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Land Litigation Update

Mar 5, 2018

John I. Haas, Inc. recently initiated a lawsuit against BNSF Railway Company and Yakima Fruit Storage relating to a sale of leased land. We believe the transaction involving this land on which four of our Yakima warehouses are located was improper. We have chosen the path of litigation as a last resort and intend to fully protect our rights.

These four warehouses are an important part of our business operations. However, they represent only approx. 10% of the total warehouse space we own and operate. We have other assets and resources that are sufficient to meet our storage needs, both now and into the future.

We do not expect this situation to negatively impact our ability to continue to provide the high level of service that our customers, suppliers, and other business partners have come to expect.

Please direct any questions you might have to Bob Gerst, Vice President – Human Resources, at 509.469.4005.