said it was "disappointed" with
revised estimates, but did not say how the new forecast would affect the pending
acquisition between the two, if at all.
In an announcement this morning, IBP, a meat processor, said it would earn 12 cents a share in the first quarter of 2001. A revised estimate posted by
First Call/Thomson Financial
has three analysts offering a consensus of 19 cents a share. Previously, the consensus stood at 53 cents a share, until analysts from
Credit Suisse First Boston
Salomon Smith Barney
reduced their estimates.
For the year, IBP forecast earnings of $1.80 to $2.20 a share, which is above the $1.54 consensus estimate posted by First Call. The company said its number was "consistent" with a $1.93 estimate it made in a proxy statement last fall.
The Tyson deal is stalled because of
accounting discrepancies IBP has with the
Securities and Exchange Commission
. IBP's guidance today did little to impress the ruler of the processed chicken roost.
"While we are disappointed with the revised expectations for the first quarter, we are encouraged that IBP's management has confidence in future results," Tyson said in a statement.
IBP, which is based in Dakota Dunes, S.D., said an increase in livestock supplies should improve earnings for the rest of the year. IBP's fresh pork operations will benefit from lower raw material costs, executives said.
After being halted twice before noon on the
New York Stock Exchange
, IBP was down 6 cents, or 0.2%, to $23.94.