010845 Smithfield Approves Two-For-One Stock Split

Richmond, VA - Smithfield Foods' shareholders approved an amendment to the company's articles of incorporation providing for an increase in the authorized shares of common stock to 200 million from 100 million at the company's annual meeting of shareholders.

As previously announced, upon approval of the increase in authorized shares, the company's board of directors declared a two-for-one stock split in the form of a 100 percent stock dividend on Smithfield Foods' common stock. The stock dividend is payable on September 14 to shareholders of record on September 6. As of July 29, Smithfield Foods had 53, 451,000 fully diluted shares outstanding.

At the meeting, shareholders elected three directors to three-year terms: Ray A. Goldberg, John Schwieters and Melvin O. Wright. Messrs. Goldberg and Wright, whose terms were expiring, have been re-elected to the board. The election of Mr. Schweiters increases the number of members of the board to nine from eight. Mr. Schwieters, age 61, is vice chairman of Perseus L.L.C., a merchant bank and private equity fund management company. He formerly was managing partner of the Mid-Atlantic Region of Arthur Andersen LLP and is a director of Manor Care, Inc.

Shareholders also approved the performance award component of the Smithfield Foods, Inc. 1998 stock incentive plan, as amended, and ratified the election of Arthur Andersen LLP as the company's independent public accountants.

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