<PAGE>

                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                   FORM 10-Q/A

                          Amendment No. 1 to Form 10-Q
(Mark One)

[X]   Quarterly report pursuant to Section 13 or 15(d) of the Securities
      Exchange Act of 1934
      For the quarterly period ended September 30, 2003*

                                       or

[ ]   Transition report pursuant to Section 13 or 15(d) of the Securities
      Exchange Act of 1934
      For the transition period from _______________ to ________________.

                        Commission file number 333-84486

                               LAND O'LAKES, INC.
--------------------------------------------------------------------------------
             (Exact Name of Registrant as Specified in Its Charter)

               Minnesota                                    41-0365145
--------------------------------------------------------------------------------
     (State or Other Jurisdiction of                     (I.R.S. Employer
      Incorporation or Organization)                    Identification No.)

      4001 Lexington Avenue North
        Arden Hills, Minnesota                                55112
--------------------------------------------------------------------------------
(Address of Principal Executive Offices)                    (Zip Code)

                                 (651) 481-2222
--------------------------------------------------------------------------------
              (Registrant's Telephone Number, Including Area Code)

         Indicate by check mark whether the registrant: (1) has filed all
reports required to be filed by Section 13 or 15(d) of the Securities Exchange
Act of 1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days. Yes [ ] No [X]

         Indicate by check mark whether the registrant is an accelerated filer
(as defined in rule 12-b-2 of the Act). Yes [ ]   No [X]

         The number of shares of the registrant's common stock outstanding as of
October 31, 2003: 1,102 shares of Class A common stock, 4,975 shares of Class B
common stock, 191 shares of Class C common stock, and 1,141 shares of Class D
common stock.

         Land O'Lakes, Inc. is a cooperative. Our voting and non-voting common
equity can only be held by our members. No public market for voting and
non-voting common equity of Land O'Lakes, Inc. is established and it is
unlikely, in the foreseeable future, that a public market for our voting and
non-voting common equity will develop.

         We maintain a website on the Internet through which additional
information about Land O'Lakes, Inc. is available. Our website address is
www.landolakesinc.com. Our annual reports on Form 10-K, quarterly reports on
Form 10-Q, current reports on Form 8-K, press releases and earnings releases are
available, free of charge, on our website when they are released publicly or
filed with the SEC.

         *Although Land O'Lakes, Inc. is not currently required to file this
Quarterly Report on Form 10-Q pursuant to Section 13 or 15(d), we are filing
voluntarily.



<PAGE>

                                      INDEX


<TABLE>
<CAPTION>
                                                                                                                PAGE
<S>                                                                                                             <C>
PART I.  FINANCIAL INFORMATION..............................................................................      4

Item 1. Financial Statements................................................................................      4

LAND O'LAKES, INC.

Consolidated Balance Sheets as of September 30, 2003 (unaudited) and December 31, 2002......................      4
Consolidated Statements of Operations for the three and nine months ended September 30, 2003 and 2002
  (unaudited)...............................................................................................      5
Consolidated Statements of Cash Flows for the nine months ended September 30, 2003 and 2002 (unaudited).....      6
Notes to Consolidated Financial Statements (unaudited)......................................................      7

LAND O'LAKES FARMLAND FEED LLC

Consolidated Balance Sheets as of September 30, 2003 (unaudited) and  December 31, 2002.....................     23
Consolidated Statements of Operations for the three and nine months ended September 30, 2003 and 2002
  (unaudited)...............................................................................................     24
Consolidated Statements of Cash Flows for the nine months ended September 30, 2003 and 2002 (unaudited).....     25
Notes to Consolidated Financial Statements (unaudited)......................................................     26

PURINA MILLS, LLC

Consolidated Balance Sheets as of September 30, 2003 (unaudited) and December 31, 2002......................     38
Consolidated Statements of Operations for the three months and nine months ended September 30, 2003 and
  2002 (unaudited)..........................................................................................     39
Consolidated Statements of Cash Flows for the nine months ended September 30, 2003 and 2002 (unaudited).....     40
Notes to Consolidated Financial Statements (unaudited)......................................................     41

PART II.  OTHER INFORMATION.................................................................................     45

Item 6.  Exhibits and Reports on Form 8-K...................................................................     45

SIGNATURES..................................................................................................     46
</TABLE>




                                       2
<PAGE>


                               LAND O'LAKES, INC.

                                EXPLANATORY NOTE

The purpose of this Amendment No. 1 on Form 10-Q/A to the Quarterly Report on
Form 10-Q of Land O'Lakes, Inc. (the "Company") for the quarter ended September
30, 2003 is to file (1) the supplemental consolidating schedules of Land O'Lakes
Farmland LLC ("Farmland Feed") which separately present the financial data of
Purina Mills, LLC, a wholly owned subsidiary of Farmland Feed ("Purina Mills"),
and (2) the financials statements of Purina Mills.

The Company's Chief Executive Officer and Chief Financial Officer have also
reissued their certifications required by Section 302 and Section 906 of the
Sarbanes-Oxley Act of 2002 in connection with this amendment and the Company has
included an amended exhibit list to list the certifications filed with this
amendment. Except as provided herein, all other information contained in the
original Form 10-Q remains unchanged.


                                       3
<PAGE>





PART I.    FINANCIAL INFORMATION

ITEM 1.    FINANCIAL STATEMENTS

                               LAND O'LAKES, INC.

                           CONSOLIDATED BALANCE SHEETS


<TABLE>
<CAPTION>
                                                                        SEPTEMBER 30,        DECEMBER 31,
                                                                            2003                 2002
                                                                            ----                 ----
                                                                                ($ IN THOUSANDS)
                                                                         (UNAUDITED)
     ASSETS
<S>                                                                   <C>                    <C>
     Current assets:
       Cash and short-term investments..........................      $          20,800      $       64,327
       Restricted cash..........................................                 20,000                  --
       Receivables, net.........................................                457,920             567,584
       Receivable from legal settlement.........................                     --              96,707
       Inventories..............................................                500,795             446,386
       Prepaid expenses.........................................                 50,871             189,246
       Other current assets.....................................                 41,161              13,878
                                                                      -----------------      --------------
               Total current assets.............................              1,091,547           1,378,128

     Investments................................................                541,172             545,592
     Property, plant and equipment, net.........................                641,491             579,860
     Property under capital lease...............................                111,558             105,736
     Goodwill, net..............................................                373,680             323,413
     Other intangibles..........................................                105,279             101,770
     Other assets...............................................                206,159             211,823
                                                                      -----------------      --------------
               Total assets.....................................      $       3,070,886      $    3,246,322
                                                                      =================      ==============

     LIABILITIES AND EQUITIES

     Current liabilities:
       Notes and short-term obligations.........................      $          81,223     $        37,829
       Current portion of long-term debt........................                 72,434             104,563
       Current portion of obligation under capital lease........                 10,083             108,279
       Accounts payable ........................................                372,544             701,786
       Accrued expenses.........................................                228,493             204,629
       Patronage refunds payable and other member equities payable                8,900              12,388
                                                                      -----------------     ---------------
               Total current liabilities........................                773,677           1,169,474

     Long-term debt.............................................              1,023,555           1,007,308
     Obligation under capital lease.............................                101,708                  --
     Employee benefits and other liabilities....................                140,012             104,340
     Deferred tax liabilities...................................                 41,878                  --
     Minority interests.........................................                 60,710              53,687

     Equities:
       Capital stock............................................                  2,143               2,190
       Member equities..........................................                870,813             873,659
       Accumulated other comprehensive loss.....................                 (4,733)                 --
       Retained earnings........................................                 61,123              35,664
                                                                      -----------------     ---------------
               Total equities...................................                929,346             911,513
                                                                      -----------------     ---------------
     Commitments and contingencies
               Total liabilities and equities...................      $       3,070,886     $     3,246,322
                                                                      =================     ===============
</TABLE>

          See accompanying notes to consolidated financial statements.



                                       4

<PAGE>


                               LAND O'LAKES, INC.

                      CONSOLIDATED STATEMENTS OF OPERATIONS

<TABLE>
<CAPTION>
                                                                    FOR THE THREE MONTHS ENDED       FOR THE NINE MONTHS ENDED
                                                                           SEPTEMBER 30,                   SEPTEMBER 30,
                                                                       2003             2002            2003            2002
                                                                       ----             ----            ----            ----
                                                                                         ($ IN THOUSANDS)
                                                                                            (UNAUDITED)

<S>                                                               <C>              <C>             <C>             <C>
Net sales.....................................................    $   1,580,288    $   1,371,735   $   4,430,783   $   4,323,737
Cost of sales.................................................        1,446,319        1,259,003       4,046,342       3,939,127
                                                                  -------------    -------------   -------------   -------------
Gross profit..................................................          133,969          112,732         384,441         384,610

Selling, general and administration...........................          122,047          123,595         352,276         375,309
Restructuring and impairment charges..........................              302              942           3,169           8,218
                                                                  -------------    -------------   -------------   -------------
Earnings (loss) from operations...............................           11,620          (11,805)         28,996           1,083

Interest expense, net.........................................           19,313           18,052          53,589          53,000
Gain on legal settlements.....................................           (3,355)          (4,136)        (22,532)        (36,835)
Gain on sale of intangibles...................................               --               --            (550)         (4,184)
(Gain) loss on divestiture of businesses......................               --           (3,730)            700          (4,935)
Loss (gain) on sale of investment.............................               26               --            (820)             --
Equity in (earnings) loss of affiliated companies.............           (5,587)           4,544         (56,018)        (29,822)
Minority interest in earnings (loss) of
  subsidiaries................................................              723           (1,365)          3,639          (1,455)
                                                                  -------------    --------------  -------------   --------------
Earnings (loss) before income taxes...........................              500          (25,170)         50,988          25,314
Income tax expense (benefit)..................................            1,863          (13,182)          8,041         (10,018)
                                                                  -------------    --------------  -------------   --------------
Net (loss) earnings...........................................    $      (1,363)   $     (11,988)  $      42,947   $      35,332
                                                                  ==============   ==============  =============   =============

Applied to:
  Member equities
     Allocated patronage refunds..............................    $      (6,231)   $     (12,406)  $      29,633   $      41,390
     Deferred equities........................................            1,635           (5,613)        (12,896)        (16,206)
                                                                  -------------    --------------  --------------  --------------
                                                                         (4,596)         (18,019)         16,737          25,184
  Retained earnings...........................................            3,233            6,031          26,210          10,148
                                                                  -------------    -------------   -------------   -------------
                                                                  $      (1,363)   $     (11,988)  $      42,947   $      35,332
                                                                  ==============   ==============  =============   =============
</TABLE>

          See accompanying notes to consolidated financial statements.

                                       5





<PAGE>


                               LAND O'LAKES, INC.

                      CONSOLIDATED STATEMENTS OF CASH FLOWS

<TABLE>
<CAPTION>
                                                                           FOR THE NINE MONTHS ENDED
                                                                                  SEPTEMBER 30,
                                                                              2003            2002
                                                                              ----            ----
                                                                              ($ IN THOUSANDS)
                                                                                  (UNAUDITED)
CASH FLOWS FROM OPERATING ACTIVITIES:
<S>                                                                        <C>              <C>
  Net earnings .....................................................       $  42,947        $  35,332
  Adjustments to reconcile net earnings to net cash provided
     (used) by operating activities:
     Depreciation and amortization .................................          83,460           77,280
     Amortization of deferred financing charges ....................           3,489            2,289
     Bad debt expense ..............................................           2,699            3,132
     Proceeds from patronage revolvement received ..................           2,671              319
     Non-cash patronage income .....................................          (1,638)            (530)
     Receivable from legal settlement ..............................          96,707             --
     Deferred income tax expense ...................................           6,757             --
     Decrease (increase) in other assets ...........................           8,908          (32,120)
     Increase in other liabilities .................................           4,027            4,966
     Restructuring and impairment charges ..........................           3,169            8,218
     Loss (gain) on divestiture of businesses ......................             700           (4,935)
     Equity in earnings of affiliated companies ....................         (56,018)         (29,822)
     Minority interests ............................................           3,639           (1,455)
     Other .........................................................         (12,623)          (6,236)
  Changes in current assets and liabilities, net of acquisitions and
     divestitures:
     Receivables ...................................................         142,395          104,574
     Inventories ...................................................         (16,563)         (18,982)
     Other current assets ..........................................         149,350           98,752
     Accounts payable ..............................................        (348,329)        (284,304)
     Accrued expenses ..............................................          14,233           34,248
                                                                           ---------        ---------
  Net cash provided (used) by operating activities .................         129,980           (9,274)

CASH FLOWS FROM INVESTING ACTIVITIES:
  Additions to property, plant and equipment .......................         (55,329)         (57,258)
  Payments for investments .........................................          (9,815)          (5,069)
  Proceeds from divestiture of businesses ..........................             465            3,351
  Proceeds from sale of investments ................................           3,000           21,084
  Proceeds from sale of property, plant and equipment ..............          18,084           11,655
  Dividends from investments in affiliated companies ...............           5,193            8,632
  Increase in restricted cash ......................................         (20,000)            --
  Other ............................................................           2,998            3,980
                                                                           ---------        ---------
  Net cash used by investing activities ............................         (55,404)         (13,625)

 CASH FLOWS FROM FINANCING ACTIVITIES:
   Increase in short-term debt .....................................          13,330           42,407
   Proceeds from issuance of long-term debt ........................           6,215            4,773
   Payments on principal of long-term debt .........................        (107,126)         (81,775)
   Payments on principal of capital lease obligation ...............          (7,171)            --
   Payments for redemption of member equities ......................         (23,797)         (36,970)
   Other ...........................................................             446            2,173
                                                                           ---------        ---------
   Net cash used by financing activities ...........................        (118,103)         (69,392)
                                                                           ---------        ---------
   Net decrease in cash and short-term investments .................         (43,527)         (92,291)
 Cash and short-term investments at beginning of period ............          64,327          130,169
                                                                           ---------        ---------
 Cash and short-term investments at end of period ..................       $  20,800        $  37,878
                                                                           =========        =========

 SUPPLEMENTARY DISCLOSURE OF CASH FLOW INFORMATION
 Cash paid during periods for:
   Interest, net of interest capitalized ...........................       $  52,970        $  49,450
   Income taxes recovered ..........................................       $  (1,461)       $ (21,654)
</TABLE>

          See accompanying notes to consolidated financial statements.

                                       6
<PAGE>


                               LAND O'LAKES, INC.

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                           ($ IN THOUSANDS IN TABLES)
                                   (UNAUDITED)


1.  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

    The unaudited consolidated financial statements reflect, in the opinion of
the management of Land O'Lakes, Inc. (the "Company"), all normal, recurring
adjustments necessary for a fair statement of the financial position and results
of operations and cash flows for the interim periods. The statements are
condensed and therefore do not include all of the information and footnotes
required by accounting principles generally accepted in the United States of
America for complete financial statements. For further information, refer to the
audited consolidated financial statements and footnotes for the year ended
December 31, 2002 included in our Annual Report on Form 10-K. The results of
operations and cash flows for interim periods are not necessarily indicative of
results for a full year.

RECENT ACCOUNTING PRONOUNCEMENTS

    On January 17, 2003, the Financial Accounting Standards Board ("FASB")
issued Interpretation No. 46, "Consolidation of Variable Interest Entities, an
Interpretation of ARB 51," ("FIN 46"). The primary objectives of FIN 46 are to
provide guidance on the identification and consolidation of variable interest
entities, or VIEs, which are entities for which control is achieved through
means other than through voting rights. FIN 46 is effective immediately for all
new variable interest entities created or acquired after January 31, 2003 and no
later than October 1, 2003 for variable interest entities created or acquired
prior to February 1, 2003. As permitted by the Interpretation, the Company
early-adopted FIN 46 on July 1, 2003 and began consolidating its joint venture
interest in MoArk LLC ("MoArk"), an egg production and marketing company, in the
third quarter of 2003.

    In May, 2003, the FASB issued Statement of Financial Accounting Standards
150, "Accounting for Certain Financial Instruments with Characteristics of Both
Liabilities and Equity." The statement establishes standards for how an issuer
classifies and measures certain financial instruments with characteristics of
both liabilities and equity. It requires that an issuer classify a financial
instrument that is within its scope as a liability (or an asset in some
circumstances). The statement is effective for the Company as of January 1,
2004, and the Company is currently evaluating the impact of the standard.

2.  MOARK LLC CONSOLIDATION AND PLANNED ACQUISITION OF MINORITY INTEREST

    At December 31, 2002, the Company carried its 50% ownership interest in
MoArk under the equity method with an investment balance of $44.7 million.
Osborne Investments, LLC ("Osborne") owned the remaining interest in MoArk. In
2003, the Company increased its ownership from 50% to 57.5% with an additional
investment of $7.8 million. In addition, the Company has the right to acquire
(and Osborne has the right to require the Company to acquire) the remaining
42.5% of MoArk owned by Osborne for a $42.2 million minimum payment in 2007.

