Farmers have responded to escalating fertilizer prices and low commodity prices by delaying purchase decisions until an appointed time closer to spring seeding.

How would you know? When I played, you were in your third year of eighth grade.

You want to see an embarrassment? Look in the mirror, Sean.

Grain shipments are beginning to bounce back to levels reflective of the high volumes produced in 2004 and 2005. The Canadian Wheat Board's (CWB) recent take-up of grain offered for sale by farmers and the steady delivery of non-CWB grains and oilseeds despite current commodity prices are reasons for increasing optimism about grain shipments over the balance of the fiscal year.

Good moisture conditions across western Canada will encourage maximum use of the productive capacity and the impact of significant crop growth last year indicates a need for fertilizer products this year. In addition, the combination of high rates of collection on last year's credit programs and the positive credit profile of the Company's farmer customers suggest that the delays in customer purchasing decisions are operational rather than financial, as farmers weigh final planting decisions against demand signals from the world commodity markets.

Given the seasonal nature of agriculture in Western Canada, a loss in the first quarter is not unexpected.