AUS: Asset write-down at packaged fruit firm SPC Ardmona
Coca-Cola Amatil, the owner of Australian packaged fruit firm SPC Ardmona, has announced a "significant" write-down of assets and goodwill at the business.
The Coke bottler today (19 February) reported a fall in annual profits due to A$98m (US$101.4m) in charges from inventory write-downs and restructuring costs at SPC Ardmona.
Profits from the unit fell in the 12 months to the end of December. Coca-Cola Amatil did not provide a figure. However, it said industry and macro factors were hitting the business.
"The strong Australian dollar continued to impact SPC Ardmona's competitiveness against cheap, lower-quality imported brands and retailer private-label categories in Australia, while a 20% deflation in fresh fruit prices also resulted in a shift from packaged to fresh fruit," Coca-Cola Amatil said.
The company said it was "consolidating" its fresh fruit manufacturing into its site in Shepparton and "restructuring" its international business. It did not provide further details.
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