SC 13E3/A

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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

SCHEDULE 13E-3
Rule 13e-3 Transaction Statement under Section 13(e)
of the Securities Exchange Act of 1934
(Amendment No. 1)

Dole Food Company, Inc.(Name of the Issuer)

David H. Murdock
DHM Holding Company, Inc.
DHM Acquisition Company, Inc.
Dole Food Company, Inc.(Names of Persons Filing Statement)

Common Stock, No Par Value(Title of Class of Securities)

256605106(CUSIP Number of Class of Securities)

Roberta Wieman
10900 Wilshire Boulevard, 16th Floor
Los Angeles, CA 90024-6501
Telephone: (310) 208-6055
(Name, Address, and Telephone Numbers of Person Authorized to Receive
Notices and Communications on Behalf of the Persons Filing Statement)

copy to:
  
Peter J. Tennyson, Esq.,
Paul, Hastings, Janofsky & Walker LLP,
Seventeenth Floor, 695 Town Center Drive,
Costa Mesa, CA 92626-1924
Telephone: (714) 668-6200

This statement is filed in connection with (check the appropriate box):

a.	ý	The filing of solicitation materials or an information statement subject to Regulation 14A (§§240.14a-1 through 240.14b-2), Regulation 14C (§§240.14c-1 through 240.14c-101) or Rule 13e-3 (c) (§240.13e-3(c)) under the Securities Exchange Act of 1934 ("the Act").
b.	o	The filing of a registration statement under the Securities Act of 1933.
c.	o	A tender offer.
d.	o	None of the above.

Check the following box if the soliciting materials or information statement referred to in checking box (a) are preliminary copies:  o

Check the following box if the filing is a final amendment reporting the results of the transaction:  o

Calculation of Filing Fee

Transaction valuation*	Amount of filing fee
$1,472,737,597	$135,492

*

The filing fee is determined based upon the sum of (a) the product of 43,088,903 shares of common stock and the merger consideration of $33.50 per share (equal to $1,443,478,251) and (b) the difference between the merger consideration of $33.50 per share and the exercise price per share of each of the 3,593,209 shares of common stock options outstanding in which the exercise price per share is less than $33.50 per share (equal to $29,259,346). In accordance with Exchange Act Rule 0-11(c) the filing fee was determined by calculating a fee of $92 per $1,000,000 of the aggregate merger consideration of $1,472,737,597.

ý	Check the box if any part of the fee is offset as provided by §240.0-11(a)(2) and identify the filing with which the offsetting fee was previously paid. Identify the previous filing by registration statement number, or the Form or Schedule and the date of its filing.
	Amount Previously Paid:	$135,492
	Form or Registration No.:	Schedule 14A
	Filing Party:	Dole Food Company, Inc.
	Date Filed:	December 24, 2002

INTRODUCTION

        This Amendment No. 1 to Schedule 13E-3 (this "Schedule 13E-3/A") amends and supplements the Rule 13E-3 Transaction Statement on Schedule 13e-3 filed with the Securities and Exchange Commission (the "SEC") on December 24, 2002 by David H. Murdock, DHM Holding Company, Inc., a Delaware corporation ("Parent"), DHM Acquisition Company, Inc., a Delaware corporation ("Purchaser"), and Dole Food Company, Inc. ("Dole"), a Delaware corporation and the issuer of the equity securities that are the subject of the Rule 13e-3 transaction. Pursuant to an Agreement and Plan of Merger among Parent, Purchaser, Mr. Murdock and Dole dated as of December 18, 2002, Purchaser will merge with and into Dole. Purchaser is a newly formed Delaware corporation wholly-owned by Parent, a newly formed Delaware corporation wholly-owned by Mr. Murdock.

        In the merger, each issued and outstanding share of Dole common stock will be cancelled and automatically converted into the right to receive $33.50 in cash, without interest or any other payment thereon, with the following exceptions: shares of Dole common stock owned by Parent and Purchaser and their affiliates or by Dole or by any of Dole's subsidiaries will be cancelled without payment and shares of Dole common stock held by stockholders who properly exercise appraisal rights will be converted into the right to receive the appraised value for such shares. Upon completion of the merger, the entire equity interest in Dole will be indirectly-owned by David H. Murdock through Parent.

