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000826 Red Oak Ships Cooked Beef in Club-Sized Package

August 10, 2000

Red Oak, IA - Red Oak Hereford Farms, Inc. announced initial shipments to approximately 57 Midwest and Northeast regional Costco clubs of its precooked beef entrees in specially club-sized packages designed for busy families who enjoy great-tasting beef.

Award-winning Red Oak precooked beef entrees available through the company's program with Costco include Red Oak Pot Roast (32-oz.); Boneless Beef Ribs with Cookies Barbecue Sauce (24-oz.); and Sirloin Tip (24-oz.). Costco in-store product demonstrations, partially sponsored by the National Cattlemen's Beef Association, which has endorsed Red Oak's precooked products with its quality mark, began in the Midwest region on Saturday, August 5, and will begin in the Northeast on Saturday, August 12.

Red Oak Farms Beef Ribs and Pot Roasts won “Best of Show” 2000 awards from the prestigious American Tasting Institute at an awards presentation held last March at New York City's Carnegie Hall.

“We are enthusiastic about our new precooked beef entrees and delighted to be launching our club-sized packaging with Costco,” said Gordon Reisinger, president and chief executive officer of Red Oak Hereford Farms, Inc. “We continue to believe that the quality and taste of our products will differentiate us in the marketplace, and we are confident that many discerning Costco members will become regular purchasers of Red Oak's great-tasting precooked beef entrees.”

Costco currently operates 306 warehouse clubs, including 232 in the United States, 59 in Canada, eight in the United Kingdom, three in Korea, three in Taiwan, and a warehouse in Japan; as well as 18 additional warehouse clubs in Mexico with a joint venture partner. The company also operates Costco Online, an electronic commerce web site, at www.costco.com.

Founded in 1997, Red Oak Hereford Farms, Inc. produces and sells premium, branded, fresh beef and premium precooked products to retail, food service, mail order and e-commerce markets. The company also sells and distributes the award- winning beef jerky -- My Favorite Jerky(TM). Through its European division, Red Oak Hereford Farms, Inc. manufactures and distributes My Favorite Jerky(TM) Beef Sticks, smoked salmon and other seafood, and will soon be producing its precooked products in Europe.

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