I can tell you, the price we're paying for the business, is consistent with our acquisition criteria of immediately accretive excess cash flow and EBITDA.
income before interest and taxes and depreciation and amortization have been subtracted; an indicator of a company's profitability that is watched by investors (especially in leveraged buyouts)
We expect that they will add $35 million to $38 million of EBITDA, to our results on a full-year basis.
the excess of cash revenues over cash outlays in a give period of time (not including non-cash expenses)
I can tell you, the price we're paying for the business, is consistent with our acquisition criteria of immediately accretive excess cash flow and EBITDA.
The Culver Specialty Brands purchase agreement, signed on Friday by Unilever and B&G Foods, basically calls for B&G Foods to acquire six brands, that I will discuss in a moment, and finished goods inventory.
the mechanical advantage gained by a machine on a fulcrum
While our net leverage increases to approximately 4.3 times EBITDA, our strong cash flow gives us the ability to rapidly decrease that leverage going forward.
the corporate executive responsible for the operations of the firm; reports to a board of directors; may appoint other managers (including a president)
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EDITED TRANSCRIPT
BGS - B&G FOODS INC TO DISCUSS AGREEMENT TO ACQUIRE CULVER SPECIALTY BRANDS FROM UNILEVER CONFERENCE CALL
EVENT DATE/TIME: NOVEMBER 01, 2011 / 01:00PM GMT
CORPORATE PARTICIPANTS
Dave Wenner B&G Foods Inc - President, CEO, Director
Bob Cantwell B&G Foods Inc - CAO, EVP-Finance, CFO, Director
CONFERENCE CALL PARTICIPANTS
Reza Vahabzadeh Barclays Capital - Analyst
Phil Terpolilli Longbow Research - Analyst
Edward Aaron RBC ...
It behooves us, to be ready to do the next acquisition that comes down the road, and position the balance sheet to be able to do that very quickly and very smoothly.
As a result of this and the tax consequences of the transition, the EBITDA estimate that we have provided, means that annual excess cash flow after dividends, would increase by approximately 70%.
mixture of vinegar, oil, and seasoning for soaking foods
The six brands we are acquiring include the Mrs. Dash line of seasoning blends and marinades, which occupy a unique niche in these categories with salt-free offerings.
Mrs. Dash and Molly McButter sell in the highly competitive seasonings category, but each brand has established a strong presence, in their segment of that category.
In fact, we have added costs in a number of areas, especially in Canada, where we're not as efficient as Unilever would be from a distribution and sales point of view.
in a manner accessible to or observable by the public
I'm here with Bob Cantwell, our Chief Financial Officer, to give you a preview of the B&G Foods acquisition, of Culver Specialty Brands, which we publicly announced Friday afternoon.
Since we just announced our third quarter fiscal 2011 results last week, and held a conference call on those results, we will not discuss B&G Foods quarterly or full-year financial performance on this call.
I'm here with Bob Cantwell, our Chief Financial Officer, to give you a preview of the B&G Foods acquisition, of Culver Specialty Brands, which we publicly announced Friday afternoon.