2020-12-31-accounts

Financial Statements Farmland Reserve UK Limited For the year ended.. 31 December 2020 Company Tegistration number. 01332670 Charity number: 274605 ¥UF9Q22X 1611012021 COMPANIES HOUSE A18

FARMLAND RESERVE UK UMrrED CONTENTS Page Reference and admlnlslratlve detalls of the C¢bmpany, Its Trustees •nd advlsers Truslees. report 2-10 Independent audIt0￿5 report on the financlal statements Consolldated sLthment of flnanclal activltles 15 Consolidated balance sheet 16-17 Company balance sheet 18-19 Consolldated Statement of cash flows 20 Notes ¢0 the financlal statements 21-49

FARMLAND RESERVE UK UMITED REFERENCE AND ADIIIINISTrATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 DECEMBER 2020 Trustees D M Sleight. Trustee (resbgned 31 January 2021) B M Conway. Tnjstee P A Tolman. Trustee D L Rose (appointed 31 January 2021) Company registered numb¢T 01332670 Charity registered number 274605 Re9iSteT¢d office Manor Farrn Chureh End Wood Walton luntingdon Cambridgeshire PE28 5YU Company se¢retary J Garfick Independent auditors MHA Madntyre Hudson Chartered Accountants 1 The Forum Minerrfa BUSu￿5 Park Lynch Wood Pelerborough PE26 Banker Natwest 92 H￿tt Street Hunts"ngdon PE29 3DT Soficltors Devonshires 30 Finsbury Circus London EC2M 7DT Paop. 1

FARMLAND RESERVE UK LIMrrED TRUSTEES. REPORT FOR THE YEAR ENDED 31 DECEMBER 2020 The Tr4JStees. who are also directors for the purFJoses of the Companies Art of the company (The Chaiity - Farmland Resefve UK Limited). present their annual reFX)rt together with the audited financ¢al statements of The Charity and its subsidiary (The Charity arKI The Group} ts the year ended 31 December 2020. The Trustees confirm that the financial statements of The Charity and The Group comply with the current prowsions of FRS 102 and the Chaiil*s SORP. Objoctives and Activities . Objectives and principal activitles The ofy'ect of The Charity is: To promote and further the rehgious and other thariiable work of The Chur¢h Jesus Christ of Latter4ay Saints in the United Kingdom and elsewhere and to assist members arKI other persons who are in cC￿dib0nS of need, hardship, sickness and distress, to am ages and denominatiffis. The Charity will support charitable or9anisations. trusts. associations or institutions fom)ed for any of the charitable purposes induded in the Objects. Ihrough the I￿0vi￿on of sponsorship, grants or other financial or in- kind contn'bub'on5. The Charity hohjs tang&>le investments in farming and their a55ociated assets to generate funds for its objectives as previously slated. Detsils of their performance can be found in the 'Financial Revie￿ section and "Subsidiary Undertakings" subse¢tK)n under the"Structure, Governance and Managemenf Sect￿n. The Trustees regularly interact representatives of The Church of Jesus Christ of Latter4ay Sainls, Churth Corporation r'church Corp)ration") Iformerfy knthvn as The Corporat￿n of the Presiding Bishopric of The Church of Jesus Christ of Latter4ay Saints -CPB") to discuss making significant donations to support Church Corporation's intemalional building projects for ￿lig￿U$ purpose buildings and other projects whith both Church Corporation antj the Church had approved around the world. 11 was dechJed that this would be a better match (and easier to monitor} to Ihe Charitls obj'ectbves rather than making indNidual donations to various charitable organisations within the UK and elsewhere. The Trustees investlgated the way in which these projects were idenlified and apFffoved by inlemal Church comrn)ttees, the type of projects and their religiou5 arKI charitable purp)5es. Further, they were happy the infrastructure and controts thal Chur¢h C¢rp)ratwi had in pl￿ to ensure proper impkmentaknon of these projects. . Achlevements and Performanc¢ During 2019 the Trustees finafised plans to make arwjther donat¢on to Church Cortxjration. On 23rd December 2019. a donali¢)n of £1.000.0(KI 1$1.291.(KJOI was transferred from The Charity, to Sister charity. Church Corporab'on. Chufch Corporation identified a number of projects lor implementation intemationany in pursuit of tts purposes to the success of which The Charity has now had the opportunity to contribute £1.000.000 to these causes. .?

FARMLAND RESERVE UK UMITED TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2020 The projeci Mlenlified by Church Corporation to utilise the donats'on is a Humanitarian project as listed belovr. Latter4ay Saint Charib'es. an affiliated entty to Church Corporation dedicated to humanitarian and charitable wotks globally. has worked wilh One Aue Fund {OAF} to SUPFrf)rt fam)er families in Africa increase their crop pioduth'on and fami income since 2015. During the 2019 calendar year. Church Corporation will ulilize the Addiknonal Grant by provKling funds to Latter4ay Saint Charities and directing it to provide OAF wrth a £1M donation tQ 5UPPOrt fam%r5 in Uganda. Kenrd. Tanzanrd and Malaw". In rural East Africa. one in ten chiklren dies before the age of five. with nk)st deaths due to malnutrition", 40•h of those surviving become physicalty andlof mentally stunted, unable to reach their full potential at school or in life. One Acre Fund helps Afrbca'5 harth￿rkn.ng smallholder farrn families grow their way out of hunger and build lasting pathways to prospenty. Rathei than handouts, OAF prowdes farmers a comprehensive bundle of products and servtees. on cred¢ induding financing. distributN)n. training and market facilitation. A one-year, £1M grant from Latter4ay Saint Charities would fvel growth and impact in these countries. primarily via working capitsl lo purchase input5 for new dients ahead of the 2020 gr(pwing season, benefrtb.ng 15,308 famier families during the 2020 season. enCompas￿n9 over 48,000 children. The foll¢)wirtg excerpts are taken for the One Acre Fund Final 2020 rep)rt retsting to the 2019 Donation: We remain deeply grateful for the humanitarian impact Latter4day Saint Chartties continues to unlcck for Africa's smallholder families. Through your support in 2020, we diredy served over 16.000 hardwortong families. This was particularly important support as we were helping our fam￿rS stay open for business. As we close the 2020 projecl and l¢)ok ahead in 2021. we are very eager to build upon the wccess of our pathership, serving an expanded number of fam*T5. On behalf of William and sCho￿s￿e Bwarige (featured in the appendix betow), and all of the fam)ers we serve. thank Y￿ for your vital and steadfast supporL Appendix A.. Meet the 8waThJes William and scholast￿ Bwarige are proud farmers from Namatele Central in Kagoma Parish, Jinja District. Uganda.. He and Scholastic used to harvest only three bags of maize from an acre of land. This harvest would quickFy be consumed by the farnily. foreing them to buy fcod with the littte money they had. eat one meal a day or depend on genefosity of kind neighbours wdling to share their surplus har¥est with them. until they gel to another planting season. when they would they (ywn fwd. In their first-year plartting with One Acre Fund. William and Scholastic were able lo harvest 20 bags of 100kg Irom the very acre of L8nd that used to Produce three bag51 "We We￿ very happy and lell rich enough lo aceomFdish our dreams!" laughs William. Thanks lo the modem methods of famiing. the happy couple now has enough food to feed their extended family. share wlh their nei9hbouis. and surplus to sell. which ￿n95 in money for school fees and other basic needs h'ke heahh care. and dothes. A Donation for 2021 is currenty under review. £2.OM has been set aside to supptsrt several projects. This represents a 2020 donation of £1.OM delayed due to Covid-19 and a planned £1.OM for 2021. The planned donations wll support the renovatioft of the London. England LDS Tempte and various Humanitarian Projects. Pa￿3

FARMLANO RESERVE UK UMITED TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2020 Several Humanitarian projects have been tdenbfied by Church Corporats'on and are currenuy under considetation. Additional detail about the scope of tr￿Se proFcts is detaited bek)w. "JRS Jesuit Refugee Service" Assist refugees with food. shelter, educab'on. al support for seeking asylum, arKI employment with projects in Italy. Poland, Spain. France. UK. Bosnia, Croatia. Kosovo. Portugal. Greece. 'MEDU Medici per l Diritti Umani Provide medical and psychoiogul care fr)r refugees including mobile clinics to reach homeless and document human rights abuses to iThyove conditions for Rfugees in ltsly. 'PRAXIS" Provides food. shelter, support for unactompanted Min0￿ as well as a medical centre and day centre for refugees and the homeless in Greece. "Ben50n Food ProjectNyslim Aid. Major Initiative in Bosn￿ providing greenhouses in fural areas in cooperation with Muslim Aid. °Merhamet (Bosnia)" Bakery and kntthen whith provth bread and rreals for the Ivjngry in oty of Gorazde. Providing remodel of buikling arKI equipmenl for fDod preparation and bakery. • Publi¢ Benefit The Trustees have read and given due ward to the 9u#Jance on public benefit published by The Charity Commsssion in exerrysing their powers artd dut5. Strategic Report Finan¢lal Revlew • Financial results Each year, The Trustees cary out a detailed review of The Charlty. They review Ihe prevKius yea¢s achievements, and review and approve the budgets for next year. The end of the year saw similar profitabifity to 2019. the variathjn in the net positson is caused by the large Charitable Donation made in 2019. Incoming resource5 saw a reduction during the year decreasing from £6.951 k in 2019 to £6,194k in 2020. Income from rts trading subsKliary decreased to £6,014k (2019: £6,696k) and investrnenl income decreased to £37k <2019.. £80kl. Costs, excluding tax. decreased during the year from £6.258k in 2019 to £4.873k in 2020. A donation to "The One Acre Fund" was made during 2019 lotalling £1M. Incoming resources exceeded resources eynded for the year ty £1.184k {2019: £510kl. Results of The Group were impacted by both the Covid-19 pandemic and extreme weather. During the 2019 autumn planting window. heavy rains fell consistently from October through December. followed by the wettest February on record. As a resu￿. 50•A of wnter planbngs weft delayed unkn'l the spnng of 2020. These late plantings were bJrther impacted by drought like conditions during May and June. The rnmknnation o.f these verse weather conditions led to a signtheant h)ss in yield across all crops. Severe disruptions were expected in the agricultural supply Chain due to the Cowd-19 pandemic. Fortunately, due to Brexit many suppliers had sloekpiled inventory to supply the agricultu￿ sector in preparation for potential disruption. Many of these slockpiled tiiventories helped to ease the impact of the pandemic the suppty chains seNicing the agricultural sector. Paae 4

