1271285--12/14/2007--GOLDEN_OVAL_EGGS

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{personnel, key, retain}

{competitive, industry, competition}

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We must refinance our existing Credit Agreement obligations to continue our business. Market prices of wholesale liquid eggs and the further processed egg products we produce are volatile and changes in these prices can adversely impact our results of operations. We may not be able to successfully integrate the recently purchased MoArk assets, and anticipated benefits of the transaction may not be realized. Changes in consumer demand for liquid eggs can negatively impact our business. Feed costs are volatile and changes in these costs can adversely impact our results of operations. Our sales will decline and our business will be materially harmed if there is any loss of any significant customer or any reduction, delay or cancellation of orders from any significant customer. Servicing our indebtedness requires a significant amount of cash, and our ability to generate cash depends on many factors beyond our control. Failure to comply with applicable governmental regulations, including environmental regulations, could harm our operating results, financial condition and reputation. Our business is highly competitive. Agricultural risks could harm our business. If we do not maintain adequate supply of eggs or if we fail to adequately forecast demand, the likely resulting delays in delivering products to our customers would damage our business. Outbreaks of disease affecting poultry could reduce our ability to produce our liquid egg product and reduce sales. Product liability claims or product recalls could adversely affect our business reputation and expose us to increased scrutiny by federal and state regulators. Special interest groups can have adverse impacts on the industry s reputation, and as the Golden Oval brand becomes known the risk of identification by special interest groups increases. There is no public market for our Class A Units and no public market is expected to develop. Our ability to issue additional Class A Units or other classes of units may dilute or otherwise limit your voting or economic rights or have the effect of preventing a change in control. The Class A Units are subject to significant restrictions on transfer. Future sales of shares of our units in the public market may negatively affect our Class A Units price. We are dependent on key personnel. Compliance with changing regulation of corporate governance and public disclosure may result in additional expenses.

Full 10-K form ▸

1271285--12/14/2007--GOLDEN_OVAL_EGGS_LLC