 0.44%.

<PAGE> 25

Management's Responsibility for Consolidated Financial Statements

The  management  of  Seaboard Corporation  and  its  consolidated
subsidiaries (Seaboard) is responsible for the preparation of its
consolidated   financial  statements  and   related   information
appearing   in  this  report.   Management  believes   that   the
consolidated  financial  statements  fairly  present   Seaboard's
financial  position and results of operations in conformity  with
U.S.  generally  accepted accounting principles  and  necessarily
includes amounts that are based on estimates and judgments  which
it  believes  are reasonable based on current circumstances  with
due consideration given to materiality.

Management relies on a system of internal controls over financial
reporting  that is designed to provide reasonable assurance  that
assets  are  safeguarded, transactions are executed in accordance
with  company  policy  and  U.S.  generally  accepted  accounting
principles, and are properly recorded, and accounting records are
adequate  for  preparation  of  financial  statements  and  other
information and disclosures. The concept of reasonable  assurance
is  based on recognition that the cost of a control system should
not   exceed  the  benefits  expected  to  be  derived  and  such
evaluations  require  estimates and judgments.   The  design  and
effectiveness of the system are monitored by a professional staff
of internal auditors.

All  internal control systems, no matter how well designed,  have
inherent  limitations.  Internal control over financial reporting
is  a process that involves human diligence and compliance and is
subject to lapses in judgment and breakdowns resulting from human
failures.   Therefore,  even  those  systems  determined  to   be
effective  can provide only reasonable assurance with respect  to
financial statement preparation and presentation.

The  Board of Directors pursues its review of auditing,  internal
controls  and  financial statements through its audit  committee,
composed  entirely of independent directors.  In the exercise  of
its responsibilities, the audit committee meets periodically with
management,  with the internal auditors and with the  independent
registered public accounting firm to review the scope and results
of  audits.   Both  the  internal auditors  and  the  independent
registered public accounting firm have unrestricted access to the
audit committee with or without the presence of management.

Management's Report on Internal Control over Financial Reporting

The  management  of  Seaboard Corporation  and  its  consolidated
subsidiaries  (Seaboard)  is  responsible  for  establishing  and
maintaining  adequate internal control over financial  reporting,
as  such  term is defined in Exchange Act Rule 13a-15(f).   Under
the  supervision and with the participation of management and its
Internal  Audit Department, Seaboard conducted an  evaluation  of
the   effectiveness  of  its  internal  control  over   financial
reporting based on the framework in Internal Control - Integrated
Framework issued by the Committee of Sponsoring Organizations  of
the  Treadway  Commission (COSO).  Based on its evaluation  under
the   framework  in  Internal  Control  -  Integrated  Framework,
management  concluded  that  Seaboard's  internal  control   over
financial reporting was effective as of December 31, 2010.

Seaboard's  registered independent public accounting  firm,  that
audited  the  consolidated financial statements included  in  the
annual report, has issued an audit report on the effectiveness of
Seaboard's  internal  control over  financial  reporting.   Their
report is included herein.

<PAGE> 26

Report of Independent Registered Public Accounting Firm

The Board of Directors and Stockholders
Seaboard Corporation:

We  have audited the accompanying consolidated balance sheets  of
Seaboard  Corporation  and  subsidiaries  (the  Company)  as   of
December   31,  2010  and  2009,  and  the  related  consolidated
statements  of  earnings, changes in equity, and cash  flows  for
each    of   the   years   in   the   three-year   period   ended
December  31,  2010. These consolidated financial statements  are
the    responsibility   of   the   Company's   management.    Our
responsibility  is  to express an opinion on  these  consolidated
financial statements based on our audits.

We  conducted our audits in accordance with the standards of  the
Public Company Accounting Oversight Board (United States).  Those
standards  require that we plan and perform the audit  to  obtain
reasonable  assurance about whether the financial statements  are
free of material misstatement. An audit includes examining, on  a
test  basis,  evidence supporting the amounts and disclosures  in
the  financial  statements. An audit also includes assessing  the
accounting  principles  used and significant  estimates  made  by
management, as well as evaluating the overall financial statement
presentation.  We  believe that our audits provide  a  reasonable
basis for our opinion.

In our opinion, the consolidated financial statements referred to
above  present  fairly, in all material respects,  the  financial
position   of  Seaboard  Corporation  and  subsidiaries   as   of
December  31, 2010 and 2009, and the results of their  operations
and  their  cash  flows for each of the years in  the  three-year
period ended December 31, 2010, in conformity with U.S. generally
accepted accounting principles.

We  also  have audited, in accordance with the standards  of  the
Public   Company  Accounting  Oversight  Board  (United  States),
Seaboard  Corporation's internal control over financial reporting
as  of  December  31,  2010,  based on  criteria  established  in
Internal  Control - Integrated Framework issued by the  Committee
of  Sponsoring  Organizations of the Treadway Commission  (COSO),
and  our  report  dated  March 9, 2011 expressed  an  unqualified
opinion  on  the effectiveness of the Company's internal  control
over financial reporting.

                                     KPMG LLP

Kansas City, Missouri
March 9, 2011

<PAGE> 27

Report of Independent Registered Public Accounting Firm

The Board of Directors and Stockholders
Seaboard Corporation:

We  have  audited  Seaboard Corporation's internal  control  over
financial  reporting as of December 31, 2010, based  on  criteria
established  in Internal Control-Integrated Framework  issued  by
the   Committee  of  Sponsoring  Organizations  of  the  Treadway
Commission   (COSO).   Seaboard   Corporation's   management   is
responsible  for  maintaining  effective  internal  control  over
financial  reporting and for its assessment of the  effectiveness
of  internal  control over financial reporting, included  in  the
accompanying  "Management's  Report  on  Internal  Control   over
Financial Reporting". Our responsibility is to express an opinion
on  the Company's internal control over financial reporting based
on our audit.

We  conducted our audit in accordance with the standards  of  the
Public Company Accounting Oversight Board (United States).  Those
standards  require that we plan and perform the audit  to  obtain
reasonable  assurance  about whether effective  internal  control
over financial reporting was maintained in all material respects.
Our audit included obtaining an understanding of internal control
over  financial  reporting, assessing the risk  that  a  material
weakness  exists,  and  testing and  evaluating  the  design  and
operating effectiveness of internal control based on the assessed
risk.   Our  audit also included performing such other procedures
as  we considered necessary in the circumstances. We believe that
our audit provides a reasonable basis for our opinion.

A  company's  internal  control over  financial  reporting  is  a
process  designed to provide reasonable assurance  regarding  the
reliability  of  financial  reporting  and  the  preparation   of
financial  statements for external purposes  in  accordance  with
generally  accepted accounting principles.  A company's  internal
control  over  financial reporting includes  those  policies  and
procedures  that (1) pertain to the maintenance of records  that,
in   reasonable  detail,  accurately  and  fairly   reflect   the
transactions  and dispositions of the assets of the company;  (2)
provide  reasonable assurance that transactions are  recorded  as
necessary  to  permit  preparation  of  financial  statements  in
accordance  with  generally accepted accounting  principles,  and
that receipts and expenditures of the company are being made only
in  accordance with authorizations of management and directors of
the  company;  and  (3)  provide reasonable  assurance  regarding
prevention or timely detection of unauthorized acquisition,  use,
or disposition of the company's assets that could have a material
effect on the financial statements.

Because  of  its  inherent  limitations,  internal  control  over
financial  reporting  may  not prevent or  detect  misstatements.
Also,  projections of any evaluation of effectiveness  to  future
periods  are  subject  to  the  risk  that  controls  may  become
inadequate  because of changes in conditions, or that the  degree
of compliance with the policies or procedures may deteriorate.

In  our opinion, Seaboard Corporation maintained, in all material
respects,  effective internal control over financial reporting as
of  December 31, 2010, based on criteria established in  Internal
Control-Integrated   Framework  issued  by   the   Committee   of
Sponsoring Organizations of the Treadway Commission.

We  also  have audited, in accordance with the standards  of  the
Public  Company Accounting Oversight Board (United  States),  the
consolidated   balance   sheets  of  Seaboard   Corporation   and
subsidiaries  as of December 31, 2010 and 2009, and  the  related
consolidated statements of earnings, changes in equity  and  cash
flows  for  each  of  the  years in the three-year  period  ended
December  31, 2010, and our report dated March 9, 2011  expressed
an   unqualified   opinion   on  those   consolidated   financial
statements.



                                   KPMG LLP



Kansas City, Missouri
March 9, 2011

<PAGE> 28

                                SEABOARD CORPORATION
                        Consolidated Statement of Earnings

                                                  Years ended December 31,
(Thousands of dollars except per share amounts) 2010       2009         2008

Net sales:
Products (includes sales to affiliates     $3,354,348  $2,718,736   $3,144,432
   of $500,265, $543,066 and $587,922)
Service revenues                              907,320     775,498      993,942
Other                                         124,034     107,074      129,430
Total net sales                             4,385,702   3,601,308    4,267,804

Cost of sales and operating expenses:
Products                                    2,980,606   2,619,396    3,005,924
Services                                      775,637     671,598      847,956
Other                                         103,465      92,701      116,253
Total cost of sales and operating expenses  3,859,708   3,383,695    3,970,133

Gross income                                  525,994     217,613      297,671

Selling, general and administrative expenses  204,928     193,890      175,862

Operating income                              321,066      23,723      121,809

Other income (expense):
   Interest expense                            (5,632)    (13,158)     (15,354)
   Interest income                             12,631      17,336       14,939
   Income from affiliates                      20,965      20,158       13,084
   Other investment income, net                14,145      15,500        7,522
   Foreign currency gain (loss), net            1,254       2,432      (19,713)
   Gain on disputed sale, net of expenses           -      16,787            -
   Miscellaneous, net                            (384)      6,463        2,539
Total other income, net                        42,979      65,518        3,017

Earnings before income taxes                  364,045      89,241      124,826

Income tax benefit (expense)                  (81,033)      2,276       22,689

Net earnings                               $  283,012  $   91,517   $  147,515
  Less:  Net (income) loss attributable
         to noncontrolling interests              599         965         (596)

Net earnings attributable to Seaboard      $  283,611  $   92,482   $  146,919


Earnings per common share                  $   231.69  $    74.74   $   118.19

Weighted average shares outstanding         1,224,092   1,237,452    1,243,087

Dividends declared per common share        $     9.00  $     3.00   $     3.00

         See accompanying notes to consolidated financial statements.

<PAGE> 29

                            SEABOARD CORPORATION
                         Consolidated Balance Sheets

                                                              December 31,
(Thousands of dollars except per share amounts)             2010        2009

                                  Assets
Current assets:

   Cash and cash equivalents                            $   41,124  $   61,857

   Short-term investments                                  332,205     407,351

   Receivables:
      Trade                                                243,786     194,764
      Due from affiliates                                   75,771      47,352
      Other                                                 48,557      35,861
                                                           368,114     277,977
      Allowance for doubtful accounts                       (8,170)     (7,330)
        Net receivables                                    359,944     270,647

   Inventories                                             533,761     498,587

   Deferred income taxes                                    18,393      10,490

   Deferred costs                                           84,141      95,788

   Other current assets                                    115,844      80,582

        Total current assets                             1,485,412   1,425,302

Investments in and advances to affiliates                  331,322      82,232

Net property, plant and equipment                          701,131     691,343

Note receivable from affiliate                              90,109           -

Goodwill                                                    40,628      40,628

Intangible assets, net                                      19,746      20,676

Other assets                                                65,738      76,952

Total Assets                                            $2,734,086  $2,337,133

              Liabilities and Stockholders' Equity

Current liabilities:

   Notes payable to banks                               $   78,729  $   81,262

   Current maturities of long-term debt                      1,697       2,337

   Accounts payable                                        146,265     141,193

   Accrued compensation and benefits                       102,003      84,165

   Deferred revenue                                        122,344     103,931

   Deferred revenue from affiliates                         38,719       8,958

   Accrued voyage costs                                     39,515      33,874

   Accrued commodity inventory                              34,099      10,434

   Other accrued liabilities                                74,824      51,886

      Total current liabilities                            638,195     518,040

Long-term debt, less current maturities                     91,407      76,532

Deferred income taxes                                       75,695      59,546

Accrued pension liability                                   78,817      64,161

Other liabilities                                           71,723      73,435

      Total non-current liabilities                        317,642     273,674

Commitments and contingent liabilities

Stockholders' equity:

   Common stock of $1 par value.  Authorized 1,250,000
    shares;

     issued and outstanding 1,215,879 and 1,236,758
      shares                                                 1,216       1,237

   Accumulated other comprehensive loss                   (123,907)   (114,786)

   Retained earnings                                     1,897,897   1,655,222

Total Seaboard stockholders' equity                      1,775,206   1,541,673

   Noncontrolling interests                                  3,043       3,746

Total equity                                             1,778,249   1,545,419

Total Liabilities and Stockholders' Equity              $2,734,086  $2,337,133

         See accompanying notes to consolidated financial statements.

