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Private Placement Memorandum - Agrimex Capital

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Cost of Production (in Mexican Pesos)<br />

As you will observe in the following spreadsheet, these are the production costs per hectare and<br />

per box in the Chiapas region. These costs are based on a 3,250 box per hectare production per<br />

year. Our goal is to be way above this production number as we have been for many years.<br />

Through trial and error, and gaining experience we have come up with efficiency and optimizing<br />

engineering which gives us yields above the average in the Region.<br />

Costs per hectare per box<br />

Administrative costs 4,888.00 1.63<br />

Re establishing plants 679.90 0.23<br />

Maintenance 9,945.30 3.32<br />

Labor 2,944.50 0.98<br />

Raw materials 7,000.80 2.33<br />

Fruit Protection 13,844.74 4.61<br />

Labor 3,708.58 1.24<br />

Raw Materials 10,136.16 3.38<br />

Fertilization 18,580.52 6.19<br />

Labor 1,139.32 0.38<br />

Raw Materials 17,441.20 5.81<br />

Irrigation 1,430.00 0.48<br />

Draining 799.50 0.27<br />

Sygatoca control 23,185.00 7.73<br />

Labor 3,185.00 1.06<br />

Raw Materials 20,000.00 6.67<br />

Pest Control 2,791.00 0.93<br />

Pest Control 1,834.70 0.61<br />

Management of Machinery 1,823.75 0.61<br />

Harvesting 968.50 0.32<br />

Harvesting 7,087.60 2.36<br />

Packaging 13,650.00 4.55<br />

Indirect Costs 1,950.00 0.65<br />

Misc 9,900.00 3.30<br />

Office Administration 2,200.00 0.73<br />

Total 115,558.50 38.52<br />

USD Exchange rate at 12.90 $ 8,958.02 $ 2.99<br />

The total cost per hectare every year comes up to $115,000 Mexican Pesos. At an exchange rate of<br />

$12.99 Mexican Pesos per USD, which is the average exchange rate for the past 12 months, the<br />

total cost per hectare per year comes to $8,896 USD per hectare. This brings us to a cost around

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