Source: Chris Scott, MEATINGPLACE, 2/7/17


Tyson Foods has confirmed that it has received a subpoena from the Securities and Exchange Commission (SEC) that is likely connected to an antitrust lawsuit filed against the processor and several other major poultry producers last fall.

Tyson said in an SEC 10-Q filing that it is involved in six lawsuits accusing various segments of its business stemming from disputes with present and past employees that are proceeding in several jurisdictions. The class-action lawsuit filed last September accused Tyson and other companies colluded to fix broiler chicken prices since January 2008, an accusation Tyson denied and the company has filed motions to dismiss in a U.S. federal court in Chicago.

The 10-Q filing said that Tyson received an SEC subpoena Jan. 20 “in connection with an investigation related to the company.” The company added that it is cooperating with the investigation, which it described as being “at an early stage.” The filing said that based on the “limited information” Tyson has, the subpoena is “based upon the allegations” contained in the broiler chicken antitrust lawsuit.

Additional information beyond the SEC filing was not available.

Despite reporting record quarterly earnings, Tyson Foods shares closed Monday down by over 3 percent on the New York Stock Exchange.

Wall Street analysts voiced concern about the subpoena.

“Obviously it is not a positive” for Tyson shares, Reuters quoted JPMorgan analyst Ken Goldman as saying.

For more stories, go to www.meatingplace.com.