<PAGE> 30

                              SEABOARD CORPORATION
                       Consolidated Statement of Cash Flows

                                                   Years ended December 31,
(Thousands of dollars)                            2010        2009      2008

   Cash flows from operating activities:
   Net earnings                                $ 283,012  $  91,517  $ 147,515
   Adjustments to reconcile net earnings to cash
     from operating activities:
       Depreciation and amortization              86,802     91,841     90,381
       Income from affiliates                    (20,965)   (20,158)   (13,084)
       Dividends received from affiliates          1,843      7,906      1,333
       Other investment income, net              (14,145)   (15,500)    (7,522)
       Foreign currency exchange losses             (140)     6,578     19,606
       Deferred income taxes                      12,506    (15,298)    (7,602)
       Loss (gain) from sale of fixed assets      (2,555)       530         39
       Gain on disputed sale, net of expenses          -    (16,787)         -
       Intangible asset impairment charge              -          -      7,000
   Changes in current assets and liabilities,
     net of portion of operations sold and
     business acquired:
        Receivables, net of allowance            (86,205)    93,861    (14,518)
        Inventories                              (40,053)     1,552   (119,859)
        Other current assets                      (2,570)   (58,823)   (44,344)
        Current liabilities, exclusive of debt   107,482     69,738     43,264
   Other, net                                     14,800      9,400      9,057
Net cash from operating activities               339,812    246,357    111,266

   Cash flows from investing activities:
   Purchase of short-term investments           (687,335)  (346,522)  (287,411)
   Proceeds from the sale of short-term
    investments                                  695,384    211,403    204,494
   Proceeds from the maturity of short-term
    investments                                   69,534     66,842     61,675
   Acquisition of business, net of cash
    acquired                                      (5,578)         -          -
   Sale (purchase) of long-term investments          552     (3,108)         -
   Investments in and advances to affiliates,
    net                                         (217,578)        71       (710)
   Notes receivable issued to affiliate         (100,000)         -          -
   Proceeds from syndication and subordinated
    loan fees                                      6,525          -          -
   Capital expenditures                         (103,336)   (54,276)  (134,634)
   Proceeds from the sale of fixed assets          7,655      3,255      4,412
   Payment received for the potential sale of
    power barges                                       -     15,000          -
   Net proceeds from disputed sale                     -     16,787          -
   Other, net                                      1,140         46       (442)
Net cash from investing activities              (333,037)   (90,502)  (152,616)

   Cash flows from financing activities:
   Notes payable to banks, net                    (2,535)   (95,072)    79,354
   Proceeds from the issuance of long-term debt   16,352          -          -
   Principal payments of long-term debt           (2,179)   (46,914)   (11,679)
   Repurchase of common stock                    (29,994)    (3,370)    (5,012)
   Dividends paid                                (10,963)    (3,711)    (3,728)
   Dividends paid to noncontrolling interests        (36)      (112)      (104)
   Other, net                                        370       (291)    (1,081)
Net cash from financing activities               (28,985)  (149,470)    57,750

Effect of exchange rate change on cash             1,477     (5,122)    (3,152)

Net change in cash and cash equivalents          (20,733)     1,263     13,248

Cash and cash equivalents at beginning of year    61,857     60,594     47,346

Cash and cash equivalents at end of year       $  41,124  $  61,857  $  60,594

  See accompanying notes to consolidated financial statements.

<PAGE> 31

<TABLE>
<CAPTION>

                                                           SEABOARD CORPORATION
                                               Consolidated Statement of Changes in Equity

                                                                      Accumulated
                                                                         Other
                                                Common  Additional   Comprehensive   Retained   Noncontrolling
(Thousands of dollars except per share amounts) Stock     Capital         Loss       Earnings      Interest        Total
<S>                                            <C>       <C>          <C>           <C>             <C>          <C>
Balances, January 1, 2008                      $ 1,244   $    -       $  (78,651)   $1,431,635      $  971       $1,355,199
Comprehensive income:
   Net earnings                                                                        146,919         596          147,515
   Other comprehensive income net
     of income tax benefit of $11,525:
       Foreign currency translation adjustment                            (9,492)                                    (9,492)
       Unrealized gain on investments                                        632                                        632
       Unrecognized pension cost                                         (24,192)                                   (24,192)
                  Total comprehensive income                                                                        114,463
Purchase of noncontrolling interests                                                                 2,760            2,760
Dividends paid to noncontrolling interests                                                            (104)            (104)
Repurchase of common Stock                          (4)                                 (5,008)                      (5,012)
Dividends on common stock                                                               (3,728)                      (3,728)
Balances, December 31, 2008                      1,240        -         (111,703)    1,569,818       4,223        1,463,578

Comprehensive income:
   Net earnings                                                                         92,482        (965)          91,517
   Other comprehensive income net
     of income tax benefit of $3,206:
       Foreign currency translation adjustment                            (9,365)                                    (9,365)
       Unrealized gain on investments                                        798                                        798
       Unrecognized pension cost                                           5,484                                      5,484
                  Total comprehensive income                                                                         88,434
Addition of noncontrolling interests                                                                   600              600
Dividends paid to noncontrolling interests                                                            (112)            (112)
Repurchase of common Stock                          (3)                                 (3,367)                      (3,370)
Dividends on common stock                                                               (3,711)                      (3,711)
Balances, December 31, 2009                      1,237        -         (114,786)    1,655,222       3,746        1,545,419

Comprehensive income:
   Net earnings                                                                        283,611        (599)         283,012
   Other comprehensive income net
     of income tax benefit of $5,443:
       Foreign currency translation adjustment                            (3,704)                                    (3,704)
       Unrealized gain on investments                                     (2,134)                                    (2,134)
       Unrecognized pension cost                                          (3,283)                                    (3,283)
                  Total comprehensive income                                                                        273,891
Addition/sale of noncontrolling interests                                                              (68)             (68)
Dividends paid to noncontrolling interests                                                             (36)             (36)
Repurchase of common Stock                         (21)                                (29,973)                     (29,994)
Dividends on common stock                                                              (10,963)                     (10,963)
Balances, December 31, 2010                    $ 1,216   $    -       $ (123,907)   $1,897,897      $3,043       $1,778,249
<FN>
                                   See accompanying notes to consolidated financial statements.
</TABLE>

<PAGE> 32

          Notes to Consolidated Financial Statements

Note 1

Summary of Significant Accounting Policies

Operations of Seaboard Corporation and its Subsidiaries

Seaboard  Corporation  and  its  subsidiaries  (Seaboard)  is   a
diversified   international   agribusiness   and   transportation
company.  In the United States, Seaboard is primarily engaged  in
pork   production   and  processing  and  ocean   transportation.
Overseas,    Seaboard   is   primarily   engaged   in   commodity
merchandising, grain processing, sugar production,  and  electric
power  generation.   Seaboard also  has  an  interest  in  turkey
operations  in  the United States.  Seaboard Flour  LLC  and  SFC
Preferred  LLC  (Parent Companies) are the  owners  of  73.5%  of
Seaboard's outstanding common stock.

Principles of Consolidation and Investments in Affiliates

The  consolidated financial statements include  the  accounts  of
Seaboard  Corporation and its domestic and foreign  subsidiaries.
All  significant intercompany balances and transactions have been
eliminated   in  consolidation.   Investments  in  non-controlled
affiliates  are  accounted for by the equity  method.   Financial
information from certain subsidiaries and affiliates is  reported
on a one- to three-month lag depending on the specific entity.

Short-term Investments

Short-term  investments  are  retained  for  future  use  in  the
business and may include money market accounts, corporate  bonds,
fixed  income  mutual funds, municipal debt securities  and  U.S.
government obligations and, on a limited basis, high yield bonds,
domestic   equity   securities  and  foreign  government   bonds.
Investments  held by Seaboard that are categorized as  available-
for-sale  are  reported at their estimated fair  value  with  any
related  unrealized gains and losses reported net of  tax,  as  a
component of accumulated other comprehensive income.  Investments
held  by Seaboard that are categorized as trading securities  are
reported at their estimated fair value with any unrealized  gains
and   losses   included  in  other  investment  income   on   the
Consolidated  Statement of Earnings.  Debt  securities  that  are
categorized as held to maturity, are recorded at amortized  cost,
which  is adjusted for amortization of premiums and accretion  of
discounts to maturity.  Such amortization is included in interest
income.   Gains  and losses on sale of investments are  generally
based on the specific identification method.

Accounts Receivable

Accounts  receivable  are  recorded at the  invoiced  amount  and
generally  do  not  bear interest.  The Power  segment,  however,
collects  interest on certain past due accounts and the Commodity
Trading  and Milling segment provides extended payment terms  for
certain  customers  in  certain countries  due  to  local  market
conditions.   The allowance for doubtful accounts  is  Seaboard's
best  estimate of the amount of probable credit losses.  For most
operating  segments,  Seaboard  uses  a  specific  identification
approach  to determine, in management's judgment, the  collection
value  of  certain past due accounts based on contractual  terms.
For  the  Marine segment, the allowance for doubtful accounts  is
based  on  an  aging  percentage methodology primarily  based  on
historical write-off experience.  Seaboard reviews its  allowance
for  doubtful accounts monthly.  Account balances are charged off
against  the  allowance after all means of collection  have  been
exhausted and the potential for recovery is considered remote.

Inventories

Seaboard  uses  the lower of last-in, first-out  (LIFO)  cost  or
market  for  determining inventory cost of live hogs, fresh  pork
product and related materials.  Grain, flour and feed inventories
at foreign milling operations are valued at the lower of weighted
average cost or market.  All other inventories, including further
processed  pork  products, are valued at the lower  of  first-in,
first-out (FIFO) cost or market.

Deferred Costs

Deferred  costs  represent inventory delivered to  customers  and
related shipping costs incurred for certain commodity trades that
Seaboard  has  received the majority of payments for  the  trades
(which  are  recorded  as  deferred revenues)  but  has  not  yet
recognized  as revenue as the final sale price is not  yet  fixed
and  determinable.   The corresponding deferred  margin  on  such
trades is not deemed material.

Property, Plant and Equipment

Property,  plant and equipment are carried at cost and are  being
depreciated on the straight-line method over useful lives ranging
from  3 to 30 years.  Property, plant and equipment leases  which
are  deemed  to  be  installment purchase obligations  have  been
capitalized  and  included in the property, plant  and  equipment
accounts.   Routine and planned major maintenance,  repairs,  and
minor renewals are expensed as incurred while major renewals  and
improvements are capitalized.

<PAGE> 33

Impairment of Long-lived Assets

Long-lived  assets, primarily property, plant and equipment,  are
reviewed  for  impairment when events or changes in circumstances
indicate  that  the  carrying  amount  may  not  be  recoverable.
Recoverability  of assets to be held and used is  measured  by  a
comparison  of  the  carrying  amount  of  the  asset  to  future
undiscounted  net  cash flows expected to  be  generated  by  the
asset.   If  such  assets  are determined  to  be  impaired,  the
impairment  to be recognized is measured by the amount  by  which
the  carrying  amount of the assets exceeds  the  estimated  fair
value  of  the assets.  Assets to be disposed of are reported  at
the  lower  of  the carrying amount or fair value less  costs  to
sell.  See Note 5 for further discussion on the Pork Segment  and
its  recorded  value  of the ham-boning and processing  plant  in
Mexico.

Goodwill and Other Intangible Assets

Goodwill   and  other  indefinite-life  intangible   assets   are
evaluated  by  reporting  unit annually  for  impairment  at  the
quarter-end  closest to the anniversary date of the  acquisition,
or  more frequently if circumstances indicate that impairment  is
likely.   Separable  intangible  assets  with  finite  lives  are
amortized over their estimated useful lives.  Any one event or  a
combination of events such as change in the business  climate,  a
negative change in relationships with significant customers,  and
changes  to  strategic decisions, including decisions to  expand,
made  in  response  to economic or competitive  conditions  could
require  an interim assessment prior to the next required  annual
assessment.   The  most  recent impairment  tests  performed  and
current market conditions indicated goodwill and other intangible
assets are not impaired as of December 31, 2010.

Accrued Self-Insurance

Seaboard  is  self-insured  for certain  levels  of  general  and
vehicle   liability,  property,  workers'  compensation,  product
recall  and  health  care  coverage.  The  cost  of  these  self-
insurance  programs  is accrued based upon estimated  settlements
for  known  and  anticipated claims.   Changes  in  estimates  to
previously  recorded reserves are reflected in current  operating
results.

Deferred Grants

Included  in other liabilities at December 31, 2010 and 2009  was
$6,047,000 and $6,469,000, respectively, of deferred grants.  The
deferred  grants represent economic development funds contributed
by  government  entities that were limited to construction  of  a
pork  processing  facility in Guymon, Oklahoma.  Deferred  grants
are  being amortized as a reduction of depreciation expense  over
the life of the assets acquired with the funds.

Asset Retirement Obligation

Seaboard  has recorded long-lived assets and a related  liability
for  the  asset retirement obligation costs associated  with  the
closure  of the hog lagoons it is legally obligated to  close  in
the future should Seaboard cease operations or plan to close such
lagoons voluntarily in accordance with a changed operating  plan.
Based on detailed assessments and appraisals obtained to estimate
the future retirement costs, Seaboard has determined and recorded
the  present  value  of the projected costs in non-current  other
liabilities   on  the  Consolidated  Balance  Sheet,   with   the
retirement  asset  depreciated over  the  economic  life  of  the
related  asset.   The following table shows the  changes  in  the
asset retirement obligation during 2010 and 2009:

                                         Years ended December 31,
(Thousands of dollars)                          2010      2009

Beginning balance                             $11,090  $  8,846
Accretion expense                                 938       652
Adjustment to existing lagoons                      -     1,592
Ending balance                                $12,028  $ 11,090

Income Taxes

Deferred income taxes are recognized for the tax consequences  of
temporary  differences by applying enacted  statutory  tax  rates
applicable  to future years to differences between the  financial
statement  carrying amounts and the tax bases of existing  assets
and   liabilities.   However,  in  the  future  as  these  timing
differences  reverse,  a  lower  statutory  tax  rate  may  apply
pursuant  to  the  provisions for domestic manufacturers  of  the
American  Jobs  Creation Act of 2004.  In  accordance  with  U.S.
GAAP,  Seaboard will recognize the benefit or cost of this change
in the future.

<PAGE> 34

Revenue Recognition

Revenue  of the containerized cargo service is recognized ratably
over  the  transit time for each voyage with expenses  associated
with  containerized cargo service being recognized  as  incurred.
Revenue of the commodity trading business is recognized when  the
commodity  is delivered to the customer, collection is reasonably
assured,  and the sales price is fixed or determinable.  Revenues
from  all  other commercial exchanges are recognized at the  time
products  are  shipped or delivered in accordance  with  shipping
terms  or  services  rendered, the customer takes  ownership  and
assumes  risk of loss, collection is reasonably assured  and  the
sales price is fixed or determinable.  As a result of a marketing
agreement  with  Triumph Foods, Seaboard's sales prices  for  its
pork products included in product revenues are primarily based on
a  margin  sharing arrangement that considers the  average  sales
price  and mix of products sold from both Seaboard's and  Triumph
Foods' hog processing plants.  Seaboard earns a fee for marketing
the  pork  products of Triumph Foods and recognizes this  fee  as
service  revenue primarily based on the number of head  processed
by Triumph Foods.

Use of Estimates

The  preparation  of  the  consolidated financial  statements  in
conformity  with  U.S.  generally accepted accounting  principles
requires management to make estimates and assumptions that affect
the reported amounts of assets and liabilities, the disclosure of
contingent assets and liabilities at the date of the consolidated
financial  statements and the reported amounts  of  revenues  and
expenses during the reporting period.  Significant items  subject
to  such  estimates  and  assumptions include  those  related  to
allowance   for  doubtful  accounts,  valuation  of  inventories,
impairment  of  long-lived assets, goodwill and other  intangible
assets,  income  taxes  and  accrued pension  liability.   Actual
results could differ from those estimates.

