Strapped for Cash, DuPont Chieftess Does A Flip-Flop on Dubious Soya Investment!
Good Morning, Bonjour, Guten Tag,
Readers, some of you may remember last September, 2011, when Ms. Kullman's right-hand man and DuPont Exec. V. P. Mark Verguano was out fertilising the media with stories about how DuPont was looking at options to dispose of its interest in Solae, a joint venture with Bunge Ltd. Two weeks ago, DuPont unexpectedly announces it is not dumping Solae but instead ponying up $440 million to buy Bunge's 28% interest.
Solae dabbles in the stuff of soybeans (animal food), putting the sometimes Yuk-ky soya in food on your plate or in your drink. Think soy milk. In seven months' time DuPont Senior Management does a flip-flop and envisions this tired venture as a great investment for the future. What happened?
We believe Bunge (which is much larger than the shrunken DuPont in revenues, 2012 revenues expected to be $63 billion versus DuPont's $38 billion) outsmarted the vulnerable Ms. Kullman and crew.
[TO BE CONTINUED]
Merely the morning commentary and opinion of one individual investor and long-time student of the dysfunctional DuPont...funfun..
We strongly suspect that Bunge's savvy leaders out-manoeuvred Ms. Kullman and her muddled minions:
* They refused to buy DuPont's 78% interest for the unrealistically lofty price Empress Ellen demanded. And no one else wanted DuPont's interest.
* They quietly wanted to escape their association with the disreputable DuPont Company, whose last milestone agricultural innovation was a colossal $1 billion failure. Imprelis, Tell Us.
* They found it difficult to work with sneaky DuPont Managers and researchers, given DuPont's ingrained culture of dishonesty and dirty-play.
* They know the future is somewhat limited for soya ingredients and has been pretty much fully exploited in the intensely competitive global food industry.
* They found it daunting to try to get decisions made at Soyae, burdened with the highly hierarchical DuPont AG & NUT bureaucracy, now DuPont Health & NUT.
In any event, Bunge and BG shareholders are better off, now richer by a cool $440 million, and DuPont Management now has 100% of another run-of-the-mill food business to add to their conglomerate.
FOOTNOTE: Our projection of $38 billion for total 2012 DuPont revenues (versus $63 billion for Bunge) assumes DuPont will be successful in dumping its struggling DuPont Perf. Coatings with its $4 billion-plus in yearly revenues.
Wow, Folks, looks like dirty-playing operatives guarding DuPont Management sure don't want you to read the lead post. They have quickly slammed the post with 25 single stars effectively BLOCKING it from the view of a majority of unsuspecting readers with Yahoo! default settings of more than one star?
How do we know it was sleazy DuPont agents pulling this stunt for PR damage control? In past months, avowed DuPont employees, self-disclosed representatives of DuPont have actually bragged they engage in this cheap practice over the internet.
Bunge people are much better off not having to deal with sleazy DuPont Managers and their corrupt culture of CHEAT-to-COMPETE. Too much potential liability--Imprelis, Tell Us!