AGWAY BUYS TATERSTATE; MPG WILL BE "TIED IN"

Syracuse, NY, -- Taterstate Frozen Foods of Washburn, Maine, will be purchased by Agway Inc. of Syracuse, NY., officials or the two firms announced today. A release from Agway seemed to indicate that potato processing would continue at the Washburn plant.

Harry Umphrey, a principal owner of Taterstate, and E.H. Fallon, Agway general manager said that agreement has been reached on terms of sale, and that final contracts will be signed within the next few weeks, making Agway the full owner and operator of the Aroostook County corporation.

Taterstate is the pioneer french fried potato processor in the United States, the business going back to 1947. It produces both consumer and institutional packs. E.J. Rollins will continue as manager.

Umphrey, who is retiring from the potato processing business said he and his associates "are pleased that Taterstate operations will be carried on by Agway, an organization with strong interests in Maine agriculture."

Fallon called the Interstate acquisition "an important step in our marketing program in Aroostook County. I am pleased that our board of directors has authorized the purchase of this farmer-oriented business."

Maine Potato Growers, Inc., Presque Isle, participated in studies leading to the transaction, it was reported, and will be closely tied in with future plans. A membership program for Aroostook potato farmers is to be developed, it was stated, to allow opportunity for grower investment in the marketing facilities.

Agway, a Syracuse-based cooperative, has 95,000 farm-members in 12 Northeastern states, including 9,700 in Maine. Its operations include feed, fertilizer, petroleum, hardware, eggs, and animal foods. In additional to its tablestock and seed potato operations, Agway's Maine facilities include 87 retail outlets and a fertilizer manufacturing plant. 1