• ITVI.USA
    15,415.310
    54.710
    0.4%
  • OTLT.USA
    2.761
    -0.007
    -0.3%
  • OTRI.USA
    21.110
    -0.300
    -1.4%
  • OTVI.USA
    15,387.520
    55.710
    0.4%
  • TSTOPVRPM.ATLPHL
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    0.000
    0%
  • TSTOPVRPM.CHIATL
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    0.190
    6.4%
  • TSTOPVRPM.DALLAX
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    0.150
    10.4%
  • TSTOPVRPM.LAXDAL
    3.330
    0.020
    0.6%
  • TSTOPVRPM.PHLCHI
    2.170
    0.020
    0.9%
  • TSTOPVRPM.LAXSEA
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  • WAIT.USA
    125.000
    -1.000
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  • ITVI.USA
    15,415.310
    54.710
    0.4%
  • OTLT.USA
    2.761
    -0.007
    -0.3%
  • OTRI.USA
    21.110
    -0.300
    -1.4%
  • OTVI.USA
    15,387.520
    55.710
    0.4%
  • TSTOPVRPM.ATLPHL
    3.300
    0.000
    0%
  • TSTOPVRPM.CHIATL
    3.140
    0.190
    6.4%
  • TSTOPVRPM.DALLAX
    1.590
    0.150
    10.4%
  • TSTOPVRPM.LAXDAL
    3.330
    0.020
    0.6%
  • TSTOPVRPM.PHLCHI
    2.170
    0.020
    0.9%
  • TSTOPVRPM.LAXSEA
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  • WAIT.USA
    125.000
    -1.000
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American Shipper

Dole to sell assets to cover debt

Dole to sell assets to cover debt

Westlake Village, Calif.-based Dole Food Co., the world's largest fresh-fruit and vegetable producer, is facing its own credit crunch and is looking to sell off land in Hawaii and California to avoid defaulting on $350 million in bonds.

   The revenue generated from the unidentified assets would be used to infuse emergency capital into the firm. Dole's $350 million issuance, one-third of the firm's outstanding debt, is set to mature in 2009 and has dropped 13 percent this year. A JPMorgan Chase & Co. valuation model of credit-default swaps suggests a 76 percent chance of default in the next five years, according to Bloomberg News.

   Dole has seen its ability to repay debt dwindle after being hit with a more than a 100 percent increase in European banana tariffs in 2006 and facing recent dramatic increases in shipping costs. The firm, which reported $7 billion in revenue last year, has so far absorbed the added costs as it has been battling chief rival Chiquita Brands International Inc. in the European market.

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