Blog: Food firms vulnerable to financial problems
Catherine Sleep | 21 September 2004
Companies trading in the food and drink manufacturing sector are one of the most likely industry types to be unable to meet financial obligations, a UK credit reference agency claims. ICC Credit trawled through its database of more than four million limited and unincorporated firms to identify the types of business most likely to default on payment, and food and drink companies were found to be way up there.
The company said that one in eight firms has experienced severe financial difficulty. Unsurprisingly, the coal mining sector was even worse hit, with 25.7% of firms unlikely to be able to pay.
Does this surprise us? We’re traditionally told that food firms are fairly recession-proof (because even when times are hard, you still gotta eat) and offer a safe haven for investors, but perhaps these days that philosophy applies more to retailers than to manufacturers.
Danone completed its US$12.5bn acquisition of WhiteWave Foods this week. The move will roughly double Danone's presence in North America, where WhiteWave is a top four dairy player. ...
Premier Foods plc revealed today (28 March) it has secured a deal with its pension scheme trustees that will see the UK food maker reduce its pension burden....
Hain Celestial, under the scrutiny of the investment community in recent months and facing some challenges in its domestic market, has announced another shuffling of its management pack....
FrieslandCampina, which today served up higher profits but lower sales for 2016, is ready to offload the last non-dairy business owned by the Dutch cooperative giant....
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