WHITE PLAINS, N.Y. (AP) - Bunge Ltd., an oilseed processor and global seller of fertilizers and bottled vegetable oils, on Monday cut its full-year financial forecast due to labor unrest in Brazil.
Bunge forecast 2006 earnings between $425 million and $445 million, or $3.50 to $3.67 per share, down from a previous target of $495 million to $515 million, or $4.08 to $4.25 per share. For the current second quarter, it projected ''poor results, close to breakeven.''
Wall Street's consensus earnings views are 77 cents per share for the current quarter and $4.12 per share for the full year, according to analysts surveyed by Thomson Financial.
The company said farmer protests in Brazil resulted in supply chain disruptions, plant stoppages and slow sales of agribusiness, fertilizer and edible oil products.
''While much of this protest activity has ceased, its effects on the second quarter will not be recovered in the second half of the year,'' said Bill Wells, chief financial officer, in a statement.
The company also said freight losses and competition were ''challenging'' for international marketing, and that Argentina continues to feel the effects of recently added crushing capacity.