dole 99 annrpt
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(in $ millions, except per share data) 1999 1998 1997 1996 1995
Revenue $ 5,061 $ 4,424 $ 4,336 $ 3,840 $ 3,804
Income from continuing operations $ 49 $ 12 $ 160 $ 89 $ 120
Loss from discontinued operations - - - - (97)
Net income 49 12 160 89 23
Diluted net income (loss) per common share
Continuing operations $ 0.85 $ 0.20 $ 2.65 $ 1.47 $ 2.00
Discontinued operations - - - - (1.61)
Net income 0.85 0.20 2.65 1.47 0.39
Diluted average common shares outstanding 57 60 60 60 60
Total assets $ 3,034 $ 2,915 $ 2,464 $ 2,487 $ 2,442
Capitalization
Short-term debt $ 39 $ 36 $ 14 $ 22 $ 24
Long-term debt 1,286 1,116 755 904 896
Minority interests 49 57 38 30 26
Common shareholders’ equity 532 622 666 550 508
Total capitalization 1,906 1,831 1,473 1,506 1,454
Book value per common share $ 9.53 $ 10.49 $ 11.10 $ 9.18 $ 8.49
Common stock price:
End of year 161/4 30 453/4 34 35
High 3313/16 571/8 495/8 431/2 38
Low 1313/16 285/16 333/8 327/8 24
Annual cash dividends per common share 0.40 0.40 0.40 0.40 0.40
NOTE: Income from continuing operations for 1999 includes a pre-tax charge of $48 million and net insurance proceeds of $28 million. Income from continuing operations for 1998 and 1996 includes pre-tax charges of $120 million, net of insurance proceeds, and $50 million, respectively. Income from continuing operationsfor 1995 includes a pre-tax gain of $62 million related to assets sold or held for sale. The real estate and resorts business distributed to shareholders in 1995 has beenpresented throughout this report as discontinued operations.
Dole Financial Highlights
5,06199
3,80495
3,84096
4,33697
4,42498
30899
37297
33896
30895
32898
53299
50895
55096
66697
62298
GROWTH CASH FLOW CAPITALIZATION
Revenue(in $ millions)
EBITDA*(in $ millions)
• Depreciation & Amortization • EBIT
Shareholder Equity(in $ millions)
* Before special charges in 1999, 1998 and 1996, net insurance proceeds in 1999 and a net gain on asset dispositions in 1995.
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To Our Shareholders:
CORE BUSINESSES, LOW COSTS, PEOPLE
FINANCIAL RESULTS
For the first time in Dole’s 148-year history, sales exceeded $5 billion in 1999.
While sales increased 14%, net income from ongoing operations, which excludes
special charges and Hurricane Mitch net insurance proceeds, was $68 million for
1999 versus $113 million for 1998. Cash flow from ongoing operations
(EBITDA) remained strong, totaling $308 million for 1999 compared with $328
million for 1998.
The year presented numerous challenges and the main order of business was
overcoming obstacles and capitalizing on opportunities. Refinement of
our global structure began with the streamlining of our operations to synchronize
with recovering economies in Latin America, Asia and Europe. Further, we
expanded our product offerings to benefit from a resilient U.S. economy.
We pursued three primary goals throughout the year: focus on our core
businesses, remain the world’s low-cost producer of fresh fruits, fresh vegetables
and fresh-cut flowers, and employ and maintain the most talented people in the
industry. These goals resulted in the following significant activities and
modifications in 1999:
• Rehabilitation and recuperation from the devastating effects of Hurricane
Mitch and the California citrus freeze.
• Downsizing and cost-cutting in our worldwide banana operations.
• Consolidation of our North American-sourced fresh product administration
and sales activities.
• Expansion of our new fresh pineapple variety.
• Numerous successful new product introductions including Great Restaurant
Salads, FRUIT BOWLS® and FUN SHAPES®.
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• Consolidation of the flower
companies acquired during the latter
part of 1998,
• Continued expansion of our
distribution networks in Europe
and Japan,
• Completion and delivery of the
two largest refrigerated container ships
in the world — the Dole Chile and the
Dole Colombia,
• Opening of Dole’s world headquarters
in Westlake Village, California.
Dole enters the Year 2000 with a renewed sense of purpose. In the long term,
we are confident that investing in our brands and our people will improve
profitability and enhance shareholder returns. The DOLE® brand is stronger
than ever in its universal representation of fresh, nutritious, high-quality
products. The difficult period of rehabilitation and downsizing has effectively
been accomplished. Our infrastructure is transformed, our cost structure
is improved and our worldwide management team is united in purpose and
direction, prepared to accelerate growth and profitability.
