DALLAS, Jan. 10 /PRNewswire-FirstCall/ — Dean Foods Company (NYSE: DF) today
hosted a conference call to discuss its outlook for 2002 and the company’s
completed merger transaction.
During the call, the company noted the following:
- The completion of the merger, announced on December 21, 2001, creates a
$10 billion food company with manufacturing and distribution
capabilities unparalleled in the industry. The new Dean Foods Company
operates 129 plants and approximately 6,000 direct-store-delivery
routes, servicing over 150,000 customers nationwide.
- The company expects to deliver $60 million in synergies from the
transaction in 2002, rising to approximately $120 million annually by
the end of 2004.
- For the full year 2002, the company expects cash earnings per share to
be between $5.20 and $5.25. The calculation of cash earnings per share
excludes amortization of goodwill and certain intangibles in accordance
with the recently issued Financial Accounting Standard No. 142,
“Goodwill and Other Intangible Assets”.
- Beyond 2002, Dean Foods Company is committed to continue delivering
shareholder value and anticipates that cash earnings per share will
grow approximately 8-10% per year over the next several years.
“We are enthusiastic about the future of the new company,” said Gregg Engles,
Chief Executive Officer of Dean Foods Company. “We believe that our target of an
8 to 10 percent earnings growth rate, combined with a continuing commitment to
invest in our brands, new products and technology, will lead to increased value
for our shareholders.”
“We look forward to leveraging the talents of this proven management team and
our national production and distribution infrastructure to create increased
profitability and value for years to come,” said Engles.
A replay of today’s conference call has been archived on the company website at
www.deanfoods.com . Interested parties may listen to a replay of the live
webcast by visiting the Investor Relations section of the site and clicking on
Dean Foods Company is the nation’s leading processor and distributor of fresh
milk and other dairy products, and a leader in the specialty foods industry. The
company produces a full line of company-branded and private label dairy products
such as milk and milk-based beverages, ice cream, coffee creamers, half and
half, whipping cream, whipped toppings, sour cream, cottage cheese, yogurt,
dips, dressings and soy milk. The company is also a leading supplier of pickles
and other specialty food products, juice, juice drinks and water, and has
holdings in the consumer goods packaging industry. The company operates 129
plants in 39 U.S. states and 3 countries, and employs more than 30,000 people.
Some of the statements in this press release are “forward-looking” and are made
pursuant to the safe harbor provision of the Securities Litigation Reform Act of
1995. These “forward-looking” statements include statements relating to (1) the
company’s projected earnings per share for 2002, (2) projected synergies from
the company’s recent merger with Dean Foods, and (3) the company’s expected
future growth rate. These statements involve risks and uncertainties which may
cause results to differ materially from the statements set forth in this press
release. The company’s ability to meet targeted financial and operating results
during the remainder of 2002, including targeted sales, operating margins and
earnings per share, depends on a variety of economic, competitive and
governmental factors, many of which are beyond the company’s control and which
are described in the company’s filings with the Securities and Exchange
Commission. The forward-looking statements in this press release speak only as
of the date of this release. The company expressly disclaims any obligation or
undertaking to release publicly any updates or revisions to such statements to
reflect any change in its expectations with regard thereto or any changes in the
events, conditions or circumstances on which any such statement is based.
Cory Olson, Vice President and Treasurer
P.I. Aquino, Assistant Treasurer
SOURCE Dean Foods Company
CONTACT: Cory Olson, Vice President and Treasurer, +1-214-303-3645, or
P.I. Aquino, Assistant Treasurer, +1-214-303-3437, both of Dean Foods Company