Swift posts $48.6 million loss
April 09, 2007
by FoodBusinessNews.net Staff
GREELEY, COLO. – Swift & Co., a beef and pork processor, reported a loss of $48.6 million in the third quarter ended Feb. 25 as beef sales fell. A year ago, the company had a net loss of $49.4 million in the fiscal third quarter, the company said in a filing with the U.S. Securities and Exchange Commission. Overall sales fell 6.9% to $2.09 billion.
Swift has had just one profitable quarter since November 2004, reflecting a drop in beef exports because of trade restrictions imposed after the U.S. found its first case of bovine spongiform encephalothopy in late 2003. Beef sales in the most recent quarter fell 16% to $1.l6 billion while revenue from the company's pork and Australian operations increased.
"Our revenues and net income may continue to be materially adversely affected in the event previously announced import restrictions continue indefinitely," Swift said in the filing.
In January Swift officials said the company was considering selling after receiving "unsolicited inquiries" during the previous six months. A "merger, strategic partnerships, or a refinancing" were also being considered, the company said.