American Farmland Company Notes to Consolidated Financial Statements (Unaudited) 1. ORGANIZATION American Farmland Company (together with its subsidiaries, the "Company"), a Maryland corporation, was established on October 9. 2009, and commenced its operations on October 15, 2009, for purposes of investing in farmland principally located in the United States. The Company conducts all of its activities through American Farmland Company L.P. (the "Operating Partnership"), a Delaware limited partnership. The Company owned 81.2% and 80.8% of the common limited partnership interests in the Operating Partnership at Junc 30, 2015 and December 31, 2014, respectively. The Company and American Farmland Advisors LW (AM) are Co-General Partners of the Operating Partnership. Since inception, affiliates of the members of AM (the "Founders") contributed $21,145,000 in capital to the Operating Partnership through June 30, 2015 and December 31. 2014, respectively, in addition to the capital provided to the Company from the proceeds of issuance of common stock. 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accompanying consolidated financial statements arc unaudited and include the accounts of the Company, the Operating Partnership and its wholly owned limited liability companies. All intercompany transactions and balances have been eliminated. In our opinion, all adjustments (which include only normal recurring adjustments) necessary to present fairly the consolidated financial position, results of operations and changes in cash flows have been made. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") have been omitted. These consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto as of December 31, 2014 and 2013 and for the years then ended in