April 15, 2008 (Reston, Va.) – Maryland & Virginia Milk Producers Cooperative posted $1.44 million in profits and record revenues for 2007 at the cooperative’s 88th annual meeting held March 26, 2008 at Turf Valley Resort and Conference Center in Ellicott City, Md. President Steve Graybeal reported 2007 as a balanced year. “We want to rejoice over the record high milk prices our members received in 2007, but we would be remiss if we did not also recognize how escalating operating costs and rising feed and fuel prices balanced out their year,” said Graybeal.

Virginia Dairy Princess Amanda Messick, Pennsylvania Dairy Princess Lindsay Royeck and Maryland Dairy Princess Caitlyn Patrick raises their glasses of milk in salute of the dairy farmer members attending Maryland & Virginia Milk Producers Cooperative’s Annual Meeting held march 26, 2008 at Turf Valley Resort and Conference Center in Ellicott City, Md.

CEO Jay Bryant reviewed market factors including total production, commodity and Class I Mover prices in his report to members and industry guests. He shared with the membership the importance export markets had in 2007, offsetting another record year of U.S. production and boosting milk prices to unprecedented levels. Those record raw milk prices helped push the cooperative’s total revenues beyond the $1 billion threshold for the first time in the organization’s 88-year history.

Bryant shared how the cooperative’s fluid processing division was challenged by steadily increasing raw milk prices in 2007. Transportation and distribution costs were hampered by rising diesel fuel prices at the cooperative’s three fluid processing plants. Maryland & Virginia’s manufacturing division faired much better taking advantage of a rising market by making strategic marketing decisions to balance out the cooperative’s financial results.

During the official business meeting, Maryland & Virginia members elected directors to serve on the cooperative’s board of directors. Selected to three-year terms are:

• District 5, Tim Stoner, Mercersburg, Pa.
• District 8, Matt Hoff, New Windsor, Md.
• District 14, Monk Sanford, Orange, Va.
• District 17, Branson Coltrane, Pleasant Garden, N.C.
• District 20, John Daniel Allen, Lewisburg, Tenn.

The cooperation honored four retiring directors for their years of service to the cooperative. The honorees include:

• Keith Beiler, Paradise, Pa.
• Bobby Gammon, Orlinda, Tenn.
• Jason Myers, New Windsor, Md.
• Dale Lawson, Pauline, S.C.

Dairy Princesses from Maryland, Pennsylvania and Virginia, toasted the dairy farmer member-owners for their efforts in 2007 to kickoff the annual Member Recognition Luncheon. Patty Purcell of the Mid-Atlantic Dairy Association followed with a presentation on dairy checkoff efforts and successes.

First Vice President Dwayne Myers presented four Quality Producers of the Year awards by region and volume as follows:

Federal Order 1

• Less than Three Million Pounds – Ray & Jean Thrush, Shippensburg, Pa.
• More than Three Million Pounds — Brent W. Helsel, Woodbury, Pa.

Southern Marketing Agency Region

• Less than Three Million Pounds — Colebelle Dairy, Kyle & Keedie Leonard, Spottswood, Va.
• More than Three Million Pounds — Riggs & Stiles Inc., Stanley & Barbara Stiles, Berryville, Va.

Second Vice President Richard Mosemann presented four 50-year membership awards to:

• Downey Farms Inc., Frank & Carolyn Downey and Family, Williamsport, Md.
• Harry E. Strite & Family, Williamsport, Md.
• Carl & Mae Pugh, Chambersburg, Pa.
• John W. Tatum Family, Orange, Va.

“Maryland & Virginia is a unique cooperative. We have a strong fluid focus with investment in fluid processing and manufacturing operations. This diversification lends stability to the cooperative’s value-added businesses which proved to be very beneficial in 2007,” said Jay Bryant in his closing remarks. “Our fluid operations are strategically positioned for growth as a leading regional supplier and our manufacturing operations are at the ready to balance the milk supply in a manner that historically has returned strong dividends. This balance is what sustains Maryland & Virginia and provides our members with the strongest returns.”

Photos:

Maryland & Virginia President Steve Graybeal (left) and CEO Jay Bryant (far right) thank and commend Director Keith Beiler of Paradise, Pa., for his service on the board at the cooperative’s 87th Annual Meeting held March 28 in Ellicott City, Md.

Maryland & Virginia retiring Director Bobby Gammon (center) of Orlinda, Tenn., accepts a plaque commemorating his three years of service to the cooperative from President Steve Graybeal (far left) and CEO Jay Bryant (far right) at the association’s 87th Annual Meeting held March 28 in Ellicott City, Md.

Maryland & Virginia President Steve Graybeal (left) and CEO Jay Bryant (far right) thank and commend retiring Director Jason Myers of New Windsor, Md., for his three years of service on the board at the cooperative’s 87th Annual Meeting held March 28 in Ellicott City, Md.

Maryland & Virginia President Steve Graybeal (far left) and CEO Jay Bryant (far right) congratulate and present Kyle & Keedie Leonard of Spotswood, Va., with their Quality Producer of the Year honors representing farms in the cooperative’s Southern Marketing Area producing less than three million pounds of milk.

Maryland & Virginia President Steve Graybeal (far left) and CEO Jay Bryant (far right) congratulate and present Stanley & Barbara Stiles and Joy Rawn representing Riggs & Stiles Inc., of Berryville, Va., for their Quality Producer of the Year award for farms in the cooperative’s Southern Marketing Area producing more than three million pounds of milk.

Downey Farms Inc., of Williamsport, Md., received recognition for 50 years of membership with Maryland & Virginia at the cooperative’s annual meeting and member recognition luncheon held March 28 in Ellicott City, Md. Standing (l-r): Frank Downey, President Steve Graybeal, Ryan and Jennifer Downey, Wade Downey, CEO Jay Bryant, Duean Stiles holding Emily Stiles. Seated (l-r) Carolyn Downey, Dawn Stiles.

CEO Jay Bryant and President Steve Graybeal presented Harry Strite and family of Williamsport, Md., with a plaque and crystal milk pitcher in honor of the family’s 50 years of membership with the cooperative. (l-r) CEO Jay Bryant, President Steve Graybeal, Ellis & Eloise Strite, Harry & Peggy Strite

Owned and operated by 1,500 dairy farm families from Pennsylvania to Georgia, Maryland & Virginia is a milk marketing and processing cooperative providing consumers throughout the Mid-Atlantic and Southeastern U.S. with fresh milk and dairy products. Maryland & Virginia owns and operates three fluid processing plants; Marva Maid of Newport News, Va., Marva Maid of Landover, Md., and Maola Milk and Ice Cream Company in New Bern, N.C.; a manufacturing plant in Laurel, Md.; and an equipment warehouse business in Frederick, Md. The cooperative is also majority owner of a second manufacturing plant, Valley Milk LLC located in Strasburg, Va.