Five Points, California, USA
February 14, 2011

S&W Seed Company (NasdaqCM:SANW) today announced its fiscal second quarter results for the three and six months ended December 31, 2010. Commenting on the results, Mark Grewal, President and Chief Executive Officer of S&W Seed, stated, “Domestic alfalfa hay prices have recently increased, due to limited supply and renewed demand from California dairies. Internationally, an uptrend in alfalfa seed pricing appears to be taking place in the Middle East. Our decision not to discount our seed in the Saudi Arabian market, as others seem to have done, looks to have been correct. Our expectation is that the export market for our proprietary alfalfa varieties will continue to rebound and that demand for our inventory – much of it purchased from growers at less than current cost – will be strong; thus, our decision to remain patient and hold our seed in reserve will hopefully result in higher margins. In addition, S&W’s domestic sales and marketing efforts are proving fruitful with growth opportunities now emerging in Texas, Arizona and New Mexico.”

Continuing, Grewal said, “We are also pleased with the progress we continue to make with our U.S. stevia cultivation program. Last week, we took delivery of stevia seed from our Chinese suppliers, positioning us well to begin transitioning our stevia program from research production phase to full crop production. If all goes as anticipated with the seed germination process, we expect our first large scale stevia plantings to occur late next month or early in April, which should give us up to three or four cutting cycles this calendar year and allow us to begin booking revenues from contracted sales of dried stevia leaf to PureCircle by late summer.”

“On the mergers and acquisitions front, our management team is working to advance and/or conclude negotiations with strong acquisition candidates – any one of which would be accretive to our earnings, and provide S&W with critical sales, distribution and marketing advantages both domestically and in key export markets. We are very excited about the growth potential these companies represent for us and hope to have details to share about one or more deals being consummated in the coming months,” concluded Grewal.

Full report

Website: http://www.swseedco.com/

Published: February 14, 2011