Contact:
Shirley Pugh (202) 690-0437

NEW CHERRY PILOT PROGRAM AVAILABLE IN SEVEN STATES

WASHINGTON, Aug 4, 2008 - Actual Revenue History (ARH) Cherry Pilot Crop Insurance, approved for the 2009 reinsurance year by the Federal Crop Insurance Corporation Board at its Apr 24, 2008 meeting, will make insurance available to cherry growers in 35 counties within the states of California, Idaho, Michigan, Montana, Oregon, Utah, and Washington.

Definition of revenue for purpose of the ARH program is the “packinghouse door” valuation, or after harvest at the point of first delivery. Like current revenue coverage plans, the ARH pilot program protects growers against losses from low yields, low prices, low quality, or any combination of these events.

A key feature of this coverage is that the producer-based revenue to count allows for an indemnity to reflect losses due to poor quality.

Under the pilot, producers will certify historical annual acreage for four years (building to ten). To calculate approved revenue, producers will certify historical annual revenue records on a unit basis. Cherry growers will be able to insure optional units under two types (fresh and processing) depending on the county. Growers who do not have four years of revenue records will use a transitional revenue (T-Revenue) for substitution purposes in calculating the guarantee.

The catastrophic (CAT) endorsement will not apply.