Meat&Poultry -- April 2014 - 10

Business Notes

Raging Bull buyout of Quantum Foods
Raging Bull Acquisition Company LLC, a subsidiary

date of the sale was set for April 23.

of Oaktree Capital Management LP, has agreed to buy

Before the sale is final, Quantum Foods will continue

Quantum Foods LLC, Bolingbrook, Ill., for $54 million.

to solicit additional competing bids for the company "to

Quantum Foods filed for Chapter 11 bankruptcy protec-

ensure it achieves the highest and best offer for its busi-

tion in February.

ness," according to a statement. An auction was sched-

A bankruptcy court approved the asset purchase agreement, which provided for a substantial increase in the val-

uled for April 17, with court approval set for April 21 and
closing set for April 23.

ue paid for Quantum Foods by at least $6.5 million over

Quantum Foods produces value-added protein products

previous stalking horse terms. The deal includes the as-

such as portion-controlled, ready-to-cook and value-add-

sumption of up to $30.3 million in liabilities. The closing

ed, fully cooked foods made from beef, poultry and pork.

BPI lawsuit to move forward
A South Dakota judge declined to dismiss a defamation
lawsuit filed by Beef Products Inc. (BPI) against ABC.

Eldon Roth, founder and CEO of BPI, said the case
resulted in his company having to close plants, which

BPI sued ABC News challenging the network's cov-

impacted the lives of many loyal workers. "The blatant-

erage of lean finely textured beef

ly false and disparaging statements made about our lean

(LFTB). In November 2012, law-

beef have done more than hurt my family and our com-

yers for ABC News filed a motion

panies; they have jeopardized the future of our employees

to have the lawsuit dismissed. Judge

and their families."

Cheryl Gering dismissed some

Named in the lawsuit were: television news anchor

claims, but allowed others to go

Diane Sawyer; senior national correspondent Jim Avila;

forward.

ABC News correspondent David Kerley; Gerald Zirn-

Attorneys for BPI argued that

claims to have coined the term "pink slime"; Carl Custer,

product more than 100 times over

also a former USDA employee; and Kit Foshee, a former

four weeks in news reports and so-

Eldon Roth

stein, a former US Dept. of Agriculture employee who

ABC News defamed the company's

BPI employee.

cial-media posts. The negative coverage cost the company

BPI is seeking more than $1 billion in damages for

$400 million in profit and at least 700 workers lost their

defamation, product and food disparagement and tortious

jobs, lawyers said.

interference with business relationships.

Tyson names president for Brazil
Tyson Foods Inc. promoted Flavio Malnarcic to president

"Flavio has done an outstanding job leading the finance

and general manager of Tyson do Brasil, the company's

team in Brazil," said Rob Tanksley, senior vice president

subsidiary in Brazil.

of Tyson's Latin America business unit. "I'm certain he'll

Malnarcic joined Tyson do Brasil in 2010 as director
of finance and accounting, according to the company. Be-

do a great job continuing to grow the business by making
us a stronger player in the poultry industry there."

fore joining Tyson, he worked at Cargill for 17 years- six

lion chickens per week. The company produces a variety

do Brasil. Malnarcic has a bachelor's degree in accounting

of chicken products including fresh, frozen and mari-

and master's degree in business administration.

Tyson do Brasil has a processing capacity of 2 mil-

years in Cargill's US operations and 11 years with Cargill

nated cuts.

* Meat&Poultry * April 2014 * www.MeatPoultry.com

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Meat&Poultry -- April 2014

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