Earnings Per Common Share

Earnings  per  common share are based upon the  weighted  average
shares outstanding during the period.  Basic and diluted earnings
per share are the same for all periods presented.

Cash and Cash Equivalents

For  purposes  of  the  consolidated statements  of  cash  flows,
management   considers   all  demand   deposits   and   overnight
investments as cash equivalents.  The following table  shows  the
amounts paid for interest and income taxes:

                                         Years ended December 31,
(Thousands of dollars)                    2010      2009    2008

Interest (net of amounts capitalized)  $  8,377  $ 13,845 $14,037
Income taxes (net of refunds)            69,626   (10,542) 10,815

Included in property, plant and equipment is capitalized interest
in  the  amount of $3,350,000, $702,000 and $1,679,000 for  2010,
2009 and 2008, respectively.

Supplemental Noncash Transactions

As  discussed  in  Note  13, during the third  quarter  of  2010,
Seaboard acquired a majority interest in a commodity origination,
storage and processing business in Canada.  Total cash paid,  net
of  cash acquired was $5,578,000 and increased working capital by
$1,254,000, fixed assets by $4,637,000, other long-term assets in
the  amount of $833,000, deferred tax liabilities by $896,000 and
non-controlling interest by $250,000.

As more fully described in Note 13, in May 2009 Seaboard received
sovereign government bonds of the Dominican Republic with  a  par
value  of $20,000,000 denominated in U.S. dollars to satisfy  the
same  amount  of  outstanding billings owed by  a  customer  that
Seaboard had classified as long-term.  During the fourth  quarter
of 2009, Seaboard sold a portion of these bonds with par value of
$9,700,000.  At December 31, 2009, the remaining $10,300,000  par
value  of  bonds was classified as available-for-sale short  term
investments  on  the Consolidated Balance Sheet.  During  January
and February 2010, Seaboard sold the remaining bonds resulting in
an immaterial loss.

Foreign Currency Transactions and Translation

Seaboard has operations in and transactions with customers  in  a
number  of  foreign countries.  The currencies of  the  countries
fluctuate  in relation to the U.S. dollar.  Certain of the  major
contracts  and  transactions, however, are  denominated  in  U.S.
dollars.  In addition, the value of the U.S. dollar fluctuates in
relation  to  the  currencies  of

<PAGE> 35

countries  where  certain  of Seaboard's foreign subsidiaries and
affiliates  primarily   conduct  business.   These   fluctuations
result  in  exchange  gains  and losses.  The activities of these
foreign  subsidiaries   and affiliates  are   primarily conducted
with   U.S.  subsidiaries   or  operate   in   hyper-inflationary
environments.  As a  result,  the financial statements of certain
foreign   subsidiaries   and affiliates  are   re-measured  using
the  U.S.  dollar   as   the functional currency.

Included in foreign currency gain (loss), net for the years ended
December  31,  2009  and  2008 was a  foreign  currency  gain  of
$4,794,000   and   a  foreign  currency  loss  of   $(4,575,000),
respectively.     These  losses  and  gains   reflect   the   re-
measurements of a note payable denominated in Japanese Yen  of  a
foreign consolidated subsidiary accounted for on a one-month  lag
except  for  this  re-measurement  of  this  note  payable.   The
currency gains for 2009 and losses for 2008 were primarily offset
by a mark-to-market currency loss for December in 2009 and a gain
in December for 2008 from a foreign currency derivative contract.
The  note  payable and related foreign currency  derivative  were
terminated in December 2009.

Seaboard's  Sugar  segment, a consolidated subsidiary  in  Canada
(Commodity  Trading and Milling segment) and four non-controlled,
non-consolidated  affiliates  (Commodity  Trading   and   Milling
segment  businesses in Colombia, Kenya, Lesotho and Zambia),  use
local   currency  as  their  functional  currency.   Assets   and
liabilities of these subsidiaries are translated to U.S.  dollars
at  year-end  exchange rates, and income and  expense  items  are
translated  at average rates.  Translation gains and  losses  are
recorded  as components of other comprehensive loss.   For  these
entities,   U.S.  dollar  denominated  net  asset  or   liability
conversions to the local currency are recorded through income.

Derivative Instruments and Hedging Activities

Seaboard   recognizes  all  derivatives  as  either   assets   or
liabilities at their fair values.  Accounting for changes in  the
fair  value  of  a  derivative depends  on  its  designation  and
effectiveness.  Derivatives qualify for treatment as  hedges  for
accounting purposes when there is a high correlation between  the
change in fair value of the instrument and the related change  in
value  of  the  underlying commitment.  In order to  designate  a
derivative   financial  instrument  as  a  hedge  for  accounting
purposes,  extensive record keeping is required.  For derivatives
that  qualify  as hedges for accounting purposes, the  change  in
fair  value  has  no net impact on earnings, to  the  extent  the
derivative  is considered effective, until the hedged transaction
affects  earnings.   For derivatives that are not  designated  as
hedging   instruments  for  accounting  purposes,  or   for   the
ineffective portion of a hedging instrument, the change  in  fair
value does affect current period net earnings.

Seaboard  holds  and  issues  certain derivative  instruments  to
manage   various  types  of  market  risks  from  its  day-to-day
operations  primarily  including  commodity  futures  and  option
contracts and foreign currency exchange agreements, and from time-
to-time,  forward freight agreements and interest  rate  exchange
agreements.   While management believes each of these instruments
primarily are entered into in order to effectively manage various
market  risks,  as of December 31, 2010, none of the  derivatives
are  designated and accounted for as hedges primarily as a result
of the extensive record-keeping requirements.  From time to time,
Seaboard  may  enter  into  speculative  derivative  transactions
related to its market risks.

Recently Adopted Accounting Standards

In June 2009, the Financial Accounting Standards Board issued new
accounting   guidance  for  variable  interest  entities.    This
guidance  requires  an  enterprise  to  perform  an  analysis  to
determine whether the enterprise's variable interest or interests
give  it  a controlling financial interest in a variable interest
entity  (VIE).  This analysis identifies the primary  beneficiary
of  a VIE as the enterprise that has both the power to direct the
most significant activities of a VIE and the obligation to absorb
losses or the right to receive benefits from the VIE.

This  guidance  eliminated the quantitative  approach  previously
required  for  determining the primary beneficiary  of  the  VIE,
which  was  based  on  determining which enterprise  absorbs  the
majority of the entity's expected losses, receives a majority  of
the  entity's  expected residual returns, or both. This  guidance
also  requires ongoing reassessments of whether an enterprise  is
the  primary  beneficiary  of  a  variable  interest  entity  and
requires  certain additional disclosures about the VIE.  Seaboard
adopted this guidance as of January 1, 2010. The adoption of this
guidance  did not have a material impact on Seaboard's  financial
position or net earnings.

<PAGE> 36


Note 2

Investments

Seaboard's short-term investments are treated as either available-
for-sale  securities or trading securities and  are  recorded  at
their estimated fair market values.  All of Seaboard's available-
for-sale and trading securities are classified as current  assets
as  they  are  readily  available to support  Seaboard's  current
operating needs.

As   of  December  31,  2010  and  2009,  the  available-for-sale
investments primarily consisted of money market funds, fixed rate
municipal  notes and bonds, corporate bonds, fixed income  mutual
funds  and U.S. Government obligations. At December 31, 2010  and
2009,  amortized cost and estimated fair market  value  were  not
materially  different  for these investments.   At  December  31,
2010,  money  market  funds included $78,338,000  denominated  in
Euros.   As of December 31, 2010 and 2009, the trading securities
primarily  consisted  of  high  yield  debt  securities.   As  of
December  31, 2010 and 2009, unrealized gains related to  trading
securities were $1,571,000 and $2,206,000, respectively.

The  following  is a summary of the amortized cost and  estimated
fair  value of short-term investments for both available for sale
and trading securities at December 31, 2010 and 2009:

                                               2010               2009

                                      Amortized     Fair   Amortized   Fair
(Thousands of dollars)                   Cost      Value     Cost      Value

Money market funds                     $110,164  $110,164  $153,699  $153,699

Corporate bonds                          86,182    87,401    34,663    35,449

Fixed income mutual funds                60,256    60,302         -         -

Fixed rate municipal notes and bonds     20,564    20,648   144,794   148,609

U.S. Government agency securities        17,503    17,514    15,907    16,272

U.S. Treasury securities                  7,139     7,148         -         -

Asset backed debt securities              2,847     2,848     8,447     8,484

Variable rate demand notes                    -         -     1,900     1,900

Foreign government debt securities            -         -    10,300    10,210

Other                                     2,360     2,355     3,060     3,069

Total available-for-sale short-term
 investments                            307,015   308,380   372,770   377,692

High yield trading debt securities       19,447    20,783    24,784    26,771

Other trading debt securities             2,807     3,042     2,669     2,888

Total available-for-sale and trading
 short-term investments                $329,269  $332,205  $400,223  $407,351

The  following table summarizes the estimated fair value of fixed
rate  securities designated as available-for-sale  classified  by
the  contractual maturity date of the security as of December 31,
2010:

(Thousands of dollars)                                     2010

Due within one year                                      $ 14,953
Due after one year through three years                     82,197
Due after three years                                      19,603
 Total fixed rate securities                             $116,753

In  addition  to  its short-term investments, Seaboard  also  has
trading  securities  related to Seaboard's deferred  compensation
plans  classified  in  other current assets on  the  Consolidated
Balance  Sheets.   See Note 9 for information  on  the  types  of
trading  securities  held  related to the  deferred  compensation
plans  and Note 10 for a discussion of assets held in conjunction
with  investments related to Seaboard's defined  benefit  pension
plan.

<PAGE> 37

Note 3

Inventories

The  following table is a summary of inventories at  the  end  of
each year:

                                                              December 31,
(Thousands of dollars)                                       2010      2009

At lower of LIFO cost or market:
   Live hogs and materials                                 $200,600   $192,999
   Fresh pork and materials                                  24,779     22,398
                                                            225,379    215,397
   LIFO adjustment                                          (24,085)   (22,807)
        Total inventories at lower of LIFO cost or market   201,294    192,590
At lower of FIFO cost or market:
   Grains and oilseeds                                      203,232    174,508
   Sugar produced and in process                             50,190     47,429
   Other                                                     44,013     46,804
        Total inventories at lower of FIFO cost or market   297,435    268,741
Grain, flour and feed at lower of weighted average cost or
 market                                                      35,032     37,256
         Total inventories                                 $533,761   $498,587

The  use  of the LIFO method decreased 2010 and 2008 earnings  by
$780,000  ($0.64  per  common share) and $10,469,000  ($8.42  per
common  share)  and  increased 2009 net earnings  by  $10,898,000
($8.81  per common share), respectively.  If the FIFO method  had
been   used   for  certain  inventories  of  the  Pork   segment,
inventories would have been higher by $24,085,000 and $22,807,000
as of December 31, 2010 and 2009, respectively.

As  of  December  31, 2010, Seaboard had $4,647,000  recorded  in
grain inventories related to its commodity trading business  that
are committed to various customers in foreign countries for which
customer  contract  performance  is  a  heightened  concern.   If
Seaboard  is  unable to collect amounts from these  customers  as
currently estimated or Seaboard is forced to find other customers
for  a  portion  of this inventory, it is possible that  Seaboard
could  incur a material write-down in value of this inventory  if
Seaboard  is  not  successful in selling at the current  carrying
value.   For  similar inventories that existed prior to  December
31, 2009, Seaboard incurred a write-down in the first quarter  of
2009   in   the  amount  of  $8,801,000  (with  no  tax   benefit
recognized), or $7.10 per share and a write-down of $7,010,000 in
2008, including $5,653,000 ($4,940,000 net of tax), or $3.98  per
share, recorded in the fourth quarter of 2008.

Note 4

Investments in and Advances to Affiliates

Seaboard's  investments in and advances to  non-controlled,  non-
consolidated affiliates are primarily related to Butterball,  LLC
(Butterball),  as  discussed  below,  and  businesses  conducting
flour,  maize  and  feed  milling,  and  poultry  production  and
processing.  As of December 31, 2010, the location and percentage
ownership  of  these  affiliates  excluding  Butterball  are   as
follows:   Democratic  Republic of Congo  (50%),  Lesotho  (50%),
Kenya  (35-50%),  Nigeria (25-48%), and Zambia (50%)  in  Africa;
Colombia  (40%) and Ecuador (25-50%) in South America; and  Haiti
(23%)  in the Caribbean.  Also, Seaboard has investments in grain
trading  businesses in Australia (25%), North Carolina (50%)  and
Peru (50%).  Seaboard generally is the primary provider of choice
for  grains,  feed and supplies purchased by these non-controlled
affiliates.  As Seaboard conducts its commodity trading  business
with  third parties, consolidated subsidiaries and affiliates  on
an  interrelated  basis, cost of sales, on affiliates  cannot  be
clearly   distinguished  without  making   numerous   assumptions
primarily with respect to mark-to-market accounting for commodity
derivatives.   In  addition,  Seaboard  has  investments  in  and
advances  to two sugar-related businesses in Argentina  (46-50%).
The  equity  method  is  used to account for  all  of  the  above
investments.

<PAGE> 38

On  December 6, 2010, Seaboard Corporation acquired  a  50%  non-
controlling  voting  interest in Butterball from  Maxwell  Farms,
LLC,   Goldsboro   Milling  Company,  and  GM   Acquisition   LLC
(collectively, the "Maxwell Group") for a cash purchase price  of
$177,500,000.   Butterball is a vertically  integrated  producer,
processor  and  marketer of branded and non-branded  turkeys  and
other  turkey  products.   Seaboard  purchased  its  interest  in
Butterball  from  the Maxwell Group after the Maxwell  Group  had
reacquired  a  49% interest held by Murphy-Brown,  LLC  ("Murphy-
Brown"),  a  subsidiary of Smithfield Foods, Inc.  The  other  50
percent  ownership  interest in Butterball will  continue  to  be
owned  by  the  Maxwell Group.  In connection with the  purchase,
Butterball  also  acquired the live turkey  growing  and  related
assets  of the Maxwell Group and of Murphy-Brown.  As of December
31,  2010,  total assets of $725,464,000 for Butterball  included
intangible  assets of $111,000,000 for trade name and $56,602,000
for  goodwill.   The equity method is used to  account  for  this
investment.

