FORM 8-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of Earliest
Event Reported): October 17, 1994
CHIQUITA BRANDS INTERNATIONAL, INC.
(Exact name of registrant as specified in its charter)
New Jersey 1-1550 04-1923360
(State or other (Commission (IRS Employer
jurisdiction of File Number) Identification No.)
incorporation
250 East Fifth Street, Cincinnati, Ohio 45202
(Address of principal executive offices)
Registrant's telephone number, including area code: (513) 784-8011
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INFORMATION TO BE INCLUDED IN THE REPORT
Items 1, 2, 3, 4, 6 and 8 are not applicable and are omitted from
this Report.
Item 5. Other Events.
Reference is made to the Company's News Release issued October
17, 1994, attached as Exhibit 7(c)1., reporting that the United
States Government has agreed to initiate a formal investigation
under Section 301 of the Trade Act of 1974 against the new common
European Union banana import policy.
Item 7. Financial Statements and Exhibits.
(a) Financial Statements of Businesses Acquired.
Not Applicable.
(b) Pro Forma Financial Information.
Not Applicable.
(c) Exhibits.
1. News Release of the Company issued October 17,
1994.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of
1934, the Registrant has duly caused this report to be signed on
its behalf by the undersigned hereunto duly authorized.
Date: October 18, 1994 CHIQUITA BRANDS INTERNATIONAL, INC.
By /s/ William A. Tsacalis
William A. Tsacalis
Vice President and Controller
<PAGE>
Exhibit 7(c)1.
CHIQUITA APPLAUDS U.S. INTERVENTION IN BANANA DISPUTE
CINCINNATI, OHIO, October 17, 1994 -- Chiquita Brands
International, Inc. confirmed today that the United States
Government has formally agreed to assist the Company and the Hawaii
Banana Producer Association in seeking relief from the Banana trade
policies of the governments of the European Union, Costa Rica,
Colombia, Nicaragua and Venezuela.
United States Trade Representative, Ambassador Mickey Kantor
announced that the administration has agreed to initiate a formal
investigation under Section 301 of the Trade Act of 1974 against
the new common European Union banana import policy.
Additionally, the U.S. Government has officially advised the
governments of Costa Rica, Colombia, Nicaragua and Venezuela that
if they act to implement a GATT-illegal and discriminatory trade
policy known as the "Framework Agreement," or, any alternative
measures that are unreasonable or discriminatory, that those
governments will immediately be included in the Section 301 action.
Today's announcement is in response to a petition filed on
September 2, 1994 under Section 301 of the Trade Act by Chiquita
and the Hawaii Banana Industry Association seeking relief against
blatantly illegal trading practices that were designed to harm the
U.S. industry's ability to compete in the European Union.
Commenting on today's decision by the Government, Keith E. Lindner,
President and Chief Operating Officer of Chiquita said, "We applaud
the U.S. government's decision to accept this action and compliment
Ambassador Kantor for his strong commitment to upholding the
principles of free and fair world trade. The U.S. Government now
becomes a significant, major player in this dispute and will fight
to achieve fair treatment of the U.S. industry's interests on all
fronts."
Section 301 of the 1974 Trade Act authorizes U.S. companies to
petition the U.S. Government to investigate and seek redress
against unfair foreign trade acts, policies and practices that
either violate U.S. rights under GATT, or are unreasonable or
discriminatory and burden or restrict U.S. commerce. Section 301
authorizes the U.S. Government - unless satisfactory relief from
the unfair practices is forthcoming - to take retaliatory measures
such as tariffs or withdrawal of trade concessions against the
offending countries. In a bilaterally-conducted investigation,
once consultations begin, they continue as necessary until an
adequate agreement is reached or until the 12-month investigation
period expires.
The petition that was the subject of today's determination seeks
redress from the July 1, 1993, Common EU import banana policy and
against the "Framework Agreement". Through a system of restrictive
quotas and discriminatory allocation of licensing eligibility, the
new regime sharply limits market access, particularly for US banana
marketing companies in favor of some EU multinationals. In two
separate rulings, GATT panels found these banana policies to be
illegal.
In March 1994, Costa Rica, Colombia, Nicaragua, and Venezuela
reached a settlement of the GATT dispute with the European
Commission by signing the "Framework Agreement". That agreement
added to the illegalities by authorizing additional restrictive and
discriminatory quotas and licenses imposed on U.S. banana marketing
firms, while leaving EU firms exempt.
Chiquita is a leading international marketer, processor and
producer of quality fresh and prepared food products.
FOR FURTHER INFORMATION, PLEASE CONTACT:
Joseph W. Hagin (513) 784-8866