        Concurrently with the filing of this Schedule 13E-3/A, Dole is filing a definitive proxy statement pursuant to which the stockholders of Dole will be given notice of a special meeting at which they will be asked to adopt the merger agreement. The information set forth in the definitive proxy statement, including all schedules and appendices thereto, is hereby expressly incorporated herein by reference in answer to Items 1 through 15 of this Schedule 13E-3/A.

Item 16. Exhibits.

(a)(2)	Definitive proxy statement on Schedule 14A filed with the Securities and Exchange Commission on February 14, 2003 (incorporated herein by reference to the definitive proxy statement).
(c)(3)	Materials presented by Goldman, Sachs & Co. to the special committee on December 18, 2002.

SIGNATURE

        After due inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct.

/s/  DAVID H. MURDOCK (Signature)

David H. Murdock (Name and title)

February 14, 2003 (Date)

3

EXHIBIT INDEX

EXHIBIT NUMBER	DESCRIPTION
(a)(2)	Definitive proxy statement on Schedule 14A filed with the Securities and Exchange Commission on February 14, 2003 (incorporated herein by reference to the definitive proxy statement).
(c)(3)	Materials presented by Goldman, Sachs & Co. to the special committee on December 18, 2002.

4

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Item 16. Exhibits.

SIGNATURE
EXHIBIT INDEX

EX-99.(C)(3)

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Exhibit 99(c)(3)

Special Committee Discussion Materials

Goldman, Sachs & Co.

18-December-2002

Table of Contents

I.    Review of Proposal and Recent Developments

II.    Valuation Perspectives

III.  Review of Trading Performance

Appendix A:    Financial Performance

Appendix B:    Common Stock Comparison

I. Review of Proposal and Recent Developments

1

Summary of Proposed Transaction Terms

Price Per Share	$33.50
Consideration	Cash
Implied Premium	36.8% to Previous Close (Friday, September 20)
Total Equity Value	$1.903 billion (based on 05-Oct-2002 balance sheet)
Total Enterprise Value	$2.385 billion (based on 05-Oct-2002 balance sheet)
Accounting Method	•	Purchase
Mechanics	•	One-step merger
Significant Conditions to Merger	•	The merger requires the approval of a majority of the non-Murdock shares
	•	Completion of financing or alternative financing (see Summary of Financing Commitments)
	•	Subject to certain exceptions, there shall not have occurred an adverse change (a) affecting the financing condition, business, assets, properties, operations or results of operations of the Company or any of its subsidiaries, which is material to them as a whole or (b) which would prevent or materially impair the Company from consummating the merger
	•	The Company shall provide Purchaser with a written notice 72 hours prior to entering into an agreement with respect to a Transaction Proposal
	•	Receipt by the Special Committee of a solvency opinion
Termination Date	•	April 30, 2003
Deal Protection	•	Company is responsible for Murdock's expenses not to exceed $25 million in the event a Transaction Proposal is entered into with a third party, the Company withdraws or adversely modifies its approval or recommendation of the merger following the public announcement of a Transaction Proposal or in the event of a material breach of any covenant or representation or warranty in the Agreement

