Farmers Cooperative
Conference
November 18, 2008
North American
Bison Cooperative
History
North American Bison
Cooperative
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1993 formed in New Rockford, ND
1993-2000 Sold a total of 16,000 Delivery Shares
with requirement to deliver one bison for each share
owned.
1994 built 12,000 sq. ft harvesting, processing and
distribution plant in New Rockford, ND
• Capacity: 10,000 head per year
2000-2003 did not pay members for animals
delivered. Member received a deferred payment
certificate.
North American Bison
Cooperative
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2002-Purchased New West Foods
2003-Purchased Great Plains Game
2004-Hired new management
2005-Declared Chapter 11
2006-Emerged from Chapter 11
2007-Paid first patronage ($.10/lb) ever to
membership who delivered animals
2008-Will pay higher patronage rate than 2007
North American
Bison Cooperative
TenderBison
Products
North Dakota
Natural Beef, LLC
North Dakota
Natural Beef, LLC
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2005: October the company was formed by
NABC
2005-06: Raised capital
2006: Purchased John Morrell building in Fargo
and received neighboring building as an equity
contribution
2007:
• April: Started sales effort
• July: Started construction
North Dakota
Natural Beef, LLC
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2008
• September: Occupied office portion of facility
• October: Started warehousing and distribution
• November-December: Add fabrication and
further processing
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2009
• Full occupancy
• New Rockford becomes solely a harvest facility
North Dakota
Natural Beef, LLC
Dakota Farms Brand
Products
Why ?
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NABC/NDNB
• Synergy
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Administration
Sales
Marketing
Operations
• Lower overhead for both companies
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Shared expenses
Increased probability of success for NDNB
Win-Win
Key Personnel
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Dr. Ken Odde: North Dakota State University
Lt Gov. Jack Dalrymple
NABC Board and Membership
North Dakota State University Administration
• Dr. Chapman: President
• Dr. Coston: Vice President
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Rod Sather
Rick Burgum
Farmers Union
Functionality
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2 separate companies
• NDNB has 2 NABC Board members as
representatives
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Act as investors representatives
NDSU Strategic Alliance
• Arms length by necessity
• Key differentiation for NDNB in marketplace
• Provides NDNB with resources only very large
companies have access to
Knowledge

What have we learned that is applicable to other
businesses?
• Competition today is international
• Continuing reduction of operating expenses while
increasing quality and consistency a requirement to
compete
• Leveraging assets provides opportunity
• Competitors may be customers and vendors
• Scientific credibility of a program provided through
NDSU is a critical differentiation for new market
entrant
North Dakota Natural
Beef, LLC
North American Bison
Cooperative