Response to Stacey

Yes, Buffett is dipping into the ketchup business as part of $23.3 billion deal to buy the Heinz ketchup company, uniting a legend of American investing with a mainstay of grocery store shelves. It’s also reported that this is the largest deal ever in the food industry and will help Heinz continue its transformation into a global business. The Heinz Company also makes Classico pasta sauces, Ore-Ida potatoes and Smart Ones frozen meals. Additionally, 3G Capital is the investment firm that bought Burger King in 2010. Furthermore, Heinz CEO William Johnson said at a news conference that taking the company private would give Heinz the flexibility to make decisions more quickly, without the burden of having to report quarterly earnings. The deal is expected to close in the third quarter. We’ll have to sit and watch if Heinz find new home.

stacygooden

http://dealbook.nytimes.com/2013/02/14/berkshire-and-3g-capital-to-buy-heinz-for-23-billion/

This recent NY Times article reported that secret negotitations have resulted in the sale of long time Pittsburgh company Heinz Corporation to Warren Buffet’s company and some rich guy in Brazil who owns 3G. As a native of western Pennsylvania, I take a special interest in this. Pittsburgh has been known for three things in my life time–the best NFL football team, the Steelers; the worst pollution due to the steel industry and the best ketchup, Heinz. Heinz has been based in Pittsburgh since the mid-1800’s. I am proud of that. Although it’s been a publicly traded company for quite some time, it’s always been known as a family company in the hearts of Pittsburghers. Warren Buffet insists that he and his partner insist on keeping the company headquarters in the Steel/Ketchup city but who really knows? He’d better because, to Pittsburgers, Heinz is a name ingrained in their…

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