Friday 24 October 2014

Horsemeat scandal: Greencore shares slump after Asda withdraws sauce

Published 15/02/2013 | 11:15

SHARES in Greencore slumped as much as 22pc in early London trade today after the company confirmed it supplied a beef bolognese sauce to Asda which has been withdrawn from sale after an initial test suggested it contained horse meat.

The company is waiting for tests to determine how much horse DNA was in the sauce and said that the meat was supplied by ABP Foods in Nenagh, Co Tipperary.

Greencore, which is headed up by Patrick Coveney, also said earlier today that it has withdrawn three other products, none of which contain horse DNA, as a precaution.

They are 500g Meat Feast Pasta Sauce, 600g Beef Broth Soup and 400g Chile Con Carne Soup.

It said the revenue from the Beef Bolognese Sauce represented about £300,000 of its £1.16bn turnover.

In a statement the company said: “Greencore is committed to maintaining the highest standards of food safety and food traceability, and is therefore extremely concerned that the quality of one of its products may have been compromised in this way."

It added: "The company is participating in full with the intensive industry testing programme to examine the full supply chain in order to restore consumer confidence."

Separately, ABP confirmed that  it is a supplier to Greencore adding it never knowingly bought or processed horse meat.

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