Daven Tamayo

Del Monte Philippines remains strong even as US unit files for bankruptcy: parent

Article (news)

Arthur Fuentes

ABS-CBN News

MANILA — Del Monte Philippines continues to perform well even as the US unit of Del Monte announced going into bankruptcy proceedings, the parent firm of the two companies said in a disclosure to the stock exchange.&quot;Del Monte Philippines Inc (DMPI), with its Asian and international businesses, continues to perform well with resilient consumer demand, supported by a strong and stable supply chain,&quot; said Del Monte Pacific Limited’s (DMPL).  Del Monte Philippines, which is one of the largest food and beverage manufacturers in the country, is seen to &quot;maintain uninterrupted business operations going forward,&quot; Del Monte Pacific said.The announcement was made following reports that DMPL&#x27;s US subsidiary Del Monte Foods Holding Limited (DMFHL) had filed for bankruptcy and was looking for a buyer.Del Monte Pacific, however, also said it was still assessing the financial impact of its US unit&#x27;s bankruptcy, as its investment in DMHFL was at $579 million as of Jan. 31 this year.  It also noted that because of the US unit&#x27;s bankruptcy filing, 25 percent of Del Monte Pacific&#x27;s equity in DMHFL was transferred to the lenders.Del Monte Pacific added that it and its affiliates have a net receivable of $169 million from the US unit and its subsidiaries, including Del Monte Foods, Inc, as of the same date.&quot;The value to be impaired will be determined after the audit. Updates on the financial impacts will be provided in due course,&quot; Del Monte Pacific said.&quot;Shareholders and potential investors are advised to exercise caution when dealing in the securities of the Company and to consult their financial, tax or other professional advisers if they are in doubt as to the action to take,&quot; the company added.It said it will make further announcements in accordance with the rules of the Singapore and Philippine bourses.

Del Monte Philippines continues to perform well even as the US unit of Del Monte announced going into bankruptcy proceedings.

Del Monte Philippines continues to perform well even as the US unit of Del Monte announced going into bankruptcy proceedings.