To our Members and Customers,

I am writing to you today to communicate that the very difficult decision has been made to stop milling feed in our Sunderland feed mill, effective Friday, June 28th, 2024.

In the year 2000, the decision was made by former GM, Clare Hayes, to remove the pellet mill from the operation as a proactive measure to run only our textured feed volumes through the mill, thereby reducing wear and tear on the facility, thus extending the longevity of the asset. At that time, the thought was this would extend its usable life another 3 - 5 years. However, here we are 24 years later! Our feed mill has now served our Co-op and community for nearly 75 years, but in recent years its age has really become apparent and an issue. Significant, frequent breakdowns have become the norm as the overall structure, and associated equipment are worn out.

As most of you know, we have been in partnership with Wallenstein Feed & Supply Inc. (WFS) since 2010. Located in Wallenstein, Ontario, they are Canada’s largest independent feed company and are a leader in quality livestock feed manufacturing. WFS has been supplying our pelleted feeds and premixes, and with the aforementioned breakdowns, they have also proven very capable at seamlessly supplying textured feeds as well. With their team of professionals and state-of-the-art facilities, they are highly efficient and meet or exceed all CFIA requirements while consistently delivering high quality feed. With our mill closure, our partnership with WFS will expand and ensure that Sunderland Co-op can continue to supply our full compliment of quality feeds to you, our valued patrons.

For a period of time, we will continue to operate out of Sunderland’s bag warehouse and bulk storage capacity. We will continue to handle some bulk single ingredient commodities in Sunderland while WFS will deliver all bulk mixed feed to us daily. These bulk feeds will be distributed onto our feed trucks and/or into our Sunderland bins. Wherever possible, WFS will deliver direct to farm, as they currently do for all farms that can accommodate their larger trucks or for customers that prefer an auger truck to handle their feed. Marbert will deliver all bagged feeds to us, approx. 3 days per week. Utilizing this go-to-market strategy enables Sunderland Co-op to maintain its position in a shrinking and very competitive feed market, minimizes the impact to employees, and allows time to assess the efficiency and success of this dealership/depot model.

While this change to our Feed supply strategy is significant, our vision remains to be your premier Ag partner for success, and to position Sunderland Co-op to serve all its members and customers, for now and in the future, with quality product, competitive prices and the highest service levels.

Yours co-operatively,

Peter Stanbury

General Manager

Sunderland Co-operative Inc.