Sure. Sources with direct knowledge of the situation told Reuters that BRFS has reached an agreement with Brazilian antitrust regulators to avert a break-up of the world's largest poultry exporter.(a temporary halt in Brasil Foods' use of a flagship brand and asset sales and the company will stop selling some products under the popular Perdigao brand). Company officials and the antitrust agency Cade are still discussing parts of the agreement, which could be voted on later Wednesday. Cade board members are scheduled to decide whether the 2009 deal that created Brasil Foods -- the takeover of Sadia by smaller rival Perdigao -- hurts competition. Analysts expect Cade's five councilors to approve the merger with severe restrictions.
An agreement with Cade would be a victory for Brasil Foods, a Sao Paulo-based food processing giant whose brands dominate supermarket shelves all over Brazil. The cost of an outright break-up of the company would have been much greater than unloading some assets and brands.
Trading in Brasil Foods shares had to be halted while Cade deliberates on the case.