Tyson will easily top estimates
Earnings may be 9 to 10 cents above original forecasts
ASSOCIATED PRESS
SPRINGDALE, Ark., Jan. 3 — Tyson Foods Inc. said Thursday it expects quarterly earnings to be significantly higher than its earlier estimates. Tyson shares surged 6 percent on the news.
TYSON, WHOSE FIRST-QUARTER ended Dec. 29, had initially expected earnings to run about 22 to 27 cents per share. It now expects earnings of between 32 to 36 cents per share.
“Our first quarter was stronger than we had expected,” chairman John Tyson said. “Our position as the leading value added supplier of beef, chicken, and pork to all markets served us well despite the tone of the general economy as we entered the quarter.”
With its $3 billion purchase last year of meatpacker IBP Inc. of Dakota Dunes, S.D., Tyson last year became the world’s largest meat producer. It controls 28 percent of the U.S. beef market, 25 percent of the chicken market and 18 percent of the pork market.
“I am very pleased with the way our combined company is performing and the progress our people have made,” Tyson said. “Since closing the IBP cash tender in early August, we have repaid over $550 million of borrowings and ended the first quarter with debt of $4.35 billion.”
Shares of Tyson rose 22 cents to close at $11.50 on the New York Stock Exchange and jumped another 70 cents in after-hours trading.
© 2002 Associated Press
www.msnbc.com/news/681606.asp?0si=-&cp1=1
Earnings may be 9 to 10 cents above original forecasts
ASSOCIATED PRESS
SPRINGDALE, Ark., Jan. 3 — Tyson Foods Inc. said Thursday it expects quarterly earnings to be significantly higher than its earlier estimates. Tyson shares surged 6 percent on the news.
TYSON, WHOSE FIRST-QUARTER ended Dec. 29, had initially expected earnings to run about 22 to 27 cents per share. It now expects earnings of between 32 to 36 cents per share.
“Our first quarter was stronger than we had expected,” chairman John Tyson said. “Our position as the leading value added supplier of beef, chicken, and pork to all markets served us well despite the tone of the general economy as we entered the quarter.”
With its $3 billion purchase last year of meatpacker IBP Inc. of Dakota Dunes, S.D., Tyson last year became the world’s largest meat producer. It controls 28 percent of the U.S. beef market, 25 percent of the chicken market and 18 percent of the pork market.
“I am very pleased with the way our combined company is performing and the progress our people have made,” Tyson said. “Since closing the IBP cash tender in early August, we have repaid over $550 million of borrowings and ended the first quarter with debt of $4.35 billion.”
Shares of Tyson rose 22 cents to close at $11.50 on the New York Stock Exchange and jumped another 70 cents in after-hours trading.
© 2002 Associated Press
www.msnbc.com/news/681606.asp?0si=-&cp1=1
