Brazil's antitrust regulator, Cade, could ask the courts to name an auditor for Brasil Foods (BRFS3.SA)(BRFS.N), a food processor whose creation is being scrutinized by Cade for excess market power, Valor Economico newspaper said on Friday. Naming an auditor, who would make sure that any restrictions imposed by Cade are enforced within the company, is one possibility under consideration should regulators and company officials fail to reach an accord to break up the company, Valor said, without saying how it obtained the information. Only a judge can name an auditor, who can remain in the company for a maximum 180 days. The same judge would determine pay and other conditions for the auditor, the newspaper reported. Cade is currently reviewing the 2009 merger of Sadia and Perdigao, which created Brasil Foods. An official of the antitrust regulator recently said the merger would harm competition and consumer prices in Brazil, stoking investor concerns the merger could be rejected.
BRF - Brasil Foods S.A. (BRF) is a food company, which focuses on the production and sale of poultry, pork, beef cuts, milk, dairy products and processed food products under several brands. Shares of BRFS fell by 2.69% or $-0.45/share to $16.25. In the past year, the shares have traded as low as $12.75 and as high as $20.79. On average, 2363530 shares of BRFS exchange hands on a given day and today's volume is recorded at 168364.
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