CPC International to take 4th Q. charge for baking integration.ENGLEWOOD CLIFFS, N.J.--(BUSINESS WIRE)--Jan. 9, 1996--CPC International Inc. today announced that it is taking a one-time, pre-tax integration charge of $55 million in the fourth quarter of 1995 ($34 million after taxes, or $.23 per common share) to cover the anticipated costs of combining its existing baking business with the Kraft baking business acquired in October. The charge includes anticipated costs relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc the closure of duplicate administration, warehouse, and plant facilities belonging to CPC's existing baking business, the consolidation of redundant business systems, and the reduction of some CPC (1) (Central Processing Complex) An IBM mainframe that has two or more central processors (CPs) that share memory. It is the collection of processors, memory and I/O subsystems manufactured with a single serial number, typically all contained in one cabinet. baking personnel performing duplicate tasks. The integration costs must be recognized as a charge to earnings, rather than as acquisition-related goodwill, since these duplications are within CPC's existing baking business. C. R. Shoemate, chairman and chief executive officer of CPC, said, "The announcement of this relatively small charge just three months after the acquisition was completed is indicative of the speed with which we are integrating the two businesses. We have already made good progress on our plan to achieve the expected synergies at the heart of our decision to make this acquisition." Included in the integration is the closing of CPC's baking business headquarters in Fairfield, NJ. Some personnel from this facility have been offered positions in the combined business, at the former Kraft headquarters in Bay Shore, NY, and other locations. ABOUT CPC INTERNATIONAL: CPC International Inc. is among the largest U.S. food companies and ranks as one of the 100 largest industrial companies in the U.S. It has sales of about $9 billion in the current year. Consumer foods accounts for about 87% of the company's total sales. Best known among CPC's U.S. products are: Hellmann's and Best Foods Hellmann's and Best Foods are brand names that are used for the same line of mayonnaise and other food products. The Hellmann's brand is sold in the United States east of the Rocky Mountains, and also in Latin America, Europe, and Canada. mayonnaise, Mazola corn oil corn oil n. A pale yellow liquid obtained from the embryos of corn grains, used especially as a cooking and salad oil and in the manufacture of margarines. Noun 1. and margarine, Skippy peanut butter, Knorr soups, sauces, and bouillons, Entenmann's sweet baked products, Thomas English Thomas English was mayor of Adelaide from 1862 to 1863. He was one of the 41 men who signed the Mayflower Compact in November of 1620. muffins, Arnold, Brownberry, Freihofer's, and Oroweat breads, Boboli Italian bread shells, Mueller's pasta, and Karo KARO Kane Amateur Radio Operators (Kane, PA) syrup. CPC's global Knorr brand comprises one of the world's most extensive lines of products. CPC is one of the nation's most international food companies, with operations in 60 countries. CPC is also one of the largest corn refiners, with operations in North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. and Latin America Latin America, the Spanish-speaking, Portuguese-speaking, and French-speaking countries (except Canada) of North America, South America, Central America, and the West Indies. . CONTACT: CPC International, Englewood Cliffs Gale Griffin, (201) 894-2407 (media) or, John W. Scott, (201) 894-2837 (analyst) |
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