FARMLAND RESERVE UK LIMrrED TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2020 . Investment policy and perfomiance Under the Artides of As5¢x￿tIon. The Charity has the power to wwest In any way the Trustees deem to be in the best interest5 of The Chanty. The Charitys objectsve is to maintsin high liqukdty while ensunng maxtmum security ar)d ￿hleVIng the highest possible return. This wll help facilitate future fam) acquisibcm as listed in the fijture plans section of this Trustee ReF>Jrt: 'The Trustees are mindlul that the small and sorT￿hat scattered nature of some of the parcels of land do lead to some labour and equipment ineffio"eneres. The Trustees believe that this weakness in the operations of the fams can be overcome by consolidatsng tsnd holdings around one ma}or fami centre ￿ Cambridgeshire. This PTocess of con501idats.on began in 2008 and has contsnued through lo 2020.. The currenl high I￿UldIty POSit3n hekj by The Charity ts a resuR of selling off some of these scattered land parcels over the last 13 years. However. due to the low volume of Land sales in the desJnated geographical area for re-deployment. as such it has taken some time to make these Land Acquistions and this trend is expected to conb'nue. When complete this will enabl8 the running of a more efficient operatw that generate 5UStw"nable funds for future Charitable woth. To athEve thi$ obJ"eth"ve, The Charity by the year end had invested ￿4.1 million12019.' £26.3 million) of excess fvnds in an Instant Access Interest Bearing account with h￿￿ secunty rating and achieved an average interest rate of 0.01% {2019.' 0.25°A gross) during 2020. Investment income L% rec￿nISed on a receivable basis. • Reserves policy The Trustees have estsblished the I￿e1 of reserves (that is those funds that are freely available) lo whith The Charity and its subsidiary Companies ought to have ready access. Reserves are needed to bridge any funding gap betsveen spending and receivmg Rwrce5 through sharehohler grants and leasing of famland. The Trustees. policy is to hohj. as a minimurn, the eqUr￿￿t of approximatety 12 months of charitable expenditu￿ in reserves. The actual reserves reported at 31 December 2020 were £104,459k (2019.. £103,275k) whith is Signifi￿nIty above the TTUStees' tsrget due to retsining a p)rb'on for w5sible fvture agr￿Ultural acquisitsons as part of its ongoing wis01idats.on efforts. 11 should be noted that of tt)e £104.459k th £26.618k is freely available as cash, due to the rest of the reserves fi9ure being hekl in faming related assets to generate investment income to make current and future donations. The current level of cash reserves held exceeds the 12 months expenditure policy $taied, this is due to awaits.ng to reinvest cash generated from farm sales for redeployment on tand a55et5 within the designated area for consolKtation. as described in the inVeSt￿Ent pc4icy seclwjn. In addits'on, the Trustees wish to observe that during 2021 plan$ have been made to make a significant ¢harilable donation to causes that meet Tr Charitrls oty"ectives. It is the Trustees, ￿eW that it is pft￿ent to ensure that there are sufficient reserves to wovide financtal flexibility. The reserves policy is reviewed on an amual basts. Paae S

FARMLAND RESERVE UK LIMITED TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2020 Structure. governance and management • Governing document The Charity Continues to be both a limited company and a registered Charity. In conjunction this. The Chanty is governed by its MemoiarKlum and Articles of Association whth were last amended on 22 November 2011. The purpose of The Charity as set out in the govemment dLKumenl is laKI out in the Objectives and A¢bvib'es sectton of this report with the main a¢tivib"es undertaken in relation lo those purposes. • Appointment of Trustees As set out in the Arkn"cles of Association. or additional Iruslees are to be apFM)inted by the shareholder (Farmland Reserve. Inc.} or by dectsion of the Trustees. providing such persons are wilh.ng so to act either to fill a vacancy or as an additsonal trustee. • Trustee InductSon and tralnlng New Iruslees undergo an orientation day lo brief them on their legal obligalion5 under charity and company law. the content of the Memorandum and Articles of AsscKiation. the committee and decision-rnakn.ng processes. the business plan and recent financial performance ofThe Charity. During the orientation day they meet key empbyees and other trustees. Tnjstees are updated and advised on legal issues by Devonshires Clawns. . Organisalion The sole sharethAder of The Charity i% Farmland Reserve. Inc. a ry)n-profft CO￿0(all0￿ based in Utah, USA. Direction is channelled to The Charity via the shareholder and is reflected in the various department budge plans which are reviewed and approved by the Trustees annuauy. Within this framework. the board of trustees administers the affairs of The Charity. The Trustees monilor progress and achievements throughout the year. arKI other trustee meetsngs are held a5 necessary. The trustees direct the Charity and the operatwjn of the Chanty on a day to day basis is delegated to the Senior Management Team. The pay of the Senior Management Team is reviewed annually by Truslees and 1$ tenchmarked against the pay of others in siffilar charitable roles. . Related parties The Charity hokls 100% of the share caytal of its 5ubsKliary c￿anieS. AgReserves kn'mited. • Subsldiary undertakings AgResetves Limited's principal a¢tiwty conunued to be that of arable farming and it operates a policy of generating Ihe h￿hest profits feasible from efficient famiing techniques that utilise the latest technology. AgReserves Limited leases all of the farmland (nvned by Farmland Reswve UK Limited and then famis that land. The Trustees are mindful that the small and somewhat scattered nature of so￿￿ of the Par￿lS of land do lead to some labour and equipmenl inefficiencies. The Trustees believe that ihis weakness in the operations of the farms can be overcome by C￿5011daknng land holding5 around one major farm centre ￿ Cambridgeshire. Paoe 6

FARMLAND RESERVE UK LIIAITED TRUSTEES. REPORT IcoKfiNUEDI FOR THE YEAR ENDED 31 DECEMBER 2020 This process ot consolidation began in 2008 and has continued ttwough to 2020. The profit for the year of the subsidiary AgReseNes Limited induded n Ihe statement of finanoal activitses was a proffit of £592k {2019.' £857k). • Risk management The Trustees have assessed the major risks to whth The Charity and the group are exposed, in particular Ihose rdated to the operations and finances of The Charty and the group, arKI are satisfied that systems and procedures are in Pla￿ io mitigate our exposure to the major risks. The nsk management strategy of the Trustees includes an annual review of the princtpal risks. The Trustees regularty review the procedures in place its mibgale risk. . Employees The Charity ensures that its enW¢)yees are able to meet the necessary requirements of their posikn.on and are up to date on any developments required for thw"r positicrfÈ. This is achieved in a variety of ways.. . Appli¢ations for new w)sitsons in The Chanty are inwted fr¢)m anyone with the Tr￿vant qualifscatiCA)s - the key emphasis is on their abiltty to meet the requirements of the position allhough the applKation form requests the applicant mentKin if they have any illness or medical condib'on which the employer would need to be aware of in order to make reasonable adjustments should they be successful. . The Charity utilises regular staff meetings during the year which help to erisure that the employees, input is received regarding any decis￿n$ which affect their interests. In addition, there are websttes and e-mail facilities available lo enable more effective communication and training. This helps to ensure that empbyees receive systematic updates on matters conceming them as empFoyees and ensures their involvemenl in Rlation to the ffinancial and ￿onomiC fadors that affect the pert(Ymarth of The Charity and The Group. In addib'on to the above points. The Charity is mindful of the need to cater for those wth disabilities. Where any employees becorne incapacitated during th￿r employmenl they are enti￿ed to receive long-term disability benefits from The Charity. Where an empknyee becomes disabled but not incapacilated the employer will make any reasonable adjustments necessary. The Sar￿ opportunib'es are available to all staff, irre$pe¢live of disability. The key emphasis is on the tethnical ability of each employee. There is no fvrKlraising actrrfity and no wofessional fur￿TalSers are used by the ¢harty. • Key Management P¢rsonnel The Charity does not have any enwloyees. During 2020. ￿ Tfustees of The Charity received any ren￿neratIOn, beneffts ID kind or reimbursernenl of expenses Irom The Charity, nor in¢urred any expenses. Of the three Trustees onty one is a rnember of the Key Management Personnel of the group who is employed by the Subsidiary. AgReseNe5 Ltd. Key Management are paid within the banded salary structure of the subsidiary. Regular benchmarking and independent rna￿et reviews are conducted lo e￿Ure that pay remains refiethe of fair market value and compets'lwe enough to encourage retention of key Staff. 8en¢hmarknng exerci5e5 occur on an annual basis. with an independent market review occurring every S to 10 years. During this prc￿$s. a ￿vIeW is conducted not just for Key Mana9ement bul all workn.ng staff of The Subsidiary.