In connection with this transaction, Seaboard provided Butterball
with    a   $100,000,000   unsecured   subordinated   loan   (the
"subordinated loan") with a seven year maturity and  interest  of
15%  per  annum,  comprised of 5% payable in cash  semi-annually,
plus  10% pay-in-kind interest compounded semi-annually and  paid
at maturity.  As part of the subordinated loan, Seaboard received
a  $2,000,000  cash  fee  from Butterball  as  consideration  for
providing this financing that will be amortized over the term  of
the  subordinated  loan.  The amortization related  to  2010  was
recorded  in  interest  income in the Consolidated  Statement  of
Earnings.

In  connection  with  providing the subordinated  loan,  Seaboard
received  detachable warrants, which upon exercise for a  nominal
price,  would enable Seaboard to acquire an additional 5%  equity
interest in Butterball.  Seaboard can exercise these warrants  at
any  time  before December 6, 2020.  Butterball has the right  to
repurchase  the  warrants  for fair market  value.   The  warrant
agreement  essentially provides Seaboard with  a  52.5%  economic
interest as these warrants are in-substance an additional  equity
interest.   Therefore,  Seaboard recorded 52.5%  of  Butterball's
earnings  as Income from Affiliates in the Consolidated Statement
of  Earnings.   However,  all  significant  corporate  governance
matters would continue to be shared equally between Seaboard  and
Maxwell  even  if  the  warrants are exercised,  unless  Seaboard
already  owns  a  majority of the voting rights at  the  time  of
exercise.   The  warrants  qualify  for  equity  treatment  under
accounting standards.  Accordingly, as of December 6,  2010,  the
warrants  were  allocated a value of $10,586,000,  classified  as
Investments  in  and Advances to Affiliates on  the  Consolidated
Balance Sheet, and the subordinated loan was allocated a value of
$89,414,000, classified as Note Receivable from Affiliate on  the
Consolidated   Balance   Sheet,   of   the   total   $100,000,000
subordinated  financing discussed above.   Seaboard monitors  the
credit  quality  of  this  Note  Receivable  from  Affiliate   by
obtaining  and reviewing financial information for this affiliate
on  a  monthly basis and by serving on the Board of Directors  of
this affiliate.

In   addition,  in  connection  with  this  transaction  Seaboard
arranged financing to refinance the existing Butterball debt with
third  party  lenders.   For  these services,  in  December  2010
Seaboard  received  a  cash syndication fee  from  Butterball  of
$4,525,000,  net  of arrangement fees paid to several  banks  who
assisted  with the third party financing.  Since Seaboard  has  a
52.5%  economic interest in Butterball, Seaboard only  recognized
47.5%  of  this  net syndication fee in December  2010  in  Other
Investment Income in the Consolidated Statement of Earnings.  The
remaining  net  syndication fee will be amortized over  the  five
year term of the related Butterball debt.

In  October  2010, Seaboard acquired for $5,000,000  a  25%  non-
controlling   interest  in  a  commodity  trading   business   in
Australia.  Also in October 2010, Seaboard combined its  existing
investment in poultry operations in Africa with another  existing
African  based poultry business.  Seaboard invested an additional
$10,500,000 in this newly combined poultry business for  a  total
investment of $16,988,000, which represents a 50% non-controlling
interest.   This newly combined business has operations primarily
in  Kenya  and  Zambia  and  is also expanding  by  building  new
operations in the Democratic Republic of Congo.

In  July  2010, Seaboard finalized an agreement to  invest  in  a
bakery to be built in Central Africa.  Seaboard will have  a  50%
non-controlling  interest in this business.   The  total  project
cost   is  estimated  to  be  $58,000,000  but  Seaboard's  total
investment  has  not yet been determined pending finalization  of
third  party financing alternatives for a portion of the project.
The  bakery is anticipated to be fully operational in the  second
half  of  2011.  As of December 31, 2010, Seaboard  had  invested
$10,080,000 in this project.

In  March  2010, Seaboard acquired a 50% non-controlling interest
in  an  international commodity trading business located in North
Carolina  for  approximately $7,650,000.  There  was  an  initial
payment  of $6,000,000 made in March 2010, an additional  payment
of  $990,000  in  the fourth quarter of 2010 with  the  remaining
$660,000  to  be paid in the

<PAGE> 39

first half of 2011 upon verification of the balance sheet  as  of
the   date  of  closing  and  collection  of  certain receivables
outstanding.

At  December  31, 2010, Seaboard's carrying value of  certain  of
these  investments  in  affiliates in the Commodity  Trading  and
Milling  segment  was  $12,527,000 more than  its  share  of  the
affiliate's book value.  The excess is attributable primarily  to
the  valuation  of property, plant and equipment  and  intangible
assets.   The amortizable assets are being amortized to  earnings
from affiliates over the remaining life of the assets.

In prior years, Seaboard's equity investments in its Nigerian non-
consolidated  affiliates were written down to zero  and  Seaboard
suspended  use of the equity method of accounting for these  non-
consolidated affiliates as losses allocated to Seaboard  exceeded
the   investment.   During  the  fourth  quarter  of  2009,   the
application  of the equity method of accounting was  resumed  for
these  entities as a result of Seaboard's proportionate share  of
income  exceeded  the share of losses not recognized  during  the
prior  periods.  A significant contributing factor to this change
in  accounting  treatment was the result of one of  the  entities
discontinuing its feed mill operations by selling its trade  name
and certain assets to an entity in exchange for a non-controlling
ownership  in  such  entity,  and a separate  sale  of  land  and
building  to  a  third party for cash.  Seaboard's  proportionate
share   of   these  two  asset  sales  represented  approximately
$2,323,000 of the income from affiliates for 2009.

Combined  condensed financial information of the  non-controlled,
non-consolidated affiliates for their fiscal periods ended within
each of Seaboard's years ended were as follows (the net sales and
net income for the Turkey segment below represent the period from
December 6, 2010 to December 31, 2010):

Commodity Trading and Milling Segment               December 31,

(Thousands of dollars)                      2010       2009       2008

Net sales                               $1,117,440  1,051,621  1,053,818
Net income                              $   47,594     45,867     34,955
Total assets                            $  581,755    412,849    412,555
Total liabilities                       $  250,076    215,146    247,337
Total equity                            $  331,679    197,703    165,218

Sugar Segment                                       December 31,

(Thousands of dollars)                      2010       2009       2008

Net sales                               $   20,132     22,293     20,660
Net income                              $    2,064      2,169        923
Total assets                            $   10,248     11,544     15,506
Total liabilities                       $    3,791      6,265     11,396
Total equity                            $    6,457      5,279      4,110

Turkey Segment                                                 December 31,

(Thousands of dollars)                                            2010

Net sales                                                     $   83,409
Net loss                                                      $   (1,901)
Total assets                                                  $  725,464
Total liabilities                                             $  360,673
Total equity                                                  $  364,791

<PAGE> 40

Note 5

Property, Plant and Equipment

The following table is a summary of property, plant and equipment
at the end of each year:

                                      Useful           December 31,
(Thousands of dollars)                Lives          2010        2009

Land and improvements                 0-15 years $  166,201  $  164,290
Buildings and improvements            30 years      348,160     345,031
Machinery and equipment               3-20 years    727,148     697,656
Vessels and vehicles                  3-18 years    144,380     161,125
Office furniture and fixtures         5 years        26,527      25,769
Construction in progress                             83,896      32,868

                                                  1,496,312   1,426,739

Accumulated depreciation and amortization          (795,181)   (735,396)

  Net property, plant and equipment              $  701,131  $  691,343

During the first half of 2008, Seaboard started operations at its
biodiesel  plant.   The ongoing profitability of  this  plant  is
primarily  based on future sales prices, the price of alternative
inputs, enforcement of government usage mandates and to a  lesser
degree  federal tax credits, which expired at the  end  of  2009.
The  federal tax credit was renewed by Congress in late  December
2010  and  was  made retroactive to January 1, 2010  with  a  new
expiration date of December 31, 2011.  As of December  31,  2010,
Seaboard  performed an impairment evaluation of  this  plant  and
determined there was no impairment based on management's  current
assumptions  of  future production volumes,  sales  prices,  cost
inputs  and  management's  expectation  for  both  federal  usage
mandates  and tax credits.  Based on 2010 experience,  management
estimates   that   government  usage  mandates  will   adequately
compensate  for  the  potential  loss  of  federal  tax  credits.
Management  does  not believe an impairment of  these  assets  is
likely   in   the  near  future  unless  actual  results   differ
significantly from management's current forecast.  The  net  book
value of these assets as of December 31, 2010 was $40,526,000.

During the second quarter of 2009, Seaboard started operations at
its  ham-boning and processing plant in Mexico.  Since that time,
this   plant  has  experienced  certain  difficulties   including
challenges  facing  many U.S. border towns  in  Mexico.   Despite
being  in  operation for over one year and reaching near-capacity
production  levels, overall margins have been below expectations.
As  a  result, management has implemented various changes related
to  this operation and margins improved during the fourth quarter
of  2010.   As  of  December  31,  2010,  Seaboard  performed  an
impairment evaluation of this plant and determined there  was  no
impairment  based  on management's current cash flow  assumptions
and  probabilities  of outcomes.  However, if margins  from  this
operation  do  not meet acceptable levels there is a  possibility
that   management  may  consider  other  alternatives  for   this
facility.  Thus there is a possibility that the recorded value of
this  facility could be deemed impaired during some future period
including  2011, which may result in a charge to  earnings.   The
net  book  value  of  these assets as of December  31,  2010  was
$9,994,000.

<PAGE> 41

Note 6

Goodwill and Intangible Assets, net

Goodwill and intangible assets relate to the 2005 acquisition  of
Daily's, a bacon processor located in the western United  States,
and   the  related  subsequent  repurchase  of  a  noncontrolling
interest of Seaboard Foods LLC in the Pork segment.

The following table is a summary of intangible assets at the end
of each year:

                                                               December 31,
(Thousands of dollars)                                       2010       2009

Intangibles subject to amortization:
   Gross carrying amount:
         Customer relationships                            $ 9,045    $ 9,045
         Covenants not to compete                                -      1,500
                                                             9,045     10,545

   Accumulated amortization:
         Customer relationships                             (6,299)    (5,519)
         Covenants not to compete                                -     (1,350)
                                                            (6,299)    (6,869)
   Net carrying amount:
         Customer relationships                              2,746      3,526
         Covenants not to compete                                -        150
Intangibles subject to amortization, net                     2,746      3,676

Intangibles not subject to amortization:
   Carrying amount-trade names and registered trademarks    17,000     17,000

Total intangible assets, net                               $19,746    $20,676

The amortization expense of amortizable intangible assets for the
years  ended  December  31, 2010, 2009  and  2008  was  $930,000,
$1,610,000,  and $1,610,000, respectively.  Amortization  expense
for the five succeeding years is $250,000 each year.

As  of  December  31, 2010, the Pork segment had  $28,372,000  of
goodwill  and $17,000,000 of other intangible assets not  subject
to  amortization in connection with its acquisition  of  Daily's.
In 2008, revised projected future sales prices as of December 31,
2008  indicated the potential for impairment.  In  addition,  the
overall  downturn  of  the United States economy  and  Seaboard's
stock price trading below book value during the fourth quarter of
2008 provided additional indicators that Seaboard should reassess
its   annual   evaluation  for  impairment  related  to   Daily's
intangible assets.  This reassessment included downward revisions
in  previously  used future projected sales volumes  and  royalty
rate assumptions used in the measurement of Daily's trade name as
a  result  of  the  current economic conditions.   This  analysis
resulted  in a $7,000,000 impairment charge recorded in  cost  of
sales  on  the  Consolidated Statements of  Earnings  during  the
fourth  quarter  of  2008 to write down  the  recorded  value  of
Daily's trade name to its estimated fair value of $17,000,000  as
of December 31, 2008.  After this impairment charge, there was no
indication of potential impairment of goodwill related to Daily's
as  the  revised  estimated  enterprise  fair  value  of  Daily's
exceeded its book value as of December 31, 2008.  As of  July  4,
2010, Seaboard conducted its annual evaluation for impairment  of
this goodwill and other intangible assets related to Daily's and,
based  on current market conditions indicating future sale  price
increases,  additional processed meats sales volumes and  related
levels  of  estimated operating margins determined there  was  no
impairment as of December 31, 2010.

<PAGE> 42

Note 7

Income Taxes

Income taxes attributable to continuing operations for the  years
ended  December 31, 2010, 2009 and 2008 differed from the amounts
computed  by applying the statutory U.S. Federal income tax  rate
of  35  percent to earnings (loss) before income taxes  excluding
noncontrolling interest for the following reasons:

                                                 Years ended December 31,
(Thousands of dollars)                          2010      2009       2008

Computed "expected" tax expense excluding
 noncontrolling interest                     $ 127,625  $ 31,572   $ 43,481
Adjustments to tax expense attributable to:
  Foreign tax differences                      (33,322)  (20,332)   (54,232)
  Tax-exempt investment income                    (974)   (1,809)    (2,554)
  State income taxes, net of federal benefit     1,803    (3,010)    (1,966)
  Change in valuation allowance                 (6,189)   (2,146)    (1,977)
  Federal tax credits                           (3,351)   (3,672)    (4,390)
  Change in pension deferred tax                  (329)   (3,508)       335
  Other                                         (4,230)      629     (1,386)
  Total income tax expense (benefit)         $  81,033  $ (2,276)  $(22,689)

Most of Seaboard's foreign tax differences are attributable to  a
significant  portion  of  the earnings  from  Seaboard's  foreign
operations being subject to no income tax or a tax rate which  is
considerably lower than the U.S. corporate tax rate.

Earnings before income taxes consisted of the following:

                                                 Years ended December 31,
(Thousands of dollars)                          2010       2009      2008

United States                                $223,401   $(14,511)  $(28,988)
Foreign                                       141,243    104,717    153,218
Total earnings excluding noncontrolling
 interest                                     364,644     90,206    124,230
Plus earnings attributable to noncontrolling
 interest                                         599        965       (596)
Total earnings before income taxes           $364,045   $ 89,241   $124,826

The components of total income taxes were as follows:

                                                 Years ended December 31,
(Thousands of dollars)                          2010      2009       2008

Current:
  Federal                                    $ 48,814   $    943   $(25,462)
  Foreign                                      15,855      8,454      8,259
  State and local                               2,924       (125)       823
Deferred:
  Federal                                      13,204    (18,216)    (1,280)
  Foreign                                          15     10,285     (1,425)
  State and local                                 221     (3,617)    (3,604)
Income tax expense (benefit)                   81,033     (2,276)   (22,689)
Unrealized changes in other comprehensive
 income                                        (5,443)    (3,206)   (11,525)
  Total income taxes                         $ 75,590   $ (5,482)  $(34,214)

As  of  December  31, 2010 and 2009, Seaboard  had  income  taxes
receivable of $12,234,000 and $4,923,000, respectively, primarily
related  to  domestic  tax jurisdictions  and  had  income  taxes
payable  of  $7,066,000  and $2,048,000, respectively,  primarily
related to foreign tax jurisdictions.

