Diamond Foods Investigated, Stalls Pringles Buy

Jan 06, 2012

Fast-growing Diamond Foods Inc. has applied the brakes in a number of ways in the wake of a Securities and Exchange Commission investigation of its accounting practices. The San Francisco company delayed its acquisition of the Pringles business and said it would not file a Form 10-Q, which was due Dec. 12, for its fiscal first quarter.

The SEC is looking into “certain crop payments to walnut growers.” Diamond’s own audit committee anticipates being able to conclude its investigation by the middle of February. After that, it will file the company’s 10-Q.

Last April, Diamond announced a $2.35 billion deal to buy Pringles from Procter & Gamble. If concluded, Diamond claims it would become the world’s second-largest marketer of snack foods, behind PepsiCo.

Show Comments
Hide Comments

Join the discussion

We welcome your thoughtful comments.
All comments will display your user name.

Want to participate in the discussion?

Register for free

Log in for complete access.


No one has commented on this page yet.

RSS feed for comments on this page | RSS feed for all comments