June 22, 2007

Smithfield initiates moves to reduce its debt

US meat processing conglomerate Smithfield Foods has filed a registration statement and a preliminary prospectus for a public offering of fixed rate senior unsecured notes with the Securities and Exchange Commission as part of its effort to gradually eliminate its debt.

The size of the offering is expected to be not less than US$500 million.

The net proceeds from this offering, which is expected to close today (June 22), will be used to repay existing indebtedness.

The offering is being marketed through Citigroup Corporate and Investment Banking and J.P. Morgan Securities Inc.