    In accordance with the provisions of FIN 46, effective July 1, 2003, the
Company consolidated MoArk into its financial statements. Although Osborne has a
42.5% ownership interest in MoArk, the Company continues to be allocated 100% of
the income or loss from the operations of MoArk. In addition to consolidating
MoArk for accounting purposes, the Company has presumed that it will acquire the
remaining 42.5% in 2007. Effective July 1, 2003, the Company recorded this
presumed $42.2 million payment as a long-term liability at a present value of
$31.6 million using an effective interest rate of 7%.






                                       7

<PAGE>
    Since the consolidation of MoArk impacted the comparability of several
categories on the financial statements, the table below summarizes selected
balance sheet items for MoArk as of September 30, 2003.

                                                                 SEPTEMBER 30,
                                                                      2003
                                                                 -------------
               Current assets.................................   $      95,632
               Property, plant and equipment, net.............          84,928
               Property under capital lease...................          12,588
               Goodwill, net..................................          63,985
               Notes and short-term obligations...............          25,449
               Other current liabilities......................          35,834
               Long-term debt (including current portion).....          81,653
               Obligation under capital lease (including
               current portion)...............................          10,311

3.  RESTRICTED CASH

    On March 28, 2003, Cheese & Protein International LLC ("CPI"), a
consolidated joint venture, amended its lease for property and equipment
relating to its cheese manufacturing and whey processing plant in Tulare,
California. The amendment postponed the measurement of the fixed charge coverage
ratio requirement until March 2005. The amendment requires Land O'Lakes to
maintain a $20 million cash account (which may be replaced by a letter of credit
at the Company's option) to support the lease. The cash account or letter of
credit would only be drawn upon in the event of a CPI default and would reduce
amounts otherwise due under the lease. The requirement would be lifted pending
the achievement of certain financial targets by CPI.

4.  RECEIVABLES

    A summary of receivables is as follows:

<TABLE>
<CAPTION>
                                                    SEPTEMBER 30,   DECEMBER 31,
                                                         2003            2002
                                                    -------------   ------------
<S>                                                 <C>             <C>
      Trade accounts.............................   $     319,978   $   237,106
      Notes and contracts........................          61,799        44,565
      Notes from sale of trade receivables (see
      Note 5)....................................          23,872       225,144
      Other......................................          74,237        79,024
                                                    -------------   -----------
                                                          479,886       585,839
      Less allowance for doubtful accounts.......          21,966        18,255
                                                    -------------   -----------
      Total receivables, net.....................   $     457,920   $   567,584
                                                    =============   ===========
</TABLE>

    A substantial portion of Land O'Lakes receivables is concentrated in
agriculture, as well as, wholesale and retail food industries. Collections of
these receivables may be dependent upon economic returns in these industries.
The Company's credit risks are continually reviewed, and management believes
that adequate provisions have been made for doubtful accounts.

5.  RECEIVABLES PURCHASE FACILITY

    In December 2001, the Company established a $100.0 million receivables
purchase facility with CoBank, ACB ("CoBank"). A wholly-owned, unconsolidated
qualifying special purpose entity ("QSPE") was established to purchase certain
receivables from the Company. CoBank has been granted an interest in the pool of
receivables owned by the QSPE. The transfers of the receivables from the Company
to the QSPE are structured as sales; and accordingly, the receivables
transferred to the QSPE are not reflected in the consolidated balance sheet.
However, the Company retains credit risk related to the repayment of the notes
receivable with the QSPE, which, in turn, is dependent upon the credit risk of
the QSPE's receivables pool. Accordingly, the Company has retained reserves for
estimated losses. The Company expects no significant gains or losses from the
facility. At September 30, 2003, $70.0 million was outstanding under this
facility. The total amount of accounts receivable sold during the three months
ended September 30, 2003 and 2002 were $448.3 million and $498.5 million,
respectively. The total amount of accounts receivable sold during the nine
months ended September 30, 2003 and 2002 were $1,694.6 million and $1,763.3
million, respectively.






                                    8
<PAGE>

6.  INVENTORIES

    A summary of inventories is as follows:

<TABLE>
<CAPTION>
                                                           SEPTEMBER 30,  DECEMBER 31,
                                                              2003           2002
                                                           -------------  ------------
<S>                                                        <C>            <C>
                          Raw materials................     $     152,582  $    141,849
                          Work in process..............            33,021        33,707
                          Finished goods...............           315,192       270,830
                                                            -------------  ------------
                          Total inventories............     $     500,795  $    446,386
                                                            =============  ============
</TABLE>


7.  INVESTMENTS

    A summary of investments is as follows:

<TABLE>
<CAPTION>
                                                                        SEPTEMBER 30,  DECEMBER 31,
                                                                             2003          2002
                                                                        -------------  ------------
<S>                                                                     <C>            <C>
                     CF Industries, Inc...........................      $     249,502  $   249,502
                     Agriliance LLC...............................            125,598       91,629
                     Ag Processing Inc............................             38,400       37,854
                     Advanced Food Products LLC...................             28,350       27,418
                     CoBank, ACB..................................             19,752       22,061
                     Melrose Dairy Proteins, LLC..................              6,643        6,579
                     Universal Cooperatives.......................              6,473        6,473
                     Prairie Farms Dairy, Inc.....................              5,620        5,092
                     MoArk LLC....................................                 --       44,678
                     Other -- principally cooperatives and joint
                     ventures.....................................             60,834       54,306
                                                                        -------------  -----------
                     Total investments............................      $     541,172  $   545,592
                                                                        =============  ===========
</TABLE>


8.  GOODWILL AND OTHER INTANGIBLE ASSETS

GOODWILL

The carrying amount of goodwill is as follows:

<TABLE>
<CAPTION>
                                                                   SEPTEMBER 30,  DECEMBER 31,
                                                                        2003         2002
                                                                   -------------  ------------
<S>                                                              <C>            <C>
                       Dairy Foods..........................      $      66,259    $    66,718
                       Feed.................................            156,276        156,839
                       Seed.................................             13,414         16,948
                       Swine................................                607            647
                       Agronomy.............................             65,255         69,823
                       Layers...............................             71,328         11,897
                       Other................................                541            541
                                                                  -------------    -----------
                       Total goodwill.......................      $     373,680    $   323,413
                                                                  =============    ===========
</TABLE>

    In the Layers segment, the consolidation and presumed minority interest
acquisition of MoArk caused goodwill to increase by $59.8 million, which was
partially offset by $0.4 million of amortization. Goodwill decreases in Dairy
Foods, Feed, Swine, and Agronomy resulted from amortization associated with
investments in joint ventures and cooperatives. The goodwill decrease of $3.5
million in the Seed segment was related to amortization and reclassifications.











                                       9

<PAGE>

OTHER INTANGIBLE ASSETS


<TABLE>
<CAPTION>
                                                             SEPTEMBER 30,    DECEMBER 31,
                                                                  2003            2002
                                                             -------------    ------------
<S>                                                          <C>              <C>
          Amortized other intangible assets:
           Trademarks, less accumulated amortization
               of $1,600 and $1,615, respectively.........   $       2,369    $      2,725
            Patents, less accumulated amortization of
               $2,299 and $1,394, respectively............          14,074          14,979
            Agreements not to compete, less accumulated
               amortization of $2,769 and $2,324,
               respectively...............................           1,431           1,976
            Other intangible assets, less accumulated
               amortization of $7,835 and $7,343,
               respectively...............................          10,442           5,127
                                                             -------------    ------------
          Total amortized other intangible assets.........          28,316          24,807
          Total non-amortized other intangible assets --
            trademarks....................................          76,963          76,963
                                                             -------------    ------------
          Total other intangible assets...................   $     105,279    $    101,770
                                                             =============    ============
</TABLE>

    Amortization expense for the three months ended September 30, 2003 and 2002
was $1.4 million and $2.5 million, respectively. Amortization expense for the
nine months ended September 30, 2003 and 2002 was $3.7 million and $5.0 million,
respectively. The estimated amortization expense related to other intangible
assets subject to amortization for the next five years will approximate $3.1
million annually. The weighted-average life of the intangible assets subject to
amortization is approximately 12 years.


9.  DEBT OBLIGATIONS

    The Company had notes and short-term obligations of $81.2 million at
September 30, 2003 and $37.8 million at December 31, 2002. The Company also has
a $250 million 5-year revolving credit facility with a variable interest rate
based on LIBOR. There were no borrowings on this facility as of September 30,
2003.

    A summary of long-term debt is as follow:


<TABLE>
<CAPTION>
                                                                                      SEPTEMBER 30,    DECEMBER 31,
                                                                                          2003             2002
                                                                                      ------------      ----------
<S>                                                                                    <C>              <C>
 Term A Loan -- quarterly installments through
   2006 (variable rate based on LIBOR) .........................................       $  229,304       $  288,270
 Term B Loan -- quarterly installments through
   2008 (variable rate based on LIBOR) .........................................          204,874          231,417
 Senior unsecured notes -- due 2011 (8.75%) ....................................          350,000          350,000
  MoArk LLC debt -- due 2003 through 2023
   (6.25% weighted average) ....................................................           81,653             --
 Industrial development revenue bonds and
   other secured notes payable -- due 2003
   through 2016 (1.1% to 5.5%) .................................................           16,700           26,268
Capital Securities of Trust Subsidiary --
   due 2028 (7.45%) ............................................................          190,700          190,700
 Other debt ....................................................................           22,758           25,216
                                                                                       ----------       ----------
                                                                                        1,095,989        1,111,871
 Less current portion ..........................................................           72,434          104,563
                                                                                       ----------       ----------
 Total long-term debt ..........................................................       $1,023,555       $1,007,308
                                                                                       ==========       ==========
</TABLE>

    In the nine months ended September 30, 2003, the Company made payments on
the Term A Loan of $59.0 million and Term B Loan of $26.5 million, of which
$50.0 million were voluntary prepayments. The weighted average interest rates on
short-term borrowings and notes outstanding at September 30, 2003 and December
31, 2002 were 3.65% and 3.87%, respectively.

    Borrowings under the revolving credit facility and the term loans bear
interest at variable rates (either LIBOR or an Alternative Base Rate) plus
applicable margins. The margins depend on Land O'Lakes credit ratings. Based
upon Land O'Lakes existing credit ratings, the current LIBOR margins are 225
basis points for the revolving credit facility, 275 basis points for the Term A
Loan and 350 basis points for the Term B Loan. Spreads for the Alternative Base
Rate are 100 basis points lower than the applicable LIBOR spreads. LIBOR may be
set for one, two, three or six month periods at the election of Land O'Lakes. As
of September 30, 2003, interest rates on the Term A Loan and Term B Loan were
3.93% and 4.68%, respectively.

                                        10
<PAGE>

10.  COMPREHENSIVE INCOME

<TABLE>
<CAPTION>
                                                             NINE MONTHS    NINE MONTHS
                                                                ENDED          ENDED
                                                            SEPTEMBER 30,  SEPTEMBER 30,
                                                                 2003            2002
                                                            -------------  -------------
<S>                                                         <C>            <C>
               Net earnings.............................    $      42,947  $      35,332
               Minimum pension liability adjustment.....           (4,733)            --
                                                            -------------  -------------
               Total comprehensive income...............           38,214         35,332
                                                            =============  =============
</TABLE>

    The minimum pension liability adjustment is the Company's portion, net of
tax, of Agriliance's minimum pension liability adjustment.


11.  RESTRUCTURING AND IMPAIRMENT CHARGES

RESTRUCTURING CHARGES

    For the three months ended September 30, 2003, the Company recorded
restructuring charges of $0.3 million in the Dairy Foods segment for the planned
closure of a facility in Volga, SD. For the three months ended September 30,
2002, the Company recorded restructuring charges of $0.2 million in the Feed
segment related to employee severance and outplacement costs for employees at
various locations.

    For the nine months ended September 30, 2003, the Company recorded
restructuring charges of $2.8 million. Of this amount, Dairy Foods recorded a
restructuring charge of $1.0 million which represented severance costs for 44
employees as a result of closing a facility in Perham, MN and recorded $0.9
million for the planned closure of a facility in Volga, SD. Feed recorded a
restructuring charge of $0.6 million which represented severance costs related
to closing feed plants, and Seed recorded a restructuring charge of $0.3 million
for severance costs related to closing a facility. For the nine months ended
September 30, 2002, the Company recorded restructuring charges of $4.6 million.
Of this amount, Feed recorded a restructuring charge of $3.0 million which
represented severance and outplacement costs for 136 employees at the Ft. Dodge,
IA office facility and other feed plant facilities and Dairy Foods recorded a
restructuring charge of $1.6 million which represented severance and
outplacement costs for 82 employees for the Faribault, MN plant closure.

    A summary of restructuring activities and resulting reserve for the nine
months ended September 30, 2003 is as follows:

<TABLE>
<CAPTION>
                                      BALANCE                                BALANCE
                                    DECEMBER 31,   CHARGE TO    UTILIZED   SEPTEMBER 30,
                                        2002        EXPENSE     IN 2003        2003
                                    -----------   -----------  ---------   -----------
<S>                                 <C>           <C>          <C>         <C>
  Termination benefits..........    $     8,871   $     2,827  $  (8,865)  $     2,833
  Other.........................          1,604             -        (401)       1,203
                                    -----------   -----------  ----------  -----------
  Total.........................    $    10,475   $     2,827  $  (9,266)  $     4,036
                                    ===========   ===========  ==========  ===========
</TABLE>

IMPAIRMENT CHARGES

    For the three months ended September 30, 2002, the Company recorded an
impairment charge of $0.7 million in the Feed segment for the write-down of
certain plant assets to their estimated fair value.

    For the nine months ended September 30, 2003, the Company recorded
impairment charges of $0.3 million in the Seed segment and $0.1 million in the
Feed segment for write-downs of certain plant assets to their estimated fair
value. For the nine months ended September 30, 2002, the Company recorded an
impairment charge of $3.6 million. Feed recorded a $2.4 million charge related
to the write-down of certain impaired plant assets to their estimated fair
value, and Dairy Foods recorded a $1.2 million charge for impairment related to
the Faribault, MN dairy plant closure.



                                       11

<PAGE>
12.  GAIN ON LEGAL SETTLEMENTS

    During the nine months ended September 30, 2003 and 2002, the Company
recognized gains on legal settlements of $22.5 million and $36.8 million,
respectively, of which $3.4 million was recognized for the three month period
ended September 30, 2003, and $4.1 million was recognized for the three months
ended September 30, 2002. The gains represent cash received from product
suppliers against whom the Company alleged certain price-fixing claims.

13.  GAIN ON SALE OF INTANGIBLES

    For the nine months ended September 30, 2003, the Company recorded a $0.6
million gain on the sale of a customer list relating to the divestiture of a
joint venture in Taiwan. For the nine months ended September 30, 2002, the
Company recorded a $4.2 million gain on the sale of a customer list pertaining
to the feed phosphate distribution business.

14.  (GAIN) LOSS ON DIVESTITURE OF BUSINESSES

    For the nine months ended September 30, 2003, the Company recorded a loss of
$0.7 million on the divestiture of a Feed business in Taiwan. For the nine
months ended September 30, 2002, the Company recorded a gain of $4.9 million
related to the divestitures of a Crop Seed business for $3.7 million and the
Dairy Foods business in Poland for $1.2 million.

15.  GAIN ON SALE OF INVESTMENT

    For the nine months ended September 30, 2003, the Company recorded a gain of
$0.8 million on the sale of a Feed investment in a swine joint venture.

16.  SEGMENT INFORMATION

     The Company operates in six segments: Dairy Foods, Animal Feed, Crop Seed,
Swine, Agronomy and Layers.

     The Dairy Foods segment produces, markets and sells products such as
butter, spreads, cheese, and other dairy related products. Products are sold
under well-recognized national brand names including LAND O LAKES, the Indian
Maiden logo and Alpine Lace, as well as under regional brand names such as New
Yorker.

     The Animal Feed segment is largely made up of a 92% ownership position in
Land O'Lakes Farmland Feed LLC ("Land O'Lakes Farmland Feed"). Land O'Lakes
Farmland Feed develops, produces, markets and distributes animal feeds such as
ingredient feed, formula feed, milk replacers, vitamins and additives.

     The Crop Seed segment is a supplier and distributor of crop seed products
in the United States. A variety of crop seed is sold, including alfalfa,
soybeans, corn, forage and turf grasses.

