Hormel Foods adjusts predictions for fiscal 2008

AUSTIN, Minn. Hormel Foods has revised its projections for fiscal 2008, lowering expected totals for earnings, the company said today. 

The Minnesota-based maker of branded foods and meat-products attributed its revised numbers to a decline in financial markets around the globe.

“Although we correctly anticipated a significant shortfall in earnings at Jennie-O Turkey Store during the fourth quarter, we are also experiencing greater than expected cost pressures and unfavorable product mix changes in our grocery products and refrigerated foods segments,” Jeffrey M. Ettinger, chairman of the board, president and chief operating officer of Hormel said. “Given the current investment results for the rabbi trust and our expected operating results for fiscal 2008, we are lowering our full year guidance to $2.03 to $2.09 per share from our earlier guidance range of $2.22 to $2.28 per share. However, we expect to beat fiscal year 2007 results for the full year on a segment operating profit basis.”

Ettinger said that more details about revisions to the fiscal 2008 earnings summary would be disclosed in a conference call Nov. 25.