Nash Finch Company (Nasdaq: NAFC), a leading national food
distributor, announced today that the Minnesota Court of Appeals issued
an order dismissing an appeal filed by Rumson Capital, LLC challenging a
Hennepin County District Court’s order that
held Nash Finch properly adjusted the conversion rate on its Senior
Subordinated Convertible Notes due 2035 after the Company increased the
amount of dividends it paid to its shareholders.
"We are pleased that the Court of Appeals
dismissed the hedge fund’s appeal,”
said Alec Covington, President and Chief Executive Officer of Nash
Finch. "The order of dismissal leaves in place
the district court’s ruling that we properly
calculated the conversion rate on the convertible notes and finally
brings this matter to a close.”
About Nash Finch
Nash Finch is a Fortune 1000 company and one of the leading food
distribution companies in the United States. Nash Finch's core business,
food distribution, serves independent retailers and military
commissaries in 31 states, the District of Columbia, Europe, Cuba,
Puerto Rico, the Azores and Egypt. The Company also owns and operates a
base of retail stores, primarily supermarkets under the Econofoods(R),
Family Thrift Center(R), AVANZA(R) and Sun Mart(R) trade names. Further
information is available on the Company's website, www.nashfinch.com.
Forward Looking Statements
This report contains forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section 21E
of the Securities Exchange Act of 1934, as amended. Such statements
relate to trends and events that may affect our future financial
position and operating results. Any statement contained in this report
that is not statements of historical fact may be deemed forward-looking
statements. For example, words such as "may,”
"will,”
"should,”
"likely,”
"expect,”
"anticipate,”
"estimate,”
"believe,”
"intend,
”
"potential”
or "plan,” or
comparable terminology, are intended to identify forward-looking
statements. Such statements are based upon current expectations,
estimates and assumptions, and entail various risks and uncertainties
that could cause actual results to differ materially from those
expressed in such forward-looking statements. Important factors known to
us that could cause or contribute to material differences include, but
are not limited to the following:
-
the effect of competition on our distribution, military and retail
businesses;
-
general sensitivity to economic conditions, including volatility in
energy prices, food commodities and changes in market interest rates;
-
our ability to identify and execute plans to expand our food
distribution, military and retail operations;
-
possible changes in the military commissary system, including those
stemming from the redeployment of forces, congressional action and
funding levels;
-
our ability to identify and execute plans to improve the competitive
position of our retail operations;
-
the success or failure of strategic plans, new business ventures or
initiatives;
-
changes in consumer buying and spending patterns;
-
risks entailed by future acquisitions, including the ability to
successfully integrate acquired operations and retain the customers of
those operations;
-
changes in credit risk from financial accommodations extended to new
or existing customers;
-
significant changes in the nature of vendor promotional programs and
the allocation of funds among the programs;
-
limitations on financial and operating flexibility due to debt levels
and debt instrument covenants;
-
legal, governmental, legislative or administrative proceedings,
disputes, or actions that result in adverse outcomes, such as
adverse
determinations or developments with respect to the litigation or
Securities and Exchange Commission ("SEC”)
inquiry discussed in Part I, Item 3 of our Annual Report on Form 10-K
for the fiscal year ended December 29, 2007;
-
technology failures that may have a material adverse effect on our
business;
-
severe weather and natural disasters that may impact our supply chain;
-
changes in health care, pension and wage costs and labor relations
issues;
-
threats or potential threats to security or food safety; and
-
unanticipated problems with product procurement.
A more detailed discussion of many of these factors, as well as other
factors, that could affect Nash-Finch Company and our subsidiaries’
("Nash Finch” or "the
Company”) results is contained in Part I,
Item 1A, "Risk Factors,”
of our Annual Report on Form 10-K for the fiscal year ended December 29,
2007. You should carefully consider each of these factors and all of the
other information in this report. We believe that all forward-looking
statements are based upon reasonable assumptions when made. However, we
caution that it is impossible to predict actual results or outcomes and
that accordingly you should not place undue reliance on these
statements. Forward-looking statements speak only as of the date when
made and we undertake no obligation to revise or update these statements
in light of subsequent events or developments. Actual results and
outcomes may differ materially from anticipated results or outcomes
discussed in forward-looking statements. You are advised, however, to
consult any future disclosures we make on related subjects in future
reports to the SEC.