FARMLAND RESERVE UK UMITED TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 DECEMBER 2020 Reference and administrative detalls • Registered name and number The registered name of The Chanty is Farrrdand Reserve UK Limited. The Charity does nol use any other names. The ¢harty registratson number is 274605. The Charity is re9KStered with the Charity Commission in England and Wales. The company registration number is 1332670. . Office The principal and registered office address is Manor FaTm, Church End. Wood Walton, Huntingdon. Carnbridgeshire. PE28 SYU. • DireGtors and truste¢s The trustees who seryed during the year. subsequent to the year end and up to the date of synrwj the report were as follows.. O M Sleight (resigned 31 January 2021) 8 M Conway P A Tolman D L Rose (appointed 31 January 2021) None of the Imstees have qu￿1￿"n9 third paty indemnty insuran￿. Funds held •$ Cust¢￿1*n trustee on behall ol others The Charity does not hold funds as custodian trustee on tehawof others. Strateg1¢ Report Prin¢ipal risks and tsn¢ertalnlies Financial risk and management The main risk The Charity laces is that it relies on income from the lea&ng of all the familand il owns to its subsidiary undertaking. The Chanty has sufficient reseNes to meet the needs of its Charitable activities for the foreseeable future and has assurances of contsnuing support from the parent company. Olher forms of risks and the management ofthese risks are: Prfce risk Salary costs are communuled to siaff of The Group during the fomwl annual review of Salar￿$. Price5 of materials purchased a￿ subject io contracts with supPl￿rs, based on current market prices. As part of the natup of agricutture the Company is subject to price varotsons. bul active efforts are made to manage this risk by tsking advantage of regular market information, forward ¢ontracts, and ovming sufficient storage. These storage faulities alh)w the company to price and delNer products away from the haNest window which is weu known lo be a period of depressed prw. Paoe 8

FARMLAND RESERVE LIK LIMITED TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2020 Credit risk Credit risk on amounts owed to The ChaTty by its customers is low as the main debtor is AgReseNes Limited whith is a whony owned subsidr4ry. Credit risks ￿ amwnts uwed to the group are actively monitored. The Group conlinues to make every effort to rninimise exposure to Customer credrt risks and all appropriate slep5 are taken to reduce this ris Liquldity risk The Charity has no long-lerm borrowings. Assurances of continuing finarwl support have been received from the parent company. Interest rate cash flow risk The Charity Is able to place surplus funds on short tenn depogt the Charitys bankers. With the present banknng intefest rates being so low there is a risk that the Chanty does not make the best use of surplus cash and therefore every effort is being made lo review all options thal would bring the highest rates possible. Currency rate risk As a result of B￿xit. the 2020 BPS Subsidy recewed from the Rural Payments Agen¢y was paid to the subsidiary in Pounds Sterling. 11 is theref￿ highly unlikety Ihat Ihere ￿11 be a need to enler into any future fO￿ard dealing facilities, this almost entirety eliminates any currency rate risk. Key performance indicatorn (KPII To measure the effectiveness of The Charity's strdlegy and its implementation The Trustees have identified the following KPIS.. 2020 Profitability of Faming OperatI￿S £1.7M Resources expended on charitable actsvbks £0.5M Unrestricted Funds £104.5M Unrestricted Funds readily available £26.6M 2019 £2.OM £1.5M £103.3M £28.OM 2018 £2.OM £0.8M £102.8M £28.7M 2017 £1.8M £0.5M £101.5M £29.1M 2016 £1.1M £0.4M £100.4M £33.SM Plans for future p¢rfods The goals for 2021 indude plans to: Continue to enhance the profitabilty and effictency ofthe fam)s through well-reasoned aequisitions to achieve. over time, a concentration of land holdings around one major farm. Any fvture acquisitions will be fvnded from ￿ta1fted reserves Along with well-reasoned a¢quisitMins, a regular operational review of currently held farrns occurs. New technology and science are continuaty reviewed and veited trj see if it vrarrants integration with daity operations. To carefijlly monitor the balance of Un￿StrICted fiJnds while striNirKJ to achieve the concentration efforts identified in goal one. so that fvr￿S can be put to Ihe use of The Chantys objectives as sw¢ftly as possible. Idents'fy other charitable organisations. trusts, asswab.ons or inslitubons foftred for any of the charitable purposes included in the Ow'ects. lo support through the of sponsorship, grants orother financial or in kind contribub'ons. Paoe 9

FARMLAND RESERVE UK UMITED TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 DECEMBER 2020 Trustees. responsibilitles statement The Iiustees (who are also direclws of Farrrland Reser¥e UK Limited for the purposes of company law} are responsible for preparing the rep)rt of the trustees {InCo￿Oralin9 the strategic report) and the finanaal statements in accoidance wth applicable and regulat￿5. Company law requires the trustees to prepare financial statements for each financial year. Under that law. the trustees have elected lo prepare financial statements in accordance with United Kingdom Generally Accepted Accounting Ptaclice (United Kingdom Accounting Standards and applicable law), in¢ludiThJ FRS 102 The Financial Reporb'ng Standard applicable in the UK and Republic of Ireland. Under company law the trustees musl not approve the finanoal Statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and the group and of the incoming resources and application of resources. includin9 the income and expenditure. of the charitable group for that period. In preparing these financial ststements. the trnslees are required to: select sultatr￿e accounts'ng ￿￿1CleS and then appty them consistently.. ' ob5eTve the methods and principles in the Charities SORP IFRS 102)". ' make judgments and accounting estimates that are reasonable and Pn￿nt prepare the financial stslements on the g¢ing concem basis unless it is inappropriate to preswne that the ¢haritoble group will conbnue in t￿SIneS> The Trustees are responsibfe for keepin9 adequate a￿￿￿ting records that are sufficient to sh¢)w and explain the charitable ¢ompany and the group's transactions and disdose with reasonable accuracy al any time the financial posrtion of the company and erkible them to ensure that the ffinancial stalemenls comply with the Companies Aci 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonabFe steps for the prevention and detection of fraud and other irregularities. The Trustees confirm that . So far as each Trustee is awaTe. there is no relevanl audit infom)ation of whith the charitable companls auditor is unaware. and . The Trustees have tsken all Ihe sleps that they ought to have taken as Trustees in order lo make themselves aware of any relevant audrt informats.on arKI to estsblish that the charitable cornpany's auditor is awa￿ of that information. Audttors The auditor. MHA Maclntyre Hudson. has indhd its wdlingness to continue in office. The Designated Trustees will propose a motion re-appointifig the auditor at a ffeting of the Trustees. This report in¢orporating the strategi¢ ￿port. was apwoved by the Trustees. in their capacity as company directors, on Xwptember 2021 and signed on their behalf ty. B M Conway Trustee Paoe 10

FARMLAND RESERVE UK UMITED INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF FARMLAND RESERVE UK LIMITED Opinion We haye audited the financial statements of FaM￿and Reserve UK Limrted (the 'parent charitsble company,) and its subsidiaries {the '9roup'l for the year ended 31 December 2020 which Comprise the Consolidated statement of finanual aclivilies. the Consolidated balance sheeL the Company balanc£ sheet, the Consolidated statement of cash flows and the relaled notes. induding a summary of significant accounting p)licies. The finan¢ial reporb.ng framework that has been applRd in their preparatson is applicable law and United Kingdom A¢counting Standards, induding Finanoal Reporbn9 Standard 102 The Financial Reporting Standard applicable in the UK and Republ￿ ol Ireland, (United Kin9dom Generalty A¢¢epted Accounting PraCt￿e). In our O&Nnion the financial statements.. give a true and fair Trriew of the stale of the Group's and of the parent charitable compans affairs as at 31 December 2020 and of the Group's incorning resources and applicat￿n of resources. induding its Ir￿Qme and expendilure for the year then ended: have been property prepared in a¢tordance with United lQ'ngdom Generalty Accepted Accountsng Practice.. and have been prepared bn a￿dan￿ Ymih the requirewits of the Companies Act 2006. Basls lor oplnlon We conducted our audit in accordance Intemational StarKlards on Auditing (UK) IISAS IUKII and applicable law. Our responsibilib'es under those standards are further described in the Audrtors. responsibilities for the audil of the financial statements sectitin of our report We are independent of the Group in accordance with the ethical fequiremenls that are relevant to our audit of the ffinan¢ial statements Mi the United ￿'ngdoM. includin9 the Financial Reporting Counol's Ethical Standard. and we have fu￿1[ed our other ethical responsibilitses in accordance with these requirements. We believe that the audit evidence we have obtained is suffic¢ent and appropriate to provide a basis for our olin￿)n. Conclusions relating lo going conc¢m In auditing the financial statements. have concjuded that the Trustees. use of the going concem basis of accouDting in the preparation of the financial ststements ss appropriate. eased on the work we have perfonYd. we have not identifEd any mat￿￿1 uncertainties relating to events or condilions thal individually or colledively. may cast Signif￿nI doubl on the Group's or the parent charitable company's ability lo continue a5 a gryng concem for a period of at least iwefve months Irryn when the financial statements are authorised for issue. Our reswnsibililies and the responsitmlilies of the Trustees with resFe¢l lo goirMJ ¢oncem are described the relevant sections of this rep)rt. Paoe11

