AUCTION. CROP and HAY LAND WELCOME TO THE: OFFERED AS ONE TRACT

WELCOME TO THE: CROP and HAY LAND AUCTION Thursday, October 4th, 2018 @ 1:00 CST Hutch s Cafe, Presho, SD 480 ± Acres OFFERED AS ONE TRACT danclarkauctions.com Dan Clark, Broker - (605) 842-6075 Curt Littau, Associate Broker - (605) 840-0978

TABLE OF CONTENTS Auction Date... 1 Auction Location... 1 Property Location... 1 Auctioneer s Note... 1 Seller... 1 Legal Description... 1 Property Information... 1 Terms & Conditions... 2 Disclaimer... 2 Real Estate Taxes... 3 Inspection-Showing Dates... 3 Broker/Auctioneer Information... 3 Location Map... 4 Brule Township Map... 5 Aerial Map... 6 Soil Map... 7 AcreValue Report... 8-15 FSA Program Map... 16 FSA 156 EZ... 17-21 FSA CRP Contract... 22-25 Sample Purchase Agreement... 26-27 Thank You... 28

Lyman County, SD Land Auction ATTENTION FARMERS, RANCHERS, HUNTERS & INVESTORS 480 ± Acres of Cropland & Hayland located in Lower Brule Township, Lyman County, SD Auction Date: Thursday, October 4, 2018 @ 1:00 PM CST Auction Location: Hutch s Café 308 E Hwy 16, Presho, SD This will be a live off-site auction with pre-bidding & online bidding available. Online bidders must pre-register at danclarkauctions.hidbid.com Possession will be upon final payment at closing on or before November 15, 2018!! This real estate property will be offered as one complete unit. Property Location: From Presho, SD, starting from the Dakota Mill & Grain located on North Main Avenue, North 5.4 miles on 305 th Avenue, West 1 mile on 235 th Street, North 5.0 miles on 304 th Avenue, East 2.0 miles on 231 st Street. Watch for the auction sign! Auctioneer Note: Dan Clark Auction & Realty, LLC has been given the honor to sell at a public auction this very attractive parcel of land that could serve as an excellent addition to any farming or livestock operation as well as a hunting or investment property. This property will be sold by the acre, based on the acres as stated on the county tax records, with the acres understood to be more or less. Seller: James J. Terca Presho, SD Legal Description: 480.0 ± Acres NW ¼, NE ¼, & SE ¼ of Section 22, Township 107N, Range 77W of the 5 th PM, Brule Township, Lyman County, South Dakota Property Information: According to the USDA records, this property has 460.84 acres of cropland of which 271.1 acres will be coming out of a ten-year CRP contract on October 30th, 2018 and 92.10 acres coming out on October 30 th, 2022 with an annual payment of $3,531.00. This property lies on the boarder of the Lower Brule Indian Reservation and his home to whitetail & mule deer as well as pheasant, sharptail grouse, and prairie chicken. This property consists of 39.3% of Class IVe, 21.7% Class IIIe, 13.2% Class IIIs, and 11.2% Class VIe soils. The overall productivity rating for this property is 54.8. This property has a dam centrally located on the three quarters. 1

