Release Details

ScottsMiracle-Gro Signs Letters of Intent to Purchase Two Turfgrass Seed Processing Companies

February 27, 2007

MARYSVILLE, Ohio (February 27, 2007) - The Scotts Miracle-Gro Company (NYSE: SMG), the world's leading marketer of branded consumer lawn and garden products, announced plans to purchase, in separate transactions, two companies that process bluegrass seed for the consumer and commercial lawn industry.

Letters of intent have been signed with Seeds, Inc., of Tekoa, Wash., with operations in both Washington and Idaho, and Dye Seed Ranch, Inc., of Pomeroy, Wash. Both companies are recognized industry leaders, serving bluegrass turf seed growers in the northwestern U.S., and are currently suppliers to ScottsMiracle-Gro and others. The Company expects to close each purchase within the next 60 days.

"We are excited about the opportunity to add Seeds, Inc., and Dye Seed Ranch, Inc., to our portfolio of capabilities," stated Mark Schwartz, senior vice president and general manager of ScottsMiracle-Gro's grass seed business. "For 100 years, ScottsMiracle-Gro has been committed to providing premium grass seed to homeowners. The additions of Seeds, Inc. and Dye Seed Ranch, Inc. will further strengthen our ability to meet the marketplace's ongoing need for quality bluegrass seed."

Upon purchase, the Company intends to maintain Seeds, Inc. and Dye Seed Ranch, Inc.'s current operations and continue to build upon the long-term relationships with the growers and customers that both companies have established over the years.

About ScottsMiracle-Gro
With more than $2.7 billion in worldwide sales and more than 6,000 associates, The Scotts Miracle-Gro Company, through its wholly-owned subsidiary, The Scotts Company LLC, is the world's largest marketer of branded consumer products for lawn and garden care, with products for professional horticulture as well. The Company's brands are the most recognized in the industry. In the U.S., the Company's Scotts®, Miracle-Gro® and Ortho® brands are market leading in their categories, as is the consumer Roundup® brand, which is marketed in North America and most of Europe exclusively by Scotts and owned by Monsanto. The Company also owns Smith & Hawken , a leading brand of garden-inspired products that includes pottery, watering equipment, gardening tools, outdoor furniture and live goods. Additionally, the Company owns Morning Song , the leading brand in the wild bird food category. In Europe, Scotts' brands include Weedol®, Pathclear®, Evergreen®, Levington®, Miracle-Gro®, KB®, Fertiligene® and Substral®. For additional information, visit us at www.scotts.com.

Statement under the Private Securities Litigation Act of 1995: Certain of the statements contained in this press release, including, but not limited to, information regarding the future economic performance and financial condition of the company, the plans and objectives of the company's management, and the company's assumptions regarding such performance and plans are forward looking in nature. Actual results could differ materially from the forward-looking information in this release, due to a variety of factors, including, but not limited to:

  • Adverse weather conditions could adversely affect our sales and financial results;
  • Our historical seasonality could impair our ability to pay obligations as they come due and operating expenses;
  • Our substantial indebtedness could adversely affect our financial health;
  • Public perceptions regarding the safety of our products could adversely affect us;
  • The loss of one or more of our top customers could adversely affect our financial results because of the concentration of our sales to a small number of retail customers;
  • The expiration of certain patents could substantially increase our competition in the United States;
  • Compliance with environmental and other public health regulations could increase our cost of doing business; and
  • Our significant international operations make us more susceptible to fluctuations in currency exchange rates and to the costs of international regulation.

Additional detailed information concerning a number of the important factors that could cause actual results to differ materially from the forward looking information contained in this release is readily available in the Company's publicly filed quarterly, annual and other reports.

Contact:
Jim King
Vice President
Investor Relations & Corporate Communications
937-578-5622