Dole Raising $130 Million Through Asset Sales

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Dole Food Company Inc. said Thursday it had completed the sale of most of its flower division and certain Latin American banana properties, the first phase of an asset sale program designed to raise $130 million to pay down debt.

Westlake Village-based Dole, the world’s largest producer and marketer of fresh fruit and vegetables, now retains only some real estate of the former flowers division that it also plans to sell. Dole also has signed a definitive agreement to sell certain property in North America.

When the North American property sale closes toward the end of the first quarter, Dole will have received net cash proceeds of $84 million from these three transactions, it said. When all its planned transactions are complete, net proceeds will be approximately $130 million.

The money will be used to pay down Dole’s debt under its senior secured credit facilities and also to reinvest in the business. Privately held Dole reported 2007 net revenues of $6.93 billion.

“Dole is pleased to be moving forward with these asset sale transactions, continuing to execute on our previously announced plan to sell assets to reduce our debt,” Chief Executive David A. DeLorenzo said in a statement.

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