US food group Sara Lee has commenced a cash tender offer for any and all of its notes due 2011.

The offer will expire at 5.00pm, New York City time, on 7 September, unless extended or terminated.

To be eligible to receive the total consideration for each US$1,000 in principal amount, holders of 6 ¼% notes must validly tender and not withdraw their notes prior to the expiration date.

Earlier this month Sara Lee booked an increase in full-year profits, driven by an “improved operating performance” across the company and despite a fall in sales.

For the 53 weeks to 3 July, Sara Lee earned US$506m compared to $364m in the prior year. Sales, however, slid to $10.8bn, down 0.8% on fiscal 2009.