In June 2008, Dongwon and Del Monte signed an agreement for the sale of the Business. Since then, both parties have worked diligently and taken necessary steps to prepare for a successful transfer of the Business to Dongwon. Dongwon paid to Del Monte approximately $359 million for the Business, an amount that reflects an adjustment from the announced price in June due to changes in working capital.

“This transaction presents a great opportunity for us to initiate operations in the US by leveraging the StarKist brand as a household name,” remarked Mr. Ingu Park of Dongwon. “We are very excited. This acquisition should not only provide cost savings, but should also further Dongwon’s globalization strategies. Under Dongwon, StarKist will develop as a comprehensive seafood products provider rather than its current operation as a canned tuna maker. Building on our more than 40 years of experience in this industry, we are confident we can achieve this goal. In addition, we look forward to the economic benefits stemming from the integration of StarKist into the Dongwon family.”

StarKist is a 65-year-old iconic brand that holds the number one position in the US with approximately more than a 1/3 of market share in shelf stable tuna category during 2008 [YTD]. In particular, StarKist accounts for nearly 85% of US pouched tuna sales. StarKist is considered to have the best-in-class manufacturing and supply chain platform enabling it to take full advantage of its leading brand status. StarKist has manufacturing networks in American Samoa (the largest tuna manufacturing facility in the world), Ecuador and Terminal Island, California. Del Monte’s decision to sell the Business stemmed from its desire to pursue the realignment of its existing portfolio, and focus on its competitive strengths.

This transaction attracted much investor interest, as Dongwon is expected to enjoy significant synergies by joining strengths with StarKist. Dongwon’s world class fish procurement capacity is expected to provide Dongwon and StarKist with mutual benefits, while StarKist’s nationwide brand recognition and distribution networks in the US will support Dongwon’s penetration into the US market with its other food products. Dongwon also has announced its intention to implement creative and proactive growth strategies to stimulate growth in the US tuna market, and otherwise fortify StarKist’s position as a market leader.

Dongwon appointed Donald Binotto as President and CEO of StarKist. Mr. Binotto brings with him significant experience in this industry, having managed StarKist when it was owned by the H. J. Heinz Company. StarKist Co. will be headquartered in Pittsburgh, PA.