The Company is the largest sauerkraut manufacturer in the U.S.  The Company markets its own brands and co-packs for industrial food companies.  The Company is vertically integrated, operating its own farms and contracting with third-party cabbage growers.  It also imports specialty olives.

Fort Dearborn was engaged by the Company to perform an overall assessment of the Company, review the Company’s financial forecast and assist management in preparing a formal operating plan.

FDP performed the following key steps:

–Assisted management in refining the Company’s strategies with respect to pricing and supply chain management, which led to specific price increases and cost reduction initiatives;

–Provided the Board of Directors and debt lenders with an independent evaluation of the co-pack agreement with the Company’s largest customer, including an assessment of the economic benefit and risks associated with modifying the arrangement;

–Formalized the Company’s management reporting and review processes by helping management develop formal weekly and monthly management reports and initiating a formal monthly management review meeting; and

–Performed industry research and evaluated the Company’s plan for growth via new product development.

FDP identified potential pricing and supply chain savings opportunities.

Identified and presented key strategic issues to the Board of Directors, including independent directors, and assisted in formulating the Company’s go-forward strategies and tactics.

Presented our assessment to the Company’s Mezzanine Debt Lender and its Investment Committee to provide an independent assessment of the Company’s strategies and ability to achieve forecasted results.