U.S. SUGAR CORPORATION SIGNS LEASE AGREEMENT WITH
STEWART MINING INDUSTRIES, INC.

CLEWISTON, FL — May 11, 2006— Sugar Corporation has signed a lease agreement with Stewart Mining Industries, Inc., of Fort Pierce, to mine aggregate rock on some of the Company’s land in western Palm Beach County.

The long-term lease agreement includes 5,400 acres of land (4,000 to be mined) 11 miles west 20-Mile Bend. The initial plan calls for mining up to 100 acres a year. The excavated property will have long-term potential for water storage, creating 3,800 acres of reservoirs. To minimize impact on local highways, all of the aggregate will be transported by rail.

Stewart Mining currently operates two aggregate mines—one in Fort Pierce and one in Jasper, Florida. Aggregate rock materials are primarily used throughout Florida for road building and other residential and commercial construction projects.

Not all of the property leased will be mined initially, with market demand determining the mining schedule. As part of the agreement, U.S. Sugar reserves the right to continue farming leased land not currently involved in mining operations.

Florida Department of Environmental Protection and U.S. Army Corps of Engineers officials toured the property and determined that no wetlands would be affected by the mining operations.

“This mining lease is part of U.S. Sugar’s effort to maximize its land assets. This is a unique opportunity to add value to our companies which are dedicated to long-term agriculture,” said Robert Coker, Senior Vice President, Public Affairs.

“We are in the sugar business and we will continue to be in the sugar business. The lease of this relatively small acreage should not be taken as any type of change in direction. It is our intention to continue to be a major player in the U.S. sugar industry and to that end, we are making significant investments in our sugar processing facilities,” Coker said.