JBS: Mad cow case won't hurt company
The company repeated statements from the U.S. Department of Agriculture that the mad cow case posed no risk to the food supply. The disease in the dairy cow was the first new case since 2006.
"The general consensus is that international trade should not suffer any material disruption as a result of this incident," JBS said in a statement.
If the market reaction is "greater than expected," JBS believes that "the company is best positioned and carries a natural hedge due to its global presence and the diversity of proteins."
JBS is the majority stockholder of Pilgrim's Pride, the Greeley-based chicken producer whose stock improved 7.5 percent to close at $7.15 on Tuesday when the mad cow case was announced.
"JBS is the second largest chicken producer globally and has relevant pork production in the U.S., businesses which would benefit from any spillover," the company said.
Meanwhile, U.S. live cattle futures rebounded Wednesday after posting their largest decline in seven months Tuesday, Reuters reported.
More breaking news...
Merger and acquisition deal value soars in Niobrara
Pilgrim’s Pride earned
Denver-based PDC Energy shares up on Marcellus sale
PDC, which drills oil
Madwire closes on $5.5 million funding round
On the Job