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Maple Leaf Foods Reports SECOND Quarter Results

July 24, 2008

TORONTO, July 24 /PRNewswire-FirstCall/ — Maple Leaf Foods Inc. (TSX: MFI) today reported its financial results for the second quarter ended June 30, 2008.

   -   Adjusted earnings (loss) per share of ($0.01) compared to $0.13 last       year, as higher grain and fuel costs outpaced price increases   -   Restructuring of protein operations on track   -   Brandon plant expansion ahead of plan   -   Benefits from restructuring, stabilization of commodity markets and       pricing expected to improve earnings in the second half of 2008    Note:  Adjusted earnings per share measures are defined as earnings per   share from continuing operations before restructuring and other related   costs and certain non-recurring tax adjustments.   

“We fully expected the first half of 2008 to be very difficult for Maple Leaf due to the extreme inflation and volatility in commodity markets.” said Michael H. McCain, President and CEO. “We are focused on persevering through these unprecedented market conditions, maintaining our focus on executing the structural changes we have committed to and passing on price increases to offset the effects of commodity inflation. While the first half has been pressured, we believe the second half of 2008 will show a substantial recovery as markets stabilize and the early benefits of restructuring are realized.”

   Financial Overview   ------------------   

Earnings from continuing operations before restructuring and other related costs (“Adjusted Operating Earnings”) decreased by 64.1% to $18.9ӚÓš million for the quarter. High wheat and fuel costs compressed margins in the Bakery Products Group as price increases implemented earlier in the year were not sufficient to cover high input costs. Hog production operations continued to be affected by lower hog prices and higher feed costs. In the protein business, declining poultry processor margins and a higher Canadian dollar were only partly offset by improved pork processor margins. Also included in earnings for the quarter were costs of $3.1 million (2007: $0.4ӚÓš million) related to consulting and systems conversion initiatives.

Earnings per share from continuing operations before restructuring and other related costs and certain non-recurring tax adjustments (“Adjusted EPS”) for the quarter were a loss of $0.01, compared to earnings of $0.13 last year. Year-to-date earnings per share, on a comparable basis, were $0.03 compared to $0.25 last year.

   Following is a summary of Adjusted EPS:                                     Second Quarter         Year-To-Date                                    2008      2007        2008      2007                                    ----      ----        ----      ----   EPS from continuing    operations                    $(0.07)   $(0.05)     $(0.07)   $(0.01)   Restructuring and other    related costs,    net of tax(i)                  $0.07     $0.18       $0.11     $0.26    Adjusted EPS(ii)(iii)          ($0.01)    $0.13       $0.03     $0.25    Discontinued operations                   $0.04                 $0.08    EPS before restructuring    and other related    costs(ii)                     ($0.01)    $0.17       $0.03     $0.33    (i)  Includes the per share impact of restructuring and other related        costs net of tax and minority interest and includes the recognition        of a tax benefit of $5.1 million in Q2 2007 related to the sale of        the animal nutrition business.   (ii) These are not recognized measures under Canadian GAAP. Management        believes that this is the most appropriate basis on which to        evaluate results, as restructuring and other related costs are not        representative of continuing operations.   (iii) Does not add due to rounding.    Business Segment Review   -----------------------    Following is a summary of Adjusted Operating Earnings by business segment:                                Second Quarter           Year-To-Date (iii)    ($ millions)            2008    2007   Change     2008    2007   Change                           ----    ----   -------    ----    ----- --------   Meat Products Group    $ 5.7   $ 15.0   (62.0%)  $ 30.7  $ 36.5  (15.8%)   Agribusiness Group(i)    7.6      4.7    62.2%      4.8     5.5  (12.5%)                         ---------------------------------------------------   Protein Group           13.3     19.7   (32.5%)    35.5    42.0  (15.4%)   Bakery Products Group    8.7     33.4   (74.0%)    25.8    61.1  (57.7%)   Non-allocated Costs(ii) (3.1)    (0.4)      -      (9.4)   (0.5)     -                         ---------------------------------------------------                         $ 18.9   $ 52.7   (64.1%)   $52.0  $102.5  (49.3%)                         ---------------------------------------------------    (i)   Agribusiness Group excludes the results of the animal nutrition         business that are reported as discontinued operations.   (ii)  Non-allocated costs include costs related to the Company's         IT system conversion, certain shared services and consulting         expenses related to restructuring initiatives. Management believes         that not allocating these costs provides a more comparable         assessment of segment operating results.   (iii) Table does not add due to rounding.    Meat Products Group (value-added processed packaged meats; chilled meal   entrees and lunch kits; value-added pork, poultry and turkey products;   and global meat sales.)   

