By Luciana Magalhaes
SAO PAULO--Shareholders of Brazil's giant food company
BRF-Brazil Foods S.A. (BRFS3.BR, BRFS) elected businessman Abilio
Diniz to be chairman for 2013 to 2015, the company said in a
regulatory filing Tuesday.
Mr. Diniz is also the chairman of Brazil's largest retail group,
Grupo Pao de Acucar (PCAR4.BR, CBD), or GPA.
French retail group Casino Guichard-Perrachon SA (CGUSY, CO.FR),
which controls GPA, had said it would expect the Brazilian
businessman to resign his position at GPA if elected at BRF's
Tuesday's assembly.
The group sees a potential conflict of interest with Mr. Diniz
holding both positions because BRF and GPA have a strong commercial
relationship.
Mr. Diniz declined to comment, but a person familiar with his
plans said Tuesday that he intends to remain as GPA's chairman.
Mr. Diniz and Casino owner Jean-Charles Naouri have had open
conflicts in recent years after Mr. Diniz attempted to back out of
a 2005 deal to hand over control of GPA, which was founded by Mr.
Diniz's family.
Write to Luciana Magalhaes at luciana.magalhaes@dowjones.com