CAG ConAgra Brands Inc

SMITHFIELD, Va., April 3 /PRNewswire-FirstCall/ -- Smithfield Foods, Inc. (NYSE:SFD) today announced that it has completed the acquisition of substantially all of the assets of the Cook's ham business of ConAgra Foods Packaged Foods Company, Inc. from ConAgra Foods, Inc. (NYSE:CAG). The purchase price for the transaction was approximately $260 million, subject to adjustment for working capital of the business as of closing. Cook's, based in Lincoln, NE, is a major producer of both traditional and spiral sliced smoked bone-in hams, as well as corned beef and other smoked meat items sold to supermarket chains and independent grocers throughout the United States and Canada. Manufacturing facilities are located in Lincoln, as well as Grayson, KY, and Kansas City, MO. Cook's annual sales are about $330 million. "Cook's fits perfectly into our strategy of growing our higher-value processed meats products and utilizing our raw materials internally," said C. Larry Pope, Smithfield president and chief operating officer. "This is a significant step in our goal of utilizing internally all of the hams from the hogs that we process." Mr. Pope assured the customers and suppliers of Cook's that it would be business as usual for them. "Not only do we intend to keep these plants open, we hope to grow the business over time," he said. Smithfield Foods has delivered a 25 percent average annual compounded rate of return to investors since 1975. With sales of $11 billion, Smithfield is a leading processor and marketer of fresh pork and processed meats in the United States, as well as the largest producer of hogs. For more information, please visit http://www.smithfieldfoods.com/. This news release may contain "forward-looking" information within the meaning of the federal securities laws. The forward-looking information may include statements concerning the company's outlook for the future, as well as other statements of beliefs, future plans and strategies or anticipated events, and similar expressions concerning matters that are not historical facts. The forward-looking information and statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in, or implied by, the statements. These risks and uncertainties include availability and prices of livestock, raw materials and supplies, livestock costs, product pricing, the competitive environment and related market conditions, operating efficiencies, access to capital, the cost of compliance with environmental and health standards, adverse results from ongoing litigation and actions of domestic and foreign governments. DATASOURCE: Smithfield Foods, Inc. CONTACT: Jerry Hostetter of Smithfield Foods, Inc., +1-212-758-2100, Web site: http://www.smithfieldfoods.com/

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