2

Summary of Financing Commitments

Bank Group	Deutsche Bank Securities Inc. The Bank of Nova Scotia Bank of America Securities LLC
Facilities	$1,150 mm Senior Secured Financing, comprised of a $250 mm Term Loan A, a $600 mm Term Loan B and $300 mm in Revolving Loan Facilities $350 mm Operating Company Senior Bridge Loan* $100 mm (proceeds) Holding Company Senior Bridge Loan* * To be redeemed by $350 mm Senior Subordinated Notes and $100 mm (proceeds) PIK Notes, respectively
Key Conditions	Each Agent's commitments and agreements hereunder are subject to:
Company Material Adverse Effect	There not occurring or becoming known to any Agent any condition or circumstance which has had, or could reasonably be expected to have, a material adverse effect on the Transaction or on the property, assets, nature of assets, operations, liabilities, condition (financial or otherwise) or prospects of Holdings, Acquisition Corp. or Dole and its subsidiaries (the "Business") taken as a whole (each, a "Material Adverse Effect")
New Information	No Agent becoming aware (whether as a result of its due diligence analyses and review or otherwise) after the date hereof of any information not previously known to such Agent which such Agent believes is materially negative information with respect to the Transaction or the business, property, assets, nature of assets, operations, liabilities, condition (financial or otherwise) or prospects of Holdings, Acquisition Corp. or the Business taken as a whole, or which is inconsistent in a material and adverse manner with any such information or other matter disclosed to any Agent prior to the date hereof

3

Syndication and Financial Markets	There not having occurred:
	•	A material adverse change, after the date hereof, to the syndication market for credit facilities similar in nature to the Credit Facilities contemplated herein
	•	A material disruption of, or (after the date hereof) a material adverse change in, financial, bank debt or capital markets that could materially impair the syndication of the Senior Secured Financing, in each case as determined by any of the Joint Lead Arrangers in its sole discretion
	•	A suspension of trading in securities generally on the New York or American Stock Exchange or the establishment of minimum or maximum prices on any such exchange
	•	A banking moratorium (or the declaration thereof) by New York or United States authorities
War/Hostilities	•	An outbreak or escalation of hostilities between the United States and any foreign power
	•	An outbreak or escalation of any other insurrection or armed conflict involving the United States or any other national or international calamity or emergency
Minimum Ratings	The requirement that:
	•	The Senior Secured Financing receive a rating of not less than BB- (with a stable outlook) from Standard & Poor's Ratings Services ("S&P") and not less than Ba3 (with a stable outlook) from Moody's Investor's Services, Inc. ("Moody's") and
	•	The New Senior Notes receive a rating of not less than B- (with a stable outlook) from S&P and not less than B3 (with a stable outlook) from Moody's, each of which ratings (and outlooks) shall remain in effect on the Merger Date
Equity Commitment	$125 mm cash + $438 mm rollover contribution to Holdings
EBITDA	The receipt by the Agents prior to the Proxy Mailing Date of consolidated financial statements of the Business which shall demonstrate that Adjusted Consolidated EBITDA (to be defined to the reasonable satisfaction of the Agents) for the Business for the twelve months ended December 31, 2002 (and, if such proxy materials are delivered after January 31, 2003, for the twelve months then last ended prior to the mailing of the proxy materials) is at least $400.0 million
Diligence	The completion of the Agents' customer call due diligence and confirmatory business, legal, environmental, tax, financial and accounting due diligence with respect to the Transaction and the Business and each Agent's satisfaction with the results thereof

4

Transaction Sources and Uses

($ in millions)

Uses of Funds		Amount		Note
Buy basic shares outstanding		$	1,882	56,175,750 shares outstanding * $33.50
Pay for exercise of options			22	3,160,269 options in the money at $33.50, net of tax
Rollover existing debt			555	$400 mm 7.25% Sr. Notes due 2009 and $155 mm 7.88% Debentures due 2013
Retire existing debt			510	$210 mm 7.00% Notes due 2003 and $300 mm 6.38% Notes due 2005
Premium to retire existing debt			32	MWC of T+15 bps on the 6.38% Notes, plus accrued interest
Financing costs			51	2.50% bank, 3.00% high yield, 4.00% PIK, 1.00% bridge, 0.25% consent and ticking
Fees			32	Estimated advisory, legal and other fees
	Total Uses	$	3,084

