Plus   Neg

Bunge Names Gregory Heckman Acting CEO; Sees FY18 Segment Adj. EBIT Below Range

Agribusiness and food company Bunge Limited (BG) said Tuesday that it has appointed Board member Gregory Heckman, a seasoned agribusiness executive, as Acting Chief Executive Officer, effective immediately. He replaces Soren Schroder, who previously announced his intention to step down.

Heckman, aged 56, joined the Bunge Board in 2018. He has over 30 years of experience in the agriculture, energy and food processing industries, having served as CEO of the Gavilon Group LLC and in senior executive roles at ConAgra Foods.

Bunge said its CEO search committee is continuing its work and will seek to conclude the search as soon as practicable, while ensuring that the process is thorough and deliberate.

Additionally, as part of Bunge's ongoing Board refreshment process, the company announced that Patrick Lupo, Ernest Bachrach and Enrique Boilini, three of its longest-serving Board members, will not stand for re-election at the company's 2019 Annual General Meeting of Shareholders. Each will remain on the Board until his current term expires, in May 2019.

Bunge also provided an update on its full-year 2018 financial results.

On a preliminary basis, Bunge now expects full-year 2018 total segment adjusted EBIT to be below the previously disclosed $1.045 billion low end of the outlook range.

The company's net debt at year end 2018 was approximately $5 billion, reduced from approximately $7 billion at the end of the third quarter 2018.

For fiscal 2018, Bunge estimates an adjusted EBIT shortfall of approximately $90 million to $100 million in the Agribusiness segment and a shortfall of approximately $60 million to $70 million in the Sugar and Bioenergy segment, compared to the low end of the previously disclosed ranges.

The company noted that the Agribusiness shortfall was largely due to the reduction in value of the company's Brazilian soybean ownership as factors related to China trade and demand caused Brazilian prices to converge with U.S. prices.

For comments and feedback contact: editorial@rttnews.com

Business News

Follow RTT