Terms & Conditions: This is a cash sale, which means potential buyers must have their financial arrangements secured prior to bidding. There will be no buyer contingencies offered or accepted for financing, inspections, or appraisals. Immediately upon the conclusion of the auction, the successful bidder(s) will be required to sign real estate purchase contract and to deposit with RE Broker/Auctioneer, a nonrefundable earnest money payment of ten (10) percent of the total purchase price. The earnest money payment will be made payable to the closing agency, Lyman County Title Company, PO Box 5, Kennebec, SD 57544. Balance of the purchase price is due in certified funds at closing on or before November 15, 2018. Buyer will receive full possession of this property after final payment has been made at closing. In lieu of the current lease agreement, the buyer will assume the lease which expires on February 28 th, 2021 for sixty (60) acres located on the East Half of Section (22) twenty-two in Township (107 N) one hundred seven north, Range (77 W) seventy-seven west of the fifth P.M., Lyman County, South Dakota. (Copies of the lease will be available upon request). Conveyance of marketable title will be transferred by Warranty Deed, free and clear of liens but subject to easements, reservations, and exceptions of record as well as statutory rights of way and other recorded easements at the time of sale. Owners title insurance policy will be provided to the buyer for examination prior to the auction. Cost of title insurance and closing fees will be divided equally 50% buyer & 50% seller. This property is sold AS-IS / WHERE-IS. Property is being sold by legal descriptions only. Should a property survey become necessary, it will be at the buyers expense. Seller(s) do not warranty or guarantee the property boundaries are accurate. Any new boundary survey will be the responsibility of the Purchaser, pursuant to South Dakota statutes. All mineral rights (if any) owned by Seller will be transferred to the Buyer(s). All hunting rights will be transferred to the buyer(s) at the date of the closing. This property will be offered at the live auction by _X_ amount of dollars per acre times the taxable acres of 480 acres equals (=) total dollars $. DISCLAIMER: Property information provided was obtained from sources deemed reliable, however, the Seller(s) and Broker/Auctioneer are not making any guarantees to its accuracy. Potential buyers are encouraged to conduct both on-site and off-site inspections of the property to the extent deemed necessary and rely upon their own pre-auction inspection when bidding. The Auctioneer may accept absentee, phone or internet bids from bidders who cannot attend the auction. Bidding remotely does not guarantee anonymity. Video and audio recording devices will be in use during the auction which may be broadcast via the internet or used in other places. Winning bidder(s) acknowledges that they are representing themselves or have hired representation using their own financial means to complete the auction sales transaction. Dan Clark Responsible Broker and associated licensees are acting as agents for the Seller and will be representing only the Seller s interest in this transaction. Statements made day of sale take precedence over all written material. This property is being sold subject to the Seller s approval. The Sellers reserve the right to accept or reject any and all bids. 2

RE Taxes: $2,731.28 Tax Proration: All the 2017 & prior years RE taxes will be paid in full by the Seller(s). The 2018 taxes will be prorated to the date of closing. Inspection Showing Dates: Auction signs will mark the property. Potential buyers may inspect the property at their own convenience. Please be respectful!! Private showings may be done by calling Dan Clark Auction & Realty, LLC (605) 842-3300 to schedule an appointment. Soil information is provided by Surety Agridata. Crop and base acres information is provided from USDA Farm Service Agency. To see the full auction listing with the location, soil maps, terms & conditions; drone video of the property go to danclarkauctions.com Auction is conducted by: Dan Clark Auction & Realty, LLC. 525 E. 2 nd St., Winner, SD 57580 Office (605)842-3300 Fax (605) 842-3650 Website: danclarkauctions.com Dan Clark, Broker/Auctioneer Curt Littau, Broker Associate Cell (605) 842-6075 Cell (605) 840-0978 dan@danclarkauctions.com curt@danclarkauctions.com 3

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BRULE TOWNSHIP 302 Ave 303 Ave T 107 N 304 Ave 305 Ave 306 Ave R 77 W 307 Ave 308 Ave 6 5 4 3 2 1 228 St 7 8 9 10 11 12 229 St 18 17 16 15 14 13 230 St James Terca 19 20 21 22 23 24 231 St 480 30 29 28 27 26 25 232 St 31 32 33 34 35 36 233 St THIS MAP IS AN APPROXIMATION, NO WARRANTIES OR GUARANTEES ARE IMPLIED OR EXPRESSED. 5

Aerial Map map center: 44 3' 26.22, -100 3' 20.54 0ft 830ft 1660ft 22-107N-77W Lyman County South Dakota 7/6/2018 6

Soils Map State: County: Location: Township: South Dakota Lyman 22-107N-77W Lower Brule Acres: 480 Date: 7/6/2018 Soils data provided by USDA and NRCS. Area Symbol: SD085, SD085, Soil Soil Area Area Version: Version: 18 18 Cod e Soil Description Acres Percent of field PI Legend Non Irr Class *c Irr Class *c Productivity Index State Productivity Index OlC Opal clay, 6 to 9 percent slopes 188.46 39.3% IVe IVe 49 33 PoB Promise clay, 3 to 6 percent slopes 105.18 21.9% IIIe IIIe 64 43 PoA Promise clay, 0 to 3 percent slopes 62.12 12.9% IIIs IIIs 68 46 OnD Opal Sansarc clays, 6 to 15% slopes 54.83 11.4% VIe VIe 38 25 OlA Opal clay, 0 to 3 percent slopes 22.94 4.8% IIIs IIIs 66 44 LbD Lakoma Okaton silty clays, 6 to 15 percent slopes 14.61 3.0% IVe IVe 33 22 MmA Millboro silty clay, 0 to 3 percent slopes 13.84 2.9% IIs IIs 86 58 MmB Millboro silty clay, 3 to 6 percent slopes 6.96 1.5% IIIe IIIe 79 53 W Water 4.93 1.0% 0 0 Ko Kolls silty clay 3.47 0.7% Vw 31 21 OlB Opal clay, 3 to 6 percent slopes 2.66 0.6% IIIe IIIe 60 40 *c: Using Capabilities Class Dominant Condition Aggregation Method Weighted Average 54.7 36.8 Soils data provided by USDA and NRCS. 7

