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June 20, 2006

Governor Baldacci Welcomes Expansion of High-Tech Greenhouse Business into Maine
~Backyard Farms Also Receives Pine Tree Zone Certification~

Governor John Baldacci (back right) welcomes Backyard Farms CEO Paul Sellew (back left) to Madison on Tuesday. Backyard Farms will grow tomatoes as their primary crop. Dressed as tomatoes for the occasion are (L to R) - Evan Bess, Whitney Bess, Melanie Clark, and Allison Dean.

MADISON, Maine - A new, high-tech, state-of-the-art greenhouse will soon call Maine home and Governor John Baldacci credited Pine Tree Zone incentives, low utility costs and cooperation from the town of Madison for helping to bring Backyard Farms, LLC to the state.

Governor Baldacci thanked Backyard Farms, based in Carlisle, Mass., for expanding their business in Madison while presenting Backyard Farms officials with Pine Tree Zone certification today at the future site of Backyard Farms on River Road in Madison. More than 200 acres were designated as a Pine Tree Development Zone, making the facility eligible for the tax incentive program, and a $400,000 Community Development Block Grant (CDBG) was awarded to the town of Madison for public infrastructure support of economic development in preparation of Backyard Farms's opening.

"Attracting Backyard Farms and its business to the state was the result of a successful collaboration between local, state and private entities and we look forward to the positive benefits that will result from this partnership," said Governor Baldacci. "The addition of Backyard Farms and its high- tech greenhouse will strengthen Maine's reputation as a leader in the agricultural industry."

Backyard Farms is building a 24-acre, high-tech greenhouse facility that will be completed in September. The first phase of the project will create more than 60 new, full-time jobs and represent a capital investment in central Maine of more than $20 million. Backyard Farms plans to begin shipping fully vine- ripened tomatoes throughout New England this November.

"The business development and outreach efforts put forth by the state and the town of Madison went above and beyond the call of duty," said Paul Sellew, Backyard Farms president and CEO. "Backyard Farms includes a world-class team of agricultural experts in a new and innovative industry that is excited about growing and providing fully vine-ripened produce for New England residents."

Sellew said a number of factors contributed to the company's decision to expand in Maine, including economic incentives from the Governor and the Department of Economic and Community Development (DECD) through the Pine Tree Zone program, the town of Madison, Madison Electric Works and Madison Business Gateway. Sellew said the state's location, cool climate and available workforce also were draws for the greenhouse.

"Backyard Farms's decision to expand in Maine is the most recent example that Maine is a great place to live and do business and we owe a great amount to our workforce and business incentive programs for attracting businesses to Maine," said Jack Cashman, DECD commissioner. "Backyard Farms is a world-class operation and its presence in central Maine will provide quality jobs for local residents."

Cashman added that the growth potential and spin-off business opportunities associated with Backyard Farms are tremendous.

Ground for the first greenhouse was broken in March 2006 with the goal of having it operational this October. Once completed, the greenhouse will feature 240,000 tomato plants in a 24-acre facility.

"This is a wonderful opportunity for Madison and for Maine and we appreciate Backyard Farms's business," said Norman Dean, Madison town manager. "Having a world-class, state-of-the-art greenhouse in town makes us unique as a business community and we are excited about being a part of this original project."

Madison's economic incentive package included local tax increment financing and low utility costs.

The current greenhouse will use grow lights, thermal blanketing for production climate control and a water recycling runoff system. Backyard Farms intends to "grow green" by using natural biological controls rather than chemical pesticides, and to build a biomass cogeneration facility that will utilize renewable energy resources. Backyard Farms has secured rights to 330 acres on the River Road and future plans could include additional greenhouses that cover 100 acres and employ 300 workers. Other vegetables, such as peppers and cucumbers, also may be added in the future.

In order to accommodate the large greenhouse, Madison Electric Works (MEW) is building a new substation and adding about eight miles of power lines at an estimated cost of $2 million. The new infrastructure will serve the greenhouse and improve service and reliability to all MEW customers. Backyard Farms will cover most of the costs for the upgrades and MEW will cover the remaining costs. The town will use the $400,000 CDBG funds toward infrastructural upgrades.

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