     The Swine segment has three programs: farrow-to-finish, swine aligned and
cost-plus. The farrow-to-finish program produces and sells market hogs. The
swine aligned program raises feeder pigs which are sold to local member
cooperatives. The cost-plus program provides minimum hog price guarantees to
producers in exchange for swine feed sales and profit participation.

    The Agronomy segment consists primarily of the Company's 50% ownership in
Agriliance LLC ("Agriliance"), which is accounted for under the equity method.
Agriliance markets and sells two primary product lines: crop protection
(including herbicides and pesticides) and crop nutrients (including fertilizers
and micronutrients).

    The Layers segment consists of the Company's joint venture in MoArk, which
was consolidated as of July 1, 2003. MoArk produces and markets shell eggs and
egg products that are sold at retail and wholesale for consumer and industrial
use throughout the United States.

    The Company allocates corporate administration expense to all of its
business segments, both directly and indirectly. Corporate staff functions that
are able to determine actual services provided to each segment allocate expense
on a direct and predetermined basis. All other corporate staff functions
allocate expense indirectly based on each segment's percent of total invested
capital. A majority of corporate administration expense is allocated directly.



                                       12

<PAGE>


<TABLE>
<CAPTION>
                                  DAIRY FOODS     FEED        SEED       SWINE      AGRONOMY     LAYERS      OTHER    CONSOLIDATED
                                  -----------  ----------   --------   --------    ----------   --------   --------   ------------
FOR THE THREE MONTHS ENDED
SEPTEMBER 30, 2003
<S>                               <C>          <C>          <C>        <C>         <C>          <C>        <C>         <C>
  Net sales.....................  $  782,333   $  582,949   $ 46,483   $ 22,824    $       --   $142,129   $  3,570    $1,580,288
  Cost of sales.................     742,415      522,457     36,412     21,701            --    121,440      1,894     1,446,319
  Selling, general and
    administration..............      33,653       58,599     12,003      1,353         3,228     12,075      1,136       122,047
  Restructuring and impairment
    charges.....................         300           --          2         --            --         --         --           302
  Interest expense (income),
    net.........................       7,108        6,285       (212)     1,611         1,723      3,427       (629)       19,313
  Gain on legal settlements.....         (65)      (3,290)        --         --            --         --         --        (3,355)
  Loss on sale of investment....          --           26         --         --            --         --         --            26
  Equity in (earnings) loss of
    affiliated companies........      (2,192)        (189)        --       (339)          464     (3,344)        13        (5,587)
  Minority interest in earnings
    of subsidiaries.............          --          723         --         --            --         --         --           723
                                  ----------   ----------   --------   --------    ----------   --------   --------    ----------
  Earnings (loss) before income
    taxes.......................  $    1,114   $   (1,662)  $ (1,722)  $ (1,502)   $   (5,415)  $  8,531   $  1,156    $      500
                                  ==========   ===========  =========  =========   ===========  ========   ========    ==========

FOR THE THREE MONTHS ENDED
SEPTEMBER 30, 2002
  Net sales.....................  $  710,519  $   604,841  $  32,094  $  20,881   $        --  $      --  $   3,400    $1,371,735
  Cost of sales.................     671,691      532,305     28,325     24,781            --         --      1,901     1,259,003
  Selling, general and
     administration.............      42,641       62,054     11,477      1,563         3,747        528      1,585       123,595
  Restructuring and impairment
     charges....................          --          942         --         --            --         --         --           942
  Interest expense (income),
     net .......................       5,503        7,446        452      1,329         2,608      1,148       (434)       18,052
  Gain on legal settlements.....         (94)      (4,042)        --         --            --         --         --        (4,136)
  Gain on divestiture of
      businesses................          --          (24)    (3,706)        --            --         --         --        (3,730)
  Equity in (earnings) loss of
    affiliated companies........        (560)        (834)        --        484         2,733      2,578        143         4,544
  Minority interest in (loss)
    earnings of subsidiaries....      (2,506)       1,141         --         --            --         --         --        (1,365)
                                  ----------- -----------  ---------  ---------   -----------  ---------  ---------    -----------
  (Loss) earnings before income
    taxes.......................  $   (6,156) $     5,853  $  (4,454) $  (7,276)  $    (9,088) $  (4,254) $     205    $  (25,170)
                                  =========== ===========  ========== ==========  ============ ========== =========    ===========


                                  DAIRY FOODS     FEED        SEED       SWINE      AGRONOMY     LAYERS      OTHER    CONSOLIDATED
                                  -----------  ----------   --------   --------    ----------   --------   --------   ------------
FOR THE NINE MONTHS ENDED
SEPTEMBER 30, 2003
  Net sales.....................  $2,083,571   $1,779,102   $349,475   $ 66,490    $       --   $142,129   $ 10,016    $4,430,783
  Cost of sales.................   1,976,664    1,579,027    298,687     64,982            --    121,440      5,542     4,046,342
  Selling, general and
     administration.............     106,236      178,499     35,142      4,042         9,911     13,053      5,393       352,276
  Restructuring and impairment
     charges....................       1,900          707        562         --            --         --         --         3,169
  Interest expense (income),
     net........................      21,157       16,250      1,165      4,235         6,465      6,073     (1,756)       53,589
  Gain on legal settlements.....        (103)     (22,429)        --         --            --         --         --       (22,532)
  Gain on sale of intangible....          --         (550)        --         --            --         --         --          (550)
  Loss on divestiture of
     business...................          --          700         --         --            --         --         --           700
  Gain on sale of investment....          --         (820)        --         --            --         --         --          (820)
  Equity in (earnings) loss of
    affiliated companies........      (3,322)        (921)        --        (49)      (44,173)    (7,597)        44       (56,018)
  Minority interest in earnings
    of subsidiaries.............          --        3,639         --         --            --         --         --         3,639
                                  ----------   ----------   --------   --------    ----------   --------   --------    ----------
  (Loss) earnings before income
    taxes......................   $  (18,961)  $   25,000   $ 13,919   $ (6,720)   $   27,797   $  9,160   $    793    $   50,988
                                  ===========  ==========   ========   =========   ==========   ========   ========    ==========
FOR THE NINE MONTHS ENDED
SEPTEMBER 30, 2002
  Net sales.....................  $2,151,949  $ 1,810,564  $ 284,986  $  66,575   $        --  $      --  $   9,663    $4,323,737
  Cost of sales.................   2,029,720    1,593,719    241,980     68,409             3         --      5,296     3,939,127
  Selling, general and
    administration..............     127,317      188,104     34,634      4,792        13,232      1,713      5,517       375,309
  Restructuring and impairment
    charges.....................       2,800        5,418         --         --            --         --         --         8,218
  Interest expense (income),
    net ........................      15,298       22,546      2,168      3,966         6,906      3,345     (1,229)       53,000
  Gain on legal settlements.....        (922)     (35,913)        --         --            --         --         --       (36,835)
  Gain on sale of intangible....          --       (4,184)        --         --            --         --         --        (4,184)
  (Gain) loss on divestiture of
    businesses..................      (1,281)         (24)    (3,706)        --            --         --         76        (4,935)
  Equity in (earnings) loss of
    affiliated companies........        (497)      (1,402)      (105)       688       (36,633)     7,752        375       (29,822)
  Minority interest in (loss)
    earnings of subsidiaries....      (5,075)       3,511         --         --            --         --        109        (1,455)
                                   ---------- -----------  ---------  ---------   -----------  ---------  ---------    -----------
  (Loss) earnings before income
    taxes......................   $  (15,411) $    38,789  $  10,015  $ (11,280)  $    16,492  $ (12,810) $    (481)   $   25,314
                                  =========== ===========  =========  ==========  ===========  ========== ==========   ==========
</TABLE>




                                       13



<PAGE>





17. CONSOLIDATING FINANCIAL INFORMATION

    The Company has entered into financing arrangements which are guaranteed by
the Company and certain of its wholly-owned and majority-owned subsidiaries and
limited liability companies (the "Guarantor Subsidiaries"). Such guarantees are
full, unconditional and joint and several.

    The following supplemental financial information sets forth, on an
unconsolidated basis, balance sheet, statement of operations and cash flow
information for the Company, Guarantor Subsidiaries and the Company's other
subsidiaries and limited liability companies (the "Non-Guarantor Subsidiaries").
The supplemental financial information reflects the investments of the Company
in the Guarantor and Non-Guarantor Subsidiaries using the equity method of
accounting.




                                       14
<PAGE>


                               LAND O'LAKES, INC.

                    SUPPLEMENTAL CONSOLIDATING BALANCE SHEET
                               SEPTEMBER 30, 2003
<TABLE>
<CAPTION>
                                            LAND           WHOLLY-      MAJORITY-
                                        O'LAKES, INC.       OWNED         OWNED
                                           PARENT       CONSOLIDATED  CONSOLIDATED   NON-GUARANTOR
                                          COMPANY        GUARANTORS    GUARANTORS    SUBSIDIARIES   ELIMINATIONS    CONSOLIDATED
                                        -----------     -----------    -----------    -----------    -----------    ------------
                                                                       (UNAUDITED)
<S>                                     <C>             <C>            <C>            <C>            <C>             <C>
                                                               ASSETS
Current assets:
  Cash and short-term
     investments ...................    $    12,331     $     3,927    $     2,557    $     1,985    $        --     $    20,800
  Restricted cash ..................         20,000              --             --             --             --          20,000
  Receivables, net .................        397,326          18,476        156,542        113,734       (228,158)        457,920
  Inventories ......................        290,973          50,471        106,818         52,533             --         500,795
  Prepaid expenses .................         34,171           2,936          7,994          5,770             --          50,871
  Other current assets .............         39,297           1,191             --            673             --          41,161
                                        -----------     -----------    -----------    -----------    -----------     -----------
       Total current assets ........        794,098          77,001        273,911        174,695       (228,158)      1,091,547

Investments ........................      1,303,099             223         18,505          9,552       (790,207)        541,172
Property, plant and equipment,
  net ..............................        256,721          13,541        233,736        137,493             --         641,491
Property under capital lease .......             --              --             --        111,558             --         111,558
Goodwill, net ......................        184,334           3,224        121,862         64,260             --         373,680
Other intangibles ..................          4,084           1,178         95,744          4,273             --         105,279
Other assets .......................        142,796             582         26,987         54,982        (19,188)        206,159
                                        -----------     -----------    -----------    -----------    -----------     -----------
       Total assets ................    $ 2,685,132     $    95,749    $   770,745    $   556,813    $(1,037,553)    $ 3,070,886
                                        ===========     ===========    ===========    ===========    ===========     ===========

                                                      LIABILITIES AND EQUITIES
Current liabilities:
  Notes and short-term
     obligations ...................    $       536     $     2,900    $       977    $   114,607    $   (37,797)    $    81,223
  Current portion of long-term
     debt ..........................         62,890          55,171             --          9,572        (55,199)         72,434
  Current portion of obligation
     under capital lease ...........             --              --             --         10,083             --          10,083
  Accounts payable .................        357,219          14,138         95,615         38,041       (132,469)        372,544
  Accrued expenses .................        194,048           2,563         27,177         16,960        (12,255)        228,493
  Patronage refunds and other
    member equities payable ........          8,900              --             --             --             --           8,900
                                        -----------     -----------    -----------    -----------    -----------     -----------
       Total current liabilities ...        623,593          74,772        123,769        189,263       (237,720)        773,677


Long-term debt .....................        941,139           9,961             --         82,081         (9,626)      1,023,555
Obligation under capital lease .....             --              --             --        101,708             --         101,708
Employee benefits and other
  liabilities ......................        111,939              89         26,674          1,310             --         140,012
Deferred tax liabilities ...........         27,191           1,168             --         13,519             --          41,878
Minority interests .................         51,924              --          3,050          5,736             --          60,710
Equities:
  Capital stock ....................          2,143             966        502,116         91,145       (594,227)          2,143
  Member equities ..................        870,813              --             --             --             --         870,813
  Accumulated other
    comprehensive loss .............         (4,733)             --             --             --             --          (4,733)
  Retained earnings ................         61,123           8,793        115,136         72,051       (195,980)         61,123
                                        -----------     -----------    -----------    -----------    -----------     -----------
       Total equities ..............        929,346           9,759        617,252        163,196       (790,207)        929,346
                                        -----------     -----------    -----------    -----------    -----------     -----------
Commitments and contingencies
Total liabilities and equities .....    $ 2,685,132     $    95,749    $   770,745    $   556,813    $(1,037,553)    $ 3,070,886
                                        ===========     ===========    ===========    ===========    ===========     ===========
</TABLE>




                                       15

<PAGE>
                               LAND O'LAKES, INC.

               SUPPLEMENTAL CONSOLIDATING STATEMENT OF OPERATIONS
                  FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2003

<TABLE>
<CAPTION>
                                         LAND         WHOLLY-         MAJORITY-
                                    O'LAKES, INC.      OWNED            OWNED
                                        PARENT      CONSOLIDATED     CONSOLIDATED      NON-GUARANTOR
                                       COMPANY       GUARANTORS       GUARANTORS        SUBSIDIARIES   ELIMINATIONS   CONSOLIDATED
                                     -----------     -----------      -----------      -------------    -----------   ------------
                                                            (UNAUDITED)
<S>                                  <C>             <C>              <C>                <C>            <C>           <C>
Net sales........................    $   755,684     $    65,744      $   522,966        $   235,894    $        --   $ 1,580,288
Cost of sales....................        700,970          63,387          467,664            214,298             --     1,446,319
                                     -----------     -----------      -----------        -----------    -----------   -----------
Gross profit.....................         54,714           2,357           55,302             21,596             --       133,969

Selling, general and administration       48,176           3,989           54,802             15,080             --       122,047
Restructuring and impairment
charges..........................            302              --               --                 --             --           302
                                     -----------     -----------      -----------        -----------    -----------   -----------
Earnings (loss) from operations..          6,236          (1,632)             500              6,516             --        11,620

Interest expense (income), net...         17,774             614           (1,609)             2,534             --        19,313
Gain on legal settlements........         (3,148)             --             (207)                --             --        (3,355)
Loss on sale of investment.......             --              --               26                 --             --            26
Equity in (earnings) loss of
  affiliated companies...........         (6,516)             --             (248)            (3,297)         4,474        (5,587)
Minority interest in earnings of
  subsidiaries ..................            345              --              139                239             --           723
                                     -----------     -----------      -----------        -----------    -----------   -----------
(Loss) earnings before income
  taxes..........................         (2,219)         (2,246)           2,399              7,040         (4,474)          500
Income tax (benefit) expense.....           (856)         (1,066)              --              3,785             --         1,863
                                     ------------    ------------     -----------        -----------    -----------   -----------
Net (loss) earnings..............    $    (1,363)    $    (1,180)     $     2,399        $     3,255    $    (4,474)  $    (1,363)
                                     ============    ============     ===========        ===========    ============  ============
</TABLE>


                                       16

<PAGE>





                               LAND O'LAKES, INC.

               SUPPLEMENTAL CONSOLIDATING STATEMENT OF OPERATIONS
                  FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2003

<TABLE>
<CAPTION>

                                          LAND          WHOLLY-       MAJORITY-
                                      O'LAKES, INC.      OWNED          OWNED
                                         PARENT      CONSOLIDATED   CONSOLIDATED   NON-GUARANTOR
                                        COMPANY       GUARANTORS     GUARANTORS    SUBSIDIARIES   ELIMINATIONS   CONSOLIDATED
                                        -------       ----------     ----------    ------------   ------------   ------------
                                                             (UNAUDITED)

<S>                                   <C>            <C>            <C>            <C>            <C>            <C>
Net sales .........................   $ 2,269,756    $   164,446    $ 1,692,017    $   304,564    $        --    $ 4,430,783
Cost of sales .....................     2,097,762        156,713      1,501,445        290,422             --      4,046,342
                                      -----------    -----------    -----------    -----------    -----------    -----------
Gross profit ......................       171,994          7,733        190,572         14,142             --        384,441

Selling, general and
  administration...................       153,430         10,438        170,352         18,056             --        352,276
Restructuring and impairment
  charges .........................         1,902            560            707             --             --          3,169
                                      -----------    -----------    -----------    -----------    -----------    -----------
Earnings (loss) from operations ...        16,662         (3,265)        19,513         (3,914)            --         28,996

Interest expense (income), net ....        53,344          1,955         (4,889)         3,179             --         53,589
Gain on legal settlements .........       (19,323)            --         (3,209)            --             --        (22,532)
Gain on sale of intangible ........            --             --             --           (550)            --           (550)
Loss on divestiture of business ...           700             --             --             --             --            700
Gain on sale of investment ........            --             --           (820)            --             --           (820)
Equity in (earnings) loss of
  affiliated companies ............       (73,166)            --           (804)        (3,297)        21,249        (56,018)
Minority interest in earnings of
  subsidiaries ....................         2,522             --            510            607             --          3,639
                                      -----------    -----------    -----------    -----------    -----------    -----------
Earnings (loss) before income
  taxes ...........................        52,585         (5,220)        28,725         (3,853)       (21,249)        50,988
Income tax expense (benefit) ......         9,638           (987)            --           (610)            --          8,041
                                      -----------    -----------    -----------    -----------    -----------    -----------
Net earnings (loss) ...............   $    42,947    $    (4,233)   $    28,725    $    (3,243)   $   (21,249)   $    42,947
                                      ===========    ===========    ===========    ===========    ===========    ===========
</TABLE>


                                       17

<PAGE>

                               LAND O'LAKES, INC.

