Eagle Family Foods, Inc. (“Eagle”) announced yesterday it had agreed to sell the ReaLemon and ReaLime brands and related assets to Mott’s Inc., a wholly-owned subsidiary of London-based Cadbury Schweppes plc for approximately $128 million. The ReaLemon and ReaLime brands had net sales of approximately $62 million in the fiscal year ended June 30, 2000. The transaction, which requires regulatory approval, is expected to be completed in early autumn.
The ReaLemon and ReaLime business currently employs 56 people at its 110,562 square-foot manufacturing facility located in Waterloo, N.Y. All of those employees will become members of the Mott’s organization.
Eagle is privately held and is headquartered in Gahanna, OH. The company manufactures and markets such well-known brands as Eagle Brand sweetened condensed milk, Cremora non-dairy creamer, Borden eggnog, None Such mincemeat pie filling and Kava acid neutralized coffee. Recently, Eagle has expanded distribution of Magnolia, its brand of sweetened condensed milk targeted to Hispanic consumers. Craig Steinke added, “Eagle Family Foods will focus on a key opportunity to serve the rapidly growing Hispanic population, who have fueled consistent growth in the sweetened condensed milk category. We are currently extending the Magnolia brand into new dairy-based product lines with a goal to fully leverage this well-established Hispanic trademark.” More information about the Eagle Family Foods’ brand portfolio can be found on its website: http://www.eaglefamilyfoods.com.
This press release contains forward-looking statements which involve risks and uncertainties. Eagle’s actual results, performance or achievements in the future could differ significantly from the results, performance or achievements discussed or implied in such forward-looking statements. Further information regarding the factors that could cause actual results to differ from expected or projected results can be found in documents filed by Eagle with the Securities and Exchange Commission.
Volume market share as reported by A.C. Nielsen for calendar year 2000.