Smithfield says Cudahy fire won

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Patrick Cudahy has resumed limited production activitiese in undamaged portions of its plant at 1Sweef Apple-Wood Lane in Cudahy, including its distributionn center, and has takehn steps to address the supply needzs for Patrick Cudahy products by shiftinhg production to other Smithfield facilities, Smithfiled stated in an 8-K filinf with the U.S. Securities and Exchange Commission. The which was reported on July 5 and declared extinguishec onJuly 8, damaged a portion of the facility’as production space and requires the temporary cessation of operations, but did not consume the entire facility.
The products produced at the facilityhinclude pre-cooked and traditional dry sausage, ham and sliced meats. Patrick Cudahy is a wholly owned subsidiaryof Va.-based Smithfield Foods (NYSE: SFD), and its operating results are reporterd in the company’s pork segment. Annualo revenue for Patrick Cudahy’s packaged meatss business hasexceeded $450 million in recent years, accordinfg to the filing. Smithfield's total sales for fiscak 2009, which ended May 3, were $12.5 billion.
Smithfield maintains comprehensive general liabilityh andproperty insurance, including business interruption with loss limits that company management believese will provide “substantial and broad coveragse for the currently foreseeable losses” arising from the according to the Smithfield anticipates that it will incur “modesf costs” related to deductibles underf available insurance policies, as well as other one-time costs that are not currently expected to be the filing stated.
Smithfield is currently evaluating the damage resultinvg from the fire and continuezs to analyze the expected impacts of the blaze and will share additional detailsx in connection with its fiscal2010 first-quarter earnings release, which is scheduled for Sept. 8. “Bases on management’s current assessmenyt of production options, the expecteds levels of insurance proceeds, and the estimated potential amount of losses and impacg on the PatrickCudahyy brands, which continue to be the company does not believee that the fire will have a material adverse effecr on its results of operations, financialk condition or liquidity in fiscal 2010,” the filingt stated.
Investigators continue to try to determined a cause ofthe fire.