CHARLOTTE, N.C. — Snyder’s-Lance, Inc. on Friday lowered its expected fiscal 2011 diluted earnings per share range to 75c to 90c, excluding special items, from 85c to $1 previously. “The primary driver for the decline in guidance is lower profit margins for the company’s private brand products, resulting primarily from a lag in pricing realization compared to the cost of commodities,” Snyder’s-Lance said. Additionally, Snyder’s-Lance said it expects e.p.s. for the second quarter ended July 2, 2011, to be in the range of 15c to 17c, excluding special items, and anticipates recording a $15 million after-tax charge related to the impairment of transportation equipment and severance expenses. The charges relate to the conversion of the company’s direct-store delivery system to an independent operator model, consistent with the integration plan following the merger with Snyder’s of Hanover, Inc. Including special items, the company expects second-quarter e.p.s. to be a loss in the range of 5c to 7c. Snyder’s-Lance will issue full second-quarter results in early August.
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