Once again, we express our appreciation to our shareholders, employees,
customers and suppliers for their continued support and confidence.
Sincerely,
David H. Murdock
Chairman and Chief Executive Officer
• Consolidation of the flower
companies acquired during the latter
part of 1998.
• Continued expansion of our
distribution networks in Europe
and Japan.
• Completion and delivery of the
two largest refrigerated container ships
in the world — the Dole Chile and the
Dole Colombia.
• Opening of Dole’s world headquarters
in Westlake Village, California.
Dole enters the Year 2000 with a renewed sense of purpose. In the long term,
we are confident that investing in our brands and our people will improve
profitability and enhance shareholder returns. The DOLE® brand is stronger
than ever in its universal representation of fresh, nutritious, high-quality
products. The difficult period of rehabilitation and downsizing has effectively
been accomplished. Our infrastructure is transformed, our cost structure
is improved and our worldwide management team is united in purpose and
direction, prepared to accelerate growth and profitability.
Once again, we express our appreciation to our shareholders, employees,
customers and suppliers for their continued support and confidence.
Sincerely,
David H. Murdock
Chairman and Chief Executive Officer
Dole Food Company Board of Directors(Seated): David H. Murdock (Standing, left to right): David A. DeLorenzo, James F.Gary, Richard M. Ferry, Elaine L. Chao, Mike Curb, Zoltan Merszei
OUTLOOK
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Dole Fresh VegetablesDole ArtichokesDole AsparagusDole Bell PeppersDole BroccoliDole Brussels SproutsDole Butter LettuceDole CarrotsDole CauliflowerDole CeleryDole Dry OnionsDole EndiveDole EscaroleDole Green Leaf LettuceDole Green OnionsDole Iceberg LettuceDole Idaho PotatoesDole RadishesDole Red Leaf LettuceDole Romaine LettuceDole Sugar PeasDole Tomatoes
Dole Fresh-Cut VegetablesDole All-American Toss SaladDole American Special
Blend SaladDole Chopped Romaine SaladDole Classic Cole SlawDole Classic Greek
Marinade SaladDole Classic Iceberg SaladDole Classic Romaine SaladDole Complete Caesar SaladDole Complete Caesar Salad
with Light DressingDole Complete Creamy
Garlic Caesar SaladDole Complete Oriental SaladDole Complete Romano SaladDole Complete Sunflower
Ranch SaladDole Complete Zesty Italian
Salad with Light DressingDole European Special
Blend SaladDole French Special
Blend SaladDole Greener Selection SaladDole Italian Special
Blend SaladDole Mediterranean
Marinade SaladDole Mediterranean Special
Blend SaladDole Peeled Mini-CarrotsDole Romaine Special
Blend SaladDole Shredded CarrotsDole Shredded LettuceDole Shredded Red CabbageDole Spring Mix Special
Blend SaladDole Triple Cheese Toss SaladDole Tuscany Special
Blend SaladDole Verona Special
Blend Salad
Pascual HermanosDole Santa (Grape) TomatoesDole Cherry TomatoesDole On-Vine TomatoesDole Plum TomatoesDole Little Gem Baby LettuceDole Rucola SaladDole Mini Leaf SaladDole Spring Onions
Dole Dried Fruit & NutDole Dates Chopped in
Recloseable BagsDole CinnaRaisins in
Recloseable BagsDole Golden Seedless RaisinsDole Dates Pitted in Recloseable
BagsDole Pitted Prunes CanisterDole Pitted Prunes in
Recloseable BagsDole Seedless Raisins CanisterDole Seedless Raisins in
Recloseable BagsDole Seedless Raisins
Mini SnacksDole Seedless Raisins Six Packs
SamanDole Golden RaisinsDole Mixed Fruit & NutDole Pine NutsDole Soelia PistachiosDole Soft ApricotsGuyennoise Prunor Pitted
PrunesGuyennoise Prunor Whole
PrunesJA Whole DatesJA Whole PrunesSoelia Blanched Whole