Adjusted Operating Earnings for the second quarter were $5.7 million compared to $15.0 million last year, primarily due to a decline in fresh poultry margins as a result of higher feed and related live bird costs and the effect of a stronger Canadian dollar, which offset improvements in pork processor margins. In the fresh pork business, although results improved over last year, the Company did not realize the full benefit of improved industry margins due to volatility of hog prices in the period. The packaged meat and meals business was impacted by inflationary pressures and costs of investment in innovation. The Company will continue to increase prices to manage rising costs.

The restructuring of the Company’s protein operations, which involves significantly reducing the size of its hog and fresh pork operations and expanding its value added meat and meals businesses, is proceeding on schedule and is expected to be completed by the end of 2009. Early benefits were realized from lower manufacturing overheads due to the closure of three sub-scale processing plants, double-shifting the front-end processing at the Brandon pork plant, and reduced administration expenses. The financial benefits from these initiatives have to date been offset by start-up costs, but management expects the restructuring to contribute on a net basis to earnings in the second half of the year.

A key element of the restructuring is the consolidation of six pork processing plants into one double-shifted operation in Brandon, Manitoba, which will supply raw materials for the Company’s packaged meat business. In 2007, the front-end processing at Brandon was increased from 45,000 to 75,000 hogs a week on two shifts, enabling the closure of two older facilities in Saskatoon and Winnipeg. In July 2008, the back-end “cut” operations were commissioned, thus finalizing the double-shift expansion of this factory. In the first month of operations, the facility has been running at target volumes with a smooth startup. This expansion will enable the closure of another facility in Winnipeg at the end of the third quarter of 2008. The Company has also commenced marketing its pork facility in Burlington, Ontario, which processes over two million hogs annually. By consolidating these operations in Brandon and reducing the number of pigs processed, significant cost reduction, scale efficiencies and margin improvements are expected to be realized. The successful start up of the Brandon second shift will also result in the cessation of duplicate and start up costs of this project that have so far been charged to earnings, primarily in the second quarter.

Concurrent with the Brandon expansion, expansion at the Lagimodiere Road plant in Winnipeg has established an efficient operation for boning all of the hams produced at the Brandon plant. The Lagimodiere plant will meet all the Company’s input requirements of boned hams for production of value-added packaged meat products.

Two new distribution warehouses in Western Canada were commissioned during 2008, allowing the consolidation of existing warehouses and third party storage into these facilities, in Coquitlam and Saskatoon. Although start-up costs associated with the commissioning of these facilities are expected, reduced costs and improved efficiencies should contribute to earnings towards the end of the year.

Agribusiness Group (swine production and animal by-products recycling)

Adjusted Operating Earnings for the second quarter were $7.6 million compared to $4.7 million last year. The Company’s rendering operations achieved strong results in the quarter, benefiting from higher commodity prices, and increased contributions from its biodiesel operations as higher fuel prices and an increase in volumes contributed to profitability. The Company’s biodiesel facility in Montreal is now operating at full capacity.

