Wednesday, May 31, 2006

Pork Squeals

Premium Standard Farms, Inc (Nasdaq:PORK) reported poor results ie huge decrease in commodity prices. The press release hides the bad news with good news statements about a plant expansion and a hedging program that seemed to work. (this time). The release concludes with the news that the existing chairman has to step aside because he is too busy with his role as an executive with ContiGroup. He apparently does have time to stay around as a regular director. The new chairman is from the food industry but has only been on the board for about five months. This company seems adrift and does not want to talk about it.