FARMLAND RESERVE UK LIMftED INDEPENDENT AUDrroRS' REPORT TO THE MEMBERS OF FARIALAND RESERVE UK LIMITED ICONTINUED) Other information The Trustees are responsible for the other Inf¢￿tion. The other information eomprises the information included in the Annual rep)rt. other than the financial slaterrEnls and our Audttors, report thereon. Our opinion on the financial statements does not cover the other information and. except to the extent otherwse explicitly stated in our reporL we do not express any fomi of assurance condusion thereon. In connectton with our audit of the financial statebYnts. our re5wnsibilty is to read the other infomiation and. in doing so. consider ￿ether the other infomation is materiaNy iner￿SiStent with the financial statements or our krkovAedge obtained in the audit or otherwise appears lo be materially misstated. If we idenb'fy such material inconsistencies or apparent material misstalemenls. we are required lo determine whether there is a material misstslemenl in the financial stslements or a material mi5slatement of the other inf0m￿tiOn. If. based on the work we have performed, we conclude thal there is a material misstatement of this oiher infomwtion, we are required to report that fact. We have nothing to report in this ￿ard. Oplnlon on other matteys prescrlbed by the Companies Acl 2006 In our opinion. based on the work undertaken in the course of the audit the information grven in the Trustees. report inckKling the Strategic rep)rt for the financial year for which the finaneial statements are prepared is consistent with the financial statements. the Trustees. report and the Strategic report have been prepared in accordance with applicabk legal requirements. Matters on whlch we are requked to report by exceptlon In the light of our knowledge and understandin9 of the ¢hantable company and its envimnment obtained in the course of the audit, we ha¥e not identified materbat misstatements in the Trustees. report ￿lUdIng the Strategi¢ report We have nothing lo report in respect of the follwing matters in relat)n to which Companies A¢t 2006 requires us to report lo you if. in our opinion.. the parent charitable company has not kept adequate and sufficient accounting records. or Tetums adequate for our audit have not been receNed from branches not vistted by us.. OT the parent ¢haritable ¢ompany finanoal ststements are not in agreement wth the ae¢ounting records and retums.. or certain discEosures of Trustees. remunerati￿ SF*afied by law are not made.. or we have not Teceived all the infmtion and explanabons we require for our audit. Paqe 12

FARMLAND RESERVE UK LIMITED INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF FARMLAND RESERVE UK UMITED (CONTINUED) Responsibilities of trustees As explained more in the TfUStees' responsitAlilies statement. the Trustees {who are aL80 the directots of the charitable company for the purkN)ses of company law) are responsible for the preparab.on of the financial statements and for being satisfied that they give a true and fair view. and for such intemal control as the Trustees delemiine is necessary io enable the preparatwjn of financial slatements that are free from material misstatemen( whether due to fraud or error. In preparing the financial state￿nts. the Trustees a￿ resp)nsible for assessing the Group's and the parent charitable cornpan￿$ ability to conb'nue as a going eoncern, disdosing. as applicable. matters related to going concern and using the going concem basis of accountin9 unless the TTUStees either intend to liquidate the Group or the parent charitable company or to cease operations. or have no realistic aftemalNe lyJl to do so. Atsdltots. responslbilitles for the audft of the financlal stalements Our obje¢lives are to oblain reasonable assurance at*)Ut whether the ffinancial statements as a whole are free from material misstslement. whether due to fraud or error. and to issue an Auditors. report that includes our opinion. Reasonable assurance is a h￿h level of assurance, bLrt is not a guarantee that an audit ￿)ndUcted in accordance with ISAS IUK) wll afvRys detect a material misstatement when il exÉsts. Misstslements can arise from fraud or error and are considered material if. irnlividually or in the aggregate. they could reasonabty be expected to nlluence the economic deasions of users taken on the basis ofthese finanual statements. Irregularities. including fravd, are instances of non-comph.ance wilh laws and regulations. We design procedures in line with our responsbilities. outlined above, to delect material misstatements in respect of iffegularities. induding fraud. The extent to which our procedures are capable of detecting irregularities, including fraLKI ss detailed telow. . Enquiry of management and those char9ed with govemance around actual and ￿tential litvJatw)n and dalrns.. . Enquiry of entity staff to identfy any instances of non-complvance vnth laws and regulab"on5', • Performing audit Wofk over the risk of management override of contro15, inclLsding tests'ng of joumal entrie$ and other adjustments for appropriateness. evaluating the business fationate of significant transactions outside the nomwl course of business and reviewing accounbng estimates for bias: - Reviewng fflinutes of meetings of those tharged with govemance" . Reviewing financial stslement disdosures and testing to supF￿lIng documentation to assess compliance wsth applicable laws and regulats"ons. Be¢ause of the inherent limitabons of an audi( there Is a risk thalwe wll not detect all ifregularities. including those leading to a material misstalement in the financ4al statements or non-compliance with Tegulab"on. This risk increases the r￿re that compliance wth a law or regulation is le￿Ved from the events and transactions rellected in the financial statements. as we wll be less likely to become aware of instances of r￿n<0mplianCe. The risk is also greater regarding irregukrtties oecurrirtg due to fraud rather than error. as fraud involves intentional C1)r￿ealMenL forgery. collusK￿, omiwon or ft¥Srepresenta￿Th. A fvrther de￿IptiOn of our reSpon￿bIllI￿S for the audit of the financial ststements is l¢xated on the Financial Reporting Councifs website aL' vMw.frc. .ukJauditorsres nsibilibes. This deScri￿n forms part of our Audilors. report. Paqe 13

FARMLAND RESERVE UK UMftED INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF FARMLAND RESERVE UK LIMITED ICONTINUED) Use of our report This report is made solely to Ihe charitable companys members. as a b)dy. In a¢¢ordanee with Chapter 3 of Part 16 of the Compantes Act 2006. Our audit work has been undertakeft so that we might stale to the Charitab￿ companls members those matters we are required to state to them in an Auditors, report and for no other purpose. To the fullest exient pernitted by Iw. we do not a¢xepl or assume responsibility to anyone other than the charitable company arKI ts membets. as a tM)dy. for our audr( worK for this report, or for the opinions we have formed. 1TrIIM lan JacobsDFCA {Senior statutory auditor) for and on behalf of MHA Maclntyre Hudson Statutory Auditor Peterborough United Kingdom thte. ￿19 l Ll Paoe 14

FARMLAND RESERVE UK LIMITED CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNTI FOR THE YEAR ENDED 31 OECEIABER 2020 Total funds As r8stat8d 2019 Unr¢stii¢ted fund$ 2020 £000 Total funds 2020 £000 Note Income fr(¥m: Other lrnding activities.. Income from trading subsidiafies Investments Other income 6,014 37 143 6.014 37 143 6.696 80 175 Total income Expenditure on: Raising funds Trading aclivibes Other Charitable donation Raising funds 6.194 6,194 6.951 4J08 547 4JO8 547 4,672 527 1.005 18 Total expenditure 4.873 4.873 6.258 Net Income before net galn5 On investments 1,321 1.321 693 Other recognised gainsl{losses) 59 Net income before taxation 1.321 1.321 752 Taxation 11 {137) 11371 (242) Net movem¢nt in funds 1.184 1.184 510 Re¢onclliation of funds: Total funds brought forward Net I￿vement tn funds 103,275 1.184 103,27S 1,184 102.765 510 Total fund5 carried forward 104A59 104,459 103.275 The Consolidated statement of finan¢tal aclivitie$ inthdes all gains and losses recognised in the year. The notes on pages 21 to 49 fom part of these finwoal ststements. Paoe 15

FARMLAND RESERVE UK UMITED REGISTERED NUMBEIL" 01332670 CONSOLIDATED BALANCE SHEET AS AT 31 DECEMBER 2020 As rpstated 2019 2020 Note Fixed assets Intangible assets Tangible assets 12 13 42 67,658 70.523 70.549 67,700 Current assets Stocks Debtors Cash al bank aThJ in hand 16 17 6.637 1.963 26.618 6,131 2,737 28.071 35.218 36.939 Crediiors: amounts falling due ￿rythIn one year 18 (814) (983) Nel current assets 34.404 35,956 Tolal assets less current Ilabllftles 104.953 103,656 Prowsions for liabiliknes 20 (494) (381) Tolal n¢t assets 104,459 103.275 Charlty funds Unreslricled funds= Share caprtal Unrestricted funds 10.000 94h59 10.000 93.275 Total unrestricted funts 104N59 103,275 Tolal funds 104,459 103.275 The Trustees acknowledge Iheir Tesponsibilstses for ¢omplying wth the requirements of the Act with respect io accounting records and preparation of financial statements. The financial statements were approved and authorised for issue by the Tntstee5 ￿ to /Dfi1i02 1 and signed on their behalf by.. Paae 16

FARMLAND RESERVE UK LIMITED REGISTERED NUMBER: 01332670 CONSOLIDATED BALANCE SHEE[ IcofrmNUED) AS AT 31 DECE•ABER 2020 B M Conway Trustee ac). C>9 .&1 The notes on page$ 2110 49 lomi part ofthese firwwl stslements. Pa9e 17

FARMLAND RESERVE UK UPAITED REGISTERED NUMBER- 01332670 COMPANY BALANCE SHEET AS AT 31 DECEMBER 2020 As Trslated 2019 £000 2020 £000 Note Fixed assets Tangible a$5ets Investments Investment prope 13 15 14 688 9,450 130,944 376 9,450 127,948 141.082 137, 774 Currenl assets Debtors Cash at bank and in harKI 17 4,436 10A47 4.411 12.301 14,883 16, 712 Creditors.. amounts falling due Vlithin one year 18 (372) (401) Net current assets 14,511 16.311 Total assets less current liabilities 155,593 154,085 Total net ass 155,593 154,085 Charlty funds Restrided funds Unrestrieied funds Share capital Unreslricied incorne funds Revaluation reserve 28 32 33 10,IW• 81,766 63027 10,000 81.176 62.909 Total unrestricted fvnds 155.593 154.085 Total funds 155.593 154.085 The Trustees acknowledge their responsibilibes lor COmp￿.n9 Wrth the requirements of the Act with respect to accounting records and p￿paration of financial statements. The financial ststements were approved and authorised for issue by the Truslees on .2 010 I I Ztrz i and signed on their behalf by. Page 18

