Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: WEDNESDAY, July 19, 1995 TAG: 9507190045
SECTION: BUSINESS PAGE: B-8 EDITION: METRO
SOURCE: F.J. GALLAGHER STAFF WRITER
DATELINE: LENGTH: Medium
Terms of the purchase by BFG Inc. from McCormick & Co. Inc., an international producer of spices and seasonings, were not disclosed.
"The company's [Golden West] growth has probably leveled off in the last five years or so," BFG owner and Chief Executive Officer Frank Brooks said Tuesday. "We'll be looking at expanding, getting into some more of the meat products. I'd like to see sales of $35 million to $40 million," annually.
Golden West's sales for the last several years have been hovering around $25 million per year, Brooks said. The company supplies frozen foods - primarily onion rings, french toast and turkey nuggets - to restaurants and institutions nationally.
The sale, which closed July 6, affects none of Golden West's approximately 160 employees, Brooks said, adding that he hopes to hire additional employees as sales increase.
Golden West is not Brooks' first foray into the frozen food industry. He formerly owned the Brooks Sausage Co., an enterprise that had sales of $30 million annually supplying meat products to the fast-food industry.
Golden West was McCormick's only holding unrelated to the production of spices and seasonings, a property that the Sparks, Md.-based company had been trying to sell for nine months.
"We're out of frozen food - it's just not in our core line and it hasn't been as profitable as the corporation expected," said Mac Barrett, McCormick's spokesman.
Brooks said he is looking for other companies to purchase, particularly divisions of fast-food operations that have expanded into food processing during the last 10 or 15 years.
"I think now a lot of them want to go back to what they do best," he said, adding that he is looking to buy a company whose products complement Golden West's. "They can get out of processing and get an outside supplier and be just as competitive. It makes a lot more sense for them just to focus on moving product."
by CNB