Hog production losses for the period increased by $2.2 million compared to last year, an improved performance compared to the first quarter of 2008. North American hog producers benefited from an improvement in prices in the second quarter, however, Canadian hog producers were disadvantaged by a decline in the US dollar which reduces net revenues for finished hogs. The Company continues to reduce the size of its hog production operation, marketing 299,000 finished hogs during the quarter compared to 332,000 last year and 338,000 in the first quarter of 2008. Following the sale of its Alberta and Ontario investments, this number will decline to approximately 212,000 hogs per quarter by the end of July 2008. Restructuring of the core hog production operations in Manitoba is materially complete and the Company benefited from cost reductions in these operations during the quarter. High feed prices and related production losses are resulting in some herd liquidation in North America that should improve supply and demand dynamics and contribute to improved hog production margins later in 2008 or early in 2009.

   Bakery Products Group (fresh, frozen and branded value-added bakery   products, including frozen par-baked bakery products; and specialty pasta   and sauces)   

Adjusted Operating Earnings for the quarter were $8.7 million compared to $33.4 million last year. High wheat, fuel and other input costs compressed margins as price increases implemented earlier in the year were not sufficient to cover these rapid cost increases. Management anticipates that a decrease in wheat prices from new crops, due to be harvested in August, and improved supplies will lower costs toward the end of the year and restore margins. As the rest of the year progresses, any further inflationary increases, such as energy, or unanticipated increases in the cost of wheat will be managed by further price increases. Bakery Products Group earnings were also impacted by increased investments in marketing and innovation initiatives.

Earnings in the U.K. operations continue to track ahead of last year, benefiting from the contribution of acquisitions in new product categories. Bagel growth rates were slower in the first half of the year as production was curtailed in the Company’s U.K. bagel plant due to an oven fire. Growth rates are expected to improve in the second half of the year as production rates and advertising and promotion activities are restored from July 2008.

The North American frozen bakery operations are implementing changes to increase capacity utilization and improve margins. This includes the closure of a bagel facility in Toronto and transfer of production to other regional plants. An expansion at the Company’s Roanoke Virginia plant is expected to be commissioned through the second half of 2008, improving product costs and reducing freight and distribution costs to supply regional customers.

   Other Matters   -------------   

On July 24, 2008, Maple Leaf Foods Inc. declared a dividend of $0.04 per share payable on September 30, 2008 to shareholders of record on September 8, 2008. Unless indicated otherwise, by the corporation, in writing at or before the time the dividend is paid, each dividend paid by the corporation in 2008 or a subsequent year is an eligible dividend for the purposes of the “Enhanced Dividend Tax Credit System.”

On July 17, 2008, the Company purchased 458,800 additional shares in Canada Bread for cash consideration of $32.6 million. The Company’s ownership interest in Canada Bread has increased from 88.0% to 89.8%, as a result of this transaction.

   Forward-Looking Statements   --------------------------   

This document contains, and the Company’s oral and written public communications often contain, forward-looking statements that are based on current expectations, estimates, forecasts and projections about the industries in which the Company operates and beliefs and assumptions made by the Management of the Company. Such statements include, but are not limited to, statements with respect to our objectives and goals, as well as statements with respect to our beliefs, plans, objectives, expectations, anticipations, estimates and intentions. Words such as “expect”, “anticipate”, “intend”, “attempt”, “may”, “will”, “plan”, “believe”, “seek”, “estimate”, and variations of such words and similar expressions are intended to identify such forward-looking statements. These statements are not guarantees of future performance and involve assumptions and risks and uncertainties that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed, implied or forecasted in such forward-looking statements. The Company does not intend, and the Company disclaims any obligation to update any forward-looking statements, whether written or oral, or whether as a result of new information, future events or otherwise except as required by law.

These forward-looking statements are based on a variety of factors and assumptions including, but not limited to: the condition of the Canadian and United States economies; the rate of appreciation of the Canadian dollar versus the U.S. dollar and Japanese yen; the availability and saleability of prices of livestock, raw materials, energy and supplies; product pricing; the competitive environment and related market conditions; improvement of operating efficiencies; continued access to capital; the cost of compliance with environmental and health standards; adverse results from ongoing litigation; no expected actions of domestic and foreign governments and the general assumption that none of the risks identified under “Risk Factors” in the Company’s 2007 Annual Information Form will materialize. These assumptions have been derived from information currently available to the Company including information obtained by the Company from third-party industry analysts.

