Canned foods giant Del Monte files for bankruptcy protection

2 day_ago 8

Business

Del Monte Foods, the 139-year-old institution champion known for its canned fruits and vegetables, is filing for bankruptcy extortion arsenic consumers progressively bypass its products for healthier oregon cheaper options.

139-year-old institution blames system and consumers' changing fare habits

The Associated Press

· Posted: Jul 02, 2025 5:03 PM EDT | Last Updated: 3 hours ago

Cans of effect cocktail with the marque logo Del Monte

Del Monte products are seen connected a market store support successful Boston, connected June 30, 2008. Consumers person progressively bypassed the troubled company's products for healthier oregon cheaper options. (Lisa Poole/The Associated Press)

Del Monte has secured $912.5 cardinal US successful debtor-in-possession financing that volition let it to run usually arsenic the merchantability progresses.

"After a thorough valuation of each disposable options, we determined a court-supervised merchantability process is the astir effectual mode to accelerate our turnaround and make a stronger and enduring Del Monte Foods," CEO Greg Longstreet said successful a statement.

Del Monte Foods, based successful Walnut Creek, Calif., besides owns the Contadina herb brand, College Inn and Kitchen Basics broth brands, arsenic good as the Joyba bubble beverage brand.

The institution has seen income maturation of Joyba and broth successful fiscal 2024, but not capable to offset weaker income of Del Monte's signature canned products.

"Consumer preferences person shifted distant from preservative-laden canned nutrient successful favour of healthier alternatives," said Sarah Foss, planetary caput of ineligible and restructuring astatine Debtwire, a fiscal consultancy.

Grocery ostentation besides caused consumers to question retired cheaper store brands. And U.S. President Donald Trump's 50 per cent tariff connected imported steel, which went into effect successful June, volition besides propulsion up the prices Del Monte and others indispensable wage for cans.

Del Monte Foods, which is owned by Singapore's Del Monte Pacific, was besides deed with a suit past twelvemonth by a radical of lenders that objected to the company's indebtedness restructuring plan. The lawsuit was settled successful May with a indebtedness that accrued Del Monte's involvement expenses by $4 cardinal US annually, according to a institution statement.

Del Monte said precocious Tuesday that the bankruptcy filing is portion of a planned merchantability of company's assets.

Rows of canc of vegetables with marque logo Del Monte

Del Monte canned vegetables are seen for merchantability successful Berkeley, Calif., connected June 22, 2006. The caller U.S. tariffs connected imported alloy are expected to propulsion up the prices Del Monte and others indispensable wage for cans. (Ben Margot/The Associated Press)