Smithfield Foods, Inc. reports a loss from continuing operations for the first quarter of fiscal 2009 of $28.5 million, or 21 cents per diluted share on sales of $3.1 billion. For the same period last year, the company reported income from continuing operations of $56.6 million, or 43 cents per diluted share on sales of $2.6 billion.
The current quarter loss from continuing operations includes a negative mark-to-market adjustment of approximately $20.1 million after-tax, or 15 cents per diluted share, related to unrealized losses on changes in the fair value of the company's open commodity derivative contracts. In addition, the current quarter loss from continuing operations also includes impairment charges and operating losses totaling $5.5 million after-tax, or 4 cents per diluted share, related to asset disposals by Campofrio.
Net income from continuing and discontinued operations in the first quarter was a loss of $12.6 million, or 9 cents per diluted share. After-tax income from discontinued operations was $15.9 million, or 12 cents per diluted share. In the first quarter of last year, net income of $54.6 million, or 41 cents per diluted share, includes an after-tax loss from discontinued operations of $2.0 million, or 2 cents per share.
Source: Smithfield Foods