Pilgrim's Pride Corp., which is operating under bankruptcy protection, may be on the road to recovery with last week’s financial reports showing the company losing less money than a year ago, according to a news report.
The company filed its second-quarter earnings report with the Securities and Exchange Commission May 7, stating that it had lost $58.8 million in the three-month period that ended March 28.
Despite the loss, there was a "huge improvement" compared with the same time frame a year ago, said Ray Atkinson, director of corporate communications at Pilgrim's. The company reported a $111.4 million loss for the second quarter of 2008.
The company's cost of sales fell in the quarter, giving its chicken business a gross profit of $97.7 million, as reported by the Associated Press. The company's chicken business lost $35.4 million last year in the second quarter. On December 1, the company filed for Chapter 11 bankruptcy protection, citing high feed costs and a weak market. The company announced on May 7 that it will be selling its chicken complex in Farmville, La., to Foster Farms.
In 2008, Pilgrim's cut about 1,000 jobs and temporarily closed plants in Bossier City, La., and Clinton, Ark. It also announced plans to close plants in El Paso, Texas, and Siler City, N.C.