|CONTACT: Rod Poland, Director of Corporate Communications, 517/372-9200|
LANSING, Mich., June 18, 2009 — Fortune Magazine has named Neogen Corporation (Nasdaq: NEOG) as a selection in its annual list of the “40 best stocks to retire on.”
Fortune first launched its Fortune 40 list in 2002, stating: “We wanted to assemble a diversified, dependable portfolio of stocks for the long term—a selection that could soar when the market did but also hold steady during darker times.”
“We are pleased any time we receive independent recognition of Neogen’s outstanding performance, and especially when it comes from a source as trusted as Fortune,” said James Herbert, Neogen’s CEO. “In our opinion, this list represents a valuable source of information for the investment community to help identify companies that are succeeding in a very difficult economic environment.”
In making its selection, Fortune said: “Newcomers include biotech Neogen (NEOG), which sells an array of products focused on food safety from farm to factory, including test kits that help foodmakers detect allergens, toxins, and bacteria like E. coli. This business should benefit from increased regulation and growing consumer concern about the food supply. The company, which boasts zero debt, posted its 64th consecutive profitable quarter in March.”
“This is one of the few companies that has grown through this entire [economic] mess, and we think it gets easier for them to grow from here,” Steven Crowley of Craig-Hallum Capital Group told Fortune. Crowley said he expects Neogen’s revenues to grow 10% and earnings to increase by 13% over the next year.
Fortune said that its Fortune 40, which is updated annually, has averaged 10% annualized returns since its inception in 2002, nearly doubling the S&P’s 5.1% over the same time period.
Sidoti & Company initiates research coverage of Neogen
Neogen’s success has also led to increased research coverage of the company, with a sixth firm now providing analysis. New York-based Sidoti & Company (www.sidoti.com) has joined Hilliard Lyons, Roth Capital Partners, Stonegate Securities, Stephens Inc. Investment Bankers, and Craig-Hallum Capital Group in providing coverage of Neogen.
Neogen Corporation develops and markets products dedicated to food and animal safety. The company’s Food Safety Division markets dehydrated culture media, and diagnostic test kits to detect foodborne bacteria, natural toxins, genetic modifications, food allergens, drug residues, plant diseases and sanitation concerns. Neogen’s Animal Safety Division markets a complete line of diagnostics, veterinary instruments, veterinary pharmaceuticals, nutritional supplements, disinfectants, and rodenticides.
Certain portions of this news release that do not relate to historical financial information constitute forward-looking statements. These forward-looking statements are subject to certain risks and uncertainties. Actual future results and trends may differ materially from historical results or those expected depending on a variety of factors listed in Management’s Discussion and Analysis of Financial Condition and Results of Operations in the Company’s most recently filed Form 10-K.