AgJunction, Mahindra announce long term agreement

AgJunction Inc. (TSX: AJX), the Autosteering Company ("AgJunction"), announced that it has entered into a framework development agreement with Mahindra & Mahindra Ltd. ("Mahindra"). Under the agreement, the parties will jointly prepare statements of work for future development products that will outline specific deliverables and detailed commercial terms.

The framework agreement gives Mahindra access to AgJunction's world class engineering team and technology. AgJunction secures a solid relationship with the world's largest tractor company by volume and would gain access to Mahindra's unmatched supply chain and penetration into Asia and other strategic markets.

"Working together with the world's largest tractor company will potentially create great opportunities toward our mission to expand our offerings to all farmers," said Dave Vaughn, president and CEO of AgJunction.

"And it further strengthens our commitment to making our technology low-cost, simple-to-use and easily accessible to all farmers worldwide through our indirect channel partners-OEMs, VARs, and technology licensees-and our direct-to-farmer channel via Handsfreefarm.com," said Vaughn.

In 2010, Mahindra became the world's largest tractor company by volume. Mahindra's biggest consumer base is in India, North America, and a growing market in Australia.