Actual results may differ materially from those predicted by such forward-looking statements. While the Company does not know what impact any of these differences may have on its business, results of operations, financial condition and the market price of its securities may be materially adversely affected. Factors that could cause actual results or outcomes to differ materially from the results expressed or implied by forward-looking statements are discussed more fully in the Company’s Management’s Discussion and Analysis for the year ended December 31, 2007, which is available on SEDAR at http://www.sedar.com/.

Maple Leaf Foods Inc. is a leading food processing company, headquartered in Toronto, Canada. The Company employs approximately 23,500 people at its operations across Canada and in the United States, the United Kingdom and Asia. The Company had sales of $5.2 billion in 2007.

An investor presentation related to the Company’s second quarter financial results is available at http://www.mapleleaf.com/ and can be found under Investor Relations on the Quarterly Results page. A conference call will be held at 11:00 a.m. EDT on July 24, 2008 to review Maple Leaf Foods’ second quarter financial results. To participate in the call, please dial 416-641-6143 or 866-542-4241. For those unable to participate, playback will be made available an hour after the event at 416-695-5800 / 800-408-3053 (Passcode 3265946 followed by the number sign).

A webcast presentation of the second quarter financial results will also be available at http://investor.mapleleaf.ca/ via a link http://events.startcast.com/events/91/B0027.

