|
Case HBS Case Collection December 2008 JBS Swift & Co. |
Brazilian meat packer JBS surprised many in the U.S. beef industry when it acquired Swift & Co.—a company more than five times its size—in 2007, then moved to acquire the U.S.'s fourth and fifth largest beef producers in 2008. The new JBS Swift slashed costs and restructured, turning around a quarterly loss of $99 million to a gain of $140 million within 6 months. JBS aimed to position itself to supply beef markets around the world, but it faced a perfect storm of rising feed and fuel prices, a global credit crisis, and industry analysts skeptical about the company's debt load.
Keywords: Animal-Based Agribusiness; Mergers and Acquisitions; Restructuring; Financial Crisis; Borrowing and Debt; Global Strategy; Agriculture and Agribusiness Industry; United States; Brazil;
Bell, David E., and Cathy Ross. "JBS Swift & Co." Harvard Business School Case 509-021, December 2008.
