| ·   | Second quarter net loss was $26.4 million, or $(.17) per diluted share |
|--------------------|------------------------------------------------------------------------|

| ·   | EPS, adjusted for nonrecurring and unusual items, was $(.26) |
|--------------------|--------------------------------------------------------------|

| ·   | Excluding hog production, the operating results of all segments improved significantly |
|--------------------|----------------------------------------------------------------------------------------|

| o   | Pork segment increased $80.3 million, or 86% |
|---------------|----------------------------------------------|

| o   | International segment increased $4.6 million, or 42% |
|---------------|------------------------------------------------------|

| o   | Other segment improved $11.3 million, or 93% |
|---------------|----------------------------------------------|

| ·   | Pork segment and packaged meats achieved record second quarter profits |
|--------------------|------------------------------------------------------------------------|

| ·   | Pork segment restructuring activities are on track to achieve annual profit improvement of approximately $55 million in fiscal 2010 and $125 million by fiscal 2011 |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Hog Production losses continued to reflect oversupply conditions in the U.S. |
|--------------------|------------------------------------------------------------------------------|

| ·   | Completed public stock offering, generating net proceeds of $295 million |
|--------------------|--------------------------------------------------------------------------|

| ·   | Issued $225 million of bonds; repaid $546 million of debt |
|--------------------|-----------------------------------------------------------|

| ·   | Liquidity remained at a high level, in excess of $1.2 billion |
|--------------------|---------------------------------------------------------------|

|                                                                 |   | Three Months Ended |    |   | Six Months Ended |   |
|----------------------------------------------------------------------|--------|--------------------|---------|--------|------------------|--------|
|                                                                 |   | November 1,2009    |    |   | October 26,2008  |   |   | November 1,2009 |   |   | October 26,2008 |   |
|                                                                 |   | (unaudited)        |    |   | (unaudited)      |   |
| Sales:                                                               |   |               |    |   |             |   |   |   |   |   |   |   |
| Pork                                                                 |   |               |    |   |             |   |   |   |   |   |   |   |
|          Fresh Pork     |   | $                  | 990.9   |   |             | $      | 1,259.3 |   |   | $ | 2,024.3 |   |   | $ | 2,600.5 |   |
|          Packaged Meats |   |               | 1,250.8 |   |             |   | 1,330.8 |   |   |   | 2,469.2 |   |   |   | 2,568.8 |   |
| Total Pork                                                           |   |               | 2,241.7 |   |             |   | 2,590.1 |   |   |   | 4,493.5 |   |   |   | 5,169.3 |   |
|                                                                 |   |               |    |   |             |   |   |   |   |   |   |   |   |   |   |   |
| International                                                        |   |               | 336.0   |   |             |   | 402.5 |   |   |   | 634.3 |   |   |   | 807.8 |   |
| Hog Production                                                       |   |               | 554.9   |   |             |   | 748.8 |   |   |   | 1,107.1 |   |   |   | 1,474.6 |   |
| Other                                                                |   |               | 26.7    |   |             |   | 46.8 |   |   |   | 97.9 |   |   |   | 91.0 |   |
| Total segment sales                                                  |   |               | 3,159.3 |   |             |   | 3,788.2 |   |   |   | 6,332.8 |   |   |   | 7,542.7 |   |
| Intersegment                                                         |   |               | (466.9  | )      |             |   | (641.1 | ) |   |   | (925.1 | ) |   |   | (1,253.8 | ) |
| Consolidated sales                                                   |   | $                  | 2,692.4 |   |             | $      | 3,147.1 |   |   | $ | 5,407.7 |   |   | $ | 6,288.9 |   |
|                                                                 |   |               |    |   |             |   |   |   |   |   |   |   |   |   |   |   |
| Operating profit (loss):                                             |   |               |    |   |             |   |   |   |   |   |   |   |   |   |   |   |
| Pork                                                                 |   |               |    |   |             |   |   |   |   |   |   |   |   |   |   |   |
|          Fresh Pork     |   | $                  | 42.6    |   |             | $      | 53.0 |   |   | $ | 35.8 |   |   | $ | 80.7 |   |
|          Packaged Meats |   |               | 131.1   |   |             |   | 40.4 |   |   |   | 238.9 |   |   |   | 74.4 |   |
| Total Pork                                                           |   |               | 173.7   |   |             |   | 93.4 |   |   |   | 274.7 |   |   |   | 155.1 |   |
|                                                                 |   |               |    |   |             |   |   |   |   |   |   |   |   |   |   |   |
| International                                                        |   |               | 15.6    |   |             |   | 11.0 |   |   |   | 22.9 |   |   |   | 16.9 |   |
| Hog Production                                                       |   |               | (167.3  | )      |             |   | (58.0 | ) |   |   | (329.4 | ) |   |   | (96.8 | ) |
| Other                                                                |   |               | (0.8    | )      |             |   | (12.1 | ) |   |   | (5.4 | ) |   |   | (18.8 | ) |
| Corporate                                                            |   |               | (19.4   | )      |             |   | (33.3 | ) |   |   | (35.8 | ) |   |   | (52.9 | ) |
| Consolidated operating profit (loss)                                 |   | $                  | 1.8     |   |             | $      | 1.0 |   |   | $ | (73.0 | ) |   | $ | 3.5 |   |