          Consolidated Financial Statements          (Expressed in Canadian dollars)           MAPLE LEAF FOODS INC.           Three and six months ended June 30, 2008 and 2007     MAPLE LEAF FOODS INC.   Consolidated Balance Sheets   (In thousands of Canadian dollars)    -------------------------------------------------------------------------                                            As at        As at        As at                                          June 30,     June 30, December 31,                                             2008         2007         2007   -------------------------------------------------------------------------                                       (Unaudited)  (Unaudited)    ASSETS    Current assets     Cash and cash equivalents        $    16,419  $    50,249  $    28,222     Accounts receivable                  239,596      207,449      202,285     Inventories                          388,746      387,009      351,064     Future tax asset - current            39,886        9,415       25,409     Prepaid expenses and other assets     23,922       23,856       16,529     Assets held for sale                       -      348,376       10,092     -----------------------------------------------------------------------                                          708,569    1,026,354      633,601    Investments in associated companies      2,656        1,068        1,207    Property and equipment               1,172,268    1,104,217    1,126,727    Other long-term assets                 312,423      278,608      303,360    Future tax asset - non-current          39,011       18,270       22,837    Goodwill                               856,758      802,403      817,477    Other intangibles                       93,263       85,521       92,635    -------------------------------------------------------------------------                                      $ 3,184,948  $ 3,316,441  $ 2,997,844   -------------------------------------------------------------------------   -------------------------------------------------------------------------    LIABILITIES AND SHAREHOLDERS' EQUITY    Current liabilities     Bank indebtedness                $    10,092  $    10,667  $     9,845     Accounts payable and accrued      charges                             534,754      565,025      550,528     Income and other taxes payable         7,243       21,144       12,881     Current portion of long-term debt     12,251       74,787       17,945     Liabilities related to assets      held for sale                             -       61,433            -     -----------------------------------------------------------------------                                          564,340      733,056      591,199    Long-term debt                       1,089,793    1,257,611      855,281    Future tax liability - non-current      68,349        7,013       61,935    Other long-term liabilities            247,530      249,269      248,448    Minority interest                       81,586       83,269       79,554    Shareholders' equity                 1,133,350      986,223    1,161,427    -------------------------------------------------------------------------                                      $ 3,184,948  $ 3,316,441  $ 2,997,844   -------------------------------------------------------------------------   -------------------------------------------------------------------------       MAPLE LEAF FOODS INC.   Consolidated Statements of Earnings   (In thousands of Canadian dollars, except share amounts)    -------------------------------------------------------------------------                               Three months ended          Six months ended                                          June 30,                  June 30,   (Unaudited)                  2008         2007         2008         2007   -------------------------------------------------------------------------    Sales                 $ 1,355,301  $ 1,318,773  $ 2,558,564  $ 2,634,908    Cost of goods sold      1,204,824    1,149,931    2,252,161    2,298,703   -------------------------------------------------------------------------    Gross margin          $   150,477  $   168,842  $   306,403  $   336,205   Selling, general and    administrative    expenses                 131,587      116,175      254,415      233,679   -------------------------------------------------------------------------    Earnings from    continuing operations    before restructuring    and other related    costs                $    18,890  $    52,667  $    51,988  $   102,526   Restructuring and    other related costs      (11,618)     (30,715)     (19,340)     (43,425)   -------------------------------------------------------------------------    Earnings from    continuing    operations           $     7,272  $    21,952  $    32,648  $    59,101    Other income                1,933        1,501        1,918        1,969   -------------------------------------------------------------------------    Earnings from    continuing operations    before interest and    income taxes         $     9,205  $    23,453  $    34,566  $    61,070    Interest expense           21,868       25,352       43,531       49,943   -------------------------------------------------------------------------    Earnings (loss) from    continuing operations    before income taxes  $   (12,663) $    (1,899) $   (8,965) $    11,127    Income taxes               (4,079)       1,749       (1,959)       7,965   -------------------------------------------------------------------------    Earnings (loss) from    continuing operations    before minority    interest             $    (8,584) $    (3,648) $    (7,006) $     3,162    Minority interest             769        2,810        2,357        4,354   -------------------------------------------------------------------------    Net loss from    continuing    operations           $    (9,353) $    (6,458) $   (9,363) $    (1,192)   Net earnings from    discontinued    operations    - net of income tax            -        4,787            -        9,984   -------------------------------------------------------------------------   Net earnings (loss)   $    (9,353) $    (1,671) $   (9,363) $     8,792   -------------------------------------------------------------------------   -------------------------------------------------------------------------    Basic earnings (loss)    per share     from continuing      operations         $     (0.07) $     (0.05) $     (0.07) $     (0.01)     from discontinued      operations                   -         0.04            -         0.08   -------------------------------------------------------------------------                         $     (0.07) $     (0.01) $     (0.07) $      0.07   -------------------------------------------------------------------------   -------------------------------------------------------------------------    Diluted earnings (loss)    per share     from continuing      operations         $     (0.07) $     (0.05) $     (0.07) $     (0.01)     from discontinued      operations                   -         0.04            -         0.08   -------------------------------------------------------------------------                         $     (0.07) $     (0.01) $     (0.07) $      0.07   -------------------------------------------------------------------------   -------------------------------------------------------------------------    Weighted average    number of shares    (millions)                 126.9        127.7        127.1        127.4   -------------------------------------------------------------------------   -------------------------------------------------------------------------        MAPLE LEAF FOODS INC.   Consolidated Statements of Comprehensive Income (Loss)   (In thousands of Canadian dollars)    -------------------------------------------------------------------------                               Three months ended          Six months ended                                          June 30,                  June 30,   (Unaudited)                  2008         2007         2008         2007   -------------------------------------------------------------------------    Net earnings (loss)    for the period       $    (9,353) $    (1,671) $   (9,363) $     8,792    Other comprehensive    income (loss)     Change in accumulated      foreign currency      translation      adjustment               1,507       (6,704)       8,234       (7,590)     Change in unrealized      derivative loss      on cash flow hedges     (1,593)       5,491       (4,639)      10,814   -------------------------------------------------------------------------                         $       (86) $    (1,213) $     3,595  $     3,224   -------------------------------------------------------------------------   Comprehensive income    (loss)               $    (9,439) $    (2,884) $    (5,768) $    12,016   -------------------------------------------------------------------------   -------------------------------------------------------------------------        Consolidated Statements of Retained Earnings   (In thousands of Canadian dollars)    -------------------------------------------------------------------------                                                   Six months ended June 30,   (Unaudited)                                            2008         2007   -------------------------------------------------------------------------    Retained earnings, beginning of period          $   390,784  $   204,415    Net earnings (loss) for the period                   (9,363)       8,792   Dividends declared ($0.08 per share; 2007:    $0.08 per share)                                   (10,448)     (10,224)   Premium on shares repurchased for cancellation       (5,515)           -   Premium on shares issued from Restricted    Share Unit Trust                                      (822)           -    -------------------------------------------------------------------------   Retained earnings, end of period                $   364,636  $   202,983   -------------------------------------------------------------------------   -------------------------------------------------------------------------        MAPLE LEAF FOODS INC.   Consolidated Statements of Cash Flows   (In thousands of Canadian dollars)    -------------------------------------------------------------------------                               Three months ended          Six months ended                                          June 30,                  June 30,   (Unaudited)                  2008         2007         2008         2007   -------------------------------------------------------------------------    CASH PROVIDED BY (USED IN)   Operating activities   Net loss from    continuing    operations           $    (9,353) $    (6,458) $   (9,363) $    (1,192)   Add (deduct) items not    affecting cash:     Depreciation and      amortization            38,637       34,889       73,709       69,982     Stock-based      compensation             3,923        3,414        8,186        7,085     Minority interest           769        2,810        2,357        4,354     Future income taxes      (8,944)      (7,472)      (9,248)     (10,883)     Loss (gain) on sale      of property and      equipment                   37          377          118          (82)   Change in other    long-term receivables         52          128          396       (2,182)   Decrease in net    pension asset             (5,031)     (11,668)     (11,062)     (28,092)   Asset impairments and    change in restructuring    provisions                 7,381       24,425       11,344       28,146   Other                         (66)      (6,632)      (3,631)      (3,423)   Change in non-cash    operating working    capital                  (87,636)     (38,447)    (111,905)     (78,619)   -------------------------------------------------------------------------   Cash provided by    (used in) operating    activities of    continuing    operations           $   (60,231) $    (4,634) $   (41,837) $   (14,906)   Cash provided by    (used in) operating    activities of    discontinued    operations                     -        4,232            -       (3,117)   -------------------------------------------------------------------------                         $   (60,231) $      (402) $   (41,837) $   (18,023)   Financing activities     Dividends paid           (5,262)      (5,133)     (10,448)     (10,224)     Dividends paid to      minority interest         (184)        (183)        (416)        (434)     Net increase in      long-term debt         103,810       45,784      221,334      117,627     Increase in share      capital                  1,513       12,887        3,110       15,102     Purchase of      treasury stock          (4,992)           -      (11,341)           -     Shares repurchased      for cancellation       (11,814)           -      (11,814)           -     Other                    (1,816)        (729)      (1,301)       7,377   -------------------------------------------------------------------------   Cash provided by    financing activities    of continuing    operations           $    81,255  $    52,626  $   189,124  $   129,448   Cash provided by    (used in) financing    activities