WEEKLY MARKET TRENDS REPORT

June 7, 2013

Individual Reports on: Beef, Veal and Lamb Oil and Grains Dairy Pork Canned Tomato Poultry Seafood Bean, Rice, Coffee and Sugar Processed Fruits and Vegetables Produce

Beef, Veal and Lamb Report

Beef, Veal & Lamb- Beef output last week was shortened due to the holiday and was 1.7% less than a year ago. Year to date beef production is estimated to be 1.1% smaller than 2012. Tight cattle supplies are expected to cause beef output to continue to trend below the prior year levels this summer which should be supportive of beef prices. Still, history tells us that the USDA choice boxed beef index may have peaked for the summer. U.S. beef imports in April were 9% larger than last year and the biggest for any month since July 2010. Strong beef imports may continue to weigh on lean beef trim prices in the coming months. Price USDA, FOB per pound.

Live Cattle (Steer) Ground Beef 81/19 Ground Chuck 109 Export Rib (choice) 109 Export Rib (prime) 112a Ribeye (choice) 112a Ribeye (prime) 116 Chuck (choice) 120 Brisket (choice) 121c Outside Skirt (ch/sel.) 167a Knckle, Trimmed (choice) 168 Inside Round (choice) 174 Short Loin (choice 0x1) 174 Short Loin (prime 2x3) 180 1x1 Strip (choice) 180 1x1 Strip (prime) 180 0x1 Strip (choice) 184 Top Butt, boneless (choice) 184 Top Butt, boneless (prime) 185a Sirloin Flap (choice) 185c Loin, Tri-Tip (choice) 189a Tender (select, 5 lb & up) 189a Tender (choice, 5 lb &up) 189a Tender (prime, heavy) 193 Flank Steak (choice) 50% Trimmings 65% Trimmings 75% Trimmings 85% Trimmings 90% Trimmings

Market Trend Increasing Decreasing Decreasing Increasing Increasing Decreasing Decreasing Decreasing Decreasing Increasing Decreasing Decreasing Increasing Increasing Decreasing Decreasing Increasing Increasing Decreasing Decreasing Steady Decreasing Decreasing Increasing Increasing Decreasing Decreasing Decreasing Decreasing Decreasing

Supplies Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good

Price vs. Last Year Higher Lower Lower Higher Lower Higher Lower Lower Lower Lower Lower Lower Higher Lower Higher Lower Higher Higher Higher Higher Higher Lower Higher Lower Higher Higher Higher Lower Lower Lower

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90% Imported Beef (frozen) Veal Rack (Hotel 7 rib) Veal Top Round (cap off)

Decreasing Increasing Increasing

Good Good Good

Lower Higher Higher

Oil and Grains Report

Oil & Grains- Soybean planting remains behind due to wet weather. Relatively inflated grain prices are anticipated to endure deep into the summer.

Soybeans Crude Soybean Oil Soymeal Corn Crude Corn Oil Distillers Grain, Dry Crude Palm Oil Hard Red Winter Wheat Dark Northern Spring Wheat High Fructose Corn Syrup Durum Wheat

Market Trend Increasing Decreasing Increasing Decreasing Decreasing Increasing Increasing Increasing Increasing Decreasing Decreasing

Supplies Good Good Good Good Good Good Good Good Good Good Good

Price vs. Last Year Higher Higher Higher Higher Lower Higher Lower Higher Higher Higher Higher

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Dairy Report
Dairy- The CME cheese markets have moved lower during the last week pressured by seasonally strong milk production and ample U.S. cheese supplies. Cheese prices are anticipated to find a bottom soon as the domestic markets continue to trend well below international cheese prices. Solid exports could help bring upward pressure to cheese prices this summer. April U.S. cheese exports were 5.7% more than the previous year and the second largest for any month on record. The CME butter market is fairly stable but higher butter prices are anticipated next month.

Market Trend Cheese Barrels- CME Cheese 40 lb Blocks- CME American Cheese Cheddar Cheese Mozzarella Cheese Provolone Cheese Parmesan Cheese Butter- One lb Solids Nonfat Dry Milk Whey, Dry Class I Milk Base Class II Cream (Heavy Cream) Class III Milk- CME Class IV Milk- CME Increasing Decreasing Decreasing Decreasing Decreasing Decreasing Decreasing Steady Decreasing Decreasing Steady Increasing Increasing Increasing

Supplies Good Good Good Good Good Good Good Good Good Good Good Good Good Good

Price vs. Last Year Higher Higher Higher Higher Higher Higher Higher Higher Higher Higher Higher Higher Higher Higher

Market Report provided by American Restaurant Associationwww.AmericanRestaurantAssociation.com- 888-423-4411

Pork Report
Pork- Pork production last week was 2.3% bigger than a year ago although year to date output is .9% less than 2012. Pork production this summer is forecasted by the USDA to track 1% above the prior year. U.S. pork exports during April were 13.1% smaller than last year due mostly to pork import restrictions by China and Russia. These trade limitations could temper the seasonal upside price risk for pork in June. Typically pork prices rise roughly 5% this month. April 30th total pork stocks were 6% more than the prior year.

