ConAgra Foods Inc. said Thursday it would cut its dividend by 34 percent, shed its seafood and cheese businesses and record an unspecified amount of charges over the rest of the year as part of a sweeping restructuring plan.
ConAgra, whose brands include Healthy Choice and Chef Boyardee, said the actions would allow it to reduce expenses and focus on its “highest potential brands.” The company said the costs of implementing the restructuring would depress operating earnings until fiscal 2009, when it expects to return to current earnings levels. ConAgra also said it would pay a quarterly dividend of 18 cents per share, down from the 27.25 cent quarterly dividend it has paid since December 2004.
