4S Ranch Allied Gardens Alpine Baja Balboa Park Bankers Hill Barrio Logan Bay Ho Bay Park Black Mountain Ranch Blossom Valley Bonita Bonsall Borrego Springs Boulevard Campo Cardiff-by-the-Sea Carlsbad Carmel Mountain Carmel Valley Chollas View Chula Vista City College City Heights Clairemont College Area Coronado CSU San Marcos Cuyamaca College Del Cerro Del Mar Descanso Downtown San Diego Eastlake East Village El Cajon Emerald Hills Encanto Encinitas Escondido Fallbrook Fletcher Hills Golden Hill Grant Hill Grantville Grossmont College Guatay Harbor Island Hillcrest Imperial Beach Imperial Valley Jacumba Jamacha-Lomita Jamul Julian Kearny Mesa Kensington La Jolla Lakeside La Mesa Lemon Grove Leucadia Liberty Station Lincoln Acres Lincoln Park Linda Vista Little Italy Logan Heights Mesa College Midway District MiraCosta College Miramar Miramar College Mira Mesa Mission Beach Mission Hills Mission Valley Mountain View Mount Hope Mount Laguna National City Nestor Normal Heights North Park Oak Park Ocean Beach Oceanside Old Town Otay Mesa Pacific Beach Pala Palomar College Palomar Mountain Paradise Hills Pauma Valley Pine Valley Point Loma Point Loma Nazarene Potrero Poway Rainbow Ramona Rancho Bernardo Rancho Penasquitos Rancho San Diego Rancho Santa Fe Rolando San Carlos San Marcos San Onofre Santa Ysabel Santee San Ysidro Scripps Ranch SDSU Serra Mesa Shelltown Shelter Island Sherman Heights Skyline Solana Beach Sorrento Valley Southcrest South Park Southwestern College Spring Valley Stockton Talmadge Temecula Tierrasanta Tijuana UCSD University City University Heights USD Valencia Park Valley Center Vista Warner Springs

Tyson Foods knocks some value off Circle Foods

The local company's assets deemed overvalued

Nuevo Grille mini and snack burritos from Circle Foods
Nuevo Grille mini and snack burritos from Circle Foods

Three years ago, Tyson Foods, the big Arkansas food company, purchased San Diego's Circle Foods, which makes foods such as tortillas and India flatbreads that can be cooked quickly in the home.

When a company makes an acquisition, it gives the name "goodwill" to the price it pays exceeding the tangible assets of the acquired company. These can be positive qualities, such as a strong brand name. However, if the value of the goodwill goes down, that past purchase price might be deemed to have been excessive. In such cases, the acquiring company takes an impairment charge on its balance sheet.

In its most recent quarterly report, Tyson took a $52 million impairment charge on its Circle Foods purchase. Most of the charge, $43 million, relates to property, plant and equipment.

Here's something you might be interested in.
Submit a free classified
or view all

Previous article

Superbloom lays claim to best café location in the city – updated Dec. 6

On a patio overlooking Mission Bay, even boring mochas taste good
Next Article

SDG&E workers fear wildfires and violent public

City of San Diego seeks to subsidize scooter rides
Nuevo Grille mini and snack burritos from Circle Foods
Nuevo Grille mini and snack burritos from Circle Foods

Three years ago, Tyson Foods, the big Arkansas food company, purchased San Diego's Circle Foods, which makes foods such as tortillas and India flatbreads that can be cooked quickly in the home.

When a company makes an acquisition, it gives the name "goodwill" to the price it pays exceeding the tangible assets of the acquired company. These can be positive qualities, such as a strong brand name. However, if the value of the goodwill goes down, that past purchase price might be deemed to have been excessive. In such cases, the acquiring company takes an impairment charge on its balance sheet.

In its most recent quarterly report, Tyson took a $52 million impairment charge on its Circle Foods purchase. Most of the charge, $43 million, relates to property, plant and equipment.

Sponsored
Here's something you might be interested in.
Submit a free classified
or view all
Previous article

San Diego – city of shame, University Avenue, roommates from hell, writers write about moms

Reader writers' favorite books, music, San Diego small towns, first day of school, the story I wanted to write but didn't
Next Article

San Diego roads that have disappeared, vanished movie palaces

The 1972 ITT scandal covered up, Roscoe Hazard's photos of hangings, Kevin Starr sanitizes San Diego history, the sad fig tree on Grape Street
Comments
10

The Tyson name has no goodwill in my home. They embody everything that is evil about the capitalist system. OTOH, if you are looking for bargain priced food they are hard to beat. Verify your health insurance first.

May 9, 2017

swell: Admittedly, the Tyson brand is not universally adored. Best, Don Bauder

May 10, 2017

I used to know a chicken plucker who worked for them in Arkansas. He had 'interesting' stories to tell about how the factories were run, and by whom (many illegal immigrants in those days). I suppose most slaughterhouses are home to stories we don't want to hear.

Tyson was also a political manipulator. I seem to recall that they got government handouts (the kind of thing intended for struggling small farmers) and other benefits in proportion to their political influence. That was long ago, perhaps they are better now.