               SUPPLEMENTAL CONSOLIDATING STATEMENT OF CASH FLOWS
                  FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2003


<TABLE>
<CAPTION>

                                                  LAND         WHOLLY-       MAJORITY-
                                              O'LAKES, INC.     OWNED          OWNED
                                                 PARENT     CONSOLIDATED   CONSOLIDATED   NON-GUARANTOR
                                                COMPANY      GUARANTORS     GUARANTORS    SUBSIDIARIES   ELIMINATIONS   CONSOLIDATED
                                                -------      ----------     ----------    ------------   ------------   ------------
                                                             (UNAUDITED)

<S>                                           <C>           <C>            <C>            <C>            <C>            <C>
CASH FLOWS FROM OPERATING
  ACTIVITIES:
  Net earnings (loss) ......................   $  42,947    $  (4,233)   $  28,725       $  (3,243)      $ (21,249)     $  42,947
  Adjustments to reconcile net earnings
    (loss) to net cash provided (used) by
    operating activities:
    Depreciation and amortization ..........      42,728        1,662       29,557           9,513              --         83,460
    Amortization of deferred financing
       charges .............................       3,489           --           --              --              --          3,489
    Bad debt expense .......................         922           --        1,777              --              --          2,699
    Proceeds from patronage revolvement
      received .............................       2,671           --           --              --              --          2,671
    Non-cash patronage income ..............      (1,638)          --           --              --              --         (1,638)
    Receivable from legal settlement .......      90,707           --        6,000              --              --         96,707
    Deferred income tax expense ............       6,757           --           --              --              --          6,757
    (Increase) decrease in other assets ....      (6,778)      11,649         (549)           (665)          5,251          8,908
    Increase (decrease) in other
      liabilities ..........................       5,811          (76)      (1,672)            (36)             --          4,027
    Restructuring and impairment charges ...       1,902          560          707              --              --          3,169
    Loss on divestiture of business ........         700           --           --              --              --            700
    Equity in (earnings) loss of affiliated
      companies ............................     (73,166)          --         (804)         (3,297)         21,249        (56,018)
    Minority interest ......................       2,522           --          510             607              --          3,639
    Other ..................................     (14,136)         879       (1,253)          1,887              --        (12,623)
  Changes in current assets and
    liabilities, net of acquisitions and
    divestitures:
    Receivables ............................      69,208       11,581       86,838         (28,200)          2,968        142,395
    Inventories ............................     (38,142)      23,926        3,465          (5,812)             --        (16,563)
    Other current assets ...................     145,060        1,050        2,401             839              --        149,350
    Accounts payable .......................    (157,488)     (45,681)     (46,469)          1,858        (100,549)      (348,329)
    Accrued expenses .......................      17,143          919          398           2,803          (7,030)        14,233
                                               ---------    ---------    ---------       ---------       ---------      ---------
  Net cash provided (used) by operating
    activities .............................     141,219        2,236      109,631        (23,746)         (99,360)       129,980

CASH FLOWS FROM INVESTING
  ACTIVITIES:
  Additions to property, plant and
    equipment...............................     (32,091)        (582)     (15,678)         (6,978)             --        (55,329)
  Payments for investments .................      (9,815)          --           --              --              --         (9,815)
  Proceeds from divestiture of business ....         465           --           --              --              --            465
  Proceeds from sale of investments ........          --           --        3,000              --              --          3,000
  Proceeds from sale of property, plant
    and equipment ..........................      16,148           --        1,936              --              --         18,084
  Dividends from investments in
    affiliated companies....................       5,193           --           --              --              --          5,193

  Increase in restricted cash ..............     (20,000)          --           --              --              --        (20,000)
  Other ....................................         458           --        2,540              --              --          2,998
                                               ---------    ---------    ---------       ---------       ---------      ---------
  Net cash used by investing activities ....     (39,642)        (582)      (8,202)         (6,978)             --        (55,404)

CASH FLOWS FROM FINANCING
  ACTIVITIES:
  (Decrease) increase in short-term debt ...     (23,554)          --        1,165           5,659          30,060         13,330
  Proceeds from issuance of long-term debt..       6,215           --           --              --              --          6,215
  Payments on principal of long-term debt ..    (106,890)        (236)     (92,682)         (2,028)         94,710       (107,126)
  Payments on principal of capital lease
    obligation .............................          --           --           --          (7,171)             --         (7,171)
  Payments for redemption of member
    equities................................     (23,797)          --           --              --              --        (23,797)
  Other ....................................         446          (75)      (5,894)         31,379         (25,410)           446
                                               ---------    ---------    ---------       ---------       ---------      ---------
  Net cash (used) provided by financing
    activities .............................    (147,580)        (311)     (97,411)         27,839          99,360       (118,103)
                                               ---------    ---------    ---------       ---------       ---------      ---------
  Net (decrease) increase in cash and
    short-term investment ..................     (46,003)       1,343        4,018          (2,885)             --        (43,527)
Cash and short-term investments at
beginning of period ........................      58,334        2,584       (1,461)          4,870              --         64,327
                                               ---------    ---------    ---------       ---------       ---------      ---------
Cash and short-term investments at end of
  period ...................................   $  12,331    $   3,927    $   2,557       $   1,985       $      --      $  20,800
                                               =========    =========    =========       =========       =========      =========
</TABLE>


                                       18
<PAGE>
                               LAND O'LAKES, INC.

                    SUPPLEMENTAL CONSOLIDATING BALANCE SHEET
                                DECEMBER 31, 2002


<TABLE>
<CAPTION>

                                             LAND           WHOLLY-         MAJORITY-
                                         O'LAKES, INC.      OWNED             OWNED
                                            PARENT       CONSOLIDATED     CONSOLIDATED   NON-GUARANTOR
                                           COMPANY        GUARANTORS       GUARANTORS    SUBSIDIARIES   ELIMINATIONS   CONSOLIDATED
                                           -------        ----------       ----------    ------------   ------------   ------------
<S>                                      <C>             <C>             <C>               <C>            <C>           <C>
                                                                                   ASSETS
Current assets:
  Cash and short-term
     investments .....................   $   58,334      $    2,584       $   (1,461)       $    4,870    $       --    $   64,327
  Receivables, net ...................      472,165          30,057          150,447            45,377      (130,462)      567,584
  Receivable from legal settlement ...       90,707              --            6,000                --            --        96,707
  Inventories ........................      254,517          74,397          108,493             8,979            --       446,386
  Prepaid expenses ...................      176,541           4,840            7,625               240            --       189,246
  Other current assets ...............       12,868             337               --               673            --        13,878
                                         ----------      ----------       ----------        ----------    ----------    ----------
       Total current assets ..........    1,065,132         112,215          271,104            60,139      (130,462)    1,378,128

Investments ..........................    1,163,031           1,102           20,777             2,496      (641,814)      545,592
Property, plant and equipment, net....      260,078          23,131          246,402            50,249            --       579,860
Property under capital lease .........           --              --               --           105,736            --       105,736
Goodwill, net ........................      187,755          13,172          121,673               813            --       323,413
Other intangibles ....................        4,243             723           96,455               349            --       101,770
Other assets .........................      150,909           2,738           27,064            45,049       (13,937)      211,823
                                         ----------      ----------       ----------        ----------    ----------    ----------
       Total assets ..................   $2,831,148      $  153,081       $  783,475        $  264,831    $ (786,213)   $3,246,322
                                         ==========      ==========       ==========        ==========    ==========    ==========

                                                                         LIABILITIES AND EQUITIES
Current liabilities:
  Notes and short-term
     obligations .....................   $   27,040      $    2,818       $       59        $   66,174    $  (58,262)   $   37,829
  Current portion of long-term debt ..      104,347          64,963               --                47       (64,794)      104,563
  Obligation under capital lease .....           --              --               --           108,279            --       108,279
  Accounts payable ...................      503,851          68,329          117,563            18,553        (6,510)      701,786
  Accrued expenses ...................      158,323           1,644           45,361             4,526        (5,225)      204,629
  Patronage refunds and other
    member equities payable ..........       12,388              --               --                --            --        12,388
                                         ----------      ----------       ----------        ----------    ----------    ----------
       Total current liabilities......      805,949         137,754          162,983           197,579      (134,791)    1,169,474

Long-term debt .......................      988,696          10,197               --            18,023        (9,608)    1,007,308
Employee benefits and other
  liabilities ........................       75,588           1,333           26,071             1,348            --       104,340
Minority interests ...................       49,402              --               --             4,285            --        53,687
Equities:
  Capital stock ......................        2,190           1,084          507,956            61,123      (570,163)        2,190
  Member equities ....................      873,659              --               --                --            --       873,659
  Retained earnings ..................       35,664           2,713           86,465           (17,527)      (71,651)       35,664
                                         ----------      ----------       ----------        ----------    ----------    ----------
       Total equities ................      911,513           3,797          594,421            43,596      (641,814)      911,513
                                         ----------      ----------       ----------        ----------    ----------    ----------
Commitments and contingencies
Total liabilities and
  equities ...........................   $2,831,148      $  153,081       $  783,475        $  264,831    $ (786,213)   $3,246,322
                                         ==========      ==========       ==========        ==========    ==========    ==========
</TABLE>


                                       19

<PAGE>

                               LAND O'LAKES, INC.

               SUPPLEMENTAL CONSOLIDATING STATEMENT OF OPERATIONS
                  FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2002

<TABLE>
<CAPTION>
                                         LAND          WHOLLY-      MAJORITY-
                                     O'LAKES, INC.     OWNED          OWNED
                                        PARENT      CONSOLIDATED   CONSOLIDATED   NON-GUARANTOR
                                        COMPANY      GUARANTORS     GUARANTORS     SUBSIDIARIES   ELIMINATIONS  CONSOLIDATED
                                      -----------    -----------   -----------    -------------   ------------  ------------
                                                            (UNAUDITED)
<S>                                  <C>             <C>            <C>            <C>            <C>            <C>
Net sales .........................   $   695,463    $    63,822    $   581,423    $    31,027    $        --    $ 1,371,735
Cost of sales .....................       640,356         70,672        511,446         36,529             --      1,259,003
                                      -----------    -----------    -----------    -----------    -----------    -----------
Gross profit ......................        55,107         (6,850)        69,977         (5,502)            --        112,732

Selling, general and
  administration ..................        65,659         (5,983)        59,077          4,842             --        123,595
Restructuring and impairment
  charges .........................            --             --            942             --             --            942
                                      -----------    -----------    -----------    -----------    -----------    -----------
(Loss) earnings from operations ...       (10,552)          (867)         9,958        (10,344)            --        (11,805)

Interest expense (income), net ....        18,052            989           (772)          (217)            --         18,052
Gain on legal settlements .........        (4,136)            --             --             --             --         (4,136)
(Gain) loss on divestiture of
  businesses ......................        (3,078)        (3,682)            --          3,030             --         (3,730)
Equity in loss (earnings) of
  affiliated companies ............         1,470             --           (603)            --          3,677          4,544
Minority interest in earnings
  (loss) of subsidiaries ..........         3,516             --            (78)        (4,803)            --         (1,365)
                                      -----------    -----------    -----------    -----------    -----------    -----------

(Loss) earnings before income
  taxes ...........................       (26,376)         1,826         11,411         (8,354)        (3,677)       (25,170)
Income tax (benefit) expense ......       (14,388)         1,113           (286)           379             --        (13,182)
                                      -----------    -----------    -----------    -----------    -----------    -----------
Net (loss) earnings ...............   $   (11,988)   $       713    $    11,697    $    (8,733)   $    (3,677)   $   (11,988)
                                      ===========    ===========    ===========    ===========    ===========    ===========
</TABLE>



                                       20
<PAGE>





                               LAND O'LAKES, INC.

               SUPPLEMENTAL CONSOLIDATING STATEMENT OF OPERATIONS
                  FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2002

<TABLE>
<CAPTION>
                                            LAND         WHOLLY-        MAJORITY-
                                        O'LAKES, INC.     OWNED          OWNED
                                            PARENT     CONSOLIDATED   CONSOLIDATED    NON-GUARANTOR
                                          COMPANY       GUARANTORS     GUARANTORS     SUBSIDIARIES      ELIMINATIONS    CONSOLIDATED
                                        ------------   ------------   ------------    -------------     ------------    ------------
                                                             (UNAUDITED)
<S>                                     <C>            <C>            <C>             <C>              <C>              <C>
Net sales .........................     $ 2,340,968    $   167,723    $ 1,734,131     $    80,915      $        --      $ 4,323,737
Cost of sales .....................       2,175,800        150,725      1,523,648          88,954               --        3,939,127
                                        -----------    -----------    -----------     -----------      -----------      -----------
Gross profit ......................         165,168         16,998        210,483          (8,039)              --          384,610

Selling, general and
  administration ..................         172,093         16,800        177,964           8,452               --          375,309
Restructuring and impairment
  charges .........................           2,800             --          5,418              --               --            8,218
                                        -----------    -----------    -----------     -----------      -----------      -----------
(Loss) earnings from operations ...          (9,725)           198         27,101         (16,491)              --            1,083

Interest expense (income), net ....          52,625          3,021         (2,211)           (435)              --           53,000
Gain on legal settlements .........         (36,835)            --             --              --               --          (36,835)
Gain on sale of intangible ........              --             --         (4,184)             --               --           (4,184)
(Gain) loss on divestiture of
  businesses ......................          (2,714)        (3,682)            --           1,461               --           (4,935)
Equity in (earnings) loss of
  affiliated companies ............         (49,182)            --           (839)             --           20,199          (29,822)
Minority interest in earnings
  (loss) of subsidiaries ..........           2,800             --            230          (4,485)              --           (1,455)
                                        -----------    -----------    -----------     -----------      -----------      -----------
Earnings (loss) before income
  taxes............................          23,581            859         34,105         (13,032)         (20,199)          25,314
Income tax (benefit) expense ......         (11,751)         1,526           (782)            989               --          (10,018)
                                        -----------    -----------    -----------     -----------      -----------      -----------
Net earnings (loss) ...............     $    35,332    $      (667)   $    34,887     $   (14,021)     $   (20,199)     $    35,332
                                        ===========    ===========    ===========     ===========      ===========      ===========
</TABLE>





                                       21
<PAGE>
                               LAND O'LAKES, INC.