Fields Soil Survey September 12, 2018 3 fields, 480 acres in Lyman County, SD township/section 107N 77W 15, 16, 21, 22, 27 avg nccpi 15.7 county avg 19.8 MmB LbD W MmA OnD OlC PoB OlA Ko OlB PoA quality 10 35 All fields 480 ac Source: NRCS Soil Survey soil code soil description acres percentage of field soil class nccpi OlC Opal clay, 6 to 9 percent slopes 188.55 39.3% 4 15.6 PoB Promise clay, 3 to 6 percent slopes 103.80 21.6% 3 15.6 PoA Promise clay, 0 to 3 percent slopes 64.78 13.5% 3 15.6 OnD Opal-Sansarc clays, 6 to 15% slopes 54.28 11.3% 6 13.5 OlA Opal clay, 0 to 3 percent slopes 21.09 4.4% 3 15.4 LbD Lakoma-Okaton silty clays, 6 to 15 percent slopes 14.78 3.1% 4 15.9 MmA Millboro silty clay, 0 to 3 percent slopes 13.97 2.9% 2 25.5 MmB Millboro silty clay, 3 to 6 percent slopes 7.82 1.6% 3 21.6 W Water 4.88 1.0% N/A AcreValue 2018 Granular, Inc. All Right Reserved. Use of this report is subject to Granular s Terms of Service. All information is provided without any express or implied warranties of any kind. Land prices are estimates of valuation and not certified appraised values. Soil Survey: 1 of 5 8

Fields Soil Survey September 12, 2018 3 fields, 480 acres in Lyman County, SD township/section 107N 77W 15, 16, 21, 22, 27 OlB Opal clay, 3 to 6 percent slopes 3.04 0.6% 3 15.9 Ko Kolls silty clay 3.04 0.6% 5 9.6 475.17 99.0% 15.7 AcreValue 2018 Granular, Inc. All Right Reserved. Use of this report is subject to Granular s Terms of Service. All information is provided without any express or implied warranties of any kind. Land prices are estimates of valuation and not certified appraised values. Soil Survey: 2 of 5 9

Fields Soil Survey September 12, 2018 3 fields, 480 acres in Lyman County, SD township/section 107N 77W 15, 16, 21, 22, 27 avg nccpi 16.1 county avg 19.8 LbD MmA W OnD OlC PoB OlA quality 10 35 Field 1 160 ac Source: NRCS Soil Survey soil code soil description acres percentage of field soil class nccpi OlC Opal clay, 6 to 9 percent slopes 64.60 40.3% 4 15.6 PoB Promise clay, 3 to 6 percent slopes 38.52 24.0% 3 15.6 OnD Opal-Sansarc clays, 6 to 15% slopes 29.98 18.7% 6 13.5 MmA Millboro silty clay, 0 to 3 percent slopes 13.97 8.7% 2 25.5 LbD Lakoma-Okaton silty clays, 6 to 15 percent slopes 7.41 4.6% 4 15.9 OlA Opal clay, 0 to 3 percent slopes 4.53 2.8% 3 15.4 W Water 1.27 0.8% N/A 159.02 99.2% 16.1 AcreValue 2018 Granular, Inc. All Right Reserved. Use of this report is subject to Granular s Terms of Service. All information is provided without any express or implied warranties of any kind. Land prices are estimates of valuation and not certified appraised values. Soil Survey: 3 of 5 10

