‘Disappointing’ 3Q motivates Fresh Del Monte
Fresh Del Monte Produce Inc tallied net sales of $729.6 million for the 2006 third quarter, compared with $740.5 million for the corresponding period in 2005. For the first nine months of 2006, net sales were slightly lower than the same period in 2005.
The company reported a net loss of $83.6 million for the third quarter of 2006, compared with net income of $5.7 million in the corresponding period in 2005. Net loss for the first nine months of 2006 was $85.2 million, versus net income of $110.1 million for the same period in 2005.
“Our third quarter results are clearly disappointing,” said Mohammad Abu-Ghazaleh, Fresh Del Monte’s chairman and chief executive officer. “Tough times, however, require tough measures, as well as the courage, confidence, and leadership to implement them. With this in mind, we have initiated a major turnaround effort at Fresh Del Monte Produce, which involves reorganizing at every level, in every geography, and in every business of our global enterprise.”
Fresh Del Monte’s board of directors has voted to suspend the company’s quarterly dividend of $0.05 per share.
