Heinz Agrees to Acquire 80% Stake in a Leading Brazilian Food Company; Heinz also Reports Strong Third-Quarter Results with EPS of $0.84 on Higher Sales, Led by Emerging Markets, Top 15 Brands and North American Consumer Products.

Business Wire › March 03, 2011

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Fiscal 2011 Third-Quarter Highlights:

* Reported sales grew 1.5% to $2.72 billion, organic sales up 1.7%, constant currency sales rose 2.9%

* Emerging Markets delivered 14.1% organic sales growth (14.6% reported) and 16% of the Company's total sales

* Top 15 brands achieved 3.8% organic sales growth (2.1% reported)

* North American Consumer Products reported 3% sales growth on higher volume

* Gross profit margin improved by 30 basis points

* Operating Income increased 0.4% to $438 million

* Total Company net income grew 19.8% to $274 million

* Net income from continuing operations rose 3.7%

* Earnings per share from continuing operations grew 1.2%

* Operating free cash flow of $438 million, in line with very strong third quarter last year

* On a constant currency, continuing operations basis, operating income grew 2.1% and EPS 3.6%

Reconciliations of non-GAAP amounts are set forth in the attached financial tables. Organic sales are defined as volume plus price or total sales growth excluding the impact of foreign exchange and acquisitions and divestitures. Operating free cash flow is defined as cash from operations less capital expenditures net of proceeds from disposal of Property, Plant & Equipment. Also, constant currency as used in this press release is defined as the reported amount adjusted for translation (the effect of changes in average foreign exchange rates between the current period and the corresponding prior year) and the impact of current and prior-year foreign currency translation...

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