Sources of Funds		Amount		Note
Revolver		$	110	$300 mm total facility. Assume L + 4.00%
Term loan A			250	Assume L + 4.00%
Term loan B			600	Assume L + 4.25%
Funds from sale/leaseback			57	Plane (via GE Capital) and Miami facility (via Murdock affiliate)
Rollover existing debt			555	$400 mm 7.25% Sr. Notes due 2009 and $155 mm 7.88% Debentures due 2013
Senior subordinated notes			350	Assume 11.00% coupon
PIK notes			100	Gross proceeds. Assumed 15.00% coupon + warrants
Rollover equity			438	13,086,847 shares owned by DHM * $33.50
New equity			125	Cash contribution from Castle & Cooke
Cash on hand			499
	Total Sources	$	3,084

5

Review of Buyer Contacts

•

Goldman contacted 17 financial buyers and 11 strategic buyers to gauge their interest in acquiring Dole. One additional financial buyer contacted Goldman for information



•

Seven financial buyers and one strategic buyer signed Confidentiality Agreements and received the Confidential Information Memorandum



•

Three groups of financial buyers and one strategic buyer submitted an initial indication of interest for the following values:



—

At or above $30 per share



—

At least $30 per share



—

$31 per share



—

$32.41 to $35.98 per share (bidder subsequently indicated not interested in entire Company)




•

One financial buyer group engaged in due diligence with the management of Dole

6

Review of Murdock Proposal

($ in millions, except per share)

Overview of Proposal		100% Shares		Shares Not Currently Owned by Murdock(1)
Offer price per share		$	33.50	$	33.50
Basic number of shares outstanding(1)			56		43
Number of in-the-money options outstanding(1)			3		2
Implied Equity Consideration(2)		$	1,903	$	1,458
	Cash (05-Oct-2002)	$	683
	Debt (05-Oct-2002)		1,165
	Net Debt (05-Oct-2002)		482
Implied Enterprise Value		$	2,385

Multiples Analysis				As of 16-Dec-2002(3)		As of 23-Sep-2002(4)
	Enterprise Value/LTM EBITDA	$	375	6.4	x	6.6	x
	Enterprise Value/2002E EBITDA(5)		401	6.0		5.7
	Enterprise Value/2003E EBITDA(5)		405	5.9		5.7
	Price/2002E EPS(6)	$	2.65	12.6	x	11.1	x
	Price/2003E EPS(6)		3.04	11.0		9.8	x

(1)

As of 23-Sep-2002, Murdock owned 13.1 million shares and had the option to buy 0.9 million shares of Dole Food Company, Inc.

(2)

Basic equity value calculated using 56.1 mm basic shares outstanding multiplied by purchase price per share. Total equity consideration includes the purchase of an additional 3.2 mm options at various strike prices below the offer price, assuming a marginal tax rate of 41%.

(3)

Enterprise value of current proposal calculated using $33.50 per share plus net debt of $482 mm as of 05-Oct-2002. LTM EBITDA as of 05-Oct-2002 of $375 mm excludes pre-tax $9.2 mm of legal reserves.

(4)

Enterprise value of original proposal calculated using $29.50 per share plus net debt of $629 mm as of 15-Jun-2002. LTM EBITDA as of 15-June-2002 was $345mm.

(5)

Company projections.

(6)

IBES estimates. 2003E EPS was $3.01 on 23-Sep-2002 and $3.04 on 02-Dec-2002.

7

Murdock Proposal

Deal Economics

($ in millions, except per share)

Premium vs. Historical Share Price	Premium Analysis

Source: Factset

8

Market Reaction

Trading Since 23-Sep-2002

Source: Factset
Note: Average trading volume for six months prior to offer was 365,000 shares per day.

