UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
FORM
8-K
CURRENT
REPORT
Pursuant
to Section 13 or 15(d) of the
Securities
Exchange Act of 1934
Date of
Report (Date of earliest event reported): December 13, 2010
LANDEC
CORPORATION
(Exact
name of registrant as specified in its charter)
Delaware
(State or
other jurisdiction of incorporation or organization)
|
0-27446
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94-3025618
|
|
(Commission
file number)
|
(IRS
Employer Identification No.)
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3603
Haven Avenue, Menlo Park, California 94025
(Address
of principal executive offices and zip code)
(650)
306-1650
(Registrant's
telephone number,
including
area code)
Not
Applicable
(Former
name or former address, if changed from last report)
Check the
appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the registrant under any of the following
provisions:
|
o
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Written
communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
|
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o
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Soliciting
material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
|
|
o
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Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
240.14d-2(b))
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o
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Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
240.13e-4(c))
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Item
2.02 Results of Operations and Financial Condition
On
December 13, 2010, Landec Corporation (the “Company”) issued a press release
providing revised guidance for fiscal year 2011 revenue and net income growth as
a result of cold and wet weather that has impacted, and continues to adversely
impact, produce sourcing and sourcing costs for the produce industry and for the
Company’s food subsidiary, Apio, Inc.
The
information in this Current Report including Exhibit 99.1 is being furnished and
shall not be deemed “filed” for purposes of Section 18 of the Securities
Exchange Act of 1934, as amended (the “Exchange Act”) or otherwise subject to
the liabilities of that Section. The information in this Current Report
including Exhibit 99.1 shall not be incorporated by reference in any filing
under the Securities Act of 1933, as amended or the Exchange Act, except as
shall be expressly set forth by specific reference in such a
filing.
Item
9.01 Financial Statements and Exhibits
(d) Exhibits.
The
following exhibit is furnished as part of this report:
| Exhibit No. | Description |
|
99.1
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Press
Release dated December 13, 2010 providing revised guidance for fiscal year
2011.
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SIGNATURE
Pursuant
to the requirements of the Securities Exchange Act of 1934, as amended, the
Registrant has duly caused this Report to be signed on its behalf by the
undersigned hereunto duly authorized.
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LANDEC
CORPORATION
Registrant
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|||
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Date: December
14, 2010
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By:
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/s/ Gregory S. Skinner | |
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Gregory
S. Skinner
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|||
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Vice
President of Finance and Administration and
Chief
Financial Officer
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|||
| FOR IMMEDIATE RELEASE | |
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Contact
Information:
|
|
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At
the Company:
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EAS
& Associates:
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Gregory
S. Skinner
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Liz
Saghi
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Vice
President Finance and CFO
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(415)
816-8868
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(650)
261-3677
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LANDEC
CORPORATION REVISES GUIDANCE BASED ON PRODUCE INDUSTRY ADVERSELY IMPACTED BY
COLD AND WET WEATHER
MENLO
PARK, CA – December 13, 2010 -- Landec Corporation (Nasdaq: LNDC), a polymer
science company that develops and markets patented polymer products for food,
agricultural, medical device and licensed partner applications, today announced
revised guidance for fiscal year 2011 revenue and net income growth as a result
of cold and wet weather that has impacted, and continues to adversely impact,
produce sourcing and sourcing costs for the produce industry and for Landec’s
food subsidiary, Apio, Inc.’s value-added, fresh-cut vegetable
business. Landec now expects revenue growth of 12% to 15% and net
income growth of 20% to 25% for fiscal year 2011 compared to fiscal year
2010. The earnings per share for fiscal year 2011 are now expected to
be in the range of $0.34 to $0.36 compared to prior guidance of $0.36 to
$0.41.
“California
has experienced a prolonged period of cold and wet weather during November and
December of 2010 which has resulted in produce shortages in Apio’s value-added,
fresh-cut vegetable business due to lower growing and production yields and poor
produce quality that does not meet our stringent quality standards,” stated Gary
Steele, Chairman and CEO of Landec. “These shortages have occurred
during two of the Company’s higher volume sales months and have resulted in Apio
having to purchase certain key raw produce items on the open market at prices
considerably above our contracted prices in order to meet obligations to our
customers during their critical holiday season.”
“Cold
weather slows down growing rates for some of our primary raw produce items,
while wet weather can create disease. The prolonged period of both
cold and wet weather conditions in California, and other growing regions, has
significantly impacted production yields throughout the industry,” stated Ron
Midyett, CEO of Apio. “We have not experienced weather conditions
like this for such an extended period of time since December
2006. The Apio team is doing everything it can to minimize the
financial and operational impacts from these shortages, however, our commitment
is first and foremost to servicing our customers by fulfilling their needs
during this busy holiday season.”
“We
currently estimate that for our fiscal year 2011 results approximately half of
the negative impact from Apio’s sourcing issues will be offset by better than
expected results from Landec’s other lines of business, particularly our
hyaluronan-based biomaterials subsidiary, Lifecore Biomedical, Inc., which is
currently forecasted to beat its budgeted revenue and operating income
expectations by more than 10%,” stated Greg Skinner, CFO of
Landec. “The net income growth guidance continues to be based on
growth compared to net income in fiscal year 2010 after excluding the $3.7
million in non-recurring charges in fiscal year 2010. With revenue
growth of 12% to 15% and net income growth of 20% to 25%, we still expect a good
year overall.”
Landec is
a materials science company, leveraging its capability in polymer science and
bio-application development in order to commercialize new products within a
variety of life science fields, including food, agricultural, personal care and
medical device applications. With its Intelimer®
polymers, Landec is able to customize its proprietary polymer materials for each
application through the manipulation of controlled release, temperature
activation and biocompatibility properties. Landec’s subsidiary,
Apio, has leveraged
Landec’s BreatheWay® membrane
to become the leader in U.S. fresh-cut specialty vegetables. Landec Ag offers a full
solution of seed coatings and enhancements that work with the latest genetic
technologies to drive continuous improvements in crop yield. Landec
has also commercialized dozens of personal care, industrial and adhesive
products through its long-standing partner relationships. With its recent acquisition of
Lifecore
Biomedical, Landec is now a
premium supplier of hyaluronan-based biomaterials to the ophthalmic, orthopedic
and veterinary markets worldwide. For more information about the Company
visit Landec’s website at www.landec.com.
Except
for the historical information contained herein, the matters discussed in this
news release are forward-looking statements that involve certain risks and
uncertainties that could cause actual results to differ materially, including
such factors among others, as the timing and expenses associated with
operations, the ability to achieve acceptance of the Company's new products in
the market place, the integration of Lifecore’s operations into the Company, the
severity of the current economic slowdown, weather conditions that can affect
the supply and price of produce, the amount and timing of research and
development funding and license fees from the Company's collaborative partners,
the timing of regulatory approvals, the mix between domestic and international
sales, and the risk factors listed in the Company’s Form 10-K for the fiscal
year ended May 30, 2010 (See item 1A: Risk Factors). As a result of
these and other factors, the Company expects to continue to experience
significant fluctuations in quarterly operating results and there can be no
assurance that the Company will remain consistently profitable. The
Company undertakes no obligation to update or revise any forward-looking
statements whether as a result of new developments or otherwise.