<PAGE> 43

Components of the net deferred income tax liability at the end of
each year were as follows:

                                                           December 31,
(Thousands of dollars)                                    2010       2009

Deferred income tax liabilities:
  Cash basis farming adjustment                         $ 10,724   $ 11,065
  Depreciation                                            98,692    100,815
  LIFO                                                    29,017        242
  Other                                                    3,768      2,233
                                                        $142,201   $114,355
Deferred income tax assets:
  Reserves/accruals                                     $ 67,244   $ 50,097
  Tax credit carryforwards                                 9,554     12,659
  Deferred earnings of foreign subsidiaries                6,274      1,733
  Net operating and capital loss carryforwards            18,727     18,648
  Foreign minimum tax credit carryforward                 10,400     10,104
  Other                                                    3,364        679
                                                         115,563     93,920
Valuation allowance                                       30,664     28,621
  Net deferred income tax liability                     $ 57,302   $ 49,056

Seaboard recognizes interest accrued related to unrecognized  tax
benefits  and  penalties in income tax expense.   For  the  years
ended  December  31,  2010,  2009 and  2008,  such  interest  and
penalties  were  not  material.  The  Company  had  approximately
$1,323,000 and $1,153,000 accrued for the payment of interest and
penalties  on uncertain tax positions at December 31,  2010,  and
2009, respectively.

As  of  December  31, 2010 and 2009, Seaboard had $3,548,000  and
$3,395,000, respectively, in total unrecognized tax benefits  all
of  which,  if recognized, would affect the effective  tax  rate.
Seaboard  does not have any material uncertain tax  positions  in
which  it  is reasonably possible that the total amounts  of  the
unrecognized tax benefits will significantly increase or decrease
within 12 months of the reporting date.  The following table is a
reconciliation of the beginning and ending amount of unrecognized
tax benefits:

(Thousands of dollars)                                     2010       2009

Beginning balance at January 1                          $  3,395   $  3,464
Additions for uncertain tax positions of prior years         596        206
Decreases for uncertain tax positions of prior years        (367)      (184)
Additions for uncertain tax positions of current year         21         32
Settlements                                                  (97)       (15)
Lapse of statute of limitations                                -       (108)
Ending balance at December 31                           $  3,548   $  3,395

Seaboard's  tax  returns are regularly audited by federal,  state
and  foreign  tax  authorities, which may result in  adjustments.
Seaboard's  U.S.  federal income tax returns have  been  reviewed
through  the  2004  tax year.   The statute  of  limitations  has
expired  on the 2005 tax year.  Seaboard's 2006-2008 U.S.  income
tax returns are currently under IRS examination.

As  of  December  31  2010, Seaboard had not  provided  for  U.S.
Federal  Income and foreign withholding taxes on $739,305,000  of
undistributed  earnings  from  foreign  operations  as   Seaboard
intends  to  reinvest such earnings indefinitely outside  of  the
United  States.  Determination of the tax that might be  paid  on
these  undistributed  earnings  if  eventually  remitted  is  not
practical.

<PAGE> 44

Seaboard  had a tax holiday in one foreign country in 2010,  2009
and   2008   which  resulted  in  tax  savings  of  approximately
$3,434,000, $3,259,000 and $1,961,000, or $2.80, $2.63 and  $1.58
per  diluted  earnings  per  common share  for  the  years  ended
December 31, 2010, 2009 and 2008, respectively.  The tax  holiday
expires in 2012.

Management  believes  Seaboard's future taxable  income  will  be
sufficient  for full realization of the net deferred tax  assets.
The  valuation allowance relates to the tax benefits from foreign
net  operating  losses and capital losses.  Management  does  not
believe  these benefits are more likely than not to  be  realized
due to limitations imposed on the deduction of these losses.  The
increase  of $2,043,000 in the valuations allowance for 2010  was
primarily  the  result  of an increase of  foreign  deferred  tax
assets   partially  offset  by  the  realization  of   charitable
contributions and capital loss carryovers. At December 31,  2010,
Seaboard  had foreign net operating loss carryforwards (NOLs)  of
approximately  $61,473,000 a portion of which expire  in  varying
amounts  between  2011  and 2017, while  others  have  indefinite
expiration periods.

At December 31, 2010, Seaboard had state tax credit carryforwards
of  approximately $14,698,000 net of valuation allowance, all  of
which carryforward indefinitely.

Note 8

Notes Payable and Long-term Debt

Notes  payable  amounting  to  $78,729,000  and  $81,262,000   at
December   31,   2010  and  2009,  respectively,   consisted   of
obligations  due  banks on demand or based on Seaboard's  ability
and  intent  to  repay within one year.  At  December  31,  2010,
Seaboard   had  a  committed  bank  line  totaling  $300,000,000,
maturing  July  10,  2013, and uncommitted  bank  lines  totaling
approximately   $164,479,000  of  which   $127,479,000   of   the
uncommitted  lines relate to foreign subsidiaries.   At  December
31,   2010,  there  were  no  borrowings  outstanding  under  the
committed  line and borrowings outstanding under the  uncommitted
lines  totaled  $33,729,000, all related to foreign subsidiaries.
The  uncommitted  borrowings outstanding  at  December  31,  2010
primarily  represented $30,242,000 denominated in  South  African
Rand.  Also included in notes payable at December 31, 2010 was  a
term  note of $45,000,000 denominated in U.S. dollars related  to
the  Sugar  segment in Argentina.  The weighted average  interest
rates  for  outstanding notes payable were  5.79%  and  6.07%  at
December 31, 2010 and 2009, respectively.

At  December  31, 2010, Seaboard's borrowing capacity  under  its
committed and uncommitted lines was reduced by letters of  credit
(LCs)   totaling   $42,578,000,  and  $8,136,000,   respectively,
primarily including $26,385,000 of LCs for Seaboard's outstanding
Industrial  Development  Revenue Bonds  (IDRBs)  and  $20,221,000
related to insurance coverages.

The  notes payable to banks under the credit lines are unsecured.
The  lines  of  credit  do  not  require  compensating  balances.
Facility fees on these agreements are not material.

On  September 17, 2010, Seaboard entered into a credit  agreement
for $114,000,000 at a fixed rate of 5.34% for the financing of  a
replacement power generating facility, which will operate in  the
Dominican Republic as discussed in Note 13.  This credit facility
has  a term of ten years which will commence upon achievement  of
commercial operation which is expected to take place on or  prior
to April 24, 2012.  The credit facility will mature no later than
April  24,  2022 and is secured by the power generating facility.
At  December  31, 2010, $16,352,000 had been borrowed  from  this
credit facility.

<PAGE> 45

The following table is a summary of long-term debt at the end  of
each year:

                                                               December 31,
(Thousands of dollars)                                        2010     2009

Private placements:

 6.21% senior notes, due 2011 through 2012                    2,143    3,214

  6.92% senior notes, due 2012                               31,000   31,000

Industrial Development Revenue Bonds, floating rates
 (1.50% - 1.94% at December 31, 2010) due 2014 through 2027  41,800   41,800

Foreign subsidiary obligation, 5.34%, due 2012 through 2021  16,352        -

Foreign subsidiary obligations, 17.00%, repaid in 2010            -      688

Foreign subsidiary obligation, floating rate                    221      232

Capital lease obligations and other                           1,588    1,935

                                                             93,104   78,869

Current maturities of long-term debt                         (1,697)  (2,337)

 Long-term debt, less current maturities                    $91,407  $76,532

Of  the  2010  foreign  subsidiary obligations,  $16,352,000  was
payable in U.S. dollars, $221,000 was payable in Argentine pesos.
Of   the  2009  foreign  subsidiary  obligations,  $688,000   was
denominated  in  CFA  francs, $232,000 was payable  in  Argentine
pesos.

The  terms  of the note agreements pursuant to which  the  senior
notes,  IDRBs,  bank debt and credit lines were  issued  require,
among  other terms, the maintenance of certain ratios and minimum
net  worth,  the most restrictive of which requires  consolidated
funded   debt   not   to   exceed  50%  of   consolidated   total
capitalization; an adjusted leverage ratio of less  than  3.5  to
1.0; requires the maintenance of consolidated tangible net worth,
as   defined,  of  not  less  than  $1,150,000,000  plus  25%  of
cumulative  consolidated  net income beginning  March  29,  2008;
limits  aggregate dividend payments to $10,000,000  plus  50%  of
consolidated  net  income  less 100% of consolidated  net  losses
beginning  January  1,  2002 plus the  aggregate  amount  of  Net
Proceeds  of  Capital Stock for such period ($645,864,000  as  of
December  31,  2010)  or  $15,000,000  per  year  under   certain
circumstances;  limits  the  sum of subsidiary  indebtedness  and
priority indebtedness to 10% of consolidated tangible net  worth;
and  limits  Seaboard's ability to acquire investments  and  sell
assets  under  certain circumstances.  Seaboard is in  compliance
with  all restrictive debt covenants relating to these agreements
as of December 31, 2010.

Annual  maturities of long-term debt at December 31, 2010 are  as
follows:  $1,697,000 in 2011, $34,182,000 in 2012, $2,191,000  in
2013,  $9,588,000  in  2014, $1,635,000 in 2015  and  $43,811,000
thereafter.

Note 9

Derivatives and Fair Value of Financial Instruments

U.S.  GAAP  discusses several valuation techniques, such  as  the
market  approach (prices and other relevant information generated
by  market conditions involving identical or comparable assets or
liabilities),  the income approach (techniques to convert  future
amounts  to  single present amounts based on market  expectations
including present value techniques and option-pricing),  and  the
cost  approach  (amount  that would be required  to  replace  the
service  capacity  of  an asset which is  often  referred  to  as
replacement  cost).   U.S. GAAP utilizes a fair  value  hierarchy
that  prioritizes  the  inputs to valuation  techniques  used  to
measure fair value into three broad levels.  The following  is  a
brief description of those three levels:

Level 1:  Quoted Prices In Active Markets for Identical Assets  -
Observable  inputs  such as unadjusted quoted  prices  in  active
markets for identical assets or liabilities that the Company  has
the ability to access at the measurement date.

Level 2: Significant Other Observable Inputs - Inputs other  than
quoted prices included within Level 1 that are observable for the
asset or liability, either directly or indirectly.  These include
quoted prices for similar assets or liabilities in active markets
and  quoted prices for identical or similar assets or liabilities
in markets that are not active.

<PAGE> 46

Level  3:  Significant Unobservable Inputs - Unobservable  inputs
that reflect the reporting entity's own assumptions.

The following table shows assets and liabilities measured at fair
value  (derivatives exclude margin accounts) on a recurring basis
as  of December 31, 2010 and also the level within the fair value
hierarchy used to measure each category of assets:

                                            Balance
                                          December 31,
(Thousands of dollars)                       2010    Level 1   Level 2  Level 3

  Assets:
Available-for-sale securities - short-term
 investments:
   Money market funds                      $110,164  $110,164   $     -    $  -
   Corporate bonds                           87,401         -    87,401       -
   Fixed income mutual funds                 60,302    60,302         -       -
   Fixed rate municipal notes and bonds      20,648         -    20,648       -
   U.S. Government agency securities         17,514         -    17,514       -
   U.S. Treasury securities                   7,148         -     7,148       -
   Asset backed debt securities               2,848         -     2,848       -
   Other                                      2,355         -     2,355       -
Trading securities- short term investments:
   High yield debt securities                20,783         -    20,783       -
   Other debt securities                      3,042         -     3,042       -
Trading securities - other current assets:
   Domestic equity securities                13,332    13,332         -       -
   Foreign equity securities                  8,157     4,131     4,026       -
   Fixed income mutual funds                  3,758     3,758         -       -
   Money market funds                         3,208     3,208         -       -
   U.S. Treasury securities                   2,732         -     2,732       -
   U.S. Government agency securities          1,371         -     1,371       -
   Other                                        183       157        26       -
Derivatives:
   Commodities                               15,966    15,9588        -       -
   Interest rate swaps                        1,410         -     1,410       -
   Foreign currencies                           120         -       120       -
   Total Assets                            $382,442  $211,010  $171,432    $  -
   Liabilities:
Derivatives:
   Commodities (1)                         $  9,170  $  9,170  $      -    $  -
   Interest rate swaps                        1,161         -     1,161       -
   Foreign currencies                        11,652         -    11,652       -
 Total Liabilities                         $ 21,983  $  9,170  $ 12,813    $  -
     (1) Excludes $5,163 of option proceeds resulting in a net liability of
         $4,007 as of December 31, 2010.

Financial  instruments consisting of cash and  cash  equivalents,
net  receivables, notes payable, and accounts payable are carried
at cost, which approximates fair value, as a result of the short-
term nature of the instruments.

The  fair  value  of  long-term debt is  estimated  by  comparing
interest  rates  for debt with similar terms and maturities.  The
amortized cost and estimated fair values of investments and long-
term debt at December 31, 2010 and 2009 are presented below:

<PAGE> 47

December 31,                          2010                        2009

(Thousands of dollars)   Amortized Cost  Fair Value  Amortized Cost  Fair Value

Short-term investments,
 available-for-sale        $ 307,015      $308,380      $372,770      $377,692
Short-term investments,
 trading debt securities      22,254        23,825        27,453        29,659
Long-term debt                93,104        96,438        78,869        82,415

While  management believes its derivatives are primarily economic
hedges  of  its firm purchase and sales contracts or  anticipated
sales  contracts, Seaboard does not perform the extensive record-
keeping  required to account for these types of  transactions  as
hedges for accounting purposes.

Commodity Instruments

Seaboard  uses  various  grain, meal,  hog  and  energy  resource
related  futures  and  options  to  manage  its  risk  to   price
fluctuations  for  raw materials and other inventories,  finished
product  sales and firm sales commitments.   From time  to  time,
Seaboard  may enter into speculative derivative transactions  not
directly related to its raw material requirements.  The nature of
Seaboard's market risk exposure has not changed materially  since
December  31, 2009.  Commodity derivatives are recorded  at  fair
value with any changes in fair value being marked to market as  a
component  of  cost  of sales on the Consolidated  Statements  of
Earnings.   Since  these derivatives are  not  accounted  for  as
hedges, fluctuations in the related commodity prices could have a
material impact on earnings in any given period.

