By Bob Burgdorfer
CHICAGO (Reuters) - U.S. meat company Tyson Foods Inc. (TSN.N: Quote, Profile, Research, Stock Buzz) would like to reduce its debt over the next few years to $2.2 billion to $2.3 billion from the nearly $3 billion now, Tyson Chief Executive Richard Bond said, speaking at the Reuters Food Summit in Chicago.
However, he said that effort would not prevent the company from making an acquisition if the right opportunity became available.
"If we can lower our interest expense, I think that would be good. I would like to see us over the next couple of years try to get that debt level down to $2.2 billion to $2.3 billion," he said.
Springdale, Arkansas-based Tyson is the largest U.S. meat company, producing beef, pork, and chicken. It struggled last year, posting three consecutive quarterly losses as an abundance of meat and low meat prices hurt results.
Bond became CEO in May and shortly afterward he launched a $200 million cost-cutting program as the company worked to return the company to profitability. In January, Tyson reported its first quarterly profit in a year of $57 million, as those cost-cutting measures kicked in.
EXPANDING OVERSEAS
Tyson's plans for growth have been focused in China, South America, and Mexico. He said poultry deals in China and South America could be done by the end of the fiscal year.
Other deals also may be pending. Continued...
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