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FOR IMMEDIATE RELEASE

                MGP INGREDIENTS ANNOUNCES TIMETABLE FOR RESUMING
                     DISTILLERY OPERATIONS AT ATCHISON PLANT


     ATCHISON, Kan., October 11, 2002--MGP Ingredients,  Inc., (MGPI/Nasdaq) has
announced that it is proceeding with plans to restart alcohol  production at its
Atchison,  Kan., plant, where an explosion on Sept. 13 caused significant damage
to the company's distillery operations.  "While we expect that it will take from
nine months to a year to complete the total  rebuilding  process,  we anticipate
that we could  resume some alcohol  production  at the plant within two months,"
said Ladd Seaberg, president and chief executive officer.

     Although a full damage assessment is still being completed, the company has
made a preliminary determination of equipment replacement needs and initiated an
engineering study, according to Seaberg.  Noting that no firm estimates have yet
been made,  Seaberg  stated that "we believe our insurance will be sufficient to
substantially offset rebuilding costs, as well as business interruption costs."

     Historically,  the Atchison distillery has produced approximately one-third
of the company's  total alcohol output.  During the time the distillery  remains
inoperable,  the company  believes that  production  capabilities  at its Pekin,
Ill.,  facility  should be adequate to supply regular  customers.  However,  the
company's ability to supply spot business at this time is substantially reduced.
During the past fiscal year, the Atchison  distillery produced nearly 60 million
proof gallons of alcohol.  That amount accounted for approximately 19 percent of
the company's total fuel grade alcohol  production and  approximately 67 percent
of its total food grade alcohol production.

     Because the Atchison plant's wheat-based  ingredient and alcohol production
processes  are  integrated,  the  distillery  shutdown has  interfered  with the
company's ability to produce the base raw material for specialty  ingredients at
this location.  "Fortunately,"  Seaberg said,  "our Illinois  operation has been
able to produce the base proteins and starches,  which are then  transferred  to
the Atchison facility as raw material for producing our specialty products."

     Seaberg stated that despite current obstacles,  the company has not altered
its plans to grow its  specialty  wheat-based  ingredient  sales in fiscal  2003
above the $37.4 million in sales that were realized in fiscal 2002.

     "We are more determined than ever to achieve our objectives and to secure a
bright and successful  future for the company and those we serve," Seaberg said.
"While  the  incident  on  September  13 has  partially  disabled  our  Atchison
operations,  our people have rallied in a tremendous  way and are putting  forth
great effort to overcome this temporary setback."

                                     -more-
ADD1--MGP INGREDIENTS ANNOUNCES TIMETABLE

     Seaberg  reported  that  conditions  at the Atchison  plant have forced the
temporary  layoff of 41 of the  facility's  300 employees at this time.  "We are
doing  everything  we can to  minimize  the  impact  of  this  situation  on our
workforce,"  he said.  "It is our  hope to  provide  jobs  for as many  affected
employees as possible just as quickly as conditions allow."

     Seaberg praised employees for their "patience and extraordinary performance
during this  difficult  period." He said that "while the  distillery  mishap has
thrown a number of  challenges  our way,  it has  motivated  us to  become  more
innovative in our approach to fulfilling our customers' needs."

     The  explosion  occurred  when  alcohol  vapors in the  plant's  stillhouse
apparently  ignited.  The  source  of the  ignition,  however,  has not yet been
determined.  "Thankfully,  the effects of the  explosion  were not more severe,"
Seaberg said. "Above all, we are fortunate and extremely grateful that the blast
did  not  result  in any  life-threatening  injuries."  One  employee,  training
coordinator Fred Gage, was briefly  hospitalized for burns. He recently returned
to his job after recuperating for a period at his home.

     Formerly  known as Midwest Grain  Products,  Inc., the business was renamed
MGP Ingredients, Inc. yesterday at the close of the 61-year-old company's annual
meeting  of  stockholders.  The name  change  was  approved  by  holders  of the
company's  preferred stock on Aug. 27 and was made to more accurately  reflect a
greatly  increased  focus  on  the  development,  production  and  marketing  of
specialty ingredients derived from natural sources.

This news release  contains  forward-looking  statements  as well as  historical
information. Forward-looking statements are identified by or are associated with
such  words  as  "intend,"  "believe,"   "estimate,"   "expect,"   "anticipate,"
"hopeful,"  "should," "may" and similar  expressions.  They reflect management's
current  beliefs  and  estimates  of  future  economic  circumstances,  industry
conditions,  company performance and financial results and are not guarantees of
future performance. The forward-looking statements are based on many assumptions
and factors,  including those relating to grain prices,  gasoline prices, energy
costs,   product  pricing,   competitive   environment  and  related   marketing
conditions, operating efficiencies, access to capital and actions of governments
or government officials. Any changes in the assumptions or factors could produce
materially different results than those predicted and could impact stock values.


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