               SUPPLEMENTAL CONSOLIDATING STATEMENT OF CASH FLOWS
                  FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2002


<TABLE>
<CAPTION>
                                            LAND           WHOLLY-      MAJORITY-
                                       O'LAKES, INC.        OWNED        OWNED
                                           PARENT       CONSOLIDATED  CONSOLIDATED   NON-GUARANTOR
                                          COMPANY        GUARANTORS    GUARANTORS    SUBSIDIARIES   ELIMINATIONS   CONSOLIDATED
                                       -------------    ------------  ------------   -------------  ------------   ------------
<S>                                    <C>              <C>           <C>            <C>            <C>            <C>
                                                            (UNAUDITED)
CASH FLOWS FROM OPERATING
  ACTIVITIES:
  Net earnings (loss) .................    $  35,332     $    (667)    $  34,887     $ (14,021)      $ (20,199)    $  35,332
  Adjustments to reconcile net earnings
    (loss) to net cash provided (used)
    by operating activities:
    Depreciation and amortization .....       37,908         2,885        33,963         2,524              --        77,280
    Amortization of deferred financing
       charges.........................        2,289            --            --            --              --         2,289
    Bad debt expense ..................          957            --         2,175            --              --         3,132
    Proceeds from patronage revolvement
      received ........................          319            --            --            --              --           319
    Non-cash patronage income .........         (530)           --            --            --              --          (530)
    (Increase) decrease in other assets      (31,394)        2,673       (15,334)        6,554           5,381       (32,120)
    Increase (decrease) in other
       liabilities ....................        8,400          (654)       (2,928)          148              --         4,966
    Restructuring and impairment
       charges.........................        2,800            --         5,418            --              --         8,218
    (Gain) loss on divestiture of
       businesses......................       (2,714)       (3,682)           --         1,461              --        (4,935)
    Equity in (earnings) loss of
      affiliated companies.............      (49,182)           --          (839)           --          20,199       (29,822)
    Minority interest .................        2,800            --           230        (4,485)             --        (1,455)
    Other .............................       (6,988)           --           194           558              --        (6,236)
  Changes in current assets and
    liabilities, net of acquisitions
    and divestitures:
    Receivables .......................      189,843       (10,407)       11,201        (6,791)        (79,272)      104,574
    Inventories .......................      (14,402)       (2,569)       (1,124)         (887)             --       (18,982)
    Other current assets ..............       88,124         7,112         3,530           (14)             --        98,752
    Accounts payable ..................     (285,348)        2,219       (20,038)        1,730          17,133      (284,304)
    Accrued expenses ..................       34,442        (4,847)        3,565         1,088              --        34,248
                                           ---------     ---------     ---------     ---------      ----------     ---------
  Net cash provided (used) by
    operating activities ..............       12,656        (7,937)       54,900       (12,135)        (56,758)       (9,274)

CASH FLOWS FROM INVESTING
  ACTIVITIES:
  Additions to property, plant and
       equipment.......................      (39,355)       (1,083)      (14,338)       (2,482)             --       (57,258)
  Payments for investments ............       (3,315)           (4)           --        (1,194)           (556)       (5,069)
  Proceeds from divestiture of
    businesses.........................        3,351            --            --            --              --         3,351
  Proceeds from sale of investments ...       18,620           270         2,044           150              --        21,084
  Proceeds from sale of property, plant
    and equipment .....................        5,963            --         5,692            --              --        11,655
  Dividends from investments in
       affiliated companies............        8,632            --            --            --              --         8,632
  Other ...............................        3,980            --            --            --              --         3,980
                                           ---------     ---------     ---------     ---------      ----------     ---------
  Net cash used by investing
    activities ........................       (2,124)         (817)       (6,602)       (3,526)           (556)      (13,625)

CASH FLOWS FROM FINANCING
  ACTIVITIES:
  Increase (decrease) in short-term
    debt ..............................       30,603        (7,588)       (4,169)        8,391          15,170        42,407
  Proceeds from issuance of long-term
    debt...............................        4,520           229            --            24              --         4,773
  Payments on principal of long-term
    debt ..............................      (87,588)           --       (44,610)       (2,421)         52,844       (81,775)
  Payments for redemption of member
    equities ..........................      (36,970)           --            --            --              --       (36,970)
  Other ...............................       (3,642)        5,994          (581)       11,102         (10,700)        2,173
                                           ---------     ---------     ---------     ---------      ----------     ---------
  Net cash (used) provided by financing
    activities ........................      (93,077)       (1,365)      (49,360)       17,096          57,314       (69,392)
                                           ---------     ---------     ---------     ---------      ----------     ---------
  Net (decrease) increase in cash and
   short-term investments .............      (82,545)      (10,119)       (1,062)        1,435              --       (92,291)

Cash and short-term investments at
  beginning period.....................      111,054         9,090        (1,027)       11,052              --       130,169
                                           ---------     ---------     ---------     ---------      ----------     ---------
Cash and short-term investments at end
  of period............................    $  28,509     $  (1,029)    $  (2,089)    $  12,487      $       --     $  37,878
                                           =========     =========     =========     =========      ==========     =========
</TABLE>


                                       22


<PAGE>


                         LAND O'LAKES FARMLAND FEED LLC

                           CONSOLIDATED BALANCE SHEETS


<TABLE>
<CAPTION>
                                                             SEPTEMBER 30,     DECEMBER 31,
                                                                  2003             2002
                                                                  ----             ----
                                                                    ($ IN THOUSANDS)
                                                              (UNAUDITED)
ASSETS

Current assets:
<S>                                                          <C>               <C>
  Cash and short-term investments.....................       $         2,557   $         356
  Receivables, net....................................                46,946         127,382
  Receivable from legal settlement....................                    --           6,000
  Inventories.........................................               113,998         113,078
  Prepaid expenses and other current assets...........                 8,294           7,835
  Note receivable -- Land O'Lakes, Inc................               124,203          29,493
                                                             ---------------   -------------
          Total current assets........................               295,998         284,144

Investments...........................................                19,808          22,973
Property, plant and equipment, net....................               239,049         251,739
Goodwill, net.........................................               122,137         122,486
Other intangibles.....................................                96,005          96,804
Other assets..........................................                28,478          28,762
                                                             ---------------   -------------
          Total assets................................       $       801,475   $     806,908
                                                             ===============   =============

LIABILITIES AND EQUITIES

Current liabilities:
  Notes and short-term obligations....................       $           977   $       2,400
  Accounts payable....................................               102,793         121,219
  Accrued expenses....................................                29,552          48,134
                                                             ---------------   -------------
          Total current liabilities...................               133,322         171,753

Employee benefits and other liabilities...............                27,984          29,447
Minority interests....................................                 6,436           2,960

Equities:
  Contributed capital.................................               515,376         515,376
  Retained earnings...................................               118,357          87,372
                                                             ---------------   -------------
          Total equities..............................               633,733         602,748
                                                             ---------------   -------------
Commitments and contingencies
Total liabilities and equities........................       $       801,475   $     806,908
                                                             ===============   =============
</TABLE>

          See accompanying notes to consolidated financial statements.




                                       23












<PAGE>





                         LAND O'LAKES FARMLAND FEED LLC

                      CONSOLIDATED STATEMENTS OF OPERATIONS

<TABLE>
<CAPTION>
                                           FOR THE THREE MONTHS ENDED     FOR THE NINE MONTHS ENDED
                                                  SEPTEMBER 30,                  SEPTEMBER 30,
                                                2003            2002         2003            2002
                                                ----            ----         ----            ----
                                                              ($ IN THOUSANDS)
                                                                (UNAUDITED)

<S>                                       <C>             <C>             <C>             <C>
Net sales...............................  $    582,259    $   602,891     $  1,776,015    $1,798,643
Cost of sales...........................       522,109        530,858        1,577,419     1,583,446
                                          ------------    -----------     ------------    ----------
Gross profit............................        60,150         72,033          198,596       215,197

Selling, general and administration.....        57,509         60,378          174,947       181,208
Restructuring and impairment charges....            --            942              707         5,418
                                          ------------    -----------     ------------    ----------
Earnings from operations................         2,641         10,713           22,942        28,571

Interest income, net....................        (1,619)          (737)          (4,867)       (2,081)
Gain on legal settlements...............          (207)            --           (3,209)           --
Gain on sale of intangible..............            --             --               --        (4,184)
Loss (gain) on sale of investment.......            26             --             (820)           --
Equity in earnings of affiliated
companies...............................          (248)          (576)            (804)         (839)
Minority interest in earnings of
subsidiaries............................           378            194            1,117           680
                                          ------------    -----------     ------------    ----------
Earnings before income taxes............         4,311         11,832           31,525        34,995
Income tax expense......................           222            259              540           565
                                          ------------    -----------     ------------    ----------
Net earnings............................  $      4,089    $    11,573     $     30,985    $   34,430
                                          ============    ===========     ============    ==========
</TABLE>

          See accompanying notes to consolidated financial statements.





                                       24
<PAGE>





                         LAND O'LAKES FARMLAND FEED LLC

                      CONSOLIDATED STATEMENTS OF CASH FLOWS

<TABLE>
<CAPTION>
                                                                     FOR THE NINE MONTHS ENDED
                                                                           SEPTEMBER 30,
                                                                       2003               2002
                                                                       ----               ----
                                                                          ($ IN THOUSANDS)
                                                                            (UNAUDITED)
CASH FLOWS FROM OPERATING ACTIVITIES:
<S>                                                               <C>                 <C>
  Net earnings..............................................      $       30,985      $      34,430
  Adjustments to reconcile net earnings to net cash
     provided by operating activities:
     Depreciation and amortization..........................              29,942             34,333
     Bad debt expense.......................................               1,777              2,175
     Receivable from legal settlement.......................               6,000                 --
     Decrease (increase) in other assets....................                 284            (15,101)
     Decrease in other liabilities..........................              (1,431)            (2,993)
     Restructuring and impairment charges...................                 707              5,418
     Equity in earnings of affiliated companies.............                (804)              (839)
     Minority interest......................................               1,117                680
     Gain on sale of investments............................                (820)                --
  Changes in current assets and liabilities, net of
     acquisitions and divestitures:
     Receivables............................................              78,659              7,815
     Inventories............................................                 870                875
     Other current assets...................................               2,311              3,552
     Accounts payable.......................................             (42,947)           (21,853)
     Accrued expenses.......................................                  --              3,919
                                                                  --------------      -------------
  Net cash provided by operating activities.................             106,650             52,411

CASH FLOWS FROM INVESTING ACTIVITIES:
  Additions to property, plant and equipment................             (16,039)           (14,298)
  Proceeds from sale of investments.........................               3,000              2,044
  Proceeds from sale of property, plant and equipment.......               1,936              5,692
  Other.....................................................               2,540                 --
                                                                  --------------      -------------
    Net cash used by investing activities...................              (8,563)            (6,562)

CASH FLOWS FROM FINANCING ACTIVITIES:
  Decrease in short-term debt...............................              (1,176)            (2,000)
  Proceeds from note receivable from Land O'Lakes, Inc......             370,790            339,982
  Payments on note payable to Land O'Lakes, Inc.............            (465,500)          (386,850)
                                                                  ---------------     --------------
  Net cash used by financing activities.....................             (95,886)           (48,868)
                                                                  ---------------     --------------
  Net increase (decrease) in cash and short-term
    investments ............................................               2,201             (3,019)

Cash and short-term investments at beginning of period......                 356              3,019
                                                                  --------------      -------------
Cash and short-term investments at end of period............      $        2,557      $          --
                                                                  ==============      =============
</TABLE>

          See accompanying notes to consolidated financial statements.



                                       25

<PAGE>


                         LAND O'LAKES FARMLAND FEED LLC

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                           ($ IN THOUSANDS IN TABLES)
                                   (UNAUDITED)


1.  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

    The unaudited consolidated financial statements reflect, in the opinion of
the management of Land O'Lakes Farmland Feed LLC (the "Company"), all normal
recurring adjustments necessary for a fair statement of the financial position
and results of operations and cash flows for the interim periods. The statements
are condensed and therefore do not include all of the information and footnotes
required by accounting principles generally accepted in the United States of
America for complete financial statements. For further information, refer to the
audited consolidated financial statements and footnotes for the year ended
December 31, 2002 included in our Annual Report on Form 10-K. The results of
operations and cash flows for interim periods are not necessarily indicative of
results for a full year.

2.  RECEIVABLES

    A summary of receivables is as follows:

<TABLE>
<CAPTION>
                                                                          SEPTEMBER 30,   DECEMBER 31,
                                                                               2003            2002
                                                                          -------------   ------------
<S>                                                                       <C>             <C>
                           Trade accounts.............................    $      38,108   $    22,458
                           Notes and contracts........................            2,872        23,494
                           Notes from sale of trade receivables (see                 --        83,158
                           Note 3)....................................
                           Other......................................           18,351         8,871
                                                                          -------------   -----------
                                                                                 59,331       137,981
                           Less allowance for doubtful accounts.......           12,385        10,599
                                                                          -------------   -----------
                           Total receivables, net.....................    $      46,946   $   127,382
                                                                          =============   ===========
</TABLE>


3.  RECEIVABLES PURCHASE FACILITY

    In December 2001, the Company along with Land O'Lakes, Inc. ("Land O'Lakes")
established a $100.0 million receivables purchase facility with CoBank, ACB
("CoBank"). A wholly-owned unconsolidated qualifying special purpose entity, LOL
Farmland Feed SPV, LLC, ("QSPE"), was established to purchase certain
receivables from the Company along with Land O'Lakes. CoBank has been granted an
interest in the receivables owned by the QSPE. The transfers of the receivables
from the Company to the QSPE are structured as sales; and accordingly, the
receivables transferred to the QSPE are not reflected in the Company's
consolidated balance sheet. However, the Company retains the credit risk related
to the repayment of the notes receivable with the QSPE, which in turn is
dependent upon the credit risk of the QSPE's receivables. Accordingly, the
Company has retained reserves for estimated losses. The Company expects no
significant gains or losses from the sale of the receivables. At September 30,
2003, $70.0 million was outstanding under this facility. The total amount of
accounts receivable sold during the three months ended September 30, 2003 and
2002 were $513.2 million and $561.5 million, respectively. The total amount of
accounts receivable sold during the nine months ended September 30, 2003 and
2002 were $1,584.3 million and $1,686.7 million, respectively.

4.  INVENTORIES

    A summary of inventories is as follows:

<TABLE>
<CAPTION>
                                                               SEPTEMBER 30,  DECEMBER 31,
                                                                    2003           2002
                                                               -----------    -----------
<S>                                                            <C>            <C>
                         Raw materials.....................    $    76,936    $    83,187
                         Finished goods....................         37,062         29,891
                                                               -----------    -----------
                         Total inventories.................    $   113,998    $   113,078
                                                               ===========    ===========
</TABLE>






                                       26
<PAGE>




5.  INVESTMENTS

    The Company's investments are as follows:

<TABLE>
<CAPTION>
                                                   SEPTEMBER 30,  DECEMBER 31,
                                                       2003           2002
                                                   -------------  ------------
<S>                                                <C>            <C>
      New Feeds, LLC..........................     $     3,054    $     3,033
      Agland-Land O'Lakes Feed, LLC...........           2,432          2,585
      Pro-Pet, LLC............................           2,150          2,326
      Northern Country Feeds, LLC.............           1,762          1,704
      LOL Farmland Feed SPV, LLC..............           1,000          1,000
      CalvaAlto Liquid, LLC...................           1,302          1,302
      Strauss Feeds, LLC......................           1,336          1,041
      Nutrikowi Farmland, S.A. de C.V.........             876            876
      Dakotaland Feeds, LLC...................             839            744
      Harmony Farms, LLC......................              --          2,435
      Other...................................           5,057          5,927
                                                   -----------    -----------
      Total investments.......................     $    19,808    $    22,973
                                                   ===========    ===========
</TABLE>


6.  GOODWILL AND OTHER INTANGIBLE ASSETS

GOODWILL

The change in the carrying amount of goodwill for the nine months ended
September 30, 2003, is as follows.

Balance as of December 31, 2002.......................        $   122,486
  Amortization expense................................               (349)
                                                              ------------
Balance as of September 30, 2003......................        $   122,137
                                                              ===========

OTHER INTANGIBLE ASSETS

<TABLE>
<CAPTION>
                                                                                            SEPTEMBER 30,  DECEMBER 31,
                                                                                                 2003           2002
                                                                                            -----------    ------------
<S>                                                                                         <C>            <C>
     Amortized other intangible assets
       Trademarks, less accumulated amortization of $320 and $240, respectively......       $       562    $        621
       Patents, less accumulated amortization of $2,299 and $1,106, respectively.....            14,074          14,978
       Agreements not to compete, less accumulated amortization of $778 and $560,
         respectively................................................................               623             775
       Other intangible assets, less accumulated amortization of $6,147 and
         $5,991, respectively........................................................             3,783           3,467
                                                                                            -----------    ------------
     Total amortized other intangible assets.........................................            19,042          19,841
     Total non-amortized other intangible assets-trademarks..........................            76,963          76,963
                                                                                            -----------    ------------
     Total other intangible assets...................................................       $    96,005    $     96,804
                                                                                            ===========    ============
</TABLE>


    Amortization expense for the three months ended September 30, 2003 and 2002
was $0.7 million and $2.1 million, respectively. Amortization expense for the
nine months ended September 30, 2003 and 2002 was $2.0 million and $3.9 million,
respectively. The estimated amortization expense related to other intangible
assets subject to amortization for the next five years will approximate $2.2
million annually. The weighted-average life of the intangible assets subject to
amortization is approximately 13 years.

7.  RESTRUCTURING AND IMPAIRMENT CHARGES

RESTRUCTURING CHARGES

    For the nine months ended September 30, 2003, the Company recorded a
restructuring charge of $0.6 million which represented severance costs related
to closing feed plants.

    For the three months ended September 30, 2002, the Company recorded
restructuring charges of $0.2 million representing severance and outplacement
costs for employees at various locations. For the nine months ended September
30, 2002, the Company recorded restructuring charges of $3.0 million
representing severance and outplacement costs for 136 employees at the Ft.
Dodge, IA office and other plant facilities.