AlmondsSoelia Dried ApricotsSoelia Dried FigsSoelia Pitted PrunesSoelia Sliced Thin AlmondsSoelia Whole PeanutsSoelia Whole PrunesDole Walnut HalvesWhole Deglet Nour Dates
Dole Fresh FruitDole ApplesDole ApricotsDole AvocadoDole BananasDole BlackberriesDole CantaloupeDole CherriesDole ClementinesDole CoconutsDole CranberriesDole GrapefruitDole Gift BasketsDole GrapesDole Honeydew MelonDole KiwiDole LemonsDole Limes
Dole LycheesDole MandarinsDole MangoesDole Morado BananaDole Native BananaDole NectarinesDole OrangesDole PapayasDole PeachesDole PearsDole PersimmonsDole PineappleDole Fresh-Cut Pineapple
ChunksDole Fresh-Cut Pineapple
SpearsDole Fresh-Cut Pineapple
CylindersDole Plantains Dole PlumsDole PomegranatesDole RaspberriesDole SatsumasDole StrawberriesDole Super Sweet BananaDole TangelosDole TangerinesDole Yucca
Dole Packaged FoodsDole Aloe Vera (Solid)Dole Apricot HalvesDole Apricot Snack CupDole Apricots in Juice or SyrupDole Crushed Pineapple in Juice
or SyrupDole Deciduous Fruit Cocktail
in Juice and SyrupDole Fruit Bowls – Diced
PeachesDole Fruit Bowls – Mixed
FruitDole Fruit Bowls – Pineapple
TidbitsDole Fruit Bowls – Tropical
FruitDole Fruit Festival Snack CupDole Guava HalvesDole Guava in SyrupDole Ketchup
(Regular & Hot Spice)Dole Longans in SyrupDole Longans Snack CupDole Lychees in SyrupDole Lychees Snack CupDole Mandarin Orange
Fruit CupsDole Mandarin Orange
SegmentsDole Mandarin Orange
Segments, Easy OpenDole Mango Cubes Snack CupDole Mango Juice DrinkDole Mango Slices in Blended
Juice or Syrup
Dole Melon-Flavored Tropical Fruit in Syrup
Dole MushroomDole Nata de Coco in SyrupDole Nata de Coco
with Jackfruit Snack CupDole Papaya in SyrupDole Peach Halves in SyrupDole Peach Snack CupDole Peaches in Juice and SyrupDole Pear Snack CupDole Pears in Juice and SyrupDole Pine Orange Banana JuiceDole Pineapple Chunks in Juice
or SyrupDole Pineapple ConcentrateDole Pineapple Cubes in SyrupDole Pineapple Fun Shapes –
CosmicDole Pineapple Fun Shapes –
Sea CreaturesDole Pineapple Grapefruit JuiceDole Pineapple Grapefruit
Juice DrinkDole Pineapple JuiceDole Frozen Pineapple JuiceDole Pineapple Juice DrinkDole Pineapple Lychee
Juice DrinkDole Pineapple Orange JuiceDole Pineapple Orange
Juice BoxDole Pineapple Orange
Juice DrinkDole Pineapple Orange
Raspberry Juice BoxDole Pineapple Pink
Grapefruit DrinkDole Pineapple Slices in Juice
or SyrupDole Pineapple Snack CupDole Pineapple Snack Wedges,
Easy OpenDole Pineapple Strawberry
Juice DrinkDole Pineapple Tidbits
for PizzaDole Pineapple Tidbits in JuiceDole Rambutan in SyrupDole Rambutan Snack CupDole Rambutan with Pineapple
Snack CupDole Red Papaya Chunks in
Light SyrupDole Tropical Fruit Cocktail in
Juice and SyrupDole Tropical Fruit Cocktail
in Syrup with Passion Fruit Juice
Dole Tropical Fruit Juice BoxDole Tropical Fruit SaladDole Tropical Fruit Salad,
Easy OpenDole White AsparagusDole Yellow Papaya Chunks
in SyrupSeasons Pineapple JuiceSeasons Tropical Fruit Mix
Dole Fresh FlowersAgapanthusAlstroemeriaAster ButterflyAster MatsumotoAster MontecasinoBells of IrelandBouvardiaBupleurumCallasCampanulasCarnationsChinese CarnationsCremonsDelphiniumFarm BouquetsFootball MumsFreesiaGerberaGerspiderGypsophilaKangaroo PawsLeatherleafLiatrisLiliesLimoniumLisianthusMillion Stars GypsophilaMiniature CarnationsMonk’s HoodNerinesPomponsQueen Anne’s LaceRoses (Hybrid Tea)Roses (Micro)Rover MumsSnapdragonsSolidagoSolidasterSpider MumsSpray RosesStaticeStockStrawflowersSunflowersSweetheart RosesTracheliumTree FernYarrow
Dole Worldwide Product List
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DOLE FOOD COMPANY, INC.
Directors
Elaine L. Chao2
Distinguished FellowThe Heritage Foundation
Mike Curb1,3
ChairmanCurb Records, Inc.