May 10, 2017

swell: Tyson is based in Arkansas. So is Wal-Mart. Both have many warts on their ethics profiles. Best, Don Bauder

May 15, 2017

I recall a Tyson and some shady dealings a long time ago in Arkansas involving Bill and Hil. Or am I confusing things? If my memory is accurate, Tyson has been buying politicians and influence for decades.

So, they got a comeuppance, huh? Circle Foods? Never heard of them.

May 14, 2017

Visduh: I have covered San Diego business since 1973 and I have no recollection of Circle Foods. But advanced age is eroding my memory, admittedly. Yes, I vaguely recall a Clinton scandal regarding Tyson. Best, Don Bauder

May 15, 2017

None

"What are the odds that a person who has been unable to make more dramatic change than this in 12 years in a tiny rural state would be able to face and solve the problems of our great nation?" Mr. Perot asked after running through a parade of his trademark charts and graphs.

Mr. Perot also gently mocked the state's poultry industry -- hence the "Chicken Feathers" -- saying that one out of five jobs in the last 12 years created in Arkansas was created in the poultry business.

"Now, this is not an industry of tomorrow," the computer titan said. "If we decide to take this level of business-creating capability nationwide, we'll all be plucking chickens for a living. . . . So I guess you could say, the chickens keep on clucking and the people keep on plucking after 12 years of Governor Clinton's leadership."

May 14, 2017

Ponzi; Perot had some ethical disfigurations when he ran in 1992, and his family still has. Arkansas may be small and corrupt, but Texas is huge and REALLY corrupt. Best, Don Bauder

May 15, 2017

I posted that about Perot because I always remember his statement "So I guess you could say, the chickens keep on clucking and the people keep on plucking..." It cracks me up.

May 15, 2017

Ponzi: While the customers get plucked. Best, Don Bauder

May 17, 2017

Sign in to comment

Sign in

Ask a Hipster — Advice you didn't know you needed Big Screen — Movie commentary Blurt — Music's inside track Booze News — San Diego spirits Classical Music — Immortal beauty Classifieds — Free and easy Cover Stories — Front-page features Drinks All Around — Bartenders' drink recipes Excerpts — Literary and spiritual excerpts Feast! — Food & drink reviews Feature Stories — Local news & stories Fishing Report — What’s getting hooked from ship and shore From the Archives — Spotlight on the past Golden Dreams — Talk of the town Letters — Our inbox [email protected] — Local movie buffs share favorites Movie Reviews — Our critics' picks and pans Musician Interviews — Up close with local artists Neighborhood News from Stringers — Hyperlocal news News Ticker — News & politics Obermeyer — San Diego politics illustrated Outdoors — Weekly changes in flora and fauna Overheard in San Diego — Eavesdropping illustrated Poetry — The old and the new Reader Travel — Travel section built by travelers Reading — The hunt for intellectuals Roam-O-Rama — SoCal's best hiking/biking trails San Diego Beer — Inside San Diego suds SD on the QT — Almost factual news Sheep and Goats — Places of worship Special Issues — The best of Street Style — San Diego streets have style Surf Diego — Real stories from those braving the waves Tin Fork — Silver spoon alternative Under the Radar — Matt Potter's undercover work Unforgettable — Long-ago San Diego Unreal Estate — San Diego's priciest pads Your Week — Daily event picks
4S Ranch Allied Gardens Alpine Baja Balboa Park Bankers Hill Barrio Logan Bay Ho Bay Park Black Mountain Ranch Blossom Valley Bonita Bonsall Borrego Springs Boulevard Campo Cardiff-by-the-Sea Carlsbad Carmel Mountain Carmel Valley Chollas View Chula Vista City College City Heights Clairemont College Area Coronado CSU San Marcos Cuyamaca College Del Cerro Del Mar Descanso Downtown San Diego Eastlake East Village El Cajon Emerald Hills Encanto Encinitas Escondido Fallbrook Fletcher Hills Golden Hill Grant Hill Grantville Grossmont College Guatay Harbor Island Hillcrest Imperial Beach Imperial Valley Jacumba Jamacha-Lomita Jamul Julian Kearny Mesa Kensington La Jolla Lakeside La Mesa Lemon Grove Leucadia Liberty Station Lincoln Acres Lincoln Park Linda Vista Little Italy Logan Heights Mesa College Midway District MiraCosta College Miramar Miramar College Mira Mesa Mission Beach Mission Hills Mission Valley Mountain View Mount Hope Mount Laguna National City Nestor Normal Heights North Park Oak Park Ocean Beach Oceanside Old Town Otay Mesa Pacific Beach Pala Palomar College Palomar Mountain Paradise Hills Pauma Valley Pine Valley Point Loma Point Loma Nazarene Potrero Poway Rainbow Ramona Rancho Bernardo Rancho Penasquitos Rancho San Diego Rancho Santa Fe Rolando San Carlos San Marcos San Onofre Santa Ysabel Santee San Ysidro Scripps Ranch SDSU Serra Mesa Shelltown Shelter Island Sherman Heights Skyline Solana Beach Sorrento Valley Southcrest South Park Southwestern College Spring Valley Stockton Talmadge Temecula Tierrasanta Tijuana UCSD University City University Heights USD Valencia Park Valley Center Vista Warner Springs
Close