Allens to sell most of frozen division

Firm plans focus on canned foods

— Allens Inc. on Friday said it will sell the majority of its frozen-vegetable operations, acquired from Birds Eye Foods Inc. in 2006, to the North American subsidiary of Bonduelle Group of France.

The Siloam Springs business will focus on its core products, canned and frozen Southern-style vegetables, as a result of the transaction, an Allens Inc. news release said.

“With this renewed concentration, we anticipate greater growth, more innovation and even better customer service and product quality,” Rick Allen, president and chief executive officer of Allens Inc., said in the news release.

Allens Inc. in September ended merger talks with Seneca Foods Corp. of Marion, N.Y.

Seneca brands include Libby’s, Seneca Farms and Aunt Nellie’s Farm Kitchen.

The terms of the transaction with Bonduelle were not disclosed, but Allens said the deal will close by the end of this month.

The privately held business formerly known as Allen Canning Co. supplies canned and frozen vegetables to retail, food service and industrial customers.

Historically, the company has specialized in canned vegetables.

Annual sales in the retail frozen-vegetable market were an estimated $4.81 billion for the week ended Feb. 18, according to data from the National Frozen and Refrigerated Foods Association. Allens is a member of the Harrisburg, Pa.-based organization.

The Bonduelle subsidiary in Montreal is expected to purchase processing plants and a repackaging center in New York and Wisconsin as well as acquire the Allens brands“Chill Ripe” and “Garden Classics” and license other lines, the Bonduelle Group release said.

The sale will affect about 400 workers at plants in Bergen, Oakfield and Brockport, N.Y., and Fairwater, Wis., Bonduelle said.

Allens operates 13 vegetable-processing facilities and several distribution centers in Arkansas, Georgia, Mississippi, Louisiana, North Carolina, New York and Wisconsin, according to its website. Allens frozen and canned vegetable brands include Popeye, Wagon Master, Sugary Sam and Trappey’s.

It employs about 1,700 people. That number peaks to 2,500 during the harvest season, a company spokesman said.

Business, Pages 29 on 03/10/2012

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