010302 IBP Reaffirms Desire to Cement Tyson Deal

Chicago - Beef processor IBP Inc. reaffirmed its desire to complete the acquisition of the company by poultry giant Tyson Foods Inc. as soon as possible, after Tyson said it wanted to change the merger process.

"While the process for completing this transaction will now change, the basic terms of the agreement do not," said IBP, which is trying to resolve accounting issues with regulators.

IBP said it continues to work to resolve the issues raised by the Securities and Exchange Commission and said it hopes the matter will be completed soon.

Earlier Wednesday, Tyson said it expects to terminate its tender offer for 50.1% of IBP's shares at $30 cash per share. The offer was to expire Wednesday.

Tyson, the No. 1 U.S. poultry producer, said that it would instead proceed with a cash-election merger, in which IBP shareholders could chose either cash or stock for their shares.

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