FARMLAND RESERVE UK UMITED REGISTERED NUMBER: 01332670 COMPANY BALANCE SHEET {CONTINUED) AS AT 31 DECEMBER 2020 B M Conway Trustee

oq.a The notes on p4es 21 to 49 fom part of these financial slatemenls. Page 19

FARMLAND RESERVE UK UMITED CONSOUDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2020 As ￿$tared 2019 2020 £000 Cash flows from operating acllvltles Net cash used in operating athities {Note 25) 2.282 718 Cash flows from investlng activities Pro¢eeds from the sale of tangible fixed assets Purchase of intan9ible assets Pur¢hase of tangible fixed assets Proceeds from the sale of investrnents Interest received 265 (10) 14,027) 243 (1.678) 21 80 37 Net cash used in investing actlvlties (3,735} 11,334) Change in cash and Cash equlvalents In the year Cash and cash equivalents al the teginning of the year {1A53) 28.071 (616) 28.687 Cash ond cash equivalents at the end of the year 26,618 28,071 The notes on pages 21 to 49 form part of these financial ststements Page 20

FARMLAND RESERVE UK UMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 Company Infomiatk)n Familand ReseNe UK Limited is a charitable company limited by shales, in￿r￿)rated in England and Wale5 in the United Kingdom, and the address of its registered office is Manor Fam. Church End. Wood Walton. Huntingdon. CambTbd9eshire. PE28 SYU. Accounling policles 2.1 Basis of preparatlon of financial statements The financial statements have been prepared in aecordance with the Charities SORP IFRS 1021- Accounting and Reporting by Charithes.. Statement of ReC0mn￿nded Practice applieable lo eharib.es preparing their accounts in accordance with the Finanoal Reporting Standard applicable in the UK and Republic of Ireland IFRS 102). the Financial Reporting Standard applicable in the UK and Repubk of Ireland IFRS 102) and the Companies Act 2006. Familand Reserve UK Ltmiied meets the definitN)n of a pub￿¢ benefit entity under FRS 102. Assets and liabilrties are initially reCrYJn￿ed at histortsl cost or transaction vafue unless othemise stated in the relevant a￿)untIng policy. The Consolidated slalement of finanoal acttvib.es ISOFAI and Consolidated balance sheet consolidate the financial Statements of the Company and its SU￿"dIary undertaknng. The results of the subsidiary are C￿$01￿ated on a line by line basis. The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its 04¥n Statement of f￿￿n￿al actiwtses in these financial statements. The finanual statements are prepared in £ slerfu￿. Ihe functional Cufrency. rounded to the nearest £1.000. 12 Going concern The financial statements have been prepared on a gixThJ ¢oncem basis as the Trustees believe that no material uncertainb.es exi5L The Twstees have considered the thl of furKls held and the expected of income and expenditure for 12 months from authorising these financial statements. The budgeted in¢ome and expenditure is SUffK￿l wth the level of reserves for the Group to be able to continue as a goirKJ concem. Page 21

FARMLAND RESERVE UK UMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENOED 31 DECEMBER 2020 Ac¢ounting pollcles (continued) 2.3 Income All income is reeognised Or￿ the Company has enlitlement lo the ineome, it Is probable that the income will be received and the amount of receivable can be meaSU￿d reliabty. Rental income is recognised on a straight line basis over the Ferth of the lease. Income from subsidiaries represents revenue recognised in respect of goods and servi¢es. Revenue 1$ recognised to the extent thal rt is probable that the economic benefits will flow to the Company arKI the revenue can be reliably measured. Revenue is measured a5 the fair value of the consideration re￿iVed or ￿Ceiv?b1e. excluding discwnts. rebates. value added tax and other sa￿S tsxe$. Revenue from crop sales is reecgntsed upon receipt of the goods by the customers. Whilst goods a￿ in transit. the risk and reward of ownershp remain with the corr￿. Single fam payments are receivable on an annual basis. The annual payment is reeognised in the year that the application applies to. Due to the reguLar varIat￿n in when the payment occurs. Ihis is recognised either by accrual or upon receipt of payment 14 Expenditure Expenditure is recogftised ono there ts a ￿gaI or ¢onstructNe obligation to make a payment to a third party. it is probable that setttement will be required and the amount of the obligation can be measured reliabty. ExpendibJTe is dassified under the fo1t0y￿ftg actswty headings.. Costs ol raising funds.. trading activities eomprise the expenses of the trading subsidiary in undertaktng its income generating actsvitse5. Other expenditure represents the expenses of parent ￿MpanY in renting the tangible fixed assets. These expenses are not considered to be directy attribulabie to either costs of raising funds or charitable expenditure to further the chartys al￿￿. Where costs cannot be reliabty attributed to partKular athities they have been allocated on a basis consistent with the use of the resources. Direct charilable expenditure ￿MprISeS expendilure directly relating to the obFcts of The Chanty. Govemance costs incorporate those costs of govemanee arrangements which relate lo the general running of The Charty as opposed to the d1￿cl management fvncb"ons. The costs relating to these actwiti.es provKle the govemance infrastructure which alkh¥s The Chanty to operate and to generate the inf0m￿lon required for public accountabilty. An analysts of these costs is dixlosed in note 7. Support costs are those functions that assist the work of The Charity but do nol directly undertake charitable activilies. Support ¢osts indude finan¢, professional and govemance costs whtch support The Charity's actNities. As there is onty one activty in The Charity. the stspport costs have been amocated there in full. Expendrture on charitable acbVI￿es is inujrred on directy undertakn.ng the athibes whKh further the Group's objectives. as well as any assocAated support costs. Paae 22

FARMLAND RESERVE UK LIM￿E0 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 Accounting policies (continued) 2.5 Interest recelvable Interest on funds herd on deposit is included when recetvable and the amount Can be measured reliabty by the Group: this is nomialty upon notikat>)n of the interest paKI or payable by the insb"iubon whom the funds are deposited. 16 Taxation The Company 15 considered tt) pass the tests set out in Paragraph 1 Schedule 6 of the Finance A 2010 and therefore rt rneets the definition of a charitabte company for UK corporation lax purpose& Aeeordingly, the Company is FQtentiaNy exempt from taxation in respe¢l of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Ael 2010 or SeetTron 256 of the Taxation of Chargeabte Gains Act 1992, to the extent that such income or gains are apFdied ex¢tusively to charitable purpose5. Tax is payable on profits in the subsvjiary company. 2.7 Inlanglble assets and amortis•tlon Intangible f￿ed assets represent purchased entiyements to receive the single farrn payment subsidy. These are held at c¥)sl a￿1 amortised over their expected useful life. The amortisa￿￿ charge is induded within expenth.iure on rai&ng fvnds: trading actNibes line in the SOFA. The estimaled useful lives are a$ folows". Amortisation is prtiwded on intangl￿e fixed assets at rate5 calculated to write off the cost of each a55et, less their estimaled residual value, over their expected useful lives on the folloW￿g bases.. Singfe farm payment entidements - Stratght line over the remaining review pericxl to 2021 2A Tangible r￿ed assets and deprKi•tion AJI assets costing more than £10.000 are capitslised. A review for impaimient of a fixed asset 15 carr￿d oul if events or ¢hanges in Circumstances indicate that the carrying value of any fixed asset may not be recoverable. Shortfalls be￿een the carrying value of fixed assets and their recoverabte amounts are recognised as impairments. Impairment losses are reco9nised in the StsteffEnt of financtal activ[t￿$. Tangible fixed assets are carTied at eost, net of depreaat¢on and any proVis￿n for impairmenL Depreciation is promded al rates cakulaled to wrrte off the cost of fixed assets. Sess their estimated residual value. over their expected useful Ives on a Stra￿hl li￿ bas¢s. on the following bases.. Freehotd land - not depreckited Land improvements - over 10 to 40 years Assets under constru(*on not depreC￿ted until bought into use Plant and mathinery - over 5 to 10 years EqLFipmenl fixtures and fftb'ngs - over S to 10 years Farm houses and fa￿ buildin over 2 e.4 Paqe 23

FARMLAND RESERVE UK UMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 Accounting policies (contlnued) 2.9 Investment Property The freehold land. farm houses and farm buildings owned by The Charity are recognised as inveslment properties in The Charitys balan￿ sheet. and ￿valued to fair value at each balan sheet dale. The valualK)n is based on managefflenfs assessment of the market value of land and buiFdings held a$ investment property at the year end. It tskes into consideratbon market feports and their knth￿edge of the property and the kxal market. The propety is canied at depreciated cost in the group acccmmts. Investment property held by the Charity is measured initialty at ¢051 and subsequently at fair value at each reporting date. wlh the gain or loss on rewdluation going to the charitable cornpany'5 net surplus for the year. The land and buildings rented to group companies are held as investment property within the ffinancial statements of the Charity but remain as tangible fixed assets in the group consolidated fir￿n¢la1 slateThnts at depreciated cost. 2.10 Investments Fixed asset investments in listed seujrities are hetd at fair value and revalued annually with ary gains or loss going to the Consolidated Statement of Finanekal Actr￿tres. Fixed asset investments are a fomi ol financial instrument 2nd are inilially recognised at their transactw cost and subsequenty measured al fair value at Ihe Balance sheet dale. unless the value cannot be rneasu￿d reliabty in whth case il is measured at cost less irnpairmenL Investment gains and losses. whether realised or unrealised. a￿ combined and presented as 'Gain￿(LoSses) on Investments. in the Consolidated stateffnt of fir￿ne￿al aclivities. Investments in subsKkaries are valued at cost less provision for impaimienL 2.11 Stocks Agriculture produce is held under cost mc%lel. being stated at the lower of cost and estimated selling price less eosts io complete and sell. Cost is based on an all￿ation of ¢osts. CuhNations arKI crop in store include labour and attritmrtable overheads. cultivat￿n$ ￿st is deterrThned on an overhead allctation ba&s. Cultivations are in the earty stages of growAh al the year end and therefore their market value cannot be detemined. Crop in store are valued at the lower of cost and net realiSab￿ value. wtth referen￿ to market value and contracted future saks. At each reporting date. stocks are assessed for impairment If stock is impaired. the ￿rryIng amoLtnt is reduced to its selling price less costs to complete and seri. The impaim*nt1055 is recognised in profit and loss. 112 Debtors Trade and ¢)ther debtors are recognised at the seltlemenl amount after any trade discount Offe￿d. Prepayments are valued at the amount wepaid net ofany trade discounts due. Page 24

