Bestfoods Forms Joint Venture in Africa and Israel; Names New VP, Controller

Bestfoods (Englewood Cliffs, NJ) has agreed to form a joint venture with Consolidated Grocery Products (CGP), a South African consumer goods company that currently has the rights to several of Bestfoods' brands in South Africa. The venture will include Bestfoods' businesses in South Africa and Israel, as well as its other operations in Africa, and also Robertsons Foods, the consumer foods business of CGP.

Brands and products that will drive the business include Knorr savory products, Hellmann's dressings, Maizena cornstarch, and several other Bestfoods brands. The deal means that Bestfoods will acquire a joint interest in the South African rights to these core Bestfoods brands, which were licensed to Robertsons in 1987 by Bestfoods (then CPC International).

C. R. Shoemate, chairman and CEO of Bestfoods said, "This is a very exciting venture for Bestfoods and, I believe, a prime example of the kind of creativity and resources we, as an experienced international operator, can bring to bear in the global marketplace."

Bestfoods and CGP will have equal participation in the new company. Bestfoods will take the leadership role in Israel and CGP will provide leadership in Africa. The venture includes 9 plants in South Africa, six in Israel, and four in the rest of Africa. The total number of employees is expected to be about 3,600.

In separate news, Bestfoods' board of directors has elected Philip V. Terenzio vice president and controller, effective June 1, 1998. Terenzio will be responsible for Bestfoods' financial analysis and reporting, corporate consolidations and accounting services, and the implementation of accounting standards and practices throughout the Company. He will report to Bernard H. Kastory, senior vice president, finance and administration.

Bestfoods, formerly CPC International Inc., is among the largest U.S. food companies. Bestfoods is one of the nation's most international food companies, with operations in more than 60 countries and products marketed in 110 countries.

Edited by Pam Ahlberg