NEW YORK, June 16, 2009 (GLOBE NEWSWIRE) -- Tyson Foods, Inc. (NYSE:TSN) reported today that the capital restructuring it underwent in recent months secured more than $1.7 billion in liquidity as of March 28 and has ensured financial flexibility while addressing more than $1.8 billion in near-term debt maturities.
Speaking at the Barclays Capital Leveraged Finance Consumer Conference, Dennis Leatherby, Tyson's executive vice president and chief financial officer, said, "Tyson has a solid capital structure. We have strong liquidity and financial flexibility."
In September, Tyson began capital restructuring by issuing 22.4 million Class A Common Shares and $458 million in Senior Convertible Notes. In March, the company successfully completed an $810 million high yield bond offering and replaced its previous revolving credit facility with a $1 billion asset-based lending facility.
"Despite volatile commodity markets, we have been disciplined in reducing our debt load," Leatherby said. "Our net debt at the end of our second quarter was $2.6 billion, compared to a high of nearly $5 billion in 2001."
Tyson has previously reported that its chicken, beef, pork and prepared foods segments are all profitable. Leatherby said the chicken segment has made significant improvement as a result of sales volume, product mix, shorter-term contracts with customers and operational efficiencies. Leatherby also said Tyson's chicken business will have a stronger third quarter than indicated on its May 4 earnings call.
Tyson Foods, Inc., founded in 1935 with headquarters in Springdale, Arkansas, is the world's largest processor and marketer of chicken, beef and pork, the second-largest food production company in the Fortune 500 and a member of the S&P 500. The company produces a wide variety of protein-based and prepared food products and is the recognized market leader in the retail and foodservice markets it serves. Tyson provides products and service to customers throughout the United States and more than 90 countries. The company has approximately 107,000 Team Members employed at more than 300 facilities and offices in the United States and around the world. Through its Core Values, Code of Conduct and Team Member Bill of Rights, Tyson strives to operate with integrity and trust and is committed to creating value for its shareholders, customers and Team Members. The company also strives to be faith-friendly, provide a safe work environment and serve as stewards of the animals, land and environment entrusted to it.
The Tyson Foods, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=3224
Forward-Looking Statements
Certain information contained in the news release may constitute forward-looking statements, such as statements relating to projected performance. Historical results may not be indicative of future results. We wish to caution readers not to place undue reliance on any forward-looking statements, which speak only as of the date made.