of    discontinued    operations                     -            9            -         (389)   -------------------------------------------------------------------------                         $    81,255  $    52,635  $   189,124  $   129,059   Investing activities     Additions to      property and      equipment              (62,654)     (59,300)    (108,364)    (111,725)     Proceeds from sale      of property and      equipment                2,524        1,040       10,545        1,786     Acquisition of      businesses      - net of cash      acquired                   (87)      (2,628)     (61,659)     (13,431)     Proceeds on sale      of investments               -        1,622            -        1,622     Proceeds on disposal      of business                  -            -            -        5,470     Purchase of Canada      Bread shares                 -            -            -       (6,521)     Other                       210       (2,787)         141          121   -------------------------------------------------------------------------   Cash used in investing    activities of    continuing    operations           $   (60,007) $   (62,053) $  (159,337) $  (122,678)   Cash used in investing    activities of    discontinued    operations                     -         (813)           -       (4,140)   -------------------------------------------------------------------------                         $   (60,007) $   (62,866) $  (159,337) $  (126,818)   Increase (decrease)    in cash and    cash equivalents         (38,983)     (10,633)     (12,050)     (15,782)   Net cash and cash    equivalents,    beginning of period       45,310       50,215       18,377       55,364   -------------------------------------------------------------------------   Net cash and cash    equivalents,    end of period        $     6,327  $    39,582  $     6,327  $    39,582   -------------------------------------------------------------------------   -------------------------------------------------------------------------        MAPLE LEAF FOODS INC.    Segmented Financial Information   (In thousands of Canadian dollars)    -------------------------------------------------------------------------                               Three months ended          Six months ended                                          June 30,                  June 30,   (Unaudited)                  2008         2007         2008         2007   -------------------------------------------------------------------------    Sales     Meat Products Group $   856,638  $   878,966  $ 1,619,183  $ 1,774,692     Agribusiness Group       61,567       64,445      120,161      127,349     Bakery Products Group   437,096      375,362      819,220      732,867   -------------------------------------------------------------------------                         $ 1,355,301  $ 1,318,773  $ 2,558,564  $ 2,634,908   -------------------------------------------------------------------------   -------------------------------------------------------------------------    Earnings from    continuing operations    before restructuring    and other related    costs     Meat Products Group $     5,718  $    15,033  $    30,730  $    36,514     Agribusiness Group        7,596        4,684        4,816        5,505     Bakery Products Group     8,671       33,391       25,828       61,053     Non-allocated costs      (3,095)        (441)      (9,386)        (546)   -------------------------------------------------------------------------                         $    18,890  $    52,667  $    51,988  $   102,526   -------------------------------------------------------------------------   -------------------------------------------------------------------------    Capital expenditures     Meat Products Group $    38,756  $    24,406  $    71,851  $    61,124     Agribusiness Group        4,077        3,986        6,976        6,626     Bakery Products Group    19,821       30,908       29,537       43,975   -------------------------------------------------------------------------                         $    62,654  $    59,300  $   108,364  $   111,725   -------------------------------------------------------------------------   -------------------------------------------------------------------------    Depreciation and    amortization     Meat Products Group $    19,552  $    17,204  $    37,578  $    34,590     Agribusiness Group        4,333        4,769        8,167        9,657     Bakery Products Group    14,752       12,916       27,964       25,735   -------------------------------------------------------------------------                         $    38,637  $    34,889  $    73,709  $    69,982   -------------------------------------------------------------------------   -------------------------------------------------------------------------     -------------------------------------------------------------------------                                            As at        As at        As at                                          June 30,     June 30, December 31,                                             2008         2007         2007   -------------------------------------------------------------------------                                       (Unaudited)  (Unaudited)    Total assets     Meat Products Group              $ 1,716,978  $ 1,603,563  $ 1,560,244     Agribusiness Group                   251,004      652,496      302,999     Bakery Products Group                901,740      823,844      823,137     Non-allocated assets                 315,226      236,538      311,464   -------------------------------------------------------------------------                                      $ 3,184,948  $ 3,316,441  $ 2,997,844   -------------------------------------------------------------------------   -------------------------------------------------------------------------    Goodwill     Meat Products Group              $   450,930  $   450,643  $   450,929     Agribusiness Group                    12,922        2,042        2,058     Bakery Products Group                392,906      349,718      364,490   -------------------------------------------------------------------------                                      $   856,758  $   802,403  $   817,477   -------------------------------------------------------------------------   -------------------------------------------------------------------------  

Maple Leaf Foods Inc.

CONTACT: Lynda Kuhn, Senior Vice-President, Communications & ConsumerRelations, (416) 926-2026, http://www.mapleleaf.com/




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