J.M. Smucker Co.

J.M. Smucker pays up for Nutrish pet-food brand, may sell Pillsbury division

The J.M. Smucker Co. announced Wednesday that it is paying almost $2 billion for Ainsworth Pet Nutrition, a premium pet food company known for its Nutrish brand pitched by Rachael Ray, and will consider selling its baking division that is led by the Pillsbury brand. Smucker said it would pay $1.9 billion in cash for Ainsworth, though an estimated tax benefit of $200 million would push the total outlay down to $1.7 billion, and would use debt to pay the cost. It expects to eventually save $55 million a year through synergies, and reap EBITDA from the business of $110 million in the first year after it closes, which is expected early in the fiscal year that begins May 1. The company said it is "reviewing strategic options" for its baking business, which could include divesting the business that includes Pillsbury, Hungry Jack and and Jim Dandy brands, among others. "This well-run business has been a solid contributor to our financial performance over the years," Chief Executive Mark Smucker said in Wednesday's announcement. "However, our current strategic priorities include an increased emphasis and allocation of resources toward growing our coffee, pet, and snacking food businesses." The company expects to complete the strategic review by the end of the first quarter of the new fiscal year. Smucker recently had another acquisition deal fall apart after the Federal Trade Commission filed an administrative complaint about the potential for the company to corner the cooking-oil market. Smucker stock fell about 1% in late trading after the deal was announced, following a close at $123.70; shares have declined 5.4% in the past year, as the S&P 500 index has gained 10.8%

• Apr. 4, 2018 at 4:31 p.m. ET
• by Jeremy C. Owens

J.M. Smucker considering divesting its baking business, which includes Pillsbury brand

J.M. Smucker considering divesting its baking business, which includes Pillsbury brand

• Apr. 4, 2018 at 4:19 p.m. ET
• by MarketWatch

J.M. Smucker to acquire Ainsworth Pet Nutrition in deal valued at $1.7 billion

J.M. Smucker to acquire Ainsworth Pet Nutrition in deal valued at $1.7 billion

• Apr. 4, 2018 at 4:18 p.m. ET
• by MarketWatch

General Mills to raise food prices to offset costs

General Mills Inc. will raise prices on some cereals and snacks to reflect higher ingredient and shipping costs, as food companies battle inflationary pressures that are eating into profits. The maker of Cheerios cereal and Yoplait yogurt said freight costs in North America were near 20-year highs in February and food prices were also higher than expected, prompting the conglomerate to lower its earnings expectations for the year.

• Mar. 21, 2018 at 7:56 p.m. ET
• by MarketWatch.com

Smucker kills cooking-oil acquisition after FTC complaint

J.M. Smucker Co. said Tuesday that it was ending its bid for the Wesson cooking-oil unit of Conagra Brands Inc. after the Federal Trade Commission filed an administrative complaint challenging the action. Smucker stock was down a fraction after hours, and Conagra stock fell less than 1%. The FTC had charged that combining the Wesson oil brand with Smucker's Crisco oil unit would allow Smucker to drive up the price of cooking oil in the U.S, and control 70% of the market. In a statement late Tuesday, Smucker Chief Executive Mark Smucker said, "While we disagree with the FTC's conclusion, we have mutually determined with Conagra that it is not in the best interest of either party to expend the anticipated significant additional time and resources to challenge the FTC's administrative complaint. We believe the FTC underestimated the significant role that private label brands play in the oils category, which account for approximately 50 percent of all cooking oil sales and hold significantly higher market share at some retailers." Smucker stock has dropped 7.4% in the past 12 months, as the S&P 500 index has gained 15%. Conagra stock has dropped 7.2% in the past year.

