Farmland acquires Texas grain handling facility from Frito-Lay
June 01, 1999
by Teresa Acklin
KANSAS CITY, MISSOURI, U.S. Farmland Industries, Inc. has reached an agreement with U.S. snack food maker Frito-Lay, Inc., to acquire a 270,000-tonne grain handling facility in Hereford, Texas. The facility has been used by Frito-Lay to supply food-grade corn to U.S. snack food plants and other international businesses.
Under the acquisition agreement, Farmland will continue to supply corn to Frito-Lay. All of the 270,000 tonnes of storage at the Hereford facility will be used for Frito-Lay's processing needs, Farmland said.
Farmland said the acquisition was an important part of its strategy to identify and develop market opportunities for its producers' grain. The Hereford facility will be modified to allow 110-railcar units to be unloaded in less than 15 hours, Farmland said.