9

Shares Traded at Various Prices

	Weighted Average Price		Shares Traded as % of Total Shares Outstanding		Shares Traded at or above $33.50(mm)	% of Shares Traded at or above $33.50
Since 9/23	$	28.94	55.8	%	0.0	0.0	%
6 Months		30.06	71.4		2.6	6.6
1 Year		27.84	136.6		2.6	3.4
3 Years		21.41	336.2		2.6	1.4

Since 9/23	6 Months
1 Year	3 Years

Source: Factset

10

Earnings Estimates and Recent Analyst Comments

		EPS Estimates
Firm						LT Growth		Current Rating	Price Target
	Estimate Date	FY 2002E		FY 2003E							Comments
Bear Stearns Terry Bivens	06-Nov 2002	$	2.65	$	3.01	10-15	%	Outperform	$	40	•	Dole reported Q3 EPS today of $0.24, above our prior $0.20 estimate and the consensus $0.21, on sales of $1.25 billion, up 3.8% from the year-ago period. Growth drivers were: higher Asian banana pricing, increased volumes in European ripening and distribution business, higher pricing and volume in premium pineapples and favorable foreign exchange
											•	For the first time, Dole offered 2003 EPS guidance of $2.83-$2.93, well below our estimate of $3.01 and the consensus outlook of $3.03. The $2.83-$2.93 range implies 7-10% bottom line growth on the $2.65 forecast for 2002. We believe management may be conservative in providing this guidance, and we maintain our $3.01 EPS forecast for next year
											•	We reiterate our Outperform rating on the Dole shares and our $40 price target. This target would imply a 13.3x forward-looking P/E valuation, still below the small/mid-cap group average of 13.8x, and a 6.5x EV/EBITDA valuation, as compared to 7.3x for the group, on a calendar 2003 basis. Furthermore, the Dole shares currently have a book value of $13.17, so the $40 target represents about 3x price-to-book, which we consider a compelling valuation
Deutsche Bank Eric Katzman	05-Sep 2002		2.65		3.07	9	%	Buy		36	•	We are initiating coverage on Dole with a BUY investment opinion. The stock is compelling based on: (1) market share leadership, (2) improving cost structure, (3) value-added products, (4) valuation. The stock is currently trading at the following 2003E multiples: 8.8x P/E, 7.0x EBIT, 5.1x EBITDA, and 0.5x sales. These multiples are well below other commodity-oriented companies, despite Dole's leading share, value-added products and free cash flow
											•	Dole has improved its cost structure, a key in a commodity-influenced business, particularly in areas like fresh vegetables and bananas. Dole is making solid gains in higher margin products
U.S. Bancorp Piper Jaffray Eric Larson	01-Dec 2002		2.65		2.90	12	%	Outperform		34	•	On balance, fundamentals remain positive near term. Growth in premium pineapples, higher banana pricing in Asia, favorable euro currency translation, and significant cost savings are positives as we enter 2003. Potential offsets are significantly lower domestic banana prices, reduced profitability in fresh vegetables, unfavorable yen currency translation, and higher marketing spending in packaged foods
											•	As Dole gets further past its recent earnings trough, we believe the stock will return to its 10-year median forward P/E multiple range, yielding a $34 stock price (12.8x FY02 EPS). The Company also carries $683 million cash, or $12.06 per share on its balance sheet. The prudent reinvestment of cash will become more important to investors over the next 12 months
IBES Median(1)		$	2.65	$	3.04
IBES Mean(1)			2.68		3.02

(1)

Updated for all estimates after 3Q2002 earnings release, including analyst coverage not shown in detail.

11

II. Valuation Perspectives

12

Stock Price Performance and Trading Volume
1997 - 2002

Source: Factset

13

Implied Stock Price Performance

Based on Composite Performances Since 20-Sep-2002

Source: Factset

(1)

Food Composite includes Archer Daniels Midland, Bunge, Conagra, Corn Products, Dean Food, Del Monte Foods, Flowers Foods, Hormel Foods, San Miguel, Smithfield Foods and Tyson Foods.

(2)

Banana Composite includes Chiquita, Fresh Del Monte and Fyffes.

14

Summary Public Market Trading Comparison(1)

EV/2002E EBITDA 2003E P/E Multiple

(1)

See Appendix B for detail and related footnotes. Del Monte projections not available.