• Mar. 6, 2018 at 4:48 p.m. ET
• by Max A. Cherney

FTC: Smucker cannot have the cooking oil market to itself

The Federal Trade Commission said Monday that it is challenging J.M. Smucker Co.'s $285 million bid for the Wesson cooking oil brand owned by Conagra Brands Inc. . If Smucker, which owns the Crisco cooking oil brand, succeeded in the acquisition it would control at least 70% of the market for branded canola and vegetable oils sold to retailers in the U.S., the FTC said. "Cooks across the U.S. benefit from the competition between the staple brands Wesson and Crisco," said Ian Conner, deputy director of the Bureau of Competition. "After attempted price increases by each brand over the last two years were limited by intense competition from the other, this transaction eliminates that restraint and would allow Smucker to raise prices on both brands." The complaint by the FTC about the acquisition says that allowing the two brands to merge would ultimately drive up the prices for retailers and consumers in the long run. The FTC authorized its staff to seek an injunction in federal court to stop the acquisition, pending an administrative proceeding set to begin Aug. 7. Smucker stock has fallen 7.5% in the past year, as the S&P 500 index has gained 13%. Smucker stock closed up 1.2% to $130.02 during Monday's regular trading session. The stock was flat after hours. "While we respect the FTC's decision, we are disappointed with this conclusion and strongly believe that the acquisition would benefit all of our constituents," said Smucker Chief Executive, Mark Smucker. "... We are reviewing the complaint and working with Conagra to assess our next steps in this process."

• Mar. 5, 2018 at 5:05 p.m. ET
• by Max A. Cherney

TreeHouse Foods names former Smucker Co. exec Steve Oakland CEO, effective March 26

TreeHouse Foods Inc. said Monday it has named Steven Oakland as chief executive officer and president, effective March 26. Oakland, most recently vice chair and president, U.S. food and beverage at The J.M. Smucker Company , is replacing Sam Reed, who will serve as non-executive chairman of the board through July 1 before retiring. TreeHouse makes packaged foods and beverages at manufacturing facilities in the U.S., Canada and Italy, focusing on private label products for retail grocery and food away from home customers. TreeHouse shares were not yet active premarket, but have fallen 54% in the last 12 months, while the S&P 500 has gained 13%.

• Mar. 5, 2018 at 7:20 a.m. ET
• by Ciara Linnane

TreeHouse Foods names Steve Oakland CEO, effective March 26

TreeHouse Foods names Steve Oakland CEO, effective March 26

• Mar. 5, 2018 at 7:15 a.m. ET
• by Ciara Linnane

Big Food pressured by demand for fresh meals

Food makers on Friday said they remain under pressure in the U.S. as consumers hunt for healthier meals and snacks. Kraft Heinz Co., maker of Jell-O pudding and Oscar Mayer deli meat, said Friday that fourth-quarter comparable sales inched down 0.6% globally, including a 1.1% drop in the U.S. "Our financial performance in 2017 did not reflect our progress or potential," said Kraft Heinz Chief Executive Bernardo Hees.

• Feb. 16, 2018 at 1:52 p.m. ET
• by MarketWatch.com

J.M. Smucker beats profit views, raises outlook

J.M. Smucker Co. SJM Friday reported a more than six-fold increase in its third quarter net income as it booked a large tax credit from U.S. tax reform, and raised its full-year guidance. The Orrville, Ohio-based food and drink producer said it expects an adjusted profit of $8.20 to $8.30 a share for its upcoming fiscal year, up from its previous guidance of $7.75 to $7.90 a share.

• Feb. 16, 2018 at 9:46 a.m. ET
• by MarketWatch.com

J.M. Smucker stock price target raised to $112 from $106 at Morgan Stanley

• Nov. 17, 2017 at 9:11 a.m. ET
• by Tomi Kilgore

J.M. Smucker shares jump 2.3% premarket as earnings top estimates

• Nov. 16, 2017 at 7:21 a.m. ET
• by Ciara Linnane

J.M. Smucker shares jump 2.3% premarket

• Nov. 16, 2017 at 7:14 a.m. ET
• by Ciara Linnane

J.M. Smucker now sees FY18 adj. EPS $7.75 to $7.90 vs. prior $7.75 to $7.95

• Nov. 16, 2017 at 7:13 a.m. ET
• by Ciara Linnane

J.M. Smucker now sees FY18 sales flat to down slightly

• Nov. 16, 2017 at 7:13 a.m. ET
• by Ciara Linnane

J.M. Smucker Q2 adj EPS $2.02; FactSet consensus $1.90

• Nov. 16, 2017 at 7:12 a.m. ET
• by Ciara Linnane

J.M. Smucker Q2 sales $1.924 bln vs. $1.914 bln. FactSet consensus $1.900 bln

• Nov. 16, 2017 at 7:12 a.m. ET
• by Ciara Linnane

J.M. Smucker Q2 EPS $171 vs. $1.52

• Nov. 16, 2017 at 7:11 a.m. ET
• by Ciara Linnane