From the desk of Jay Minton:

May 14, 2010 

Update on the “Production Activities Deduction.”

In the mail now is a notice to each member that did qualified grain business with Plains Partners / CHS Inc.  This notice is about the allocation of their “Production Activities Deduction” from CHS.  This will be available for the producer member to use as a Deduction on their 2010 tax return.

Each member will receive a 1099-PAT for this deduction sometime in November or December of 2010.  Please consult your tax preparer to make sure you are taking full advantage of your share of the deduction available to you in 2010.

It initially appears that members doing business with us will on the average receive at least a $1,100 deduction to use in offsetting their gross income for the year 2010.

I believe the deduction calculation for the 2011 tax year has the potential to figure even higher amount of deductions from gross income.

Thank you for your business and allowing Plains Partners to be your agribusiness partner.  Remember, this business is owned by you, willing to serve you, and designed to share the business rewards with you.

Sincerely,

 Jay Minton

General Manager