Consumer
Canned-Food Producer Del Monte Foods Files for Bankruptcy
Cans of peas and carrots on a conveyor belt at the Del Monte Foods facility in Mendota, Illinois, US.
Photographer: Daniel Acker/BloombergCanned fruit company Del Monte Foods filed for bankruptcy, less than a year after executing a controversial debt restructuring.
The company entered into a lender-backed restructuring support agreement that calls for the food producer to sell its assets in bankruptcy court. Del Monte has lined up financing to fund its Chapter 11 case, giving the firm $165 million in fresh cash in exchange for added protection for hundreds of millions of dollars in existing debt. A judge approved the loan in a court hearing late Wednesday afternoon.