15

Premiums of Selected Transactions

Selected Public Food Company Transactions

Date Announced	Acquiror	Target (Parent)	Premium to Undisturbed Price (%)		Premium to 30 Days Prior to Undisturbed Price (%)
Jul-2001	Sara Lee Corporation	The EarthGrains Company	55	%	52	%
Apr-2001	Suiza Foods	Dean Foods	26		27
Jan-2001	Tyson Foods	IBP	64		32
Dec-2000	Cargill	Agribrands International	50		25
Jun-2000	ConAgra	International Home Foods	44		34
Mar-1997	IBP	Foodbrands America	49		59
Mean			48	%	38	%
Median			50		33

Cash Transactions Between $1 - 4 Billion, U.S. Targets

		Premium 1 Day Prior				Premium 30 Days Prior
Year Announced	Number of Deals
		Mean		Median		Mean		Median
1995	8	40	%	33	%	51	%	53	%
1996	6	21		19		25		26
1997	9	17		17		33		36
1998	9	28		21		32		27
1999	19	38		31		45		41
2000	11	51		45		54		49
2001	10	38		50		40		28
2002	5	38		29		54		52
Total Deals	77	35	%	26	%	42	%	37	%

16

Precedent Food Transactions
2000 - 2002

($ in millions)

									Enterprise Value Multiple of LTM (x)
Date Announced		Target (Parent)	Equity Consideration ($ mm)(a)(b)			Enterprise Valuation ($ mm)(a)									Equity Value to NTM(c) Earnings (x)		Premium to Undisturbed Price (%)(d)		EBITDA Margin (%)
	Acquiror								Sales		EBITDA		EBIT
Jun-2002 Pending	Del Monte	Heinz pet, tuna and baby foods (Heinz)		1,687.0			2,787.0		1.55		8.2		10.5		N.A.		N.A.		18.9
May-2002	Hicks, Muse, Tate & Furst	Swift & Company (ConAgra)		324.1			1,554.1		0.20		N.A.		8.0		N.A.		N.A.		N.A.
Apr-2002	Associated British Foods	Mazola and other brands (Unilever)		360.0			360.0		1.15		N.A.		N.A.		N.A.		N.A.		N.A.
Oct-2001 Pending	J.M. Smucker	Jif and Crisco Brands (Procter & Gamble)		671.1	(c)		671.1	(d)	1.14	(e)	5.2	(f)	6.1	(g)	N.A.		N.A.		22.1
Aug-2001	Performance Food Group	Fresh Express		264.9			312.6		0.60		7.4		11.4		N.A.		N.A.		8.1
Jul-2001 Pending	Sara Lee Corporation	The EarthGrains Company		1,836.4			2,785.7		1.07		10.2		23.0		24.1		54.8		10.5
Apr-2001 Pending	Suiza Foods(h)	Dean Foods		1,474.8			2,411.6		0.56		7.0		10.8		13.9		25.9		8.0
Mar-2001	Hicks, Muse, Tate & Furst	North American Food Business (Vlasic Foods)		370.0			370.0		0.49		N.A.		N.A.		N.A.		N.A.		N.A.
Feb-2001 Pending	George Weston	Bestfoods Baking Company (Unilever)		1,765.0			1,765.0		0.98		N.A.		N.A.		N.A.		N.A.		N.A.
Jan-2001	Campbell Soup	European Soup Assets (Unilever)		1,000.0			1,000.0		2.42		12.2		19.2		N.A.		N.A.		19.8
Jan-2001	Hormel Foods	Jerome Foods (The Turkey Store)		334.4			354.4		1.06		7.5		9.7		N.A.		N.A.		14.1
Jan-2001	Tyson Foods(i)	IBP		3,227.4			4,631.2		0.27		7.4		10.4		11.5		63.8		3.7
Dec-2000	Cargill	Agribrands International		575.8			433.8		0.36		5.3		7.6		10.5		50.3		6.8
Jul-2000	Doughty Hanson	RHM Europe (Tomkins)		1,008.2			2,139.4		0.84		N.A.		9.8		N.A.		N.A.		N.A.
Jul-2000	CSM	European Bakery Supplies (Unilever)		637.1			637.1		0.74		N.A.		11.6		N.A.		N.A.		N.A.
Jun-2000	McCormick	Ducros (Eridania Beghin-Say)		396.6			396.6		1.80		N.A.		18.6		N.A.		N.A.		N.A.
		High	$	3,227.4		$	4,631.2		2.42	x	12.8	x	28.7	x	24.1	x	63.8	%	28.5	%
		Mean		750.6			1,063.5		1.15		8.2		11.9		15.6		47.9		14.8
		Median		440.5			622.4		1.10		8.1		10.1		13.0		49.5		15.1
		Low		114.1			114.1		0.20		5.2		6.1		10.5		25.9		3.7