Fields Soil Survey September 12, 2018 3 fields, 480 acres in Lyman County, SD township/section 107N 77W 15, 16, 21, 22, 27 avg nccpi 15.3 county avg 19.8 OlC PoB OlA Ko OlB PoA OnD quality 10 35 Field 2 160 ac Source: NRCS Soil Survey soil code soil description acres percentage of field soil class nccpi PoA Promise clay, 0 to 3 percent slopes 64.78 40.5% 3 15.6 PoB Promise clay, 3 to 6 percent slopes 58.75 36.8% 3 15.6 OlA Opal clay, 0 to 3 percent slopes 16.56 10.4% 3 15.4 OnD Opal-Sansarc clays, 6 to 15% slopes 11.96 7.5% 6 13.5 OlC Opal clay, 6 to 9 percent slopes 3.27 2.0% 4 15.6 Ko Kolls silty clay 3.04 1.9% 5 9.6 OlB Opal clay, 3 to 6 percent slopes 1.49 0.9% 3 15.9 159.85 15.3 AcreValue 2018 Granular, Inc. All Right Reserved. Use of this report is subject to Granular s Terms of Service. All information is provided without any express or implied warranties of any kind. Land prices are estimates of valuation and not certified appraised values. Soil Survey: 4 of 5 11

Fields Soil Survey September 12, 2018 3 fields, 480 acres in Lyman County, SD township/section 107N 77W 15, 16, 21, 22, 27 avg nccpi 15.8 county avg 19.8 LbD MmB W OlC OnD OlB PoB quality 10 35 Field 3 160 ac Source: NRCS Soil Survey soil code soil description acres percentage of field soil class nccpi OlC Opal clay, 6 to 9 percent slopes 120.68 75.5% 4 15.6 OnD Opal-Sansarc clays, 6 to 15% slopes 12.34 7.7% 6 13.5 MmB Millboro silty clay, 3 to 6 percent slopes 7.82 4.9% 3 21.6 LbD Lakoma-Okaton silty clays, 6 to 15 percent slopes 7.38 4.6% 4 15.9 PoB Promise clay, 3 to 6 percent slopes 6.52 4.1% 3 15.6 W Water 3.61 2.3% N/A OlB Opal clay, 3 to 6 percent slopes 1.55 1.0% 3 15.9 156.30 97.7% 15.8 AcreValue 2018 Granular, Inc. All Right Reserved. Use of this report is subject to Granular s Terms of Service. All information is provided without any express or implied warranties of any kind. Land prices are estimates of valuation and not certified appraised values. Soil Survey: 5 of 5 12

Fields Crop History September 12, 2018 3 fields, 480 acres in Lyman County, SD township/section 107N 77W 15, 16, 21, 22, 27 3 1 All fields 480 ac 2017 2016 2015 2014 2013 Grass/Pasture 85.7% 88.0% 87.7% 88.3% 93.7% 2 Crop Undetermined 11.6% 2.4% Winter Wheat 0.7% 11.5% 0.5% 0.1% Sorghum 0.1% 11.3% 10.5% Other 2.0% 0.5% 0.6% 1.2% 3.7% Field 1 160 ac 2017 2016 2015 2014 2013 Grass/Pasture 64.5% 67.2% 67.1% 67.0% 91.5% Crop Undetermined 33.5% 1.8% Winter Wheat 31.9% 0.1% Sorghum 0.1% 32.6% 30.9% Other 2.0% 0.7% 0.3% 2.1% 6.5% AcreValue 2018 Granular, Inc. All Right Reserved. Use of this report is subject to Granular s Terms of Service. All information is provided without any express or implied warranties of any kind. Land prices are estimates of valuation and not certified appraised values. Crop History: 1 of 2 13

Fields Crop History September 12, 2018 3 fields, 480 acres in Lyman County, SD township/section 107N 77W 15, 16, 21, 22, 27 Field 2 160 ac 2017 2016 2015 2014 2013 Grass/Pasture 98.2% 98.4% 98.0% 98.5% 93.3% Crop Undetermined 1.2% 5.5% Other 0.6% 1.6% 2.0% 1.5% 1.2% Field 3 160 ac 2017 2016 2015 2014 2013 Grass/Pasture 94.5% 98.3% 97.9% 99.5% 96.4% Other 5.5% 1.7% 2.1% 0.5% 3.6% Source: NASS Cropland Data Layer AcreValue 2018 Granular, Inc. All Right Reserved. Use of this report is subject to Granular s Terms of Service. All information is provided without any express or implied warranties of any kind. Land prices are estimates of valuation and not certified appraised values. Crop History: 2 of 2 14

