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McCormick Reports Second Quarter Earnings Drop
Thursday, June 25, 2009 11:53 AM


(Source: The Baltimore Sun, Maryland)trackingBy Eileen Ambrose, The Baltimore Sun

Jun. 25--Spice maker McCormick & Co. Thursday morning reported its second quarter earnings dropped to $50.7 million, or 38 cents per share, partly due to restructuring charges.

For the comparable quarter a year ago, the Sparks-based company reported a profit of $53.3 million, or 41 cents per share.

McCormick said it still expects to earn $2.24 to $2.28 per share this year, with sales this year are expected to grow between 2 percent and 3 percent.

While sales in the Americas were helped by the acquisition of spice company Lawry's last year, sales in Europe, Middle East and Africa were dampened by the difficult economy and the bankruptcy of a food distributor in the United Kingdom, the company said.

Net sales for the three months ended May 31 reached $757.3 million, compared with $764.1 million a year ago.

In a statement, McCormick's Chairman and chief executive Alan D. Wilson said, "McCormick continues to achieve solid financial results in a tough economy. Sales growth for our U.S. consumer business was particularly strong this quarter as a result of effective marketing support, the addition of Lawry's and continued consumer interest in our leading brands."

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