At  December 31, 2010, Seaboard had open net derivative contracts
to  purchase  5,880,000 bushels of grain, 2,900 tons  of  soybean
meal  and  43,240,000  pounds of hogs  and  open  net  derivative
contracts to sell 1,806,000 gallons of heating oil.  At  December
31,  2009,  Seaboard had open net derivative  contracts  to  sell
13,955,000 bushels of grain, 1,344,000 gallons of heating oil and
87,900 tons of soybean meal and open net derivative contracts  to
purchase  2,720,000 pounds of hogs.  For the years ended December
31,  2010,  2009  and 2008 Seaboard recognized net  realized  and
unrealized   gains  of  $8,047,000  $7,047,000  and  $36,156,000,
respectively, related to commodity contracts, primarily  included
in cost of sales on the Consolidated Statements of Earnings.

Foreign currency exchange agreements

Seaboard  enters  into  foreign currency exchange  agreements  to
manage  the  foreign currency exchange rate risk with respect  to
certain  transactions denominated in foreign currencies.  Foreign
exchange agreements that were primarily related to the underlying
commodity transaction were recorded at fair value with changes in
value  marked  to market as a component of cost of sales  on  the
Consolidated Statements of Earnings.  Foreign exchange agreements
that were not related to an underlying commodity transaction were
recorded at fair value with changes in value marked to market  as
a  component  of foreign currency gain (loss) on the Consolidated
Statements of Earnings.  Since these agreements are not accounted
for  as  hedges,  fluctuations in the related  currency  exchange
rates could have a material impact on earnings in any given year.

At  December  31,  2010,  Seaboard had trading  foreign  exchange
contracts  to  cover its firm sales and purchase commitments  and
related  trade receivables and payables with notional amounts  of
$183,042,000 primarily related to the South African Rand.

At  December  31,  2009,  Seaboard had trading  foreign  exchange
contracts  to  cover its firm sales and purchase commitments  and
related  trade receivables and payables with notional amounts  of
$193,379,000 primarily related to the South African Rand and  the
Euro.

Forward Freight Agreements (FFAs)

From  time  to  time  the Commodity Trading and  Milling  segment
enters into certain FFAs, viewed as taking long positions in  the
freight market as well as covering short freight sales, which may
or  may  not  result  in  actual losses when  future  trades  are
executed.  At  December 31, 2010 and 2009,  there  were  no  such
agreements outstanding.

Interest Rate Exchange Agreements

In  May 2010, Seaboard entered into three ten-year interest  rate
exchange agreements which involve the exchange of fixed-rate  and
variable-rate  interest payments over the life of the  agreements
without  the  exchange  of  the underlying  notional  amounts  to
mitigate  the  effects  of  fluctuations  in  interest  rates  on
variable  rate debt.  Seaboard pays a fixed rate and  receives  a
variable   rate  of  interest  on  three  notional   amounts   of
$25,000,000 each.  In August 2010,

<PAGE> 48

Seaboard entered into  another  ten-year  interest rate  exchange
agreement with a notional  amount of  $25,000,000  that has terms
similar to those  for  the  other  three  interest  rate exchange
agreements  referred  to  above.  While  Seaboard   has   certain
variable rate debt,  these  interest  rate  exchange   agreements
do  not qualify as hedges for accounting purposes.   Accordingly,
the changes  in  fair  value  of these agreements are recorded in
Miscellaneous, net in the Consolidated Statement of Earnings.

In  December 2008 and again in March 2009, Seaboard entered  into
ten-year interest rate exchange agreements with notional  amounts
of  $25,000,000 each, with similar terms to agreements  discussed
above  to mitigate the effects of fluctuations in interest rates.
In  June  2009,  Seaboard terminated both interest rate  exchange
agreements  and received payments of $3,981,000 to  unwind  these
agreements.

Counterparty Credit Risk

Seaboard  is subject to counterparty credit risk related  to  its
foreign  currency  exchange agreements and interest  rate  swaps,
should the counterparties fail to perform according to the  terms
of   the   contracts.    Seaboard's  foreign  currency   exchange
agreements  have a maximum amount of loss due to credit  risk  in
the  amount  of  $120,000  with two  counterparties.   Seaboard's
interest  rate swaps have a maximum amount of loss due to  credit
risk  in the amount of $1,410,000 with one counterparty. Seaboard
does not hold any collateral related to these agreements.

The  following  table  provides the  amount  of  gain  or  (loss)
recognized  for  each  type  of  derivative  and  where  it   was
recognized in the Consolidated Statement of Earnings for the year
ended December 31, 2010 and 2009:

(Thousands of dollars)

                               2010                         2009
                     Location of Gain or (Loss)  Amount of Gain or (Loss)
                     Recognized in Income on     Recognized in Income on
                            Derivatives                Derivatives

Commodities          Cost of sales-products      $   8,047   $   7,047
Foreign currencies   Cost of sales-products        (18,538)    (27,676)
Foreign currencies   Foreign currency               (1,580)     (1,980)
Interest rate        Miscellaneous, net             (1,309)      5,312

The  following table provides the fair value of  each  type  of
derivative held as of December 31, 2010 and 2009 and where each
derivative is included on the Consolidated Balance Sheets:

<TABLE>
<CAPTION>

(Thousands of dollars)          Asset Derivatives                      Liability Derivatives
                                         2010     2009                               2010      2009
                        Balance                               Balance
                         Sheet               Fair              Sheet                       Fair
                        Location            Value            Location                     Value
<S>                <S>                  <C>             <S>                        <C>         <C>
Commodities        Other current assets $15,966 $4,610  Other current liabilities  $ 9,170 (1) $2,288
Foreign currencies Other current assets     120    430  Other current liabilities   11,652      5,943
Interest rate      Other current assets   1,410      -  Other current liabilities    1,161          -
<FN>
     (1)Excludes $5,163 of option proceeds resulting in a net liability of $4,007 as of December 31, 2010.

</TABLE>

Note 10

Employee Benefits

Seaboard  maintains  a  defined  benefit  pension  plan  for  its
domestic  salaried and clerical employees and, effective  January
1,  2010, split a portion of employees from this plan into a  new
defined  benefit plan with identical benefits.   Both  plans  are
collectively  referred  to  below  as  "the  Plans."   The  Plans
generally provides eligibility for participation after  one  year
of  service upon attaining the age of 21.  Benefits are generally
based  upon  the number of years of service and a  percentage  of
final average pay.

Seaboard has historically based pension contributions on  minimum
funding   standards  to  avoid  the  Pension   Benefit   Guaranty
Corporation  variable rate premiums established by  the  Employee
Retirement  Income Security Act of 1974.  However, in July  2009,
Seaboard  made a deductible contribution of $14,615,000  for  the
2008  plan year as a result of the significant investment  losses
incurred  in the defined benefit pension plan during  the  fourth
quarter  of  2008.  Management did not make any contributions  in
2010  and currently does not plan on making any contributions  to
the Plans in 2011.

<PAGE> 49

As  part  of  the  split  of  the defined  benefit  pension  plan
discussed  above, on January 1, 2010 Seaboard implemented  a  new
investment  policy  for  each of the  two  separate  plans.   The
difference in target allocation percentages are based on one plan
having  more  current  retirees  and  thus  a  more  conservative
portfolio versus the other plan which can assume greater risk  as
it  will  have  a  longer investment time  horizon.   Assets  are
invested  in the Plans to achieve a diversified overall portfolio
consisting  primarily of individual stocks, money  market  funds,
collective investment funds, bonds and mutual funds.  Seaboard is
willing to accept a moderate level of risk to potentially achieve
higher  investment returns.  The overall portfolios are evaluated
relative  to  customized  benchmarks.   The  investment  strategy
provides  investment  managers' discretion  and  is  periodically
reviewed  by  management for adherence to policy and  performance
against  benchmarks.   Seaboard's asset  allocation  targets  and
actual investment composition within the Plans were as follows:

                                    Actual Composition of Plans at December 31,
                            Target Allocations     2010          2009

Domestic Large Cap Equity        29-40%            31-42%         29%

Domestic Small and Mid Cap
 Equity                           7-10%            12-14%         12%

International Equity             11-16%            11-15%          9%

Fixed Income                     25-42%            22-39%         31%

Alternative investments           6-8%              4-5%           -

Cash and cash equivalents         1-5%              2-3%          19%

As  described in Note 9 to the Consolidated Financial Statements,
U.S.  GAAP  utilizes a fair value hierarchy that prioritizes  the
inputs  to  valuation techniques used to measure fair value  into
three  broad levels.  The following table shows the Plans' assets
measured at estimated fair value as of December 31, 2010 and also
the  level  within the fair value hierarchy used to measure  each
category of assets:

                                 Balance
                               December 31,
(Thousands of dollars)             2010      Level 1  Level 2  Level 3

  Assets:
   Domestic equity securities    $27,411     $27,411  $     -  $     -
   Corporate bonds                19,570           -   19,570        -
   Collective investment funds    12,889           -   12,889        -
   Foreign equity securities       7,410       7,410        -        -
   Fixed income mutual funds       6,073       6,073        -        -
   Money market funds              5,337       5,337        -        -
   U.S. Treasury STRIPS            3,135           -    3,135        -
   Exchange traded funds-equity    3,012       3,012        -        -
   Mutual funds-equities           2,892       2,892        -        -
   Real estate mutual fund         2,042       2,042        -        -
   Exchange traded funds-fixed
    income                         1,787       1,787        -        -
   Municipal bonds                 1,713           -    1,713        -
   Other                             367         204      163        -
   Total Assets                  $93,638     $56,168  $37,470  $     -

Seaboard   also  sponsors  non-qualified,  unfunded  supplemental
executive   plans  and  has  certain  individual,  non-qualified,
unfunded  supplemental retirement agreements for certain  retired
employees.  The unamortized prior service cost is being amortized
over  the  average  remaining  working  lifetime  of  the  active
participants for this plan.  Management has no plans  to  provide
funding for these supplemental executive plans in advance of when
the benefits are paid.

<PAGE> 50

Assumptions used in determining pension information  for  all  of
the above plans were:
                                                  Years ended December 31,
                                                2010        2009       2008
Weighted-average assumptions

 Discount rate used to determine
  obligations                                4.45-5.65%  5.25-6.25%    6.25%

 Discount rate used to determine net
  periodic benefit cost                      5.25-6.25%     6.25%      6.50%

 Expected return on plan assets              7.25-7.75%     7.50%      7.50%

 Long-term rate of increase in compensation
  levels                                     4.00-5.00%  4.00-5.00%  4.00-5.00%

Management  selected  the discount rate based  on  a  model-based
result where the timing and amount of cash flows approximates the
estimated  payouts.  The expected returns on  the  Plans'  assets
assumption  are  based  on the weighted average  of  asset  class
expected  returns  that are consistent with  historical  returns.
The  assumed rate selected was based on model-based results  that
reflect   the  Plans'  asset  allocation  and  related  long-term
projected  returns.   The  measurement  date  for  all  plans  is
December 31.  The unrecognized net actuarial losses are generally
amortized  over  the average remaining working  lifetime  of  the
active participants for all of these plans.

The  changes in the plans' benefit obligations and fair value  of
assets for the Plans, supplemental executive plans and retirement
agreements for the years ended December 31, 2010 and 2009, and  a
statement of the funded status as of December 31, 2010  and  2009
were as follows:

December 31,
                                    2010                        2009

                        Assets exceed  Accumulated   Assets exceed  Accumulated
                         accumulated    benefits      accumulated    benefits
(Thousands of dollars)     benefits   exceed assets    benefits   exceed assets

Reconciliation of benefit
 obligation:
 Benefit obligation at
  beginning of year        $     -      $147,915         $72,627      $ 60,287
 Service cost                1,370         4,997           2,925         3,115
 Interest cost               3,258         5,454           4,572         3,611
 Actuarial losses            4,896        10,013           4,669         1,188
 Benefits paid              (2,563)       (2,317)         (2,504)       (3,790)
 Plan split                 55,648       (55,648)              -             -
 Plan amendments-                -             -               -         1,215
  Benefit obligation at
  end of year             $ 62,609      $110,414         $82,289      $ 65,626
Reconciliation of fair
 value of plan assets:
 Fair value of plan assets
  at beginning of year    $      -      $ 84,829         $58,321      $      -
 Actual return on plan
  assets                     7,106         4,513          14,397             -
 Employer contributions          -         2,070          14,615         3,790
 Benefits paid              (2,563)       (2,317)         (2,504)       (3,790)
 Plan split                 59,152       (59,152)              -             -
 Fair value of plan assets
  at end of year          $ 63,695      $ 29,943         $84,829      $      -
Funded status             $  1,086      $(80,471)        $ 2,540      $(65,626)

The   net  funded  status  of  the  Plans  was  $(2,713,000)  and
$2,540,000  at  December  31, 2010 and 2009,  respectively.   The
accumulated benefit obligation for the Plans was $83,727,000  and
$74,666,000   and  for  the  other  plans  was  $56,120,000   and
$45,381,000   at  December  31,  2010  and  2009,   respectively.
Expected future net benefit payments for all plans during each of
the  next  five years and in aggregate for the five  year  period
beginning  with  the  sixth  year  are  as  follows:  $6,724,000,
$5,355,000,  $5,931,000, $6,424,000, $8,653,000, and $56,459,000,
respectively.

<PAGE> 51

The  amounts  not  reflected  in net periodic  benefit  cost  and
included in accumulated other comprehensive income (AOCI)  before
taxes at December 31, 2010 and 2009 were as follows:

(Thousands of dollars)                          2010      2009

Accumulated loss, net of gain               $ (54,752) $(48,346)
Prior service cost, net of credit              (7,280)   (8,209)
Transitional obligation                           (16)      (32)
Total Accumulated Other Comprehensive Income $(62,048) $(56,587)

The net periodic benefit cost of these plans was as follows:

                                         Years ended December 31,
(Thousands of dollars)                    2010     2009      2008

Components of net periodic benefit cost:
 Service cost
                                        $ 6,367  $ 6,040  $  5,199
 Interest cost                            8,712    8,183     7,510
 Expected return on plan assets          (6,218)  (4,761)   (6,029)
 Amortization and other                   4,046    5,017     1,582
 Net periodic benefit cost              $12,907  $14,479  $  8,262

The  accumulated unrecognized losses for 2008 in the Plan  as  of
December  31,  2008  exceeded  the  10%  deferral  threshold   as
permitted  under  U.S.  GAAP  as  a  result  of  the  significant
investment  losses incurred during 2008.  Accordingly, Seaboard's
pension   expense   for  the  Plan  increased  by   approximately
$3,140,000  for  2009  compared to  2008  as  a  result  of  loss
amortization.   In  addition,  pension  expense  for   the   Plan
increased an additional $1,725,000 for 2009 as compared  to  2008
as  a  result  of  reduced expected return on  assets,  from  the
decline  of assets in the Plan during 2008, partially  offset  by
approximately  $457,000  in  expected  earnings  from  the   2009
contribution discussed above.

