News Releases

Thursday, July 20, 2006

U.S. ARMY ACQUIRES KEAMUKU PARCEL

SETTLEMENT AGREEMENT AVOIDS POSSIBLE CONDEMNATION OF 24,000 ACRES

Parker Ranch and the U.S. Army have come to a negotiated agreement on the Army’s acquisition of approximately 24,000 acres of Parker Ranch land known as Keamuku. The parcel, near the juncture of Saddle Road and Mamalahoa Highway, will become part of the Pohakuloa Training Area located at the base of Mauna Kea on the Big Island.

The U.S. Army initiated discussions with Parker Ranch regarding the military’s desire to acquire the parcel. Both the Federal government and Parker Ranch conducted independent land appraisals.

“Acknowledging the possibility of condemnation and fiduciary obligation to our Beneficiaries, we are pleased that we were able to reach a fair settlement for Parker Ranch” stated Parker Ranch Inc. President and CEO Chris Kanazawa. “Based on our own independent appraisal of the land we achieved full appraised value, a deciding factor in reaching an agreement.”

Because of Parker Ranch’s progressive livestock management policies on other lands, reduction in acreage within the Keamuku parcel will not adversely impact the Ranch’s cattle operation.

Parker Ranch remains one of the largest ranches in the United States. With the reduction in acreage from the Keamuku parcel, the ranch now spans approximately 150,000 acres across Hawaii’s Big Island. It surrounds the town of Waimea and spreads between the Kohala and Mauna Kea mountains.