                                       27
<PAGE>





    A summary of the restructuring reserve for the nine months ended September
30, 2003 is as follows:

<TABLE>
<CAPTION>

                                        BALANCE                                   BALANCE
                                      DECEMBER 31,    CHARGE TO    UTILIZED     SEPTEMBER 30,
                                          2002         EXPENSE      IN 2003         2003
                                      ------------    ---------    --------     -------------

<S>                                  <C>           <C>           <C>           <C>
  Termination benefits..........      $     6,396   $       615   $   5,479     $     1,532
                                      ===========   ===========   =========     ===========
</TABLE>

IMPAIRMENT CHARGES

    For the nine months ended September 30, 2003, the Company recorded
impairment charges of $0.1 million for write-downs of certain plant assets to
their estimated fair value. For the three and nine months ended September 30,
2002, the Company recorded impairment charges of $0.7 million and $2.4 million,
respectively, for write-downs of certain plant assets to their estimated fair
value.

8.  GAIN ON LEGAL SETTLEMENTS

    During the nine months ended September 30, 2003, the Company recognized a
gain on legal settlements of $3.2 million, of which $0.2 was recognized in the
three months ended September 30, 2003. The gain represents cash received from
product suppliers against whom the Company alleged certain price-fixing claims.

9.  GAIN ON SALE OF INTANGIBLE

    In the nine months ended September 30, 2002, the Company recorded a $4.2
million gain on the sale of a customer list pertaining to the feed phosphate
distribution business.

10.  GAIN ON SALE OF INVESTMENT

    For the nine months ended September 30, 2003, the Company recorded a gain of
$0.8 million on the sale of a Feed investment in a swine joint venture.

11.  COMMITMENTS AND CONTINGENCIES

GUARANTEES OF PARENT DEBT

    In November 2001, Land O'Lakes, which owns 92% of the Company, issued $350
million of senior notes, due 2011. These notes are guaranteed by certain
domestic, wholly-owned subsidiaries of Land O'Lakes, including the Company, and
by each domestic wholly-owned subsidiary of the Company.

    This guarantee is a general unsecured obligation, ranks equally in right of
payment with all existing and future senior indebtedness of Land O'Lakes, is
senior in right of payment to all existing and future subordinated obligations
of Land O'Lakes, and is effectively subordinated to any secured indebtedness of
Land O'Lakes and its subsidiaries, including the Company, to the extent of the
value of the assets securing such indebtedness. The maximum potential amount of
future payments that the Company would be required to make is $350 million as of
September 30, 2003. Currently, the Company does not record a liability regarding
the guarantee. The Company has no recourse provision that would enable it to
recover amounts paid under the guarantee from Land O'Lakes or any other parties.










                                       28

<PAGE>




    The notes are not guaranteed by certain majority-owned subsidiaries of the
Company (the "Non-Guarantors"). Summarized financial information of the
Non-Guarantors, which is consolidated in the financial statements of the
Company, as of and for the periods indicated, are as follows:

<TABLE>
<CAPTION>
                                       NINE
                                   MONTHS ENDED    YEAR ENDED
                                   SEPTEMBER 30,  DECEMBER 31,
                                       2003           2002
                                       ----           ----

<S>                                <C>            <C>
Total assets (end of period)...    $     30,730   $    23,433
Net sales......................          83,998        53,669
Net earnings...................           2,260           626
</TABLE>

    In November 2001, Land O'Lakes entered into new term facilities consisting
of a $325 million five-year Term Loan A facility and a $250 million seven-year
Term Loan B facility. These facilities are unconditionally guaranteed by certain
domestic, wholly-owned subsidiaries of Land O'Lakes, including the Company, and
by each domestic wholly-owned subsidiary of the Company. The maximum potential
payment related to this guarantee is $434 million as of September 30, 2003. The
Company does not currently record a liability related to the guarantee of the
Term Loans, and the Company has no recourse provisions that would enable it to
recover from Land O'Lakes or any other parties.

GUARANTEES OF PRODUCER LOANS

    The Company guarantees certain loans to large producers financed by LOL
Finance Co. The loans totaled $14.6 million and $15.2 million at September 30,
2003 and December 31, 2002, respectively. Reserves for these guarantees of $0.7
million at both September 30, 2003 and December 31, 2002 are included in the
allowance for doubtful accounts. The maximum amount guaranteed by the Company is
$7.0 million with the remaining balance guaranteed by Land O'Lakes. There were
no write-offs related to producer loans for the nine months ended September 30,
2003. The Company would have recourse against the producer to partially offset
the liability.

    The Company also guarantees certain loans to producers and dealers financed
by third party lenders. The loans totaled $2.3 million and $2.4 million at
September 30, 2003 and December 31, 2002, respectively. Reserves for these
guarantees of $0.5 million and $0.5 million at September 30, 2003 and December
31, 2002, respectively, are included in the consolidated balance sheet. There
were no write-offs related to these loans in the nine months ended September 30,
2003. The maximum potential payment related to these guarantees is $1.0 million.
The Company has no recourse against the producer or dealer to partially offset
the potential liability.

12.  CONSOLIDATING FINANCIAL INFORMATION

    Land O'Lakes has issued $350 million in senior notes which are guaranteed by
certain domestic wholly-owned and majority-owned subsidiaries of Land O'Lakes,
including the Company and the Company's domestic wholly-owned subsidiaries (the
"Guarantor Subsidiaries"). Such guarantees are full, unconditional and joint and
several. The Company's majority-owned subsidiaries are excluded from the
guarantee ("Non-Guarantor Subsidiaries").

    The following supplemental financial information sets forth, on an
unconsolidated basis, balance sheet, statement of operations and cash flow
information for the Company, Guarantor Subsidiaries and the Company's
Non-Guarantor Subsidiaries. The supplemental financial information reflects the
investments of the Company in the Guarantor and Non-Guarantor Subsidiaries using
the equity method of accounting.



                                       29
<PAGE>



                         LAND O'LAKES FARMLAND FEED LLC

                    SUPPLEMENTAL CONSOLIDATING BALANCE SHEET
                               SEPTEMBER 30, 2003


<TABLE>
<CAPTION>
                                         LAND                      WHOLLY
                                       O'LAKES     WHOLLY OWNED    OWNED     WHOLLY OWNED
                                       FARMLAND    SUBSIDIARIES    PURINA    SUBSIDIARIES      NON-
                                       FEED LLC         OF         MILLS,     OF PURINA     GUARANTOR
                                        PARENT       LOLFF LLC   LLC PARENT   MILLS, LLC   SUBSIDIARIES ELIMINATIONS  CONSOLIDATED
                                      ------------ ------------ ------------ ------------  ------------ ------------  ------------
                                                                         ($ IN THOUSANDS)
                                                                               ASSETS
<S>                                   <C>          <C>          <C>          <C>           <C>          <C>           <C>
Current assets:
  Cash and short-term investments..   $      2,557 $         -- $         -- $         --  $         -- $         --  $      2,557
  Receivables, net ................         30,489       26,267           --          709        14,607      (25,126)       46,946
  Inventories .....................         88,251       18,050           --          517         7,180           --       113,998
  Prepaid expenses and other
    current assets ................          4,515          323        3,152            4           300           --         8,294
  Note receivable - Land
    O'Lakes, Inc. .................        124,203           --           --           --            --           --       124,203
                                      ------------ ------------ ------------ ------------  ------------ ------------  ------------
      Total current assets ........        250,015       44,640        3,152        1,230        22,087      (25,126)      295,998
Investments .......................        205,034          764           --        1,769         1,303     (189,062)       19,808
Property, plant and
  equipment, net ..................         99,116        6,991      126,574        1,055         5,313           --       239,049
Goodwill ..........................        118,206        3,656           --           --           275           --       122,137
Other intangibles .................         94,805          939           --           --           261           --        96,005
Other assets ......................         25,638        1,349           --           --         1,491           --        28,478
                                      ------------ ------------ ------------ ------------  ------------ ------------  ------------
      Total assets ................   $    792,814 $     58,339 $    129,726 $      4,054  $     30,730 $   (214,188) $    801,475
                                      ============ ============ ============ ============  ============ ============  ============

                                                                       LIABILITIES AND EQUITIES
Current liabilities:
  Notes and short-term
   obligations ....................   $        977 $         -- $         -- $         --  $         -- $         --  $        977
  Accounts payable ................        102,740       18,001           --           --         7,178      (25,126)      102,793
  Accrued expenses ................         25,640        1,362           --          175         2,375           --        29,552
                                      ------------ ------------ ------------ ------------  ------------ ------------  ------------
      Total current liabilities ...        129,357       19,363           --          175         9,553      (25,216)      133,322

Employee benefits and other
  liabilities .....................         26,674           --           --           --         1,310           --        27,984
Minority interests ................          3,050           --           --           --         3,386           --         6,436
Equities:
  Contributed capital .............        515,376       16,305       83,939       10,436        13,260     (123,940)      515,376
  Retained earnings ...............        118,357       22,671       45,787       (6,557)        3,221      (65,122)      118,357
                                      ------------ ------------ ------------ ------------  ------------ ------------  ------------
      Total equities ..............        633,733       38,976      129,726        3,879        16,481     (189,062)      633,733
                                      ------------ ------------ ------------ ------------  ------------ ------------  ------------
Commitments and contingencies
Total liabilities and equities ....   $    792,814 $     58,339 $    129,726 $      4,054  $     30,730 $   (214,188) $    801,475
                                      ============ ============ ============ ============  ============ ============  ============
</TABLE>

                                       30
<PAGE>


                         LAND O'LAKES FARMLAND FEED LLC

               SUPPLEMENTAL CONSOLIDATING STATEMENT OF OPERATIONS
                  FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2003

<TABLE>
<CAPTION>
                                       LAND                     WHOLLY
                                     O'LAKES     WHOLLY OWNED   OWNED      WHOLLY OWNED
                                     FARMLAND    SUBSIDIARIES   PURINA     SUBSIDIARIES      NON-
                                     FEED LLC         OF        MILLS,      OF PURINA     GUARANTOR
                                      PARENT       LOLFF LLC   LLC PARENT   MILLS, LLC   SUBSIDIARIES ELIMINATIONS  CONSOLIDATED
                                    ------------ ------------ ------------ ------------  ------------ ------------  ------------
                                                                          ($ IN THOUSANDS)
<S>                                 <C>          <C>          <C>          <C>           <C>          <C>           <C>
Net sales ......................... $    492,581 $     19,329 $         -- $     11,055  $     59,294 $         --  $    582,259
Cost of sales .....................      435,944       16,392        5,570        9,758        54,445           --       522,109
                                    ------------ ------------ ------------ ------------  ------------ ------------  ------------
Gross profit ......................       56,637        2,937       (5,570)       1,297         4,849           --        60,150
Selling, general and
  administrative...................       52,511        2,184           27           80         2,707           --        57,509
                                    ------------ ------------ ------------ ------------  ------------ ------------  ------------

Earnings (loss) from operations....        4,126          753       (5,597)       1,217         2,142           --         2,641

Interest income, net ..............       (1,577)         (33)          --           --            (9)          --        (1,619)
Gain on legal settlements .........           --           --         (207)          --            --           --          (207)
Loss on sale of investment ........           --           --           --           26            --           --            26
Equity in loss (earnings)
  of affiliated companies .........        1,475           --           --          (91)           --       (1,632)         (248)
Minority interest in earnings
  of subsidiaries .................          139           --           --           --           239           --           378
                                    ------------ ------------ ------------ ------------  ------------ ------------  ------------
Earnings (loss) before income
  taxes ...........................        4,089          786       (5,390)       1,282         1,912        1,632         4,311
Income tax expense ................           --           --           --           --           222           --           222
                                    ------------ ------------ ------------ ------------  ------------ ------------  ------------
Net earnings (loss) ............... $      4,089 $        786 $     (5,390)$      1,282  $      1,690 $      1,632  $      4,089
                                    ============ ============ ============ ============  ============ ============  ============
</TABLE>


                                       31
<PAGE>



                         LAND O'LAKES FARMLAND FEED LLC

               SUPPLEMENTAL CONSOLIDATING STATEMENT OF OPERATIONS
                  FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2003




<TABLE>
<CAPTION>
                                     LAND                         WHOLLY
                                    O'LAKES      WHOLLY OWNED     OWNED     WHOLLY OWNED
                                    FARMLAND     SUBSIDIARIES     PURINA    SUBSIDIARIES     NON-
                                    FEED LLC          OF          MILLS,     OF PURINA     GUARANTOR
                                     PARENT        LOLFF LLC    LLC PARENT   MILLS, LLC   SUBSIDIARIES ELIMINATIONS  CONSOLIDATED
                                 -------------  -------------- ------------ ------------  ------------ ------------  ------------
                                                                           ($ IN THOUSANDS)
<S>                               <C>           <C>            <C>          <C>           <C>          <C>           <C>
Net sales ......................  $  1,580,614  $     74,153   $        --  $     37,250  $     83,998 $         --  $  1,776,015
Cost of sales ..................     1,385,160        66,273        17,685        33,327        75,974           --     1,577,419
                                  ------------  ------------  ------------  ------------  ------------ ------------  ------------
Gross profit ...................       195,454         7,880       (17,685)        4,923         8,024           --       198,596

Selling, general and
  administrative................       161,665         6,828         1,603           256         4,595           --       174,947
Restructuring and impairment
  charges ......................           707            --            --            --            --           --           707
                                  ------------  ------------  ------------  ------------  ------------ ------------  ------------
Earnings (loss) from operations         33,082         1,052       (19,288)        4,667         3,429           --        22,942

Interest (income) expense, net .        (4,856)          (33)           --            --            22           --        (4,867)
Gain on legal settlements ......            --            --        (3,209)           --            --           --        (3,209)
Gain on sale of investment .....            --            --            --          (820)           --           --          (820)
Equity in loss (earnings)
  of affiliated companies ......         6,443            --            --           179            --       (7,426)         (804)
Minority interest in earnings
  of subsidiaries ..............           510            --            --            --           607           --         1,117
                                  ------------  ------------  ------------  ------------  ------------ ------------  ------------
Earnings (loss) before income
  taxes ........................        30,985         1,085       (16,079)        5,308         2,800        7,426        31,525
Income tax expense .............            --            --            --            --           540           --           540
                                  ------------  ------------  ------------  ------------  ------------ ------------  ------------
Net earnings (loss) ............  $     30,985  $      1,085  $    (16,079) $      5,308  $      2,260 $      7,426  $     30,985
                                  ============  ============  ============  ============  ============ ============  ============
</TABLE>

                                       32

<PAGE>


                         LAND O'LAKES FARMLAND FEED LLC

               SUPPLEMENTAL CONSOLIDATING STATEMENT OF CASH FLOWS
                  FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2003

<TABLE>
<CAPTION>
                                      LAND                        WHOLLY
                                     O'LAKES     WHOLLY OWNED     OWNED      WHOLLY OWNED
                                     FARMLAND    SUBSIDIARIES     PURINA     SUBSIDIARIES     NON-
                                     FEED LLC         OF          MILLS,      OF PURINA     GUARANTOR
                                      PARENT       LOLFF LLC    LLC PARENT    MILLS, LLC   SUBSIDIARIES  ELIMINATIONS  CONSOLIDATED
                                   ------------  ------------  ------------  ------------  ------------  ------------  ------------
                                                                           ($ IN THOUSANDS)
<S>                                <C>           <C>           <C>           <C>           <C>           <C>           <C>
CASH FLOWS FROM OPERATING
  ACTIVITIES:
  Net earnings (loss) ............ $     30,985  $      1,085  $    (16,079) $      5,308  $      2,260  $      7,426  $     30,985
  Adjustments to reconcile net
    earnings (loss) to net
    cash provided (used) by
    operating activities:
    Depreciation and
      amortization ...............       10,732         1,140        17,686            18           366            --        29,942
    Bad debt expense .............        1,777            --            --            --            --            --         1,777
    Receivable from legal
      settlement .................        6,000            --            --            --            --            --         6,000
    Decrease (increase) in other
      assets .....................          907           351            --            --         1,726        (2,700)          284
    (Decrease) increase in other
       liabilities ...............      (11,745)          516            --            --         3,647         6,151        (1,431)
    Restructuring and impairment
      charges ....................          707            --            --            --            --            --           707
    Equity in loss (earnings) of
     affiliated companies ........        6,443            --            --           179            --        (7,426)         (804)
    Minority interests ...........          510            --            --            --           607            --         1,117
    Gain on sale of investment ...           --            --            --          (820)           --            --          (820)
  Changes in current assets and
    liabilities, net of
    acquisitions and
    divestitures:
    Receivables ..................      140,350        (2,124)           --           658        (8,179)      (52,046)       78,659
    Inventories ..................        4,341        (2,293)           --         1,417        (2,595)           --           870
    Other current assets .........        2,406            (1)           --            (4)          (90)           --         2,311
    Accounts payable .............      (71,679)       (3,799)           --          (997)        3,522        30,006       (42,947)
    Accrued expenses .............        2,512        (1,593)           --          (521)         (398)           --            --
                                   ------------  ------------  ------------  ------------  ------------  ------------  ------------
  Net cash provided (used) by
   operating activities ..........      124,246        (6,718)        1,607         5,328           866       (18,589)      106,650