17

Precedent Food Transactions
1996 - 2000

($ in millions)

							Enterprise Value Multiple of LTM (x)
Date Announced		Target (Parent)	Equity Consideration ($ mm)(a)(b)		Enterprise Valuation ($ mm)(a)								Equity Value to NTM(c) Earnings (x)		Premium to Undisturbed Price (%)(d)		EBITDA Margin (%)
	Acquiror						Sales		EBITDA		EBIT
Jun-2000	ConAgra	International Home Foods		1,741.3		2,882.7	1.30		8.5		9.7		12.1		43.7		15.3
Feb-2000	Bestfoods	Arisco Produtos Alimenticios (Privately Owned)		490.0		752.0	1.71		8.1	(j)	9.5	(k)	N.A.		N.A.		21.0
Dec-1999	IBP	Corporate Brand Foods America (Privately Owned)		263.7		607.7	0.96		12.8		N.A.		N.A.		N.A.		7.5
Nov-1999	Unilever	Amora Maille (Paribas Affaires Industrielles LBO Fund)		745.0		745.0	2.05		N.A.		16.9		N.A.		N.A.		N.A.
Sep-1999	Aurora Foods	Lender's Bagel Bakery (Kellogg)		275.0		275.0	1.47	(l)	9.9	(l)	28.7	(l)	N.A.		N.A.		14.9
Dec-1998	New World Pasta	Pasta Business (Hershey Foods)		450.0		450.0	1.13		N.A.		11.3		N.A.		N.A.		N.A.
Jul-1998	ConAgra	Eggbeater's and Tablespreads (Nabisco Holding Corp.)		400.0		400.0	0.83		N.A.		12.1		N.A.		N.A.		N.A.
Dec-1997	Aurora Foods	Duncan Hines (Procter & Gamble)		445.0		445.0	1.91		8.8		9.2		N.A.		N.A.		21.7
Dec-1997	GE, Warburg Pincus (Eagle Family Foods)	Grocery Products Business (Borden Foods)		376.8		376.8	1.64		8.2		9.4		N.A.		N.A.		20.1
May-1997	Aurora Foods	Log Cabin Syrup (Kraft Foods)		222.0		222.0	2.13		7.5		7.8		N.A.		N.A.		28.5
Mar-1997	IBP	Foodbrands America		311.2		645.0	0.75		8.5		13.1		21.5		48.6		8.8
Feb-1997	Texas Pacific Group	Del Monte Foods (Privately owned)		436.0		809.0	0.62	(m)	7.2	(m)	9.9	(m)	N.M.		N.M.		8.7
Dec-1996	Investor Group	Mrs. Butterworth's (Unilever US)		114.1		114.1	1.27		6.4		6.6		N.A.		N.A.		19.8
Aug-1996	General Mills	Branded Cereal & Snack Business (Ralcorp)		316.0		570.0	1.47		8.1		9.2		N.A.		N.A.		18.2
		High	$	3,227.4	$	4,631.2	2.42	x	12.8	x	28.7	x	24.1	x	63.8	%	28.5	%
		Mean		750.6		1,063.5	1.15		8.2		11.9		15.6		47.9		14.8
		Median		440.5		622.4	1.10		8.1		10.1		13.0		49.5		15.1
		Low		114.1		114.1	0.20		5.2		6.1		10.5		25.9		3.7

18

Deal Comparison Footnotes

Note: Deals marked as "Pending" or "Preliminary" are based on preliminary information. Transaction information may change as a result of new information.

