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Northern Foods Agrees To Sell Dalepak Unit For GBP6.4M Cash
by Hannah Benjamin - 11/08/2010
"Food producer Northern Foods PLC (NFDS.LN) Monday said it has reached an agreement to sell its Dalepak Frozen Foods business to the Irish Food Processors Group in a cash deal worth about GBP6.4 million"
North Yorkshire-based Dalepak--whose brands include Dalepak, Ross and Grassington's--made a "marginal loss" on sales of GBP23 million in the fiscal year to April 3, Northern Foods said.
The company said it is expected that 143 Dalepak employees will transfer to the Irish Food Processors Group. It didn't make clear whether there would be any redundancies.
Northern Foods, which provides retailer-branded food to U.K. grocers such as Marks & Spencer PLC (MKS.LN) as well as producing its own brands like Goodfella's pizzas and Fox's biscuits, said a proportion of the proceeds from the sale will be paid in to its pension schemes.
-By Hannah Benjamin, Dow Jones Newswires; 44-20-7842-9298; hannah.benjamin@dowjones.com
More Details: http://online.wsj.com/article/BT-CO-20100809-701529.html
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