CASH FLOWS FROM INVESTING
  ACTIVITIES:
  Additions to property, plant
    and equipment ................      (15,137)         (560)           --            --          (342)           --       (16,039)
  Proceeds from sale of
    investments ..................        3,000            --            --            --            --            --         3,000
  Proceeds from sale of property,
    plant and equipment ..........          789            --         1,147            --            --            --         1,936
  Other ..........................          937            --         1,603            --            --            --         2,540
                                   ------------  ------------  ------------  ------------  ------------  ------------  ------------
  Net cash (used) provided by
   investing activities ..........      (10,411)         (560)        2,750            --          (342)           --        (8,563)

CASH FLOWS FROM FINANCING
  ACTIVITIES:
  (Decrease) increase in short-
    term debt ....................       (1,176)           --            --            --        (2,341)        2,341        (1,176)
  Proceeds from note receivable
    from Land O'Lakes, Inc. ......      370,790            --            --            --            --            --       370,790
  Payments on note payable to
    Land O'Lakes, Inc. ...........     (465,500)           --            --            --            --            --      (465,500)
  Distributions from Purina
    Mills, LLC ...................           --            --       (10,940)       (5,308)           --        16,248            --
                                   ------------  ------------  ------------  ------------  ------------  ------------  ------------
  Net cash (used) provided by
    financing activities .........      (95,886)           --       (10,940)       (5,308)       (2,341)       18,589       (95,886)
                                   ------------  ------------  ------------  ------------  ------------  ------------  ------------
  Net increase (decrease) in
    cash and short-term
    investments ..................       17,950        (7,278)       (6,584)          (70)       (1,817)           --         2,201

Cash and short-term investments
  at beginning of period .........      (15,393)        7,278         6,584            70         1,817            --           356
                                   ------------  ------------  ------------  ------------  ------------  ------------  ------------
Cash and short-term investments
  at end of period ............... $      2,557  $         --  $         --  $         --  $         --  $         --  $      2,557
                                   ============  ============  ============  ============  ============  ============  ============
</TABLE>


                                       33

<PAGE>
                         LAND O'LAKES FARMLAND FEED LLC

                    SUPPLEMENTAL CONSOLIDATING BALANCE SHEET
                                DECEMBER 31, 2002

<TABLE>
<CAPTION>
                                    LAND                        WHOLLY
                                   O'LAKES     WHOLLY OWNED     OWNED      WHOLLY OWNED
                                   FARMLAND    SUBSIDIARIES     PURINA     SUBSIDIARIES       NON-
                                   FEED LLC         OF          MILLS,      OF PURINA      GUARANTOR
                                   PARENT        LOLFF LLC    LLC PARENT    MILLS, LLC    SUBSIDIARIES  ELIMINATIONS   CONSOLIDATED
                                ------------   ------------  ------------  ------------   ------------  ------------   ------------
                                                                  ($ IN THOUSANDS)
<S>                             <C>            <C>           <C>           <C>            <C>           <C>            <C>
                                                                       ASSETS

Current assets:
  Cash and short-term
    investments ..............  $    (15,393)  $      7,278  $      6,550  $         70   $      1,817  $         --   $        356
  Receivables, net ...........       173,416         20,156        22,509         1,367          6,428       (96,494)       127,382
  Receivable from legal
    settlement ...............            --             --         6,000            --             --            --          6,000
  Inventories ................        45,693         15,757        45,109         1,934          4,585            --        113,078
  Prepaid expenses and other
    current assets ...........         3,224            322         4,079            --            210            --          7,835
  Note receivable - Land
    O'Lakes, Inc. ............        29,493             --        57,759            --             --       (57,759)        29,493
                                ------------   ------------  ------------  ------------   ------------  ------------   ------------
      Total current assets ...       236,467         43,513       142,006         3,371         13,040      (154,253)       284,144
Investments ..................       473,350            258            --         5,491          2,196      (458,322)        22,973
Property, plant and
  equipment, net .............        83,735          7,530       154,023         1,114          5,337            --        251,739
Goodwill .....................        12,815          3,656       105,202            --            813            --        122,486
Other intangibles ............            84          2,639        93,984            --             97            --         96,804
Other assets .................         7,959             --        21,553            --          1,950        (2,700)        28,762
                                ------------   ------------  ------------  ------------   ------------  ------------   ------------
      Total assets ...........  $    814,410   $     57,596  $    516,768  $      9,976   $     23,433  $   (615,275)  $    806,908
                                ============   ============  ============  ============   ============  ============   ============

                                                              LIABILITIES AND EQUITIES
Current liabilities:
  Notes and short-term .......  $      2,000   $         --  $         --  $         --   $      2,341  $     (2,341)  $      2,000
    obligations
  Accounts payable ...........       190,263         22,803        47,656         5,302          3,656      (148,461)       121,219
  Accrued expenses ...........        17,888          2,955        23,822           696          2,773            --         48,134
                                ------------   ------------  ------------  ------------   ------------  ------------   ------------
      Total current
        liabilities ..........       210,151         25,758        71,478         5,998          8,770      (150,802)       171,353
Notes payable -- Land
  O'Lakes, Inc. --
  noncurrent .................            --          2,700            --            --             --        (2,700)            --

Employee benefits and other
  liabilities ................         1,482             --        28,411            --          3,405        (3,451)        29,847
Minority interests ...........            --             --            29            --          2,931            --          2,960
Equities:
  Contributed capital ........       515,376         16,272       358,017         8,882          7,420      (390,980)       515,376
  Retained earnings
   (accumulated deficit) .....        87,372         12,866        58,862        (4,904)           907       (67,731)        87,372
                                ------------   ------------  ------------  ------------   ------------  ------------   ------------

      Total equities .........       602,748         29,138       416,879         3,978          8,327      (458,322)       602,748
                                ------------   ------------  ------------  ------------   ------------  ------------   ------------
Commitments and contingencies
Total liabilities and equities  $    814,410   $     57,596  $    516,768  $      9,976   $     23,433  $   (615,275)  $    806,908
                                ============   ============  ============  ============   ============  ============   ============
</TABLE>

                                       34

<PAGE>



                         LAND O'LAKES FARMLAND FEED LLC

               SUPPLEMENTAL CONSOLIDATING STATEMENT OF OPERATIONS
                  FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2002

<TABLE>
<CAPTION>
                                    LAND                        WHOLLY
                                   O'LAKES     WHOLLY OWNED     OWNED       WHOLLY OWNED
                                  FARMLAND     SUBSIDIARIES     PURINA      SUBSIDIARIES       NON-
                                  FEED LLC          OF          MILLS,       OF PURINA      GUARANTOR
                                   PARENT        LOLFF LLC    LLC PARENT     MILLS, LLC    SUBSIDIARIES  ELIMINATIONS  CONSOLIDATED
                                ------------   ------------  ------------   ------------   ------------  ------------  ------------
                                                                         ($ IN THOUSANDS)
<S>                             <C>            <C>           <C>            <C>            <C>           <C>           <C>
Net sales ....................  $    331,513   $     53,264  $    198,226   $      6,863   $     13,025  $         --  $    602,891
Cost of sales ................       303,050         48,720       163,029          5,090         10,969            --       530,858
                                ------------   ------------  ------------   ------------   ------------  ------------  ------------
Gross profit .................        28,463          4,544        35,197          1,773          2,056            --        72,033
Selling, general and
  administrative..............        28,511          3,158        24,581          2,739          1,389            --        60,378
Restructuring and impairment
  charges ....................           942             --            --             --             --            --           942
                                ------------   ------------  ------------   ------------   ------------  ------------  ------------
(Loss) earnings from
  operations..................          (990)         1,386        10,616           (966)           667            --        10,713
Interest (income) expense, net          (546)            98          (319)            (5)            35            --          (737)
Equity in (earnings) loss
  of affiliated companies ....       (12,016)            --           101           (191)            --        11,530          (576)
Minority interest in (loss)
  earnings of subsidiaries ...            (1)            25          (102)            --            272            --           194
                                ------------   ------------  ------------   ------------   ------------  ------------  ------------
Earnings (loss) before income
  taxes ......................        11,573          1,263        10,936           (770)           360       (11,530)       11,832
Income tax expense ...........            --             --            --             --            259            --           259
                                ------------   ------------  ------------   ------------   ------------  ------------  ------------
Net earnings (loss) ..........  $     11,573   $      1,263  $     10,936   $       (770)  $        101  $    (11,530) $     11,573
                                ============   ============  ============   ============   ============  ============  ============
</TABLE>

                                       35
<PAGE>



                         LAND O'LAKES FARMLAND FEED LLC

               SUPPLEMENTAL CONSOLIDATING STATEMENT OF OPERATIONS
                  FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2002

<TABLE>
<CAPTION>
                                      LAND                      WHOLLY
                                     O'LAKES    WHOLLY OWNED    OWNED      WHOLLY OWNED
                                    FARMLAND    SUBSIDIARIES    PURINA     SUBSIDIARIES      NON-
                                    FEED LLC        OF          MILLS,      OF PURINA     GUARANTOR
                                     PARENT      LOLFF LLC    LLC PARENT    MILLS, LLC   SUBSIDIARIES  ELIMINATIONS  CONSOLIDATED
                                  ------------  ------------ ------------  ------------  ------------  ------------  ------------
                                                                        ($ IN THOUSANDS)
<S>                               <C>           <C>          <C>           <C>           <C>           <C>           <C>
Net sales ....................... $    997,869  $    141,592 $    598,057  $     20,805  $     40,320  $         --  $  1,798,643
Cost of sales ...................      909,949       128,452      493,981        15,458        35,606            --     1,583,446
                                  ------------  ------------ ------------  ------------  ------------  ------------  ------------
Gross profit ....................       87,920        13,140      104,076         5,347         4,714            --       215,197
Selling, general and
  administrative ................       84,357         8,662       76,641         7,822         3,726            --       181,208
Restructuring and impairment
  charges .......................        5,418            --           --            --            --            --         5,418
                                  ------------  ------------ ------------  ------------  ------------  ------------  ------------
(Loss) earnings from
  operations ....................       (1,855)        4,478       27,435        (2,475)          988            --        28,571
Interest (income) expense, net ..       (1,646)          339         (894)          (10)          130            --        (2,081)
Gain on sale of intangible ......       (4,184)           --           --            --            --            --        (4,184)
Equity in (earnings) loss
  of affiliated companies .......      (30,454)           --           44           443            --        29,128          (839)
Minority interest in (loss)
  earnings of subsidiaries ......           (1)          231           --            --           450            --           680
                                  ------------  ------------ ------------  ------------  ------------  ------------  ------------
Earnings (loss) before income
  taxes .........................       34,430         3,908       28,285        (2,908)          408       (29,128)       34,995
Income tax expense ..............           --            --           --            --           565            --           565
                                  ------------  ------------ ------------  ------------  ------------  ------------  ------------
Net earnings (loss) ............. $     34,430  $      3,908 $     28,285  $     (2,908) $       (157) $    (29,128) $     34,430
                                  ============  ============ ============  ============  ============  ============  ============
</TABLE>


                                       36
<PAGE>



                         LAND O'LAKES FARMLAND FEED LLC

               SUPPLEMENTAL CONSOLIDATING STATEMENT OF CASH FLOWS
                  FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2002


<TABLE>
<CAPTION>
                                      LAND                       WHOLLY
                                     O'LAKES    WHOLLY OWNED     OWNED      WHOLLY OWNED
                                    FARMLAND    SUBSIDIARIES     PURINA     SUBSIDIARIES      NON-
                                    FEED LLC        OF           MILLS,      OF PURINA     GUARANTOR
                                     PARENT      LOLFF LLC     LLC PARENT    MILLS, LLC   SUBSIDIARIES  ELIMINATIONS  CONSOLIDATED
                                  ------------  ------------  ------------  ------------  ------------  ------------  ------------
                                                                        ($ IN THOUSANDS)
<S>                               <C>           <C>           <C>           <C>           <C>           <C>           <C>
CASH FLOWS FROM OPERATING
  ACTIVITIES:
  Net earnings (loss) ........... $     34,430  $      3,908  $     28,285  $     (2,908) $       (157) $    (29,128) $     34,430
  Adjustments to reconcile
    net earnings (loss) to net
    cash provided (used) by
    operating activities:
    Depreciation and
      amortization ..............       11,676           710        21,234           189           524            --        34,333
    Bad debt expense ............        2,175            --            --            --            --            --         2,175
    Decrease (increase) in
      other assets ..............       30,080            (5)       (2,640)         (152)        1,318       (43,702)      (15,101)
    (Decrease) increase in
      other liabilities .........         (340)       (3,624)        1,058            --           (87)           --        (2,993)
    Restructuring and impairment
      charges ...................        5,418            --            --            --            --            --         5,418
    Equity in (earnings) loss of
      affiliated companies ......      (30,454)           --            44           443            --        29,128          (839)
    Minority interest ...........           (1)          231            --            --           450            --           680
  Changes in current assets and
    liabilities, net of
    acquisitions and
    divestitures:
    Receivables .................      (28,256)       (4,346)        2,621          (433)       (3,387)       41,616         7,815
    Inventories .................       (3,594)        1,853            68           550         1,998            --           875
    Other current assets ........        1,558           539         1,426            (2)           31            --         3,552
    Accounts payable ............       36,684         5,588       (16,260)        1,933          (629)      (49,169)      (21,853)
    Accrued expenses ............        9,528           694        (6,892)          235           354            --         3,919
                                  ------------  ------------  ------------  ------------  ------------  ------------  ------------
  Net cash provided (used)
    by operating activities .....       68,904         5,548        28,944          (145)          415       (51,255)       52,411

CASH FLOWS FROM INVESTING
  ACTIVITIES:
  Additions to property, plant
    and equipment ...............       (7,799)         (444)       (5,798)         (143)         (114)           --       (14,298)
  Proceeds from sale of
    investments .................        1,592            --           452            --            --            --         2,044
  Proceeds from sale of
    property, plant and equipment        5,692            --            --            --            --            --         5,692
                                  ------------  ------------  ------------  ------------  ------------  ------------  ------------
  Net cash used by investing
    activities ..................         (515)         (444)       (5,346)         (143)         (114)           --        (6,562)

CASH FLOWS FROM FINANCING
    ACTIVITIES:
  (Decrease) increase in
    short-term debt .............       (2,000)           --            --            --            --            --        (2,000)
  Proceeds from note receivable
    from Land O'Lakes, Inc. .....      339,982            --            --            --            --            --       339,982
  Payments on note payable
    to Land O'Lakes, Inc. .......     (402,025)       (1,610)      (32,212)           --        (2,258)       51,255      (386,850)
                                  ------------  ------------  ------------  ------------  ------------  ------------  ------------
  Net cash (used) provided by
    financing activities ........      (64,043)       (1,610)      (32,212)           --        (2,258)       51,255       (48,868)
                                  ------------  ------------  ------------  ------------  ------------  ------------  ------------
  Net increase (decrease) in
    cash ........................        4,346         3,494        (8,614)         (288)       (1,957)           --        (3,019)

Cash and short-term investments
  at beginning of period ........      (19,774)        4,377        14,156           214         4,046            --         3,019
                                  ------------  ------------  ------------  ------------  ------------  ------------  ------------
Cash and short-term investments
  at end of period .............. $    (15,428) $      7,871  $      5,542  $        (74) $      2,089  $         --  $         --
                                  ============  ============  ============  ============  ============  ============  ============
</TABLE>


                                       37
<PAGE>


                                PURINA MILLS, LLC

                           CONSOLIDATED BALANCE SHEETS


<TABLE>
<CAPTION>
                                                            SEPTEMBER 30,      DECEMBER 31,
                                                                2003               2002
                                                            -------------      ------------
                                                             (UNAUDITED)
                                                                    ($ IN THOUSANDS)

<S>                                                         <C>                <C>
ASSETS

Current assets:
  Cash and short-term investments ....................      $         251      $       6,654
  Receivables, net ...................................                693             23,990
  Receivable from legal settlement ...................                 --              6,000
  Inventories ........................................                964             47,620
  Prepaid expenses and other current assets ..........              3,181              4,079
  Note receivable from Land O'Lakes Farmland Feed LLC                  --             57,759
                                                            -------------      -------------
          Total current assets .......................              5,089            146,102

Investments ..........................................              1,770              5,491
Property, plant and equipment, net ...................            128,871            156,291
Goodwill .............................................                 60            105,202
Other intangibles ....................................                 --             94,044
Other assets .........................................                 --             21,547
                                                            -------------      -------------
          Total assets ...............................      $     135,790      $     528,677
                                                            =============      =============

LIABILITIES AND EQUITIES

Current liabilities:
  Accounts payable ...................................                160             53,308
  Accrued expenses ...................................              1,027             24,995
                                                            -------------      -------------
          Total current liabilities ..................              1,187             78,303

Employee benefits and other liabilities ..............              1,080             29,493
Minority interests ...................................                 21                 29

Equities:
  Contributed capital ................................             90,697            367,288
  Retained earnings ..................................             42,805             53,564
                                                            -------------      -------------
          Total equities .............................            133,502            420,852
                                                            -------------      -------------
Commitments and contingencies
Total liabilities and equities .......................      $     135,790      $     528,677
                                                            =============      =============
</TABLE>

          See accompanying notes to consolidated financial statements.

