The President and CEO of Chiquita Brands International (CQB) made a large insider buy on March 15. This marks the first insider buy for the company since 2011. President and CEO Edward Lonergan bought 50,800 shares for $7.23 per share for a total transaction amount of $367,284. Since his most recent buy, Lonergan holds on to 381,865 shares of Chiquita. The price per share has gone up 2.07% since this transaction.
Edward Lonergan has been President and CEO since October 2012. Prior to Chiquita, Lonergan served as the president and CEO of Diversey Inc., a provider of sustainable cleaning, sanitation and hygiene solutions. Lonergan also served in several leadership positions within The Gillette Company as well as The Procter & Gamble Company.
Chiquita is based out of Charlotte, N.C., and maintains subsidiaries on six different continents. Chiquita Brands produces and distributes bananas and other produce. Chiquita is the successor to the United Fruit Company and is the leading distributor of bananas in the U.S.
The company reported GAAP net loss of $408 million in 2012 compared to GAAP net income of $57 million for the full year 2011. Chiquita’s revenue has been in decline for the past five years. GuruFocus has also noted that Chiquita has a low Piotroski F-Score which implies poor business operation. In order to remedy this Chiquita changed leaders of the company in October 2012.
“Chiquita has made significant progress implementing its refocused strategic direction in the second half of 2012, and is well positioned for future growth,” said Ed Lonergan, President and CEO of Chiquita. “Chiquita has momentum as we start 2013. We remain focused on our core businesses of bananas and salads, and recent successes in both areas will add profitable volume in the coming year.”
With its shares up 5.68%, Chiquita trades at $7.81.
For more information on insider trading within Chiquita look at Chiquita’s Insider Trading page.
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