Chiquita buys back $54.7 million 7½% notes, $36.6 million 8 7/8% notes

By Angela McDaniels

Tacoma, Wash., Oct. 30 - Chiquita Brands International, Inc. said it repurchased about $91.3 million of its 7½% senior notes due 2014 and 8 7/8% senior notes due 2015 in the open market during September and October.

Specifically, it purchased $42.1 million of the 7½% notes in September and $12.6 million in October as well as $24.2 million of the 8 7/8% notes in September and $12.4 million in October.

The company used $75 million of proceeds from the sale of its wholly owned German subsidiary, Atlanta AG, in August to fund the note buybacks.

The repurchases resulted in gains of about $10 million in the third quarter and $4 million in the fourth quarter, according to a company news release.

The company said that on an adjusted basis reflecting the completion of the senior note repurchase program in October, it had $150 million in cash and cash equivalents at the end of the third-quarter 2008 and $779.7 million of debt.

Chiquita is a Cincinnati-based fruit and vegetable importer and processor.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.