Top Execs Replaced at Tree of Life 37748

Top Execs Replaced at Tree of Life

AMSTELVEEN, The Netherlands--Koninklijke Wessanen nv, parentcompany to Tree of Life and other health and wellness brands, has two newexecutives calling the shots at Tree of Life North America. In Wessanen's pressrelease, the company said that both the chief executive officer (CEO) and chieffinancial officer (CFO) had been "replaced."

Wessanen reported financial results were lower than expected for the companyas a whole for its fiscal 2002 (FY02), partly because of Tree of Life's lowerresults. Wessanen's FY02 net earnings, before goodwill amortization, exceptionalincome and expenses, are projected to come in between $37 million and $42million. Earnings per share fell below what the company had projected for theyear, with the company expecting $.53 to $.60 per share earned, rather than thepreviously expected $.75 per share.

The company is reviewing how the financial adjustments that need to be madein 2002 (results of which will be formally published Feb. 20) will impact 2003earnings; Wessanen does not expect its previously stated $.86 per share to bemet in 2003.

This news came with more company changes. "As a direct consequence, MacZondervan, chairman of the executive board, has decided to resign," thecompany reported. "Mr. Zondervan will not step down before, in the courseof this year through an orderly process, a successor has been appointed."Rick Thorne, a member of the executive board, will step into former Tree of LifeNA CEO Henry Puente's shoes; Tom Wissbaum took over CFO responsibilities fromDennis Oistacher.

These changes are in line with the company's continued efforts to bolster itswellness strategy. This strategy is directed at consumers with a health- andquality-conscious lifestyle. "The market for wellness foods is constantlygrowing, which is one of the reasons we are able to continually expand ouractivities in this area," the company states on its Web site (www.wessanen.com)."We intend to continue strengthening our leading market position by meansof above-average autonomous growth and targeted acquisitions. We will achievethese objectives by using our core competencies: marketing and branding,distribution and product development."

In September 2002, Tree of Life NA became Wild Oats' primary distributionpartner; the supernatural's sales are estimated to reach $158 million for FY03.