----

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|                                                                              |   | Three Months Ended |    |   | Six Months Ended |   |
|-----------------------------------------------------------------------------------|--------|--------------------|---------|--------|------------------|--------|
|                                                                              |   | November 1,2009    |    |   | October 26,2008  |   |   | November 1,2009 |   |   | October 26,2008 |   |
|                                                                              |   | (unaudited)        |    |   | (unaudited)      |   |
| Sales                                                                             |   | $                  | 2,692.4 |   |             | $      | 3,147.1 |   |   | $ | 5,407.7 |   |   | $ | 6,288.9 |   |
| Cost of sales                                                                     |   |               | 2,524.1 |   |             |   | 2,914.5 |   |   |   | 5,140.7 |   |   |   | 5,861.1 |   |
| Gross profit                                                                      |   |               | 168.3   |   |             |   | 232.6 |   |   |   | 267.0 |   |   |   | 427.8 |   |
| Selling, general and administrative expenses                                      |   |               | 180.0   |   |             |   | 209.7 |   |   |   | 363.8 |   |   |   | 400.3 |   |
| Equity in (income) loss of affiliates                                             |   |               | (13.5   | )      |             |   | 21.9 |   |   |   | (23.8 | ) |   |   | 24.0 |   |
| Operating profit (loss)                                                           |   |               | 1.8     |   |             |   | 1.0 |   |   |   | (73.0 | ) |   |   | 3.5 |   |
| Interest expense                                                                  |   |               | 71.2    |   |             |   | 56.2 |   |   |   | 131.7 |   |   |   | 101.5 |   |
| Loss on debt extinguishment                                                       |   |               | 3.6     |   |             |   | - |   |   |   | 11.0 |   |   |   | - |   |
| Loss from continuing operations before income taxes                               |   |               | (73.0   | )      |             |   | (55.2 | ) |   |   | (215.7 | ) |   |   | (98.0 | ) |
| Income tax benefit                                                                |   |               | (46.6   | )      |             |   | (22.7 | ) |   |   | (81.6 | ) |   |   | (36.4 | ) |
| Loss from continuing operations                                                   |   |               | (26.4   | )      |             |   | (32.5 | ) |   |   | (134.1 | ) |   |   | (61.6 | ) |
| Income from discontinued operations, net of tax of $33.1 and $42.2 |   |               | -       |   |             |   | 34.2 |   |   |   | - |   |   |   | 50.1 |   |
| Net income (loss)                                                                 |   | $                  | (26.4   | )      |             | $      | 1.7 |   |   | $ | (134.1 | ) |   | $ | (11.5 | ) |
|                                                                              |   |               |    |   |             |   |   |   |   |   |   |   |   |   |   |   |
|                                                                              |   |               |    |   |             |   |   |   |   |   |   |   |   |   |   |   |
| Income (loss) per basic and diluted share:                                        |   |               |    |   |             |   |   |   |   |   |   |   |   |   |   |   |
| Continuing operations                                                             |   | $                  | (.17    | )      |             | $      | (.23 | ) |   | $ | (.90 | ) |   | $ | (.44 | ) |
| Discontinued operations                                                           |   |               | -       |   |             |   | .24 |   |   |   | - |   |   |   | .36 |   |
| Net income (loss)                                                                 |   | $                  | (.17    | )      |             | $      | .01 |   |   | $ | (.90 | ) |   | $ | (.08 | ) |

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|   |   |
|--------|--------|

| SMITHFIELD FOODS, INC. AND SUBSIDIARIES                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |          |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------|
| SCHEDULE OF EQUITY IN (INCOME) / LOSS OF AFFILIATES                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |          |
| (In millions)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |          |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |          |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |          |   | Three Months Ended |   |   | Six Months Ended |   |
| Equity Investment                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    | Segment       |   | November 1,2009 |   |   | October 26,2008 |   |   | November 1,2009 |   |   | October 26,2008 |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |          |   |   |   |   |   |   |
| Butterball                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | Other         |   | $ | (8.0 | ) |   | $ | 14.0 |   |   | $ | (7.4 | ) |   | $ | 20.5 |   |
| Campofrío Food Group (1)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | International |   |   | (4.2 | ) |   |   | (0.1 | ) |   |   | (7.8 | ) |   |   | 3.6 |   |
| Mexican joint ventures                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | Various       |   |   | (1.3 | ) |   |   | 8.6 |   |   |   | (6.9 | ) |   |   | 1.2 |   |
| All other equity method investments                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  | Various       |   |   | - |   |   |   | (0.6 | ) |   |   | (1.7 | ) |   |   | (1.3 | ) |
| Equity in (income) loss of affiliates                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |          |   | $ | (13.5 | ) |   | $ | 21.9 |   |   | $ | (23.8 | ) |   | $ | 24.0 |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| (1) Prior to the 3rd quarter of fiscal 2009, we owned 50% of Groupe Smithfield S.L. (Groupe Smithfield) and 24% of Campofrío Alimentación, S.A. (Campofrío). Thoseentities merged in the third quarter of fiscal 2009 to form Campofrío Food Group (CFG), of which we own 37%. The amounts presented for CFG represent the combined results of Groupe Smithfield and Campofrío. CFG prepares its financial statements in accordance with International Financial Reporting Standards. Our share of CFG's results reflects US GAAP adjustments and thus, there may be differences between the amounts we report for CFG and the amounts reported by CFG. |          |

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