Live Hogs Belly (bacon) Spare Rib (4.25 & down) Ham (23-27 lb) Loin (bone-in) Baby Back Rib (1.75 & up) Tenderloin (1.25 lb) Boston Butt, untrimmed 4-8 lb. Picnic, untrimmed SS Picnic, smoker trim boxed 42% Trimmings 72% Trimmings

Market Trend Increasing Increasing Decreasing Decreasing Increasing Decreasing Increasing Increasing Increasing Increasing Increasing Increasing

Supplies Good Good Good Good Good Good Good Good Good Good Good Good

Price vs. Last Year Higher Higher Higher Higher Lower Lower Lower Higher Higher Higher Lower Lower

Market Report provided by American Restaurant Associationwww.AmericanRestaurantAssociation.com- 888-423-4411

Canned Tomato Report

Tomato Products, Canned- The USDA is projecting the 2013 California tomato for canning harvest to be 4.5%
bigger than last year. The markets are steady.

Whole Peeled Standard Diced, Fancy Ketchup, 33% Tomato Paste- Ind.

Market Trend Steady Steady Steady Steady

Supplies Good Good Good Good

Price vs. Last Year Same Same Same Same

Poultry Report
Poultry- Chicken output for the week ending May 25th was 2% larger than last year. Year
to date chicken production is trending 3.5% above the prior year. The USDA is forecasting chicken output for July through August to track 2.4% above 2012. U.S. chicken exports during April were 2.5% more than the previous year and the largest for the month in the last five years. Fairly solid exports could be supportive of the chicken leg quarter market during the summer. The five year average move for chicken leg quarter prices during the next two months is 3.7% lower. Chicken breast prices usually edge downward during this same time period. The chicken wing markets appear to have formed a long term bottom.

Whole Chicken (2.5-3 lb-GA) Chicken Wings, Whole Chicken Wings, Jumbo Cut Chicken Breast, Bone-In Chicken Breast, Bnless Sknless Chicken Tender (random) Chicken Tender (sized) Chicken Legs (whole) Chicken Leg Quarters Chicken Thighs, bone in

Market Trend Increasing Steady Increasing Steady Increasing Increasing Increasing Decreasing Steady Decreasing

Supplies Good Good Good Good Good Good Good Good Good Good

Price vs. Last Year Higher Lower Lower Higher Higher Higher Higher Higher Lower Higher

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Chicken Thighs, boneless Large Eggs Medium Eggs Whole Eggs- Liq Egg Whites- Liq Egg Yolks- Liq Whole Turkey (8-16 lb) Turkey Breast- Bnls/Sknls

Decreasing Steady Increasing Increasing Decreasing Steady Steady Steady

Good Good Good Good Good Good Good Good

Higher Higher Higher Higher Higher Higher Lower Lower

Seafood Report
Seafood- Disease challenges during the last few months with Chilean salmon as led to
reductions in forecasts for the 2013 total salmon supply. Still, U.S. salmon filet and steak imports this spring have been relatively solid. April U.S. salmon filet and steak imports were 2.7% more than the prior year. A rising U.S. dollar could encourage salmon imports this summer which may limit any upside price risk for the salmon markets.

Salmon, Whole (10-12 lb) Catfish, Filets Trout, Drn. (8-14 oz) Shrimp (16-20 count) Shrimp (61-70 count) Shrimp, Tiger (26-30 count) Snow Crab Legs (5-8 oz) Snow Crab Legs (8 oz up) Cod Tails, 3-7 oz. Frz. Cod Loins, 3-12 oz. Frz. Salmon Portions, 4-8 oz. Frz.

Market Trend N/A N/A N/A Decreasing Steady Increasing Steady Steady Steady Steady Steady

Supplies Good Good Good Good Good Good Good Good Good Good Good

Price vs. Last Year N/A N/A N/A Higher Higher Higher Lower Higher Lower Lower Lower

Market Report provided by American Restaurant Associationwww.AmericanRestaurantAssociation.com- 888-423-4411

Bean, Rice, Coffee and Sugar Report

Pinto Beans Black Beans Rice, Long Grain Coffee Beans Sugar Honey Market Trend Decreasing Steady Increasing Decreasing Decreasing Steady Supplies Good Good Good Good Good Good Price vs. Last Year Lower Lower Higher Lower Lower Higher

