by David Manger | 24 Jul 09
On Friday, Alexander & Baldwin ALEX reported results . . .
… Losses in the agriculture business continue to hinder overall profitability, despite multiple cost-reduction efforts. As a result, management plans to make an announcement regarding the future of the segment by year-end. Given its unprofitable nature, we would prefer A&B to exit the business all together and focus resources elsewhere. Nevertheless, we remain encouraged by the firm’s strong financial position and expect it to bolster its land holdings at current prices.
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