Corn Products International, Inc. (NYSE: CPO) and Minnesota Corn Processors, LLC (MCP) today announced that the Federal Trade Commission and the United States Department of Justice have granted early termination of the antitrust waiting period regarding the formation of a joint marketing company. The governmental clearance allows the two companies to proceed with the formation of the legal entity, CornProductsMCP Sweeteners LLC.
The joint marketing company, which was previously established in an agreement in principle as reported on October 4, 2000, will be governed by a six member board of directors, three to be provided by each of Corn Products International and MCP, respectively.
The companies also announced today the designation of three key positions effective immediately. Michael R. Pyatt, president, US/Canadian Region for Corn Products International, will serve as the chairman of the board for CornProductsMCP Sweeteners. He will also retain his current position with Corn Products International.
Stanley L. Sitton, MCP’s senior vice president of sales and marketing is appointed as president and chief executive officer of CornProductsMCP Sweeteners. Joseph M. Techet, vice president of sales for Corn Products International, will become CornProductsMCP Sweeteners’ executive vice president of sales and marketing. Sitton and Techet will be phased into full- time positions with CornProductsMCP Sweeteners during the transition.
Corn Products and MCP are moving forward to quickly finalize the definitive agreements that will enable the new company to conduct business, including contracting for the coming year.
Corn Products International, Inc. is one of the world’s largest corn refiners and a major supplier of high-quality food ingredients and industrial products derived from the wet milling and processing of corn and other starch- based materials. The Company is the No. 1 worldwide producer of dextrose and a leading regional producer of starch, high fructose corn syrup and glucose. In 1999, the Company recorded sales of $1.7 billion with operations in 22 countries at 43 plants, including wholly owned businesses, affiliates and alliances. Headquartered in Bedford Park, Ill., it was founded in 1906. The Company is listed on the New York Stock Exchange under the symbol CPO. Additional information can be found on the World Wide Web at www.cornproducts.com.
This press release contains or may contain certain forward-looking statements concerning the Company’s financial position, business and future prospects, in addition to other statements using words such as “anticipate,” “believe,” “plan,” “estimate,” “expect,” “intend” and other similar expressions. These statements contain certain inherent risks and uncertainties. Although we believe our expectations reflected in these forward-looking statements are based on reasonable assumptions, stockholders are cautioned that no assurance can be given that our expectations will prove correct. Actual results and developments may differ materially from the expectations conveyed in these statements, based on factors such as the following: fluctuations in worldwide commodities markets and the associated risks of hedging against such fluctuations; fluctuations in aggregate industry supply and market demand; general economic, business, market and weather conditions in the various geographic regions and countries in which we manufacture and sell our products, including fluctuations in the value of local currencies and changes in regulatory controls regarding quotas, tariffs and biotechnology issues; and increased competitive and/or customer pressure in the corn refining industry. Our forward-looking statements speak only as of the date on which they are made and we do not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of the statement. If we do update or correct one or more of these statements, investors and others should not conclude that we will make additional updates or corrections. For a further description of risk factors, see the Company’s most recently filed Annual Report on Form 10-K and subsequent reports on Forms 10-Q or 8-K.