Paper Product Report

Wood Pulp (paper)

NBSK- Paper napkin 42 lb. Linerboard-corrugated box

Plastic Resins (plastic, foam)

Market Trend Steady Increasing Steady Decreasing

Supplies Good Good Good Good Good

Price vs. Last Year Higher Higher Higher Lower Higher

PS-CHH-utensils, cups, to-go cont. PP-HIGP-heavy grade utensils PE-LLD-can liners, film, bags

Steady

Retail Price Change from Prior Month

Beef and Veal Dairy Pork Chicken Fresh Fish and Seafood Fresh Fruits and Vegetables Apr-11 Increasing Increasing Decreasing Increasing Increasing Decreasing Mar-11 Increasing Increasing Increasing Decreasing Increasing Increasing Feb-11 Increasing Increasing Increasing Increasing Increasing Increasing

Market Report provided by American Restaurant Associationwww.AmericanRestaurantAssociation.com- 888-423-4411

Processed Fruits and Vegetables Report

Processed Fruits and Vegetables- Frozen green pea stocks at the end of April were 8% less than the previous
year. The processed vegetable markets remain firm.

Canned 6/10 Corn, Fancy Whole Kernel Green Beans, Fancy 4 sv Green Peas, Fancy 4 sv/blend Frozen Corn, Cob 96 count Corn, Kernel 12/2.5 lb. Green Beans, Cut 12/2 lb. Green Peas, 12/2.5 lb. Potatoes, FF Fancy, 6/5 lb.

Market Trend

Steady
Steady Steady Steady Steady Steady Steady Steady

Supplies Good Good Good Good Good Good Good Good

Price vs. Last Year Higher Lower Higher Lower Higher Higher Higher Lower

Produce Report
Produce- The iceberg lettuce market has firmed during the last week due in part to
quality challenges. Lettuce shipments last week declined 3% from the previous week. Better weather could aid the lettuce crops during the next ten days. Tomato supplies remain limited due in part to the relatively cool spring experienced in the southeast this year. Tomato shipments are expected to improve later this month which could put some modest downward pressure on tomato prices. The avocado markets are firm. History suggests that higher avocado prices may be forthcoming next month.

Market Report provided by American Restaurant Associationwww.AmericanRestaurantAssociation.com- 888-423-4411

Limes (150 count) Lemons (95 count) Lemons (200 count) Honeydew (6 ct.) Cantaloupe (15 count) Blueberries (12 count) Strawberries (12 pints) Avocados, Hass (48 count) Bananas (40 lb)-Term. Pineapple (7 ct.)- Term. Idaho Potato (60 count) Idaho Potato (70 count) Idaho Potato (70 count)-Term. Idaho Potato (90 count) Idaho Potato #2 (6 oz. min.) Processing Potato (100 lb) Yellow Onions (50 lb) Yellow Onions (50 lb)-Term. Red Onions (25 lb)-Term. White Onions (50 lb)-Term. Tomatoes, (large- case) Tomatoes, (5x6, 25 lb.)-Term. Tomatoes, Vine Ripe, (4x5) Roma Tomatoes (large- case) Roma Tomatoes (xlarge- case) Green Peppers (large- case) Red Peppers (large- 15 lb. cs.) Iceberg Lettuce (24 count) Iceberg Lettuce (24 cnt)-Term.

Market Trend Decreasing Increasing Steady Decreasing Steady Decreasing Decreasing Increasing Decreasing Increasing Increasing Increasing Increasing Increasing Steady Steady Decreasing Decreasing Increasing Decreasing Steady Increasing Decreasing Decreasing Decreasing Decreasing Increasing Increasing Increasing

Supplies Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good Good

Price vs. Last Year Higher Higher Lower Lower Lower Higher Higher Higher Higher Higher Higher Higher Lower Higher Lower Lower Higher Lower Higher Lower Higher Higher Lower Higher Higher Higher Same Lower Lower

Produce Report (continued)

Leaf Lettuce (24 count) Romaine Lettuce (24 count) Mesculin Mix (3 lb)-Term. Broccoli (14 cnt.) Squash (case) Zucchini (case) Green Beans (bushel) Spinach, Flat 24's Mushrooms (large), Term. Cucumbers, Bushel Pickles (200-300 ct.)-Term. Asparagus (small) Freight (CA to City Avg.) Decreasing Increasing Increasing Increasing Decreasing Increasing Decreasing Increasing Steady Increasing Increasing Decreasing Increasing Good Good Good Good Good Good Good Good Good Good Good Good Good Lower Lower Lower Lower Lower Lower Lower Lower Same Lower Lower Lower Lower

Market Report provided by American Restaurant Associationwww.AmericanRestaurantAssociation.com- 888-423-4411