FARMLAND RESERVE UK UMITEO NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 Accounting policles (Continued) 2.13 Cash at bank and in hand Cash al bank and in hand indudes cash and short-term hwJhly I￿Uld inve51menls wilh a short maturity of three months or less from the date of acquisition or opening of the depostt or similar account. 2.14 Liabllltles and provlslons Liabilities are recognised when there is an oblmJati￿ at the Balance sheet date as a result of a past event. it is probable that a transfer of economie benefit te required in settlement. and the amount of the settlement can be estimated reliably. Liabilities are ieeognised at Ihe amount that the company antierpates it ￿11 pay to setue the debl or the amount it has received as adVan￿d payments for the goods or services rt must provide. Pfovisitins are rreasured al the best estimate of the amounts required to setue the obligation. Where the effect of the time vahje of money is material. the provision is based on the present value of those amounts, discounted at the pre-tsx discount rate that rellecls the risks specific to the I'abilty. The unwinding of the discount is reco9nised within interest payable and similar charges. 115 Derivative Ilnanclal Instruments The Group enters into norFbasic financial inslruffent transact￿nS such as forward forei9n eurrency contracts, that resuft in the reeojnition of financial assets and haly'lities. Derivative financial instruments are recognised at fair value through profil and loss. and are revalued lo fair value at the end of each repoiting period using a valualion technique with any gains or losses being reported in profft or loss. Outstanding derivatives at the ￿porting date are included under the appropriate formal headin9 depending on the naI￿re ofthe derprntive. 2.16 Deferred taxallon Full provision is made for deferred tax assets arKI &atM"lrties arising from all timing differences betsveen the recognition of 9ains and k)sses in the finanual statements and recognition in the tax computation. A net deferyed tax asset is recognised onty rf rt can be regarded as more likety than not that there will be suitable tsxable surpluses from which the future reversal of the underlying b'min9 differences can be deducled. Deferred tsx assets and liabilities are calculated at the tsx r*e5 expected io be effectrve at the time the timing differences are experted io reverse. Deferred tax assets and fiabilities are not (liscounted. 2.17 Forelgn currencie5 Monetsry assets and llabilbt￿S denominated in fOre￿n curren¢ies are translated into sterling at rates of ex¢hange ruling at the balance sheet date. TfansactiOll5 in foreyn currencies are translated into sterliTrJ at the rate ruling on the date of the transaction. Exchange gains and k)sses are reojgnised in the Statement of financial activities. Page 25

FARMLAND RESERVE UK LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 Ac¢ounting policies lcontsnuedl 2.18 Financial Instrumerrts The Group also enters into bagc ffinanoal instrurnents transacbons that result in the recognition of financial assets and liabilrt￿s like trade and other debtors and creditors. loans from banks and other third parties. loans to related'parties and investments in rwuttable ordinary shares. Finanaal assets that are measured at cost and amortised cost are assessed at the end ol eath rewrting period for objective evidence of impairnnl. If objeetive evidence of impairment ts found. an Impai￿Dent loss ￿ reccgnised in the Statement of Comprehensive Incoff. For financial assets measured at amortised eosl, the impaiment loss is measured as the difference befrMeen an as5eYs carrying amount and the present value ot estimated cash flows discounted al the asset's onginat effective interest rate. If a financial asset ha5 a variable interest rate. the discount rale for measuring any wnpairffnt 105s is the cuffent effective interesl rate detemiined under the For finanaal assets measured at tost less impairmen( the impairment loss is measured as the difference befv￿n an assevs Carr￿ng amount and best estimate of the re¢overable amount, which is an approximation of the amount that the Group would receive for the asset if rt were to be sold at the balance sheet date. Financial assets and liabililies are offset and Ihe net nounl reported in the Balan¢ Sheet when there is an enfor￿ble nghl to sel off the reco9nised arnounts and there is an intention to settle on a nel basis or to realise the asset and setlle the habilty sThulIaneou￿y. 2.19 Operatlng leases Rentals paid under operating lease5 are charged to the ConsolpJated statement of financial aclivth'es on a slraight line basis over the lease temi. 2.20 Operatln9 leases- lessor Rental income is reeognised on a stsaight line bags over the perio(l of the lease. unless the rental payments are stnjctured to increase in bne wilh expected infi"on. in which Case the annual rental income equals the amounts owed to the lessor. The aggregate benefit of lease incentives are fecognised as a reduction to the In¢off￿ recognised over the lease tem ¢)n a slrai9hl line basis. Page 26

FARMLAND RESERVE UK UMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 A¢¢ounting pollcles Icontlnued 121 Pensions The Group is part of a defined benefft pen$￿in scheme operated by The Church of Jesus Christ of Latter-day Saints (Great Britain). the Deseret UK Benefit Plan. The lund is valued every three years a professionalty qualified independent actuary. with rates of contributions payable bein9 determined by the actuary. In intervening years the actuary rewews the eontinuing appropriatene55 of the rates. Pension costs are accounted for i)n the basis of contributions made in the year or accrued at the year end. on a defined contribution basis, as requested by FRS 102 as Ihe company is unable to identify ts Share of the underfying assets and liabilities of the scheme. Full detai15 of the plan are provided in the financial statements of The Church of Jesus Christ of Latter4ay Saints (Great Britain). The Group is not liable to the plan for other entibes obEKJations under the terms and condib'ons of the multi empbyer penston plan. The Group also operates a defined contiibulron pension plan for its employees. A defined conlributson plan is a pension plan under which the Group pays fixed contr"but￿n$ into a separate ents"ty. On¢e the contribuknons have been paid the Group has no further payment obligations. The contribulions are recognise(l a5 an expense in the Statement of comprehen5Ne iD¢ome when Ihey fall due. Amounls not paid are shown in accruals as a liability in the Baknce sheet The assets of the plan are held separately from the Group in independenty adrrinistered funds. 2.22 Fund accounting General fvn¢Js are unrestricted fvnds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Group and whth have not been deS￿nated for other purposes. Designated funds comprise unrestricted fvnds that have been set aside by the Twslees for particular purpose& The aim and use of designated fund is set out ￿ the notes to the financial statements. Restricted funds are funds whth are to be used in accordance wsth spe¢ik restn"ctions imposed by donors or which have been raised by the Group for party"¢￿￿r purposes. The costs of raisin9 and adminislering such fijnds are charged against the Specif￿ fund. The aim and use of each restricted fund is set out ￿ the notes to the financial stateff*nts. Inveslment incorne. gain5 and hjsses are afkKaied to the approprFale fvrKI. Page 27

FARMLAND RESERVE UK LIMrrED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 Accountlng policies (continued) 2.23 Crltlcal a¢¢ountlng estlmates and areas of judgment The foll￿n9 judgements (apart from those invofving estimates) have been made in the process of applying the above accounting policres that have had the most significant effe¢t on amounts recognised in the finanaal Stsle￿￿nts'. Investment property The investment property in the Parent Charity is valued by the trustees at the balance sheet date. The Trustees consider the valuation to be appropriate having regard lo the local market conditions. Trade debtors Trade debtors consist of amounts due from cuslomers. An alh)wance for doubtful debts maintained for e5tirnated losses resutting from the inability of The Group's customers to make required payments. The allowan￿ is based on the companvs regular assessment of the credit worthiness and fwcial conditions of the customer. stock Stock is valued at the lower of cost and net fealisable value. Cost is determined on an overhead aifocation basis. Net realisable value is determined by management with referenee to market value, ¢onsideralion of contracted future sales. Certain factors could affect the nel realisable value of The Group's stocks, includin9 Customer demand and ￿rarket conditims. Tangible and Intanglble assets OeprecAation and amortisation are provided ¢Jn fixed assets based on Ihe eskn'mated useful economic life of those assets. This is based ￿ managemenfs kn￿wledge of the business. assets and prior experien￿. There are no key a55umptions concerning the future. and other key sources of estimalion uncertainty al the repo￿n9 dale. that have a significant risk of causing a material adjustment to the ¢arwng amounts of assets arKI liabilities wthin the nexi fin￿￿81 year. Income from other trading aclivities hKome from non chafltable Iradlng actlvities Unresliicted ltsnds 2020 £000 Total funds 2020 rot funds 2019 Trading subsidiary 6.014 6.014 6,696 In 2019, income from the trading subswjiary was un￿StrICted income. Paqe 28

