Food Business News - May 22, 2012 - 14

Dole Food conducting strategic business review
D Dole said in a statement. “There can be no a assurances the company will pursue or comp plete any of the strategic alternatives that are r reviewed. The company intends to disclose d developments with respect to the progress of th strategic review process at such time, if the a any, that the company determines further disc closure is appropriate or required.” Dole also announced its ﬁrst-quarter res sults. For the quarter ended March 24, the c company had net income of $17.2 million, up s signiﬁcantly from $2 million during the same q quarter of the previous year. The company h had revenue of $1,626.6 million, down 4% from $1,686.1 million during the same quarter of the previous year. “Our ﬁrst-quarter results were impacted by extraordinarily low prices in all of our major commodity vegetables,” Mr. DeLorenzo said. “Our packaged salads and fresh berries businesses had very strong results in the quarter; however, these gains were offset by the weaker performance in commodity vegetables. As anticipated, banana earnings were weaker due to lower pricing in North America and Europe, as well as higher fruit costs from Latin America, which more than offset a strong performance in Asia bananas. Our packaged foods segment performed well, with adjusted EBITDA increasing by 10%. We are very pleased with the performance of our new Fruit Smoothie Shakers and Frozen Fruit Single-serve Cups and have launched signiﬁcant marketing campaigns in support of these new products.” FBN

General Mills acquires Indian spice mix portfolio
MINNEAPOLIS — General Mills, Inc. has acquired the ready-to-cook spice and sauce mix product line produced by Parampara Foods, Maharashtra, India. The products are manufactured in Pune, India, and sold under the Parampara, StarterZ and Curry Tree brands. Terms of the acquisition were not disclosed. “The acquisition of Parampara Food Products’ strong portfolio of brands strengthens our ability to help bring home-cooked meals to the family table and positions General Mills India for continued growth,” said Vijay Sood, vice-president, executive director of General Mills India. “We want to expand on Parampara’s potential to bring convenient meal solutions for our consumers across India and around the world. “Indian consumers — like many working couples around the world — are increasingly pressed for time. Parampara’s readyto-cook spice and sauce mixes bring simple, greattasting meal solutions and traditional Indian flavors to cooking around the world.” General Mills entered the Indian market in 1996. Today, the company has three food divisions, including retail, food service and export. The retail business unit markets Pillsbury, Green Giant, Betty Crocker, Nature Valley and Häagen-Dazs branded products. The food service product portfolio features bakery mixes and specialty ﬂour, bread, wraps and rolls, and convenience-oriented products. The export division markets whole wheat ﬂour, ethnic mixes and Indian ﬂat bread. FBN

WESTLAKE VILLAGE, CALIF. VILLAGE CALIF — Dole Food Co., Inc. is conducting a strategic business review and looking at options for a possible separation. “As a part of this review, the alternatives we may consider include a full or partial separation of one or more of our businesses through a spinoff or other capital markets transaction as well as other alternatives that will enhance shareholder value,” said David A. DeLorenzo, president and chief executive ofﬁcer. “We are committed to enhancing shareholder value, and this review is a company priority.” Mr. DeLorenzo said the company believes its share price does not reﬂect the inherent value of its packaged foods business as it is overshadowed by the larger commodity business. He said the review will especially look at the packaged foods business. “The company is working with ﬁnancial advisers to assist the board of directors and management in reviewing strategic alternatives and in evaluating prospects and options pertaining to select businesses of the company,”

Private equity ﬁrm creates premium dessert company
DETROIT — Private equity ﬁrm Superior Capital Partners, L.L.C. has completed its acquisition of Heinz North America’s Foodservice Dessert business and renamed it Dianne’s Fine Desserts. The new company will provide gourmet frozen, thaw-and-serve desserts to the food service industry and in-store bakeries. The purchase included Dianne’s Gourmet Desserts and Alden Merrell Fine Desserts, their manufacturing plants and the 500 employees at their bakeries in Le Center, Minn., and Newburyport, Mass. Other brands in the company’s portfolio include Black Tie, and Skooopz. The newly formed company will be headquartered in Newburyport. “Dianne’s Fine Desserts operates in an appealing sector of the food industry and the business offers signiﬁcant growth potential,” said Mike Knowles, chief executive ofﬁcer of Dianne’s Fine Desserts. “Our growth strategy will be focused on providing world class operational excellence, superior customer service and innovative products for our customers.” Dan Scales, president of Dianne’s Fine Desserts, added, “New ownership, dedicated to a single core business platform, will provide Dianne’s Fine Desserts with the focus to excel in the highly competitive premium dessert sector. The company enjoys strong core markets and an established customer base that will beneﬁt from our single-minded approach toward creating inspiring desserts that perfectly complement and anticipate consumers’ demands for eye-popping, memorable and delicious products.” Both Mr. Knowles and Mr. Scales are veterans of the baking industry. Mr. Knowles is a former president of the frozen and refrigerated bakery business at Sara Lee Corp., and Mr. Scales is a former c.e.o. of Little Lady Foods and president of Pennant Foods. FBN

FOODBUSINESS NEWS

May 22, 2012

Food Business News - May 22, 2012

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