                                       38


<PAGE>
                                PURINA MILLS, LLC

                      CONSOLIDATED STATEMENTS OF OPERATIONS

<TABLE>
<CAPTION>
                                              FOR THE THREE MONTHS ENDED       FOR THE NINE MONTHS ENDED
                                                      SEPTEMBER 30,                    SEPTEMBER 30,
                                                2003             2002             2003             2002
                                             ----------       ----------       ----------       ----------
                                                                    ($ IN THOUSANDS)
                                                                       (UNAUDITED)
<S>                                          <C>              <C>              <C>              <C>
Net sales .............................      $   11,808       $  205,511       $   40,121       $  620,293
Cost of sales .........................          15,981          168,439           52,597          510,512
                                             ----------       ----------       ----------       ----------
Gross profit (loss) ...................          (4,173)          37,072          (12,476)         109,781


Selling, general and administrative ...             211           27,448            2,118           85,002
                                             ----------       ----------       ----------       ----------
(Loss) earnings from operations .......          (4,384)           9,624          (14,594)          24,779

Interest (income) expense, net ........              --             (322)               3             (886)
Gain on legal settlements .............            (207)              --           (3,209)              --
Loss (gain) on sale of investment .....              26               --             (820)              --
Equity in (earnings) loss of affiliated
  companies............................             (83)             (90)             199              487
Minority interest in (loss) earnings
  of subsidiaries......................              --              (62)              (8)               7
                                             ----------       ----------       ----------       ----------
Net (loss) earnings ...................      $   (4,120)      $   10,098       $  (10,759)      $   25,171
                                             ==========       ==========       ==========       ==========
</TABLE>

          See accompanying notes to consolidated financial statements.

                                       39
<PAGE>



                                PURINA MILLS, LLC

                      CONSOLIDATED STATEMENTS OF CASH FLOWS

<TABLE>
<CAPTION>
                                                                           FOR THE NINE MONTHS ENDED
                                                                                  SEPTEMBER 30,
                                                                             2003             2002
                                                                          ----------       ----------
                                                                                ($ IN THOUSANDS)
                                                                                  (UNAUDITED)
<S>                                                                       <C>              <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
  Net (loss) earnings ..............................................      $  (10,759)      $   25,171
  Adjustments to reconcile net (loss) earnings to net cash
     provided by operating activities:
     Depreciation and amortization .................................          17,704           21,423
     Increase in other assets ......................................              --           (2,792)
     (Decrease) increase in other liabilities ......................            (570)           1,058
     Equity in loss of affiliated companies ........................             199              487
     Minority interest .............................................              (8)               7
     Gain on sale of investment ....................................            (820)              --
     Loss on sale of property, plant and equipment .................           1,419               --
     Other .........................................................             582               --
  Changes in current assets and liabilities, net of acquisitions and
     divestitures:
     Receivables ...................................................             656            2,387
     Inventories ...................................................           1,541              618
     Other current assets ..........................................             937            1,424
     Accounts payable ..............................................            (475)         (14,327)
     Accrued expenses ..............................................            (845)          (6,657)
                                                                          ----------       ----------
  Net cash provided by operating activities ........................           9,561           28,799

CASH FLOWS FROM INVESTING ACTIVITIES:
  Additions to property, plant and equipment .......................              --           (5,941)
  Payments for investments .........................................              --              (15)
  Dividends from affiliated companies ..............................             375               --
  Proceeds from sale of investments ................................           3,000              467
  Proceeds from sale of property, plant and equipment ..............           1,147               --
                                                                          ----------       ----------
    Net cash provided (used) by investing activities ...............           4,522           (5,489)

CASH FLOWS FROM FINANCING ACTIVITIES:
  Payments on note payable to Land O'Lakes
     Farmland Feed LLC .............................................              --          (31,942)
  Cash distribution to parent ......................................         (20,486)              --
  Other ............................................................              --             (270)
                                                                          ----------       ----------
  Net cash used by financing activities ............................         (20,486)         (32,212)
                                                                          ----------       ----------
  Net decrease in cash and short-term investments ..................          (6,403)          (8,902)

Cash and short-term investments at beginning of period .............           6,654           14,370
                                                                          ----------       ----------
Cash and short-term investments at end of period ...................      $      251       $    5,468
                                                                          ==========       ==========
</TABLE>


          See accompanying notes to consolidated financial statements.

                                       40
<PAGE>

                                PURINA MILLS, LLC

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                           ($ IN THOUSANDS IN TABLES)
                                   (UNAUDITED)


1.  ORGANIZATION

    Purina Mills, LLC ("the Company") was established in October, 2001 through
the merger of Purina Mills, Inc. with a wholly-owned subsidiary of Land O'Lakes,
Inc. As a result of the merger, Purina Mills, Inc. was reorganized as a limited
liability company, renamed Purina Mills, LLC, and was contributed to Land
O'Lakes Farmland Feed LLC ("Land O'Lakes Farmland Feed") on October 11, 2001.

    Since October 2001, Land O'Lakes Farmland Feed has been integrating the
Company's operations into its own to decrease operating costs and to generate
other integration-related synergies. In January 2003, Nestle Purina PetCare
Company ("NPPC") consented to the transfer of the Purina license from the
Company to Land O'Lakes Farmland Feed. This transfer granted Land O'Lakes
Farmland Feed the exclusive right to use the Purina, Chow and the "Checkerboard"
Nine Square logo on a perpetual, royalty-free basis. In connection with the
transfer of the Purina license beginning January 1, 2003, the Company also
transferred most of its operations and distributed most of its net assets to its
parent, Land O'Lakes Farmland Feed. At September 30, 2003, the Company still
owns a significant amount of property, plant, and equipment assets which
generated no revenue for the Company, as these assets are operated and
controlled by Land O'Lakes Farmland Feed.

2.  STATEMENT PRESENTATION

    The consolidated financial statements include the accounts of the Company
and wholly-owned and majority-owned subsidiaries and limited liability
companies. Intercompany balances and transactions have been eliminated. The
Company's parent company, Land O'Lakes Farmland Feed, conducts its operations
using property, plant, and equipment assets of the Company. Accordingly, the
consolidated financial statements reflect depreciation expense associated with
these assets for which no reimbursement is received from the parent company.

3.  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

    The unaudited consolidated financial statements reflect, in the opinion of
the management of Purina Mills, LLC, all normal recurring adjustments necessary
for a fair statement of the financial position and results of operations and
cash flows for the interim periods. The statements are condensed, and therefore
do not include all of the information and footnotes required by accounting
principles generally accepted in the United States of America for complete
financial statements. For further information, refer to the audited consolidated
financial statements and footnotes for the year ended December 31, 2002 included
in our Annual Report on Form 10-K. The results of operations and cash flows for
interim periods are not necessarily indicative of results for a full year.

4.  SUPPLEMENTAL CASH FLOW INFORMATION

     On January 1, 2003, in connection with the transfer of the Purina license,
the Company distributed net assets to Land O' Lakes Farmland Feed through a
non-cash transaction. These net assets totaled $256.1 million and are summarized
as follows:

<TABLE>
<CAPTION>
                                                   AT JANUARY 1,
                                                       2003
                                                   ------------
    <S>                                            <C>
    Current assets ..........................      $    131,911
    Investments .............................             1,142
    Property, plant, and equipment, net .....             6,015
    Goodwill and other intangibles, net .....           199,186
    Other assets ............................            21,491
    Current liabilities .....................           (75,796)
    Other noncurrent liabilities ............           (27,843)
                                                   ------------
    Total  net assets distributed ...........      $    256,106
                                                   ============
</TABLE>


                                       41

<PAGE>

5.  RECEIVABLES

    A summary of receivables is as follows:

<TABLE>
<CAPTION>
                                                         SEPTEMBER 30,  DECEMBER 31,
                                                             2003           2002
                                                         ------------   -----------
<S>                                                      <C>            <C>
          Trade receivables..........................    $        579   $       345
          Notes from sale of trade receivables (see                --        26,717
          Note 5)....................................
          Other......................................             139         3,002
                                                         ------------   -----------
                                                                  718        30,064
          Less allowance for doubtful accounts.......              25         6,074
                                                         ------------   -----------
          Total receivables, net.....................    $        693   $    23,990
                                                         ============   ===========
</TABLE>

6.  RECEIVABLES PURCHASE FACILITY

    In December 2001, the Company along with Land O'Lakes, Inc. and Land O'Lakes
Farmland Feed, established a $100.0 million receivables purchase facility with
CoBank, ACB ("CoBank"). A wholly-owned, unconsolidated special purpose entity
("SPE") was established to purchase certain receivables from the Company, Land
O'Lakes and Land O'Lakes Farmland Feed. CoBank had been granted an interest in
the pool of receivables owned by the SPE. Transfers of receivables from the
Company to the SPE were structured as sales and, accordingly, the receivables
transferred to the SPE were not reflected in the consolidated balance sheet. In
2003, the Company's receivables, except for receivables of its wholly-owned and
majority-owned subsidiaries and limited liability companies, were distributed to
the parent company, Land O'Lakes Farmland Feed. The total accounts receivable
sold by the Company during the nine months ended September 30, 2003 and 2002
were $0.0 million and $687.4 million, respectively.

7.  INVENTORIES

    A summary of inventories is as follows:

<TABLE>
<CAPTION>
                             SEPTEMBER 30,   DECEMBER 31,
                                 2003           2002
                             ------------    -----------
<S>                          <C>             <C>
         Raw materials..     $        151    $    33,207
         Finished goods.              813         14,413
                             ------------    -----------
         Total inventories   $        964    $    47,620
                             ============    ===========
</TABLE>

8.  INVESTMENTS

    The Company's investments are as follows:

<TABLE>
<CAPTION>
                                       SEPTEMBER 30,     DECEMBER 31,
                                           2003              2002
                                       ------------      ------------
<S>                                    <C>               <C>
    Y-Not, LLC ..................      $        739      $        579
    Eastern Block, Inc. .........               490               524
    Eastgate Feed and Grain, LLC                374               296
    Harmony Farms, LLC ..........                --             2,435
    ESSV, LLC ...................                --               893
    Other .......................               167               764
                                       ------------      ------------
    Total investments ...........      $      1,770      $      5,491
                                       ============      ============
</TABLE>

During the nine months ended September 30, 2003, the Company sold its interest
in Harmony Farms, LLC and ESSV, LLC for $3.0 million in cash and recorded a $0.8
million gain on the sale. On January 1, 2003 certain other investments were
distributed to the Company's parent, Land O'Lakes Farmland Feed.

9.  GOODWILL AND OTHER INTANGIBLE ASSETS

GOODWILL The changes in the carrying amount of goodwill for the nine months
ended September 30, 2003, are as follows:


                                       42

<PAGE>

<TABLE>
<S>                                                           <C>
Balance as of January 1, 2003.........................        $   105,202
Distribution to parent company........................           (105,142)
                                                              -----------
Balance as of September 30, 2003......................        $        60
                                                              ===========
</TABLE>

    On January 1, 2003, goodwill for the Company was distributed to the parent
company, Land O'Lakes Farmland Feed.

OTHER INTANGIBLE ASSETS A summary of other intangible assets is as follows:

<TABLE>
<CAPTION>
                                                                  SEPTEMBER 30,     DECEMBER 31,
                                                                      2003              2002
                                                                  ------------      ------------
<S>                                                               <C>               <C>
    Amortized other intangible assets:
      Patents, less accumulated amortization of $0 and
        $1,395, respectively ...............................      $         --      $     14,978
      Other intangible assets, less accumulated amortization
        of $0 and $670, respectively .......................                --             2,103
                                                                  ------------      ------------
    Total amortized other intangible assets ................                --            17,081
    Total non-amortized other intangible assets-trademarks .                --            76,963
                                                                  ------------      ------------
    Total other intangible assets ..........................      $         --      $     94,044
                                                                  ============      ============
</TABLE>

    Amortization expense for the nine months ended September 30, 2003 and 2002
was $0.0 million and $2.8 million, respectively. On January 1, 2003, other
intangible assets of the Company were distributed to the parent company, Land
O'Lakes Farmland Feed.

10. GAIN ON LEGAL SETTLEMENTS

        The Company recognized a gain on legal settlements of $3.2 million and
$0.0 million for the nine months ended September 30, 2003 and 2002,
respectively, related to the litigation with vitamin product suppliers against
whom the Company alleged certain price-fixing claims.

11. COMMITMENTS AND CONTINGENCIES

GUARANTEE OF PARENT DEBT

    In November 2001, Land O'Lakes, Inc. issued $350 million of senior unsecured
notes, due 2011. The notes are guaranteed by the Company and by certain of its
domestic wholly-owned subsidiaries.

    This guarantee is a general unsecured obligation, ranks equally in right of
payment with all existing and future senior indebtedness of Land O'Lakes, is
senior in right of payment to all existing and future subordinated obligations
of Land O'Lakes, and is effectively subordinated to any secured indebtedness of
Land O'Lakes and its subsidiaries, including the Company, to the extent of the
value of the assets securing such indebtedness. The maximum potential amount of
future payments that the Company would be required to make is $350 million as of
September 30, 2003. Currently, the Company does not record a liability regarding
the guarantee. The Company has no recourse provision that would enable it to
recover amounts paid under the guarantee from Land O'Lakes, Inc. or any other
parties.

    The notes are not guaranteed by certain majority-owned subsidiaries of the
Company (the "Non-Guarantors"). Summarized financial information of the
Non-Guarantors, which is consolidated in the financial statements of the
Company, as of and for the periods indicated, are as follows:


<TABLE>
<CAPTION>
                          NINE
                      MONTHS ENDED       YEAR ENDED
                      SEPTEMBER 30,     DECEMBER 31,
                          2003              2002
                      ------------      ------------
<S>                   <C>               <C>
    Total assets      $      1,790      $      1,933
    Net sales ..             2,871             1,859
    Net loss ...               (43)             (625)
</TABLE>

    In November 2001, Land O'Lakes, Inc. entered into term facilities consisting
of a $325 million five-year Term Loan A facility and a $250 million seven-year
Term Loan B facility. These facilities are unconditionally guaranteed

                                       43

<PAGE>

by the Company and certain of its wholly-owned subsidiaries. The maximum
potential payment related to this guarantee is $434 million as of September 30,
2003. The Company does not currently record a liability related to the guarantee
of the Term Loans, and the Company has no recourse provisions that would enable
it to recover from Land O'Lakes, Inc. or any other parties.

12. RELATED PARTY TRANSACTIONS

    The Company records depreciation expense for property, plant, and equipment
assets which are used by the parent company, Land O'Lakes Farmland Feed, to
conduct its business. The Company receives no reimbursement for this expense,
which was $17.7 million for the nine months ended September 30, 2003.

    For the nine months ended September 30, 2003, the Company did not pay for
certain selling, general and administrative expenses. These costs include sales
and marketing support, corporate and other administrative and management costs
which were paid for and expensed by Land O'Lakes Farmland Feed.


                                       44
<PAGE>


PART II. OTHER INFORMATION

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

(a)   EXHIBITS

<TABLE>
<CAPTION>
EXHIBIT     DESCRIPTION
-------     -----------
<S>         <C>
  31.1      Certification Pursuant to 15 U.S,C. Section 7241, as adopted
            pursuant to Section 302 of the Sarbanes-Oxley Act of 2002*

  31.2      Certification Pursuant to 15 U.S,C. Section 7241, as adopted
            pursuant to Section 302 of the Sarbanes-Oxley Act of 2002*

  32.1      Certification Pursuant to 18 U.S.C. Section 1350, As Adopted
            Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002*

  32.2      Certification Pursuant to 18 U.S.C. Section 1350, As Adopted
            Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002*
</TABLE>
            * Filed electronically herewith

                                       45

<PAGE>


                                   SIGNATURES


    Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized on the 26th day of April, 2004.

                           LAND O'LAKES, INC.


                           By  /s/ Daniel Knutson
                              -------------------------------------------------
                              Daniel Knutson
                              Senior Vice President and Chief Financial Officer
                              (Principal Financial and Accounting Officer)


                                       46