FARMLAND RESERVE UK LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 Inveslment incomt Unrestricted lunds 2020 £000 Total funds 2020 £000 Tolal funds 2019 Interest receivabte from interest bearing accounts 37 37 Other incoming resources Unrestricted funds 2020 Éooo Tolal funds 2020 £000 Total funds 2019 Profit on disposal of tangibte fixed assets Loss on foreign exchange 143 143 190 (15) 143 143 175 Anatysis of expendi¢ur¢ on chaTitsble activltles Summary by fund type Tolal Total funds funds As Trstated 2020 2019 £000 £000 Unrestricted funds 2020 £000 Operating Costs of parent coryyany Trading of subw'diary 565 565 1,586 4.6T2 4.308 4?08 4.873 4￿73 6.258 Paqe 29

FARMLAND RESERVE UK UMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 Analysls of expendlture on chatftable activities (continued) Summary by expendfture type Total Total funds funds As restated 2020 2019 £000 £000 Staff costs Depreclabon Other costs 2020 2020 2020 Operating costs of parent company Tfadin9 of subsidiary 471 569 565 4.308 1.586 4.672 1.121 2.618 1.121 1.040 2.712 4,873 6.258 Tolal 2019 1.053 983 4,222 6,258 Anatysis of expendithre by activities Actlvltles undertaken ditectty 2020 rotai Total funds funds As restated 2020 2019 £000 Support Costs 2020 £000 Operating costs of parent company Trading of subsKliary 515 565 1,586 4,672 12 4,308 4.811 62 4,873 6.258 Totsl 2019 6,160 98 6.258 Paqe 30

FARMLAND RESERVE UK LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 Anatysis of expendilure by actlvit5es (continued) Analysls of direct costs Operating costs of Tradlng of parent subsldiary 2020 2020 £000 £000 Total funds 2020 £000 Tot81 funds 2019 Staff ¢osls Depre¢iats"on Trading activities Donat￿n$ and other 1,121 569 2,606 1.121 1,040 1606 1,053 984 3.079 1.044 471 515 4.296 4,811 6,160 Tots12019 1,499 4,661 6,160 Anatysis of support costs Operating costs of Tradlng of parent subsldiary 2020 2020 £000 Total T¢)tal funds funds As Trslaled 2020 2019 £000 Audit of Subsidiary Legal Audit of Parent Outstde seNices - other 12 12 11 71 42 42 12 62 98 Total 2079 87 11 98 r>Jnng the year ended 31 December 2020, eompany itKurred the following Govemance costs.. The Charity onty auditor remunefation- £8k12019'. £7k) Subgdiary company auditor remunefation- £12k (2019.. £11k) Page 31

FARPALAND RESERVE UK UMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 Net in¢omel(expenditure) This is stated after char9ingllcredtting). 2020 £000 2019 £000 Dep￿¢lation of tangible fixed assets owned by the chartabte group Amortisatson of intangible assets Auditovs remuneration - aud Audito¢s remuneralvJn - other financial ser¥ices Operating lease rentals Profit on dIS￿￿al of fixed assets Profit on disposal of land Changes in the fair value of investmènts Changes in the fair value of deiivatives Pen&on cost Loss on fOre￿n exchange 1,040 26 19 984 21 17 1143) (172) f18) r52) 232 (15) 299 Staff costs Group 2020 £000 Group 2019 £000 Wages and salaries Soeial security costs Other pension costs 737 85 299 742 79 232 1,121 1.053 The average number of persons err￿lOyed by the Company during the year was as follows: Group 2020 N¢. Group 2019 Pr&4uclion and adnNnistrab'on 17 17 The average head¢ount expressed as fvU4me equivalents was." Group 2020 Group 2019 No. Pfc*J￿t1on and administration 17 17 Paoe 32

FARMLAND RESERVE UK UMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 Stsff ¢¢￿ts Icontinuedl The number of empbyees wl)ose empk)yee benefrts {exeknling ernployer pension costs) exceeded £60.000 was: Group 2020 No. Gmup 2019 No. In the band £60.001- £70.000 In the band £90.001- £100,000 In the band £100.001- £110,000 In the band £110.001- £120.000 The Charity does not have any employees. During both 2020 and 2019, Tr) Trustees of The Charity re￿Ned any remuneration, benefits in kind or reimburseffent of expenses fr¢MI The Charity, nor incurred any expenses. Trustees remunerats.on by Ihe Group LS disdosed in note 10. Key management personnel of the group are the trustees of the Parent Charity and the senior managers of the subsidiary. AgReserves Limrted. The tolal of empbyee beneffts re￿IVed by key management personnel of the group was £270k {2019: £257kl. 10. Tw$tees' remuneratlon and expenses One trustee who is also a directr* of the subgdiary company, received remuneration from the subsidiary company in relation to semces provtded as a director of the subsidiary comp3ny. No other TNstees received remunerabon or penS￿n contributions. The remuneration paKI is ouuined below. 2020 2019 B M Conway Remuneration 106 98 Company pension conlributitins to defined contn'bution pension scheme5 21 20 Payment is made to the Trustee 85 agreed with the Chafity Comwission. During the year efKled 31 D￿e[rthr 2020, no Trustee expenses have been incurred (2019- £NIL). Paae 33

FARMLAND RESERVE UK LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 11. Taxation 2020 2019 Corporatr'on tax Deferred tox Origination and reversal of timing drflerences 24 123 119 Taxation on net Income 137 242 The tax assessed for the year is lower than (2019- higherthan) the standard rate of corporatmin tax in the UK of 19%12019- 19%). The drfferences a￿ explained belovr. 2020 £000 2019 £000 Surplus on Ixdinary acbvities before tsx- AgreseNes Limited 729 1.099 Surplus w oftlinary actsvities muttipl¢ed by the standard rate of cnrp)ratw)n tax in the UK of 19%12019: 19%) other timing differences and disallowed expendriure Origination and reversal of tsming drfferen￿$ 139 209 (115 113 (86) 119 Total tax charye for the year 137 242 Page 34

FARMLAND RESERVE UK UMftED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 12. Intanglble assets Group Single lami payment entitlements £000 Cost At 1 January 2020 Additions 425 10 At 31 December 2020 435 Amortisation . At 1 January 2020 Charge for the year 383 26 At 31 December 2020 409 Net book value At 31 December 2020 26 At 31 December 2019 42 Page 35

FARMLAND RESERVE UK LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 13. Tangible fixed a$$ets Group Land improv. Farm Equlpmènt houses & and Assets in the Freehold Fami Plant and lixtures coutse of land buildlngs machlnery and fittings construclion £000 £000 £000 Total Éooo Cost or Yaluation At 1 January 2020 Addition5 Disposals 51,804 2.070 16.476 766 327 822 (301 74,221 4,027 14211 1.135 1391) classes 316 1S9 1475) At 31 December 2020 53,874 16.792 5.592 92S 644 77,827 Depre¢lation At 1 January 2020 Charge for the year On disposals 3.751 203 6A63 447 566 27 1.040 {299 1299) Al 31 December 2020 4,198 2.176 230 7A04 Net book value At 31 December 2020 53.874 11594 2.716 695 70.523 At 31 December 2019 51.804 12.725 2.239 327 67.658 The tsngible fixed assets are held for the direct furtheran￿ of the group's obiecls. Page 36

FARMLAND RESERVE UK UMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 13. Tangible fixed assets Icontinu¢d) Company Farn) Assets In houses & Equipment the course Fami fixtures and buildings fittings ¢onstru¢tlon £000 £000 Total £000 Cost or valuation At 1 January 2020 Additsons 47 327 822 485 822 (30) 1475> Disposals Transfers befvRen dasses 1301 14751 At 31 December 2020 111 47 DeprKiation Ai 1 January 2020 Charge for Ihe year 68 108 At 31 December 2020 72 42 114 Net book value At 310ecember 2020 39 688 At 31 December2019 327 377 The tangible fixed assets are held for d￿ect furtheraKe ofthe group's objects. Page 37

FARMLAND RESERVE UK LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 14. Investmont property Company Freehold Investment property £000 Valuatlon At 1 January 2020 Additions Surplus on revaluation 127,948 2.545 451 At 31 December 2020 130.944 The fair value of investment propety ￿ based on a valuats.on by the Trustees. determined with reference to market reports and managemenvs knowwe of the property and the local mthet. The investment property is held by the Parent Charty and used only by the subsidiary Company, AgReseNes Limited. It is carried at fair value in Ihe Parent Company financial statements and at depreoated Cost in the group accounts. The historic￿ cost of lnvesiff￿nt property is £66,033k (2019: £65,488kl. Page 38

FARMLAND RESERVE UK LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 310ECEMBER 2020 15. Flxed asset lrtvestments Invostrnents in subsldiary companies £000 ompany Cost or valuation At 1 January 2020 9,450 At 31 December 2020 9,450 Nel book value At 31 December 2020 9.450 At31 Oe¢ember2019 9.450 Prlnclpal subsldlarles The follow*i9 was a subsidiary undertakin9 of the Company. wrth a registered Offi￿ as that of the parent Company.. Name Cofflpany number Class of shares Holdlng AgReserves ￿rnIted 02947030 Ordinary 100% The financial resutts of the subsKliary for the year were: Name Income Exp•nditure £000 £000 Profit for Net assets the year £000 £000 P4ReseThes Limited 6.180 5,614 692 22,143 Page 39

FARMLAND RESERVE UK UMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 310ECEM8ER 2020 16. Stocks Gmup 2020 £000 2,814 3.823 Group 2019 £000 2.689 3.442 Cultivalions Crops 6,637 6, 131 An impainnent loss of £1,243k (2019: £626kl was recognised against stock during the year due to damaged stock. and to ensure that stc¢k ts stated al the lower of cost and net realisable value. Page 40

