ConAgra Foods, Inc. (NYSE: CAG) today announced the completion of two separate divestitures: the sale of its JM Swank business to Platinum Equity and the sale of its Spicetec Flavors & Seasonings business to Givaudan.
Sean Connolly, president and chief executive officer of ConAgra Foods, said, "Today marks an important milestone for ConAgra Foods. The completion of these two divestitures is another step on our journey to becoming a more focused and higher performing company.” He added, “We truly appreciate the contributions of the JM Swank and Spicetec Flavors & Seasonings employees, and we’re confident that both companies will be well positioned for continued growth as part of Platinum Equity and Givaudan, respectively.”
ConAgra Foods generated approximately $488 million in combined net proceeds from the sales, subject to any final working capital adjustments.
About ConAgra Foods
ConAgra Foods, Inc. (NYSE: CAG) is one
of North America's leading packaged food companies with recognized
brands such as Marie Callender's®, Healthy Choice®, Slim
Jim®, Hebrew National®, Orville Redenbacher's®, Peter
Pan®, Reddi-wip®, PAM®, Snack Pack®, Banquet®,
Chef Boyardee®, Egg Beaters®, Hunt’s® and many
other ConAgra Foods brands found in grocery, convenience, mass
merchandise and club stores. ConAgra Foods also has a strong
business-to-business presence, supplying frozen potato and sweet potato
products as well as other vegetable, spice and grain products to a
variety of well-known restaurants, foodservice operators and commercial
customers. For more information, please visit us at www.conagrafoods.com.
Note on Forward-looking Statements
This press release
contains forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. These forward-looking
statements are not guarantees of future performance; actual outcomes and
results may differ materially from those expressed in, or implied by,
these statements. These forward-looking statements are based on
management’s current expectations and are subject to uncertainty and
changes in circumstances. These risks and uncertainties include, among
other things: general economic and industry conditions; ConAgra Foods’
ability to successfully execute its long-term value creation strategy;
ConAgra Foods’ ability to successfully complete the spinoff of its Lamb
Weston business on a tax-free basis, within the expected time frame or
at all, and achieve the intended benefits of the spinoff; ConAgra Foods’
ability to access capital; ConAgra Foods’ ability to execute its
operating and restructuring plans and achieve its targeted operating
efficiencies, cost-saving initiatives, and trade optimization programs;
the effectiveness of ConAgra Foods’ hedging activities, including
volatility in commodities that could negatively impact its derivative
positions and, in turn, its earnings; the competitive environment and
related market conditions; ConAgra Foods’ ability to respond to changing
consumer preferences and the success of its innovation and marketing
investments; the ultimate impact of any product recalls and litigation,
including litigation related to the lead paint and pigment matters;
actions of governments and regulatory factors affecting ConAgra Foods’
businesses, including the Patient Protection and Affordable Care Act;
the availability and prices of raw materials, including any negative
effects caused by inflation or weather conditions; risks and
uncertainties associated with intangible assets, including any future
goodwill or intangible assets impairment charges; ConAgra Foods’ ability
to realize the synergies and benefits contemplated by the Ardent Mills
joint venture; the costs, disruption, and diversion of management's
attention associated with campaigns commenced by activist investors; and
other risks described in ConAgra Foods’ reports filed with the
Securities and Exchange Commission, including its most recent annual
report on Form 10-K and subsequent reports on Forms 10-Q and 8-K.
Investors and security holders are cautioned not to place undue reliance
on these forward-looking statements, which speak only as of the date
they are made. ConAgra Foods disclaims any obligation to update or
revise statements contained in this press release to reflect future
events or circumstances or otherwise.
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