Letter from Chairman

August 15, 1997

Dear Stockholders:

We have decided to change the fiscal year of the Company from a December year-end to a June year-end. Consent has been received from the Company's lenders to amend the loan agreements to reflect the fiscal year change. Our new fiscal year will begin July and end June. This change will be effective the end of June, 1997. We believe the change in fiscal year will be beneficial to the operations of the Company. The change in fiscal year will more closely reflect the Company's annual business cycle. This fiscal year change will not split commodity harvests and therefore afford us the opportunity to project our costs and cash requirements in an efficient manner.

A stockholders' report will be issued in the fall of 1997 covering the six months ended June, 1997. The next annual stockholders' meeting will be held in the fall of 1998. In addition to the Stockholders' Annual Report and Stockholders' Quarterly Letter, single copies of the Company's Annual Report on Securities and Exchange Commission (SRC) Form 10-K (without exhibits) and SEC Quarterly Report 10-Q (without exhibits) will be provided without charge to stockholders upon written request directed to Michael J. Valentine, Secretary at the Corporate Office.

We look forward to continued growth and a profitable future.

Jasper B. Sanfilippo
Chairman and Chief Executive Officer

Consolidated Statements of Operations & Balance Sheets