Fields Ownership September 12, 2018 3 fields, 480 acres in Lyman County, SD township/section 107N 77W 15, 16, 21, 22, 27 Lyman County, SD field acres location owner (last updated) 1 160.29 2 159.85 3 159.90 480.04 107N 77W 15, 22 APN: 005733 107N 77W 22, 27 APN: 005735 107N 77W 15, 16, 21, 22 APN: 005734 TERCA, JAMES J (07/24/2017) TERCA, JAMES J (07/24/2017) TERCA, JAMES J (07/24/2017) 3 1 2 AcreValue 2018 Granular, Inc. All Right Reserved. Use of this report is subject to Granular s Terms of Service. All information is provided without any express or implied warranties of any kind. Land prices are estimates of valuation and not certified appraised values. Ownership: 1 of 1 15

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REAL ESTATE AUCTION PURCHASE AGREEMENT SAMPLE THIS IS A LEGALLY BINDING CONTRACT BETWEEN PURCHASER AND SELLER. IF YOU DON NOT UNDERSTAND IT, SEEK LEGAL ADVICE. 1. PURCHASER (S): 2. SELLER (S): James J. Terca, PO Box 432, Pesho, SD 57568-0432 3. LEGALLY DESCRIBED AS: NW ¼, NE ¼, & SE ¼ of Section 22, Township 107N, Range 77W of the 5 th PM, Brule Township, Lyman County, South Dakota 480 +/- acres 4. PURCHASE PRICE: (480 acres X $ ) = $. DOLLARS 5. EARNEST MONEY DEPOSIT: Broker hereby acknowledges receipt of nonrefundable Earnest Money (10% of the purchase price) in the Amount of ($ ) DOLLARS. Earnest money to be deposited in the Aurora/Davison County Title Company, closing agency, trust account on the next legal banking day after acceptance of this offer on the property. 6. FINANCING: This will be cash or new loan with no contingency for financing. The remaining balance of $ (purchase price less earnest money) will be paid at closing by certified check. The lending institution involved with this transaction is. If none, write none 7. TAXES/PRORATIONS: Seller will pay all of the 2017 real estate taxes and the 2018 real estate taxes are to be prorated to the date of closing based upon the most current county information. INITIALS: PURCHASER / SELLER / Page 1 of 2 26

8. TITLE: Marketable title shall be conveyed by Warranty Deed or other sufficient conveyance instrument, acceptable to Purchaser, subject to conditions, zoning restrictions, and easements of record, if any, which do not interfere with or restrict the existing use of the property. An owner s policy to Title Insurance in the amount of the purchase price will be furnished with cost to be distributed: Purchaser 50% & Seller 50%. 9. SURVEY: Seller is not providing a boundary survey of the property. Property is sold based on legal description only. Seller is not aware of any boundary disputes. Seller further states that any fences located on the property do not necessarily represent the property boundary. 10. CLOSING/POSSESSION: Closing date will be on or before November 15, 2018 with possession to be given to Purchaser at closing. Costs of the closing service fee charged by the closing company, Lyman County Title Company, will be paid as follows: Purchaser 50% & Seller 50%. 11. OTHER PROVISIONS: 12. ADDENDA TO THIS AGREEMENT: The following documents are addenda to this contract and are attached and become part of this contract by reference. If none, so state none 13. The laws of South Dakota govern this transaction. Dated this 4 th day of October, 2018 at 2:00 PM CST PURCHASER PURCHASER SELLER SELLER *************************************************************************** DAN CLARK AUCTION & REALTY, LLC Responsible Broker/ RE Auctioneer: Page 2 of 2 27

Thank you for attending our auction! For more information, please contact: Dan Clark Broker Cell: 605-842-6075 Email: dan@danclarkauctions.com Curt Littau Broker Associate Cell: 605-840-0978 Email: curt@danclarkauctions.com Austin Davis Operations & Marketing Manager Cell: 605-840-8407 Email: austin@danclarkauctions.com Residential Commerical Land Farm & Ranch Brokerage Auctioneering Farm & Ranch Management 605-842-3300 www.danclarkauctions.com