Procter & Gamble delays the $1.5B Pringles sale until June 2012 after Diamond Foods announced an investigation into its accounting.
Procter & Gamble Co. (P&G), Cincinnati, says it’s postponing the sale of its Pringlesdivision to Diamond Foods Inc., until the end of June 2012 because of an internal investigation by Diamond into its accounting.
P&G says it had originally expected to close the sale by the end of this year. San Francisco-based Diamond Foods indicates that its board of directors is looking into external communication regarding the company's accounting for crop payments to walnut growers. P&G says the sale will take place after the investigation is completed.
The companies announced the deal in April. It would complete P&G's exit from all major food businesses.