Grainnet

WHITE PLAINS, N.Y.—Bunge Limited (NYSE: BG)reported July 29 net income of $1.7 billion, up from second quarter net income of $313 million in the second quarter of 2009.

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Alberto Weisser, Bunge's Chairman and Chief Executive Officer stated, "The second quarter was disappointing, due primarily to low volumes and margins in agribusiness.

"We expect significant improvement in the second half of the year.

"In agribusiness, demand should be stronger and Northern Hemisphere harvests will contribute to new market conditions.

"Sugar and ethanol production will peak as the harvest progresses and sugar content yields improve, and fertilizer will enter its seasonally strong period in the Southern Hemisphere.

"In May, we completed the sale of our fertilizer nutrients assets. This sale, combined with the acquisition of Moema, has changed Bunge's Brazilian portfolio significantly.

"We believe it has improved our growth potential and created the opportunity for more synergies among our operations.

"We have embarked on a restructuring and consolidation effort to reflect this new portfolio and to reduce costs in the face of Brazil's continued currency strength and rising labor costs.

"We anticipate annual cost savings from these actions of approximately $120 million beginning in 2011.

"To date, we have retired approximately $1.5 billion of debt with a portion of the proceeds from our nutrients assets sale, and have returned over $200 million to Bunge's shareholders through the share buyback program announced in June.

"Our balance sheet is strong, providing us with ample financial flexibility to pursue compelling investment opportunities in our core and adjacent businesses."

For more information, call 914-684-3246.

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