| IPO Company Profile |
| Current Quote | News | SEC Filings | Peer IPO Companies |
| Keebler Foods Company |
| 677 Larch Avenue, Elmhurst, IL 60126 * (630) 833-2900 |
| The company is the second largest cookie and cracker manufacturer in the U.S. with 1996 sales of $2 billion and a 24% share of the U.S. cookie and cracker market. Keebler markets a majority of its products under the Keebler and Carr's and Cheez-It brands |
| Manager | Tier | Phone |
| CS First Boston | Lead Manager | (212) 325-2000 |
| Merrill Lynch & Co. | Co-manager | (212) 449-4600 |
| Morgan Stanley Dean Witter Discover & Co. | Co-manager | (212) 761-5900 |
| SBC Warburg Dillon Read, Inc. | Co-manager |
| NYSE: | KBL | Manufacturing: | SIC 2052 | |
| Type of Shares: | Common Shares | Filing Date: | 12/12/97 | |
| U.S. Shares: | 11,641,000 | Offer Date: | 1/28/98 | |
| Non-U.S. Shares: | 0 | Filing Range: | $21.00 - $24.00 | |
| Primary Shares: | 0 | Offer Price: | $24.00 | |
| Secondary Shares: | 11,641,000 | Gross Spread: | $1.44 | |
| Offering Amount: | $261,922,500 | Selling: | $0.86 | |
| Expenses: | $0 | Reallowance: | $0.10 | |
| Post-IPO Shares: | 83,731,000 | |||
| Spin out parent firm: | Flowers Industries, Inc. | |||
| Employees: | 9700 | |||
| Issuer's Law Firm: | Winston & Strawn |
| Bank's Law Firm: | Cravath, Swaine & Moore |
| Registrar/Transfer Agent: | Harris Trust & Savings Bank |
| Auditor: | Deloitte & Touche |
Dollar amounts in U.S. millions except for per share data | |||||
| 8 Month Ending Financials | |||||
| Full Year Audited Income | Latest Unaudited Income | Prior Audited Income | Balance Sheet | ||
| 12/31/96 | 10/4/97 | 10/5/96 | 10/4/97 | ||
| Revenue: | $1,974.40 | $1,542.20 | $1,500.30 | Assets: | $1,116.10 |
| Net Income: | $2.10 | $36.40 | -$13.00 | Curr Assets: | $380.62 |
| EPS: | Liabilities: | $914.60 | |||
| Prior EPS: | Curr Liab: | $390,204.00 | |||
| Cash Flow/Oper: | $128.11 | Equity: | $201.50 | ||
| Cash Flow/Fin: | -$58.20 | Cash: | $61.10 | ||
| Cash Flow/Inv: | -$20.79 | Working Cap: | -$389,823.38 | ||
| Competition |
| The U.S. branded cookie and cracker industry is led by the company and Nabisco, which together account for 58.4% of sales volume. Smaller competitors include numerous national, regional and local manufacturers of both branded and private label products. Competition in the company's markets takes many forms including the following: establishing favorable brand recognition; developing products sought by consumers; implementing appropriate pricing; providing strong marketing support; and obtaining access to retail outlets and sufficient shelf space. Nabisco is the largest manufacturer in the U.S. cookie and cracker industry. Keebler has a 24.1% share of the retail cookie and cracker market, while Nabisco has a 34.3% share. The remaining industry participants primarily target certain segments of the industry or focus on certain geographical regions of the United States. |
| Business Plan |
| The company's business strategy is designed to capitalize on its competitive strengths, which include its strong national brands and its national DSD distribution system. The key elements of the Company's strategy are: (I) Build on the Keebler Brand, (ii) Take Advantage of Product Segmentation and Keebler Brand Strength Across Prodoct Segments, (iii) Expand the Cheez-It Brand, (iv) Expand Non-Supermarket Sales and (v) Increase the Efficiency of its Operations. |
| Use of Proceeds |
| The proceeds from the proposed offering will be used for general corporate purposes. |
| Name of Shareholder | % Owned Before | % Owned After |
| Flowers Industries, Inc. | 0.45 | |
| Bermore, Limited | 0.07 |
| Officer Name | Title | Age |
| E. Nichol McCully | Chief Financial Officer and Senior Vice President - Finance | 43 |
| David B. Vermylen | President - Keebler Brands | 47 |
| Jack M. Lotker | President - Specialty Products | 54 |
| Sam K. Reed | President, Chief Executive Officer and Director | 50 |
| James T. Willard | Senior Vice President - Operations | 57 |
| Harry J. Walsh | Vice President - Corporate Planning and Development | 42 |
| Thomas E. O'Neill | Vice President, Secretary and General Counsel | 42 |