News Release

ConAgra Foods Lamb Weston, Ochoa Foods Announce New Joint Venture

Aug 6, 2008, 12:49 PM EDT

KENNEWICK, Wash.--(BUSINESS WIRE)--Aug. 6, 2008--ConAgra Foods Lamb Weston, the largest potato company in North America with annual sales exceeding $2 billion, and Ochoa Foods, a privately owned potato processing company based in Boise, Idaho, announced today that they have entered into a new joint venture. The two companies will form a 50/50 joint venture to operate Ochoa Foods' current potato processing plant in Warden, Wash.

The name of the new joint venture will be Lamb Weston / BSW, and its purpose will be to develop, process and sell frozen potato products. Financial terms of the joint venture were not disclosed.

"This is an exciting new opportunity for Lamb Weston, and a true 'win-win' for both Ochoa Foods and Lamb Weston," said Jeff DeLapp, president, ConAgra Foods Lamb Weston. "Combining Ochoa's entrepreneurial spirit and experience with Lamb Weston's operating reach should drive improved earnings potential for both companies."

"This new partnership with Lamb Weston is a major milestone for Ochoa Foods," said Howard Bafford, chief operating officer, Ochoa Foods. "The employees of Ochoa Foods have worked extremely hard to establish the base of business we have today, and we look forward to combining this effort with the resources of ConAgra Foods Lamb Weston in this new joint venture."

The Warden processing plant processes approximately 300,000 tons of potatoes each year and services several major quick-service restaurants and other foodservice accounts. The 140,000-sq. ft. facility is located on a 17-acre site in Washington's Columbia Basin.

ConAgra Foods Lamb Weston is a brand of ConAgra Foods, Inc., (NYSE: CAG) one of North America's leading packaged food companies, serving consumer grocery retailers, as well as restaurants and other foodservice establishments. Popular ConAgra Foods consumer brands include: Banquet, Chef Boyardee, Egg Beaters, Healthy Choice, Hebrew National, Hunt's, Marie Callender's, Orville Redenbacher's, PAM and many others. For more information, please visit us at www.conagrafoods.com.

Note on Forward-looking Statements:

This release contains forward-looking statements. These statements are based on management's current views and assumptions of future events and financial performance and are subject to uncertainty and changes in circumstances. The company undertakes no responsibility to update these statements. Readers of this release should understand that these statements are not guarantees of performance or results. Many factors could affect the company's actual financial results and cause them to vary materially from the expectations contained in the forward-looking statements. These factors include, among other things, future economic circumstances, industry conditions, the company's ability to execute its operating and restructuring plans, availability and prices of raw materials, product pricing, competitive environment and related market conditions, operating efficiencies, the ultimate impact of the company's recalls, access to capital, actions of governments and regulatory factors affecting the company's businesses and other risks described in the company's reports filed with the Securities and Exchange Commission. The company cautions readers not to place undue reliance on any forward-looking statements included in this release, which speak only as of the date made.


    CONTACT: ConAgra Foods
             Jeff Mochal, 402-595-7825
             e-mail: jeff.mochal@conagrafoods.com

    SOURCE: ConAgra Foods