Milling & Baking News - January 11, 2011 - 22

Stock Market Review 

a loss of $0.7 million during the same
period a year earlier. Year-to-date sales
were up 4%. Keying the profitability
was the higher sales, the company said.
With a gain of 59% in 2010, shares of
the Hain Celestial Group, Inc., Melville,
N.Y., ranked second in 2010 among
grain-based foods companies. The high
rank stood in contrast with the 11%
decline sustained in 2009, the worst
performance in grain-based foods in
that year when Hain was one of only
two companies to sustain a decline.
The closing price of $27.06 was well beneath the all-time high of $40.12 for the
company's shares set in October 2000.
Major developments during the year
included a settlement between company management and the Icahn Group.
Brett Icahn and David Schechter were
named to the Hain board as part of the
agreement, and the group said it would
support the company's board of directors' slate of director nominees at the
company's 2010 annual meeting.
"Hain has a strong portfolio of
brands that positions it well for a continuing secular shift toward organic
and all natural foods and consumer
packaged goods," said Carl Icahn.
"We look forward to working with
the current board and management
toward enhancing stockholder value."
Also bouncing back from sub-par
results in 2009 was Corn Products International, Inc., Westchester, Ill. Closing at $46 per share, Corn Products
was up 57% in 2010, the
third best performance
Grain-Based Foods Share Index
in grain-based foods. By
contrast, the company's
performance in 2010
shares rose only 1% in
2009, the third worst perHigh
Low
Close
Change % change
formance in the sector.
ADM
$34.03 $24.22 $30.08
-$1.23
-3.9%
Corn Products' year in
Bridgford
16.90
8.60
14.25
$3.05
27.2%
2010 was highlighted by
Bunge
74.04
45.36
65.52
$1.69
2.6%
the company's $1.3 billion
Campbell Soup
37.59
32.18
34.75
$0.95
2.8%
acquisition of National
ConAgra
26.32
21.02
22.58
-$0.47
-2.0%
Corn Products
48.00
26.23
46.00
$16.77
57.4%
Starch, the specialty starchFlowers Foods
27.58
22.97
26.91
$3.15
13.3%
es business of AkzoNobel
General Mills (s)
38.98
33.11
35.59
$0.19
0.5%
N.V. The acquisition alHain Celestial
28.49
14.45
27.06
$10.05
59.1%
lows Corn Products to "go
J&J Snack
49.88
36.80
48.24
$8.28
20.7%
to market with a broader
Kellogg
56.00
47.28
51.08
-$2.12
-4.0%
portfolio of products, enKraft Foods
32.67
27.09
31.51
$4.33
15.9%
hanced geographic reach,
Krispy Kreme
8.14
2.56
6.98
$4.03
136.6%
and the ability to partner
Lance
27.73
15.91
23.44
-$2.86
-10.9%
with our customers on
MGP Ingredients
11.92
5.61
11.04
$3.39
44.3%
customized and innovaPanera Bread Co. 106.87
64.89 101.21
$34.27
51.2%
tive solutions," said Ilene
PepsiCo
68.11
58.75
65.33
$4.53
7.5%
Gordon, chairman, presiRalcorp Holdings
69.86
53.90
65.01
$5.30
8.9%
dent and chief executive
J.M. Smucker
66.07
53.27
65.65
$3.90
6.3%
officer of Corn Products
Sara Lee
17.72
11.67
17.51
$5.33
43.8%
International. She said the
Seaboard
2,020.00 1,168.00 1,991.00 $642.00
47.6%
addition of National Starch
Tasty Baking
7.90
5.95
6.35
-$0.38
-5.6%
leaves Corn Products a
s = stock split during year
"stronger, more diversified
Continued from Page 20

Index at the end of 2010 was $288,998
million. The average market cap of a
company within the index was $13.1
billion while the median company had
a $3.5 billion market cap. The high for
the group was PepsiCo, Inc., with a
market cap of $104.3 billion. The low
was Tasty Baking Co., at $54 million.
All but five companies within the
index issued cash dividends with an
average year-end yield of 2.4%. The
highest yield within the group was the
4.1% dividend rate paid by ConAgra
Foods, Inc. Seaboard Corp. paid the
smallest dividend as a percentage of
stock value (among companies paying
dividends) at 0.2%.
Among the 10 grain-based foods
companies posting the widest gains in
2010, 6 were top-10 gainers in 2009.
The leading performer in 2010 was
Krispy Kreme Doughnuts, Inc., Winston-Salem, N.C. Closing at $6.98 per
share, Krispy Kreme was up $4.03, or
137%, from the 2009 close of $2.95. The
closing price was up 591% from the alltime low of $1.01 per share set in February 2009 but remained 86% beneath the
all-time high of $49.74 set in 2003. Still,
even at a share price of about $7, Krispy
Kreme was trading with a lofty priceto-earnings ratio of 51, indicating that
the company was still in the process of
restoring profitability.
Net income in the nine months ended
Oct. 31 was $9 million, compared with

22 / January 11, 2011 Milling & Baking News

Year-end close for
Grain-Based Foods Share
Index with change from
previous year, 1999-2010
Year
2010
2009
2008
2007
2006
2005
2004
2003
2002
2001
2000
1999

Close
11278.36
10350.06
9146.77
11657.58
11542.79
9687.18
10852.64
9,462.92
9,918.02
9,662.41
9,326.84
6,882.79

Point
change
928
1203
-2511
115
1856
-1165
1390
-487
287
336
2,444
-2,675

Per cent
change
9.0%
13.2%
-21.5%
1.0%
19.2%
-10.7%
14.7%
-4.9%
3.0%
3.6%
35.5%
-28.0%

player in the ingredient arena."
Perennial star Panera Bread Co., St.
Louis, ranked fourth among grainbased foods companies in 2010. The
company's shares closed at an all-time
year-end high of $101.21, up 51% from
2009. The gain followed advances of
28% in 2009 and 46% in 2008. While
slightly shy of the 2010 52-week high
of $106.87, the Panera close topped by
34% the stock's previous all-time high
of $75.88 set in April 2006.
Since 2000, Panera shares have advanced more than 12,000%. Based on
how the company grew in the 1990s,
such an extraordinary outcome would
not have seemed likely at all. Between
June 1991 and December 1999, the
company's shares fell 44%.
The share price gain in 2010 outpaced the company's profitability
growth through the first three quarters
of the year - up 34%. The company's
net sales were up 13% with comparable
same-store sales growth of 5.5%. The
results represented a strong start for
the company's new c.e.o.Bill Moreton.
Seaboard Corp., Shawnee Mission,
Kas., ranked fifth in share price performance in 2010. At a closing price of
$1,991, Seaboard shares were up $642
during 2010, a gain of 48%. The jump
followed a gain of 13% in 2009 and a
decline of 19% in 2008.
Seaboard shares sold at the highest
price of any grain-based foods company and remained one of only a few
publicly-traded companies with share
prices in the quadruple digits.
The $1,991 closing price in 2010 remained well beneath the all-time high
price of $2,699, not adjusted for subsequent dividends.
While Seaboard remains a powerhouse in international flour milling,
its U.S. business remained largely
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Milling & Baking News - January 11, 2011

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