Our chicken segment generated solid results and prepared foods improved, while pork struggled and beef further deteriorated, producing significant operating losses.

We entered fiscal 2006 knowing market conditions would be difficult, especially early in the year. During the first quarter, our chicken segment generated solid results and prepared foods improved, while pork struggled and beef further deteriorated, producing significant operating losses.

The beef segment suffered from low capacity utilization and declining boxed beef prices. The negative effect of high live cattle prices and lower sales was made worse by interruptions in export markets.

This is a unique opportunity for Tyson foods, the number one company in the chicken category, and the folks at IBP, who are the number one in the beef and pork industry, ... Seldom do you get the chance to put the leaders together in an industry and then move forward.