Heinz Q2 Profits Improve

NEW YORK - Nov 22/05 - SNS -- H.J. Heinz Company reported net income of U.S. $203.8 million on sales of $2,338.8 million during the second quarter ending October 26, compared to a net of $199 million on sales of $2,199.6 million during the same three month period last year.

This lifted net income for the first half of the 2006 fiscal year to $361 million on sales of $4,449 million, compared to a bet of $393.8 million on sales of $4,202.6 million during the first six months of the previous fiscal year.

The company said the 6.3% increase in second quarter sales reflects improvements in all sales measures. Volume increased 0.6%, driven primarily by the North American Consumer Products segment, as well as the Australian and Indonesian businesses.

These volume increases were partially offset by declines in the European frozen food and convenience meals businesses, the Tegel poultry business in New Zealand and the U.S. Foodservice segment. Pricing and foreign exchange increased sales slightly, both by 0.2%.

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