The amounts in AOCI expected to be recognized as components of
net periodic benefit cost in 2011 are as follows:

(Thousands of dollars)                                     2011

Accumulated loss, net of gain                            $3,216
Prior service cost, net of credit                           929
Transition obligation                                        16
 Estimated net periodic benefit cost                     $4,161

Seaboard  participates in a multi-employer  pension  fund,  which
covers  certain  union  employees under a  collective  bargaining
agreement.   Seaboard is required to make contributions  to  this
plan  in  amounts  established under  the  collective  bargaining
agreement.   Contribution  expense for this  plan  was  $528,000,
$509,000,  and  $498,000 for the years ended December  31,  2010,
2009 and 2008, respectively.  The applicable portion of the total
plan  benefits  and  net assets of this plan  is  not  separately
identifiable  although Seaboard has received notice  the  pension
fund   was   under   funded.   Seaboard  could,   under   certain
circumstances,  be liable for unfunded vested benefits  or  other
expenses  of this jointly administered union plan.  Seaboard  has
not  established any liabilities for potential future  withdrawal
as such withdrawal from this plan is not probable.

Seaboard maintains a defined contribution plan covering  most  of
its  domestic salaried and clerical employees.  In 2010, Seaboard
contributed  to  this plan an amount equal  to  50%  of  employee
contributions up to a maximum of 6% of employee compensation.  In
2009  and 2008, Seaboard contributed to this plan an amount equal
to  100%  of  employee contributions up to a  maximum  of  3%  of
employee  compensation.  Employee vesting is based upon years  of
service  with  20%  vested  after one  year  of  service  and  an
additional  20%  vesting with each additional  complete  year  of
service.   Contribution  expense for this  plan  was  $1,826,000,
$1,868,000 and $1,812,000 for the years ended December 31,  2010,
2009  and 2008, respectively.  In addition, Seaboard maintains  a
defined  contribution plan covering most of its hourly, non-union
employees  and  two defined contribution plans covering  most  of
Daily's

<PAGE> 52

employees.   Contribution   expense   for    these    plans   was
$1,455,000,  $1,378,000  and  $1,038,000  for  the  years   ended
December 31, 2010, 2009 and 2008, respectively.

Beginning  in  2006, Seaboard established a deferred compensation
plan  which allows certain employees to reduce their compensation
in exchange for values in four investments.  Seaboard also has an
Investment Option Plan which allowed certain employees to  reduce
their compensation in exchange for an option to acquire interests
measured by reference to three investments.  However, as a result
of   U.S.   tax   legislation  passed  in  2004,  reductions   to
compensation  earned after 2004 are no longer allowed  under  the
Investment  Option Plan.  The exercise price for each  investment
option  was established based upon the fair market value  of  the
underlying  investment on the date of grant.  Under  both  plans,
Seaboard  contributes  3% of the employees reduced  compensation.
Seaboard's  expense (income) for these two deferred  compensation
plans, which primarily includes amounts related to the change  in
fair value of the underlying investment accounts, was $4,267,000,
$4,340,000    and    $(9,539,000)    for    the    years    ended
December  31,  2010,  2009 and 2008, respectively.   Included  in
other  liabilities at December 31, 2010 and 2009 are  $28,444,000
and  $22,430,000, respectively, representing the market value  of
the  payable  to the employees upon distribution or exercise  for
each  plan.  In conjunction with these plans, Seaboard  purchased
the   specified   number  of  units  of  the  employee-designated
investment  plus the applicable option price for  the  Investment
Option Plan.  These investments are treated as trading securities
and  are stated at their fair market values.  Accordingly, as  of
December   31,   2010  and  2009,  $32,739,000  and  $26,729,000,
respectively,  were  included  in other  current  assets  on  the
Consolidated Balance Sheets.  Investment income (loss) related to
the  mark-to-market of these investments for 2010, 2009, and 2008
totaled $4,203,000, $4,253,000 and $(9,618,000), respectively.

Note 11

Commitments and Contingencies

In  July 2009, Seaboard Corporation, and affiliated companies  in
its  Commodity  Trading and Milling segment, resolved  a  dispute
with  a  third  party related to a 2005 transaction  in  which  a
portion  of  its  trading operations was sold to a  firm  located
abroad.  As  a  result of this action, Seaboard Overseas  Limited
received approximately $16,787,000, net of expenses, in the third
quarter of 2009.  There was no tax expense on this transaction.

Seaboard is subject to various legal proceedings related  to  the
normal  conduct of its business, including various  environmental
related  actions.  In the opinion of management,  none  of  these
actions  is  expected to result in a judgment having a materially
adverse  effect  on  the  consolidated  financial  statements  of
Seaboard.

Contingent Obligations

Certain  of  the  non-consolidated  affiliates  and  third  party
contractors  who  perform services for Seaboard  have  bank  debt
supporting  their  underlying operations.   From  time  to  time,
Seaboard  will provide guarantees of that debt allowing  a  lower
borrowing rate or facilitating third party financing in order  to
further  business objectives.  Seaboard does not issue guarantees
of  third  parties  for compensation.  As of December  31,  2010,
Seaboard had guarantees outstanding to two third parties  with  a
total maximum exposure of $1,354,000.  Seaboard has not accrued a
liability  for any of the third party or affiliate guarantees  as
management considers the likelihood of loss to be remote.

As  of  December  31, 2010, Seaboard had outstanding  letters  of
credit  (LCs)  with  various banks which  reduced  its  borrowing
capacity under its committed and uncommitted credit facilities as
discussed  in Note 8 by $42,578,000 and $8,136,000, respectively.
Included  in  these  amounts are LCs totaling $26,385,000,  which
support  the IDRBs included as long-term debt and $20,221,000  of
LCs related to insurance coverage.

Commitments

As  of  December 31, 2010 Seaboard had various firm noncancelable
purchase  commitments  and commitments  under  other  agreements,
arrangements  and  operating leases as  described  in  the  table
below:

<PAGE> 53

Purchase commitments                    Years ended December 31,
(Thousands of dollars)          2011     2012    2013    2014   2015 Thereafter

Hog procurement contracts    $182,705 $ 23,638 $20,542 $ 5,065 $     - $      -

Grain and feed ingredients    164,437    2,850     218       -       -        -

Grain purchase contracts for
 resale                       212,501        -       -       -       -        -

Construction of new power
 barge                         69,956    9,613       -       -       -        -

Fuel purchase contract         24,045   17,504       -       -       -        -

Equipment purchases
  and facility improvements    20,844        -       -       -       -        -

Other purchase commitments     15,330   10,008   2,597      71      34      195

Total firm purchase
 commitments                  689,818   63,613  23,357   5,136      34      195

Vessel, time and voyage-
 charter arrangements          68,911   31,568  28,096  12,984  10,585   68,745

Contract grower finishing
 agreements                    11,473   10,372   9,710   9,052   8,609   24,777

Other operating lease
 payments                      17,572   15,413  14,031  13,155  12,739  200,187

Total unrecognized firm
 commitments                 $787,774 $120,966 $75,194 $40,327 $31,967 $293,904

Seaboard  has contracted with third parties for the  purchase  of
live hogs to process at its pork processing plant and has entered
into grain and feed ingredient purchase contracts to support  its
live  hog  operations.  The commitment amounts  included  in  the
table   are   based   on   projected   market   prices   as    of
December 31, 2010.  During 2010, 2009 and 2008, this segment paid
$183,982,000,  $163,047,000  and $155,400,000,  respectively  for
live hogs purchased under committed contracts.

The  Commodity  Trading  and Milling segment  enters  into  grain
purchase  contracts  and  ocean freight contracts,  primarily  to
support firm sales commitments.  These contracts are valued based
on  projected  commodity prices as of December  31,  2010.   This
segment  also  has  short-term freight  contracts  in  place  for
delivery of future grain sales.

The  Marine segment enters into contracts to time-charter vessels
for use in its operations.  These contracts range from short-term
time-charters for a few months and long-term commitments  ranging
from  one  to  ten years.  This segment's charter  hire  expenses
during  2010, 2009 and 2008 totaled $57,606,000, $82,728,000  and
$115,877,000, respectively.

To  support  the  operations of the Pork  segment,  Seaboard  has
contract  grower  finishing agreements in place with  farmers  to
raise  a  portion  of  Seaboard's hogs  according  to  Seaboard's
specifications  under  long-term service agreements.   Under  the
terms of the agreements, additional payments would be required if
the  grower achieves certain performance standards.  The contract
grower  finishing  obligations shown above do not  reflect  these
incentive  payments  which, given current operating  performance,
total approximately $1,500,000 per year.  In the event the farmer
is  unable  to perform at an acceptable level, Seaboard  has  the
right  to  terminate the contract.  During the years ended  2010,
2009  and  2008,  Seaboard  paid  $13,752,000,  $13,703,000   and
$13,389,000,   respectively,  under  contract  grower   finishing
agreements.

Seaboard  also  leases  various facilities  and  equipment  under
noncancelable  operating lease agreements  including  a  terminal
operations  agreement  at the Port of Miami  which  runs  through
2028.    Rental   expense  for  operating  leases   amounted   to
$24,835,000, $26,404,000 and $23,147,000 in 2010, 2009 and  2008,
respectively.

The  Power segment entered into a liquid natural gas contract for
part of 2011 and 2012 related to the new power barge.

<PAGE> 54


Note 12

Stockholders' Equity and Accumulated Other Comprehensive Loss

On  November 6, 2009, the Board of Directors authorized  Seaboard
to  repurchase from time to time prior to October 31, 2011 up  to
$100  million market value of its Common Stock in open market  or
privately  negotiated purchases which may be above or  below  the
traded  market price.  Such purchases may be made by Seaboard  or
Seaboard  may  from  time  to  time  enter  into  a  10b5-1  plan
authorizing  a third party to make such purchases  on  behalf  of
Seaboard.  The stock repurchase will be funded by cash  on  hand.
Any  shares  repurchased will be retired  and  shall  resume  the
status  of authorized and unissued shares.  Any stock repurchases
will be made in compliance with applicable legal requirements and
the  timing  of the repurchases and the number of  shares  to  be
repurchased  at  any given time may depend on market  conditions,
Securities and Exchange Commission regulations and other factors.
The  Board's  stock  repurchase authorization does  not  obligate
Seaboard  to  acquire a specific amount of common stock  and  the
stock  repurchase  program  may  be  suspended  at  any  time  at
Seaboard's  discretion.   As of December  31,  2010,  $70,006,000
remains available for repurchase under this program.  Previously,
shares  were  repurchased from time to time  under  authorization
from the Board of Directors on August 7, 2007 through August  31,
2009.

Seaboard used cash to repurchase 20,879 shares of common stock at
a  total  price  of $29,994,000 in 2010, 3,668 shares  of  common
stock at a total price of $3,370,000 in 2009 and 3,852 shares  of
common stock at a total price of $5,012,000 in 2008.

The  components of accumulated other comprehensive loss,  net  of
related taxes, are summarized as follows:

                                                    Years ended December 31,
(Thousands of dollars)                            2010       2009        2008

Cumulative foreign currency translation
 adjustment                                   $ (81,280) $ (77,576)  $ (68,211)
Unrealized gain on investments                      445      2,579       1,781
Unrecognized pension cost                       (43,072)   (39,789)    (45,273)

   Accumulated other comprehensive loss       $(123,907) $(114,786)  $(111,703)


The  foreign currency translation adjustment primarily represents
the effect of the Argentine peso currency exchange fluctuation on
the  net  assets  of  the  Sugar  segment.   When  the  Argentine
government lifted the one to one parity of the peso to  the  U.S.
dollar  at  the  end  of  2001, the peso lost  significant  value
against the dollar.  At December 31, 2010, the Sugar segment  had
$187,305,000  in  net assets denominated in Argentine  pesos  and
$41,576,000  in  net liabilities denominated in U.S.  dollars  in
Argentina.

With  the  exception  of  the provision related  to  the  foreign
currency translation gains and losses discussed above, which  are
taxed  at  a 35% rate, income taxes for components of accumulated
other comprehensive loss were recorded using a 39% effective  tax
rate.   For 2010 and 2009, the unrecognized pension cost includes
$13,231,000  and $12,740,000, respectively, related to  employees
at  certain  subsidiaries  for which  no  tax  benefit  has  been
recorded.

Stockholders  approved  an amendment to decrease  the  number  of
authorized  shares  of  common stock  from  4,000,000  shares  to
1,250,000 shares at the annual meeting on April 27, 2009.

Note 13

Segment Information

Seaboard   Corporation  had  six  reportable   segments   through
December  31, 2010: Pork, Commodity Trading and Milling,  Marine,
Sugar,  Power  and  Turkey, each offering a specific  product  or
service.   Seaboard's reporting segments are based on information
used  by  Seaboard's Chief Executive Officer in his  capacity  as
chief  operating  decision  maker  to  determine  allocation   of
resources and assess performance.  Each of the six main  segments
is   separately  managed  and  each  was  started   or   acquired
independent of the other segments.  The Pork segment produces and
sells  fresh  and  frozen  pork products to  further  processors,
foodservice  operators, grocery stores, distributors  and  retail
outlets  throughout the United States, and to Japan,  Mexico  and
certain other foreign markets.  The Commodity Trading and Milling
segment  internationally markets wheat, corn, soybean meal,  rice
and  other  similar commodities in bulk to third party  customers
and  to  non-consolidated affiliates.  This segment also operates
flour,  maize  and feed mills in foreign countries.   The  Marine
segment,  based  in Miami, Florida, provides containerized

<PAGE> 55

cargo  shipping services between the United States, the Caribbean
Basin, and Central and South America.  The Sugar segment produces
and  processes  sugar  and  alcohol  in Argentina primarily to be
marketed locally. The Power segment operates as  an   unregulated
independent  power producer in the Dominican Republic  generating
power from a system of diesel engines mounted on two barges.  The
Turkey segment, accounted for using the equity method basis, is a
vertically integrated producer, processor and marketer of branded
and  non-branded turkeys and other turkey products.  Total assets
for  the Turkey segment represents Seaboard's investment  in  and
notes receivable from this affiliate.  Revenues for the All Other
segment are primarily derived from the jalapeno pepper processing
operations.