David A. DeLorenzoPresident and Chief Operating OfficerDole Food Company, Inc.
Richard M. Ferry1,2
ChairmanKorn/Ferry International(international executive search firm)
James F. Gary2,3
Chairman EmeritusPacific Resources, Inc.
Zoltan Merszei3
Former Chief Executive Officer, President and ChairmanThe Dow Chemical Company
David H. Murdock1
Chairman of the Board andChief Executive OfficerDole Food Company, Inc.
DOLE FOOD COMPANY, INC.
Officers
David H. MurdockChairman of the Board andChief Executive Officer
David A. DeLorenzoPresident and Chief Operating Officer
Kenneth J. KayVice President andChief Financial Officer
Patrick A. NielsonVice President – International Legal andRegulatory Affairs
George R. HorneVice President – Human Resources
Roberta WiemanVice President
Roger P. ShockleyVice President-Mergers, Acquisitions andNew Business Development
Gil BorokController and Chief Accounting Officer
Beth PotilloTreasurer
DOLE FOOD COMPANY
Operating Division Officers
Paul CuyegkengPresident-Dole Asia
William F. FeeneyPresident-Dole Europe
Juergen SchumacherPresident-Dole Latin America
Peter M. NolanPresident-Dole North America
Lawrence A. KernPresident-Dole Fresh Vegetables
Roberto ZacariasPresident-Dole Honduran Beverage
Lorenzo de la TorrePresident-Dole Fresh Flowers
Michael J. CavalleroVice President Sales and Marketing, North America
Directors and Officers
1 Executive, Finance and Nominating Committee2 Audit Committee3 Compensation and Employee Benefits Committee
The new Dole Columbia docked in Honduras following her maiden voyage. The Dole Chile was also christened in 1999. They are the largest refrigerated container vessels in the world, each capable of hauling nearly one million boxes, doubling the capacity of other vessels.
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AuditorsArthur Andersen LLP633 West Fifth Street, Los Angeles, CA 90071
Securities Transfer and Dividend Disbursement AgentAmerican Stock Transfer & Trust Company40 Wall StreetNew York, NY 10005(800) 937-5449Internet address: www.amstock.com
Dividend InformationA cash dividend of $0.10 per common share was declared ineach quarter of 1999 for a total annual dividend of $0.40 pershare. Dole Food Company, Inc. does not have a dividendreinvestment plan.
Investment Community InquiriesMembers of the investment community should direct inquiries to:Office of the Chief Financial OfficerDole Food Company, Inc.One Dole Drive, Westlake Village, CA 91362(818) 879-6600E-mail address: investor_relations@na.dole.com
Shareholder InquiriesFor a copy of the Annual Report on Form 10-K, or for otherinformation requests, shareholders should contact:Office of the Corporate SecretaryDole Food Company, Inc.One Dole Drive, Westlake Village, CA 91362Telephone (818) 879-6814Facsimile (818) 879-6615E-mail address: shareholder_relations@na.dole.com
Dole’s Annual Report on Form 10-K is available on the internet at http://www.dole.com
Stock ExchangeDole Food Company, Inc.’s common stock (DOL) is tradedon The New York and Pacific Stock Exchanges
Internet Addresseshttp://www.dole.comhttp://www.dole5aday.com
Company and Shareholder Information
THE COMPANY
Founded in Hawaii in 1851, Dole Food Company, Inc. is the largest producer and marketer of fresh fruits, fresh vegetablesand fresh-cut flowers, and markets a growing line of packaged foods. The Company does business in more than 90 countriesand employs approximately 59,500 full-time people.
Corporate HeadquartersOne Dole Drive, Westlake Village, CA 91362 (818) 879-6600
DOLE® IS A REGISTERED TRADEMARK OF DOLE FOOD COMPANY, INC.
©2000 DOLE FOOD COMPANY, INC. ALL RIGHTS RESERVED.
Corporate Officers: (Seated – Left to Right): David H. Murdock, David A. DeLorenzo(Standing – Left to Right): Patrick A. Nielson, Gil Borok, Roberta Wieman, George R. Horne, Kenneth J. Kay, Beth Potillo, Roger P. Shockley
Operating Officers:(Seated – Left to Right): David H. Murdock, David A. DeLorenzo (Standing – Left to Right): Juergen Schumacher, Michael J. Cavallero, William F. Feeney, Peter M. Nolan, Roberto Zacarias, Lorenzo de la Torre,Paul Cuyegkeng, Lawrence A. Kern
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