October 26, 2007

Canada's Maple Leaf posts profit on feed business sale

Maple Leaf Foods Inc, one of Canada's largest food processors, posted a net profit in its third quarter on Thursday (October 26, 2007) from the sale of its feed business.

Maple Leaf said it earned CAN$220.4 million (US$228.37 ) , or CAN$1.67 per diluted share, in the quarter, up from a year-earlier loss of CAN$22.3 million (US$23.1 million) , or 17 Canadian cents a share.

Profits from the sale of its livestock feed business was CAN $217.7 million (US$224.8 million).

Meanwhile, the company announced last week that it has rebranded its hog production company Elite Swine, Canada's largest swine management company, as Maple Leaf Agri-Farms.

This move is part of a reorganisation announced last year in which Maple Leaf said it would reduce the number of hogs it produces and manages through assuming ownership of fewer farms.

Maple Leaf Foods said Maple Leaf Agri-Farms will be operated as an "independent operating company".