FARMLAND RESERVE UK LIMITED NOTES TO THE FINANCIAL STATEhlENTS FOR THE YEAR ENDED 310ECEMBER 2020 17. Debtors Group Gnxp Company As ￿stated 2019 Company As restated 2019 £000 2020 £000 2020 £000 Due within one year Trade debtors Amounts owed by group undertakin9S Other debtors 1.796 2.520 4.315 121 4,289 122 122 174 Prepayments and accnjed income Tax recoverable 43 38 1,963 2, 737 4,436 4.411 Amounts owed by group undertakings are interest free and repayable on demand. 18. Creditorn". Amounts lalling due wlthln one year Group Group Company As reslated 2019 £000 Company As reslated 2019 £000 2020 £000 2020 £000 Trade creditors Amounts owed to group undertaking$ Corporats'on tax Olher taxation and sccial Se￿nty Other Creditors 51 178 13 200 191 21 471 151 136 19 21 Accruals and defer￿d income 273 316 31 814 983 372 401 Amounts owed to group undertaking5 are unseojred. interest free and repayable on demand. Page41

FARMLAND RESERVE UK UMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 19. Financlal instruments Group 202D £000 Gmup 2019 Financial assets Financial assets measured at fair value 52 Last year financial assets measured al fair value through ineome and expenditure comprised the gain recognised on the fair value of forward contracts for foreign ojrrency. Page 42

FARMLAND RESERVE UK UMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 20. Deferred taxatlon 2020 £000 2019 Group and Company At the beginning of the year Charge for year (P&L) 381 113 263 118 494 381 The deferred tsx balarTh is made up as folkws.. Group 2020 £000 Group 2019 £000 Accelerated Ca￿ts1 allowances Other short tem) dtfferenees 457 352 37 29 494 381 21. Prlor year adjustments A correction has been p4Jt through the finanoal statements to restate the prior period figures in order to account for irrecovable VAT of the parent entity. As a result of this reststement. the VAT debtor as at the year ending 31 December 2019 has increased from £39k to £121 k. In addition. a VAT creditor of £136k is now being recognised. This has thèrefore decreased the year ending 31 De¢ember 2019 net rmvemertt in funds from £564k to £510k and has also resulted in a decrease to the total funds carried foward at 1 January 2020 from £103.329k to £103.275k. Page 43

FARMLAND RESERVE UK LIMtrED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 Statement of funds ststement of funds - current year As restated Balance at 1 January 2020 £000 Balance at 31 December 2020 £000 Income Expendlture £000 Taxatlon Unrestricted funds Share capitsl Reserves 10.000 93275 10,000 94,459 6,194 14,8731 11371 103.275 6.194 (4,8731 (137Tr 104,459 The funds are held lor the purpose of furthering the aiffts of the charita￿e CcKnpany. There a￿ no trust law restriclions imposed on the unrestr[(￿ funds. The Company has taken advantage of the exernption contained 7Mthin section 408 of Ihe Companies Act 2006 not to present its own Statement of FinancBI Athits"es. The net income for the year deall with in the accounts of the parent eharitsble Company was £1.5m 12019.. £1.7m). Page 44

FARMLAND RESERVE UK UMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 22. Statement of funds (Continued} Statement ol funds - prior year As restated 88lance at 31 December 2Q19 Balance at l January 2019 Gains/ {Los5esJ £000 Income Expenditure Taxation Unrestrlcted funds Share capital ReseNes 10.000 92. 765 10.000 93.2T5 6.951 (6.258J (242) 59 102,765 6,951 16.258} 1242) 59 103.275 Summary offunds Summary of funds - current year As reststed Balance at 1 January 2020 £000 Balance at 31 December 2020 £000 Income Expenditure Taxation DO £oDo £000 General fur￿$ 103,275 6,194 14,873) (137 104,459 Summary of funds - wior year As restafed Balance at 31 D￿eMbeff 2019 £000 L9alanGe al 1 January 2019 GainFJ osses) Income E¥penditur8 Taxation £000 General funds 102.765 6,951 (6.258) (242J 103.275 Page 4S

FARMLAND RESERVE UK LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 Anatysls of net assets between funds Analysis of net assets between funds - current ￿riod Uniestricted fund$ 2020 £000 Totsl funds 2020 £000 Tangible fixed assets Intangible fixed assets Current assets Creditors due within one year Deferred tax 70,523 26 35.218 {813) (494) 70,523 26 35,218 18131 14941 Total 104.459 104.459 Anatysls ol net assets beivmn funds- prfor period As restated As restated Unrestricted Total funds funds 2019 2019 Tangible fixed assets Intsn9ible fixed assets Current assets Creditors due within one sear Deferred tax 67.658 -42- 67.658 -42 36,939 (983) (381) 36.939 (983) (381} Total AS reslated 103.275 103.275 P4e 46

FARMLAND RESERVE UK UMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 25. Reconciliation of net movement in funds to net cash flow Irom operaling activities Group Group As restated 2Q19 £000 2020 £000 Net income for the period (as per Staten￿l of Financial Activrties) 1,184 510 Adjustments for: Depreciation charges Amortisation of intangible assets Increase in stocks Decreasel{increasel ￿ debtors IncTeasel(decreasel in creditors Interest received Profit on disposal of fixed assets Taxation Income taxes paid Profit on disposal of investrnents Loss on foreign exchange 1,040 26 21 {525) {475) 437 (80) (190) 242 {214) (7) 15 812 11481 {371 (1431 137 1831 Net cash provlded by operallng actfvitles 2,282 718 26. Anatysls of cash and cash equlvalents Group 2020 Eooo Group 2019 Cash in hand 26,618 28,071 Total cash •nd Cash •quiv•lents 26,618 28.071 27. Analy$b of ¢hanges In net debt At1 January 2020 Cash Ilows £000 At31 December 2020 £000 £000 28,071 Cash at bank and in hand 11,453) 26,618 Page 47

FARMLAND RESERVE UK UMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 Share capltal Allotted, called up and luly paid 10.000.000- Ordinary shares of £1 each 29. Pensh)n comml¢ments The group participates in a pension stherne operated by The Chur¢h of Je5vs Christ of Laller4ay Saints {Great Britain). the De5eret UK Benefft Plans {'the Plan"). The scheme is of the defined benefit type and is funded by contributsons from the participating compantes and their employees al rates determined by independent actuaries in the light of regular valuats'ons. Suth contributions are held in InJste adrninistered funds completety independent of group finances. Full diselosure of the valuation is shown in the accounts of The Church of Jesus Christ of Latter-day Saints (Great Britain). The group has accounted for the scheme as rf it was a defined contribution stheme because it is not feasible to split the assets and IFabililies of the scheme betsveen all the companies whose empk)yees are members. The Group also operates a defiDtrJ contri1￿¢￿￿ pensi(￿ plan for its employees. A defined o)ntribulion plan is a pension pLan under which Ihe Group pays fixed contribubons into a separate entity. Once the contributions have been pad the Group has no further pa￿ent obligations. Contributions lo the schemes for the year **re £299k {2019.' £232k). 30. Operatlng lease commllments At 31 December 2020 the Gr¢)up and the Company had commitments to make future minimum lease pay7nenls under non<ancellable operating kases as fotbws.. Gwoup 2020 £000 Gmup 2019 Within 1 year Page 48

FARMLAND RESERVE UK LIAqITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 31. Financial rfsk management The risks arising from ffinancial instnmnents to whith Ihe enbty is exposed at the yEar end are as follows". Credlt risk In view of the recent e¢onornic d¢)wntum the eompany is making every effort to mthiimise exFosure lo customer credit fisks and all appropriate steps are taken to reduce this risk. Price ri$k As part of the nature of agriculture the company is subject to Pri￿ variations, bul active efforts a￿ made to manage this risk by taking advantage of iegular market information, forward conlracts, and owning sufficient storage. These storage faalib.es allow the eornpany to wice and deliver products away from the harvest window which is well known to be a penod of dewessed prices. Market risk The year end valuatign, and resulb'ng gan or foss in the Stslernent of Finanual Acb"vities. of financial instnjments measured at fair value through income and expendilure. is subjecl to changes in the market value of the listed investments in whth shares are held. 32. Unrestricted Income funds - Company This reserve represents cumulative net income ￿ unrestrieted uu)me stream5. Every year a transfer is made to the revaluation reserve, representiry the value of gains and losses of the investment property. Net income in the current year totslled £1.5m {2019' £1.7ml and the reserve transfer to the revaluation serve lolalled £917k12019: £2.Om} representsng the fair value gains on the investment propety. 33. Revaluatlon reserv¢ - Cornpary The revaluatton reserve represents cumulative gains and b)sses on the fair value movement of the investment properties Sin￿ tran￿1￿)n to FRS 102. In the current year fair value gains totalled £917k (2019". £2.Oml and this rewesents the nv)vement on the reserye in the year. 34. Turnover AH turnover arose within the Urmled lfjngdorn. 35. R•lated party trans•¢tions The immediate and ullimate parent company of Group is Familand Reserve Inc. a not for Profit company incorporated in the Uniled States of AmerKa. This is the largest and smallest group of undertakings for which group accounts are drawn up. The Chanty is directed by Farmland ReseNe In¢. through biKl9etS and plans reviewed by the Charty trustees. The Coryany has tsken advantage of disclosu￿ exempts'ons available vrithin FRS 102 section 33 and not included details of any transactions wth wholly owned group companies that are included in these ¢onsolidated a¢counts. Page 49