Vlasic Foods Is Expected to File for Bankruptcy

Vlasic Foods International, best known for its pickle-pushing cartoon stork in television commercials, is expected to soon file for bankruptcy protection and sell its core businesses. The moves by the long-troubled company might come as soon as this week, a source familiar with the situation said. Wall Street analysts said H.J. Heinz Co. is best-suited to buy Vlasic’s flagship pickle business, and ConAgra Foods Inc., owner of brands such as Banquet, Healthy Choice and Marie Callender’s, is likely to acquire the company’s Swanson frozen food products. A Vlasic spokesman declined to comment. Heinz and ConAgra also would not comment. Cherry Hill, N.J.-based Vlasic was spun off from Campbell Soup Co. in 1998 with a heavy debt load and quickly ran into trouble. Faced with steep competition, Vlasic began to suffer financial losses and miss earnings targets. Shares closed Friday at 63 cents on the NYSE, down about 90% from a 52-week high of $4.88.