The  Pork  segment  derives  approximately  11%  percent  of  its
revenues  from  a  few  customers in  Japan  through  one  agent.
Substantially  all  of  its  hourly  employees  at   its   Guymon
processing   plant   are  covered  by  a  collective   bargaining
agreement.   The  Pork segment incurred an impairment  charge  of
$7,000,000  related  to  the Daily's trade  name  in  the  fourth
quarter  of  2008  (see Note 6 for further  discussion).   As  of
December  31, 2010, the Pork segment's ham-boning and  processing
plant  in Mexico had a net book value of $9,994,000.  See Note  5
for  discussion  of the potential for future impairment  of  this
plant.

The  Commodity Trading and Milling segment derives a  significant
portion  of its operating income from sales to a non-consolidated
affiliate  and also derives a significant portion of  its  income
from  affiliates  from  this same affiliate.   During  the  third
quarter  of  2010,  Seaboard acquired a majority  interest  in  a
commodity origination, storage and processing business in  Canada
for   approximately  $6,747,000,  including  $1,169,000  of  cash
acquired,  subject  to final working capital  adjustments.   This
transaction was accounted for using the purchase method and would
not  have  significantly affected net earnings  or  earnings  per
share on a pro forma basis.

Prior  to the first quarter of 2009, the Sugar segment was  named
Sugar   and  Citrus  reflecting  the  citrus  and  related  juice
operations of this business.  During the first quarter  of  2009,
management reviewed its strategic options for the citrus business
in  light  of a continually difficult operating environment.   In
March  2009, management decided not to process, package or market
the 2009 harvest for the citrus and related juice operations.  As
a  result, during the first quarter of 2009, a charge to earnings
primarily  in cost of sales of $2,803,000 was recorded  primarily
to  write-down the value of related citrus and juice  inventories
to  net  realizable  value, considering such remaining  inventory
will   not  be  marketed  similar  to  prior  years  but  instead
liquidated.  In the second quarter of 2009, management decided to
integrate  and  transform  the land previously  used  for  citrus
production  into  sugar  cane production  and  thus  incurred  an
additional  charge  to earnings primarily in  cost  of  sales  of
approximately  $2,497,000 during the second quarter  of  2009  in
connection  with  this change in business.  The  remaining  fixed
assets  from  the  citrus  operations,  primarily  buildings  and
equipment,  have either been sold under long-term  agreements  or
integrated  into  the sugar business.  However, since  such  sale
agreements are long-term and collectibility of the sales price is
not  reasonably assured, the sale is being recognized  under  the
cost  recovery  method and thus the gain on sale,  which  is  not
material, will not be recognized until proceeds collected  exceed
the net book value of the assets sold.

The Power segment sells approximately 34% of its power generation
to  a  government-owned distribution company under  a  short-term
contract that expires around the end of the first quarter in 2011
for  which  Seaboard  bears a concentrated credit  risk  as  this
customer,  from time to time, has significant past due  balances.
In  May 2009, Seaboard received sovereign government bonds of the
Dominican Republic with a par value of $20,000,000 denominated in
U.S.  dollars,  with an 8% tax free coupon rate, to  satisfy  the
same  amount  of  outstanding billings from  this  customer  that
Seaboard had classified as long-term.  During the fourth  quarter
of 2009, Seaboard sold a portion of these bonds with par value of
$9,700,000  resulting  in  an  immaterial  loss.   The  remaining
$10,300,000  par value of bonds was classified as  available-for-
sale short term investments on the Consolidated Balance Sheet  as
of December 31, 2009.  During January and February 2010, Seaboard
sold the remaining bonds resulting in an immaterial loss.

On  March  2,  2009,  an agreement became effective  under  which
Seaboard  will sell its two floating power generating  facilities
in  the  Dominican Republic for $70,000,000, which will use  such
barges  for  private use.  The sale is anticipated to  be  closed
during   the   second  quarter  in  2011.   During  March   2009,
$15,000,000 was paid to Seaboard (recorded as deferred revenue as
of December 31, 2010) and the $55,000,000 balance of the purchase
price  was paid into escrow and will be paid to Seaboard  at  the
closing  of  the sale. The net book value of the two  barges  was
$20,090,000 as of December 31, 2010 and is classified as held for
sale  in  other current assets.  Seaboard ceased depreciation  on
January 1, 2010 for these two barges but will continue to operate
these  two barges until a few weeks

<PAGE> 56

prior to the closing date  of the  sale.  Seaboard will recognize
a  gain  on  sale  of  assets  of  approximately  $50,000,000  in
operating income at the  closing  of the  sale in 2011.  Seaboard
will be responsible for the wind down  and  decommissioning costs
of the barges.  Closing of the sale  is  dependent   upon several
issues,   including   meeting  certain  baseline performance  and
emission tests.  Failure to satisfy  or   cure   any deficiencies
could result in the  agreement  being  terminated  and the   sale
abandoned.     Seaboard    could    be    responsible    to   pay
liquidated damages of up to approximately $15,000,000  should  it
fail  to  perform  its  obligations under  the  agreement,  after
expiration  of  applicable  cure  and  grace  periods.   Seaboard
retained  all other physical properties of this business  and  is
currently  building  a  replacement 106 megawatt  floating  power
generating  facility  for  use  in  the  Dominican  Republic  for
approximately  83,573,000 Euros (approximately  US  $107,650,000)
plus  additional  project  costs for  a  total  of  approximately
$125,000,000.  Operations are anticipated to begin by the end  of
2011 or early 2012, resulting in lower sales during 2011 for this
segment.

The  following  tables  set forth specific financial  information
about  each  segment as reviewed by management,  except  for  the
Turkey   segment  information  discussed  in  Note   4   to   the
Consolidated Financial Statements.  Operating income for  segment
reporting  is  prepared  on  the same  basis  as  that  used  for
consolidated  operating  income.  Operating  income,  along  with
income  from  affiliates for the Commodity  Trading  and  Milling
segment, is used as the measure of evaluating segment performance
because  management  does not consider interest  and  income  tax
expense on a segment basis.

Sales to External Customers:

                                           Years ended December 31,
(Thousands of dollars)              2010            2009            2008

Pork                            $1,388,265      $1,065,338      $1,125,969
Commodity Trading and Milling    1,808,948       1,531,572       1,897,374
Marine                             853,565         737,629         958,027
Sugar                              195,993         142,966         142,148
Power                              124,034         107,074         129,430
All Other                           14,897          16,729          14,856
   Segment/Consolidated Totals  $4,385,702      $3,601,308      $4,267,804

Operating Income:

                                            Years ended December 31,
(Thousands of dollars)              2010             2009            2008

Pork                            $  213,325      $  (15,025)     $  (45,934)
Commodity Trading and Milling       34,432          24,839          96,517
Marine                              47,612          24,113          62,365
Sugar                               31,741            (851)          3,690
Power                               13,424           8,172           7,845
All Other                              832           1,498           1,033
   Segment Totals                  341,366          42,746         125,516
Corporate                          (20,300)        (19,023)         (3,707)
   Consolidated Totals          $  321,066      $   23,723      $  121,809


Income from Affiliates:

                                            Years ended December 31,
(Thousands of dollars)              2010              2009           2008

Commodity Trading and Milling   $   20,983      $   19,128      $   12,629
Sugar                                  980           1,030             455
Turkey                                (998)              -               -
   Segment/Consolidated Totals  $   20,965      $   20,158      $   13,084

<PAGE> 57

Depreciation and Amortization:

                                            Years ended December 31,
(Thousands of dollars)              2010               2009          2008

Pork                            $   50,813      $   53,182      $   53,288
Commodity Trading and Milling        5,165           4,681           4,509
Marine                              22,743          21,772          19,994
Sugar                                7,180           7,732           8,030
Power                                  204           3,783           3,926
All Other                              428             431             415
   Segment Totals                   86,533          91,581          90,162
Corporate                              269             260             219
   Consolidated Totals          $   86,802      $   91,841      $   90,381

Total Assets:

                                                        December 31,
(Thousands of dollars)                              2010            2009

Pork                                            $  761,490      $  774,718
Commodity Trading and Milling                      686,379         521,618
Marine                                             246,902         236,382
Sugar                                              223,223         205,155
Power                                               91,739          75,348
Turkey                                             277,778               -
All Other                                            6,332           8,988
   Segment Totals                                2,293,843       1,822,209
Corporate                                          440,243         514,924
   Consolidated Totals                          $2,734,086      $2,337,133

Investment in and Advances to Affiliates:

                                                        December 31,
(Thousands of dollars)                              2010            2009

Commodity Trading and Milling                   $  140,696      $   79,883
Sugar                                                2,957           2,349
Turkey                                             187,669               -
   Segment/Consolidated Totals                  $  331,322      $   82,232

Capital Expenditures:

                                               Years ended December 31,
(Thousands of dollars)                   2010           2009            2008

Pork                                  $  9,568        $15,188        $ 52,649
Commodity Trading and Milling            2,390          2,650           4,333
Marine                                  28,411         14,697          46,309
Sugar                                   30,620         21,603          30,964
Power                                   31,709             39              53
All Other                                  362             87             311
   Segment Totals                      103,060         54,264         134,619
Corporate                                  276             12              15
   Consolidated Totals                $103,336        $54,276        $134,634

Administrative   services  provided  by  the   corporate   office
allocated to the individual segments represent corporate services
rendered to and costs incurred for each specific segment with  no
allocation to individual segments of general

<PAGE> 58

corporate management oversight costs.   Corporate assets  include
short-term investments,   other   current   assets   related   to
deferred  compensation  plans, fixed assets, deferred tax amounts
and  other  miscellaneous   items.   Corporate  operating  losses
represent  certain  operating costs not specifically allocated to
individual segments.

Geographic Information

Seaboard   had  sales  in  South  Africa  totaling  $420,277,000,
$292,547,000  and $437,362,000 for the years ended  December  31,
2010,  2009  and  2008, respectively, representing  approximately
10%,  8%  and  10% of total sales for each respective  year.   No
other  individual foreign country accounted for 10%  or  more  of
sales to external customers.

The  following table provides a geographic summary of  net  sales
based on the location of product delivery:

                                               Years ended December 31,
(Thousands of dollars)                      2010        2009        2008

Caribbean, Central and South America    $1,702,823  $1,406,749  $1,726,789
United States                            1,079,316     855,412     924,470
Africa                                   1,061,221     969,324   1,269,505
Canada/Mexico                              245,935     146,601     143,665
Pacific Basin and Far East                 198,100     165,721     162,122
Eastern Mediterranean                       78,380      14,964      23,719
Europe                                      19,927      42,537      17,534
 Totals                                 $4,385,702  $3,601,308  $4,267,804

The  following table provides a geographic summary of  Seaboard's
long-lived  assets  according  to  their  physical  location  and
primary port for the vessels:

                                                   December 31,
(Thousands of dollars)                           2010        2009

United States                                 $ 511,908   $ 547,111
Argentina                                       105,298      87,712
Dominican Republic                               56,928      26,239
All other                                        49,197      53,559
 Totals                                       $ 723,331   $ 714,621

At  December  31,  2010  and  2009,  Seaboard  had  approximately
$183,163,000   and   $134,261,000,   respectively,   of   foreign
receivables,  excluding  receivables due from  affiliates,  which
generally  represent more of a collection risk than the  domestic
receivables.   Management  believes its  allowance  for  doubtful
accounts is adequate.

<PAGE> 59

                      Stockholder Information

Board of Directors
_______________________________________________________________________________

Steven J. Bresky                        Joseph E. Rodrigues
Director and Chairman of the            Director
Board                                   Retired, former Executive Vice
President and Chief Executive           President and Treasurer of Seaboard
Officer of Seaboard
                                        Edward I. Shifman, Jr.
David A. Adamsen                        Director and Audit Committee Member
Director and Audit Committee            Retired, former Managing Director and
Member                                  Executive Vice President of
Former Vice President -                 Wachovia Capital Finance
Wholesale Sales,
C&S Wholesale Grocers

Douglas W. Baena
Director and Audit Committee
Chair
Self-employed, engaging in
facilitation of equipment
leasing financings and
consulting


Officers
_______________________________________________________________________________

Steven J. Bresky                  David S. Oswalt
President and Chief Executive     Vice President, Taxation and
Officer                           Business Development

Robert L. Steer                   David H. Rankin
Senior Vice President, Chief      Vice President
Financial Officer
                                  Ty A. Tywater
David M. Becker                   Vice President, Audit Services
Vice President, General Counsel
and Secretary                     John A. Virgo
                                  Vice President, Corporate
Barry E. Gum                      Controller and Chief Accounting
Vice President, Finance and       Officer
Treasurer
                                  Zachery J. Holden
James L. Gutsch                   Assistant Secretary
Vice President, Engineering
                                  Adriana N. Hoskins
Ralph L. Moss                     Assistant Treasurer
Vice President, Governmental
Affairs

Chief Executive Officers of Principal Seaboard Operations
_______________________________________________________________________________

Rodney K. Brenneman                Hugo D. Rossi
Pork                               Sugar

David M. Dannov                    Armando G. Rodriguez
Commodity Trading and Milling      Power

Edward A. Gonzalez
Marine

Stock Transfer Agent and           Availability of Form 10-K Report
Registrar of Stock                 ____________________________________________
________________________________
                                   Seaboard files its  Annual  Report  on  Form
BNY Mellon                         10-K  with   the   Securities  and  Exchange
P.O. Box 3580160                   Commission.   Copies  of  the  Form 10-K for
Pittsburgh, PA 15252-8010          fiscal 2010  are  available  without  charge
(866) 351-3330                     by   writing   Seaboard   Corporation,  9000
                                   West  67th  Street,  Merriam,  Kansas 66202,
Auditors                           Attention:  Shareholder  Relations   or  via
________________________________   the Internet at. http://www.seaboardcorp.
                                   com/investor-sec.aspx
KPMG LLP                           Seaboard provides access to its most  recent
1000 Walnut, Suite 1000            Form 10-K,  10-Q  and  8-K  reports  on  its
Kansas City, Missouri 64106        Internet  website,  free  of charge, as soon
                                   as  reasonably   practicable   after   those
Stock Listing                      reports are electronically  filed  with  the
________________________________   Securities and Exchange Commission.

Seaboard's  common  stock   is
traded   on   the  NYSE   Amex
Equities under the symbol SEB.
Seaboard  had 177 shareholders
of  record of its common stock
as of February 4, 2011.

<PAGE> 60