(a)

Foreign company valuations converted to US$ using the applicable exchange rate on date of announcement.

(b)

Equity Consideration represents the consideration paid for the portion of target acquired.

(c)

Next Twelve Months (NTM) earnings represents the IBES median estimate on announcement date for the target's next four quarters of earnings.

(d)

'Undisturbed' stock price occurs immediately prior to the target's stock price being inflated by deal speculation.

(c)

Tax-free revised Morris Trust transaction. If done on a cash basis, the company would have had a $350 tax cost, bringing the value of the deal to approximately $1 billion. Based on P&G's basic shares outstanding.

(d)

Smucker stock price rose by 20% on announcement day. Consideration of $671.1mm is based on closing price on the day before announcement. Based upon announcement date stock price, consideration would have been $808m.

(e)

Aggregate sales for Crisco and Jif are split approximately equally between the two brands. Based on the announcement date stock price, the sales multiple would have been 1.4x.

(f)

Aggregate EBITDA for Crisco and Jif is split approximately equally between the two brands. Based on the announcement date stock price, the EBITDA multiple would have been 6.2x.

(g)

Aggregate EBIT for Crisco and Jif is split approximately equally between the two brands. Based on the announcement date stock price, the EBIT multiple would have been 7.3x.

(h)

The combined company is to be named Dean Foods.

(i)

On June 18th, 2001, the Delaware Court of Chancery ruled that Tyson must proceed with its acquisition of IBP despite Tyson previously deciding to withdraw the offer.

(j)

Multiple based on estimated EBITDA margins, as per ML research dated 7-Feb-2000.

(k)

Multiple based on estimated EBIT margins, as per ML research dated 7-Feb-2000.

(l)

Sales, EBITDA and EBIT multiples are based on run-rate income statement from the 9 months ended 9/30/99 (sourced from Aurora 8-K dated 11/1/99).

(m)

Sales, EBITDA and EBIT multiples are based on financials for the year ended June 30, 1996.

19

Analysis at Various Prices

($ in millions, except per share)

Price Per Share			$	29.50		$	31.50		$	33.50		$	35.50		$	37.50		$	39.50
Premium/(Discount)
Previous Close (9/20/02)	$	24.49		20.5	%		28.6	%		36.8	%		45.0	%		53.1	%		61.3	%
30-Day Prior Close		28.28		4.3			11.4			18.5			25.5			32.6			39.7
52-Week Prior High (5/03/02)		33.85		(12.9	)		(6.9	)		(1.0	)		4.9			10.8			16.7
Basic Equity Value(1)			$	1,656		$	1,768		$	1,881		$	1,993		$	2,105		$	2,217
Cost of Exercising Options				25			32			38			44			51			57
After-Tax Cost of Exercising Options				15			19			22			26			30			34
Implied Total Equity Value(1)				1,671			1,787			1,903			2,019			2,135			2,251
Implied Enterprise Value(2)				2,153			2,269			2,385			2,501			2,617			2,733
Implied EBITDA Multiple - LTM 10/05/02(3)	$	375		5.7	x		6.1	x		6.4	x		6.7	x		7.0	x		7.3	x
Implied EBITDA Multiple - FY2002E(4)		401		5.4			5.7			6.0			6.2			6.5			6.8
Implied EBITDA Multiple - FY2003E(4)		405		5.3			5.6			5.9			6.2			6.5			6.8
Implied EBIT Multiple - LTM 10/05/02	$	269		8.0	x		8.4	x		8.9	x		9.3	x		9.7	x		10.2	x
Implied EBIT Multiple - FY2002E(4)		296		7.3			7.7			8.1			8.5			8.9			9.2
Implied EBIT Multiple - FY2003E(4)		293		7.4			7.7			8.1			8.5			8.9			9.3
Price/Earnings - 2002E(5)	$	2.65		11.1	x		11.9	x		12.6	x		13.4	x		14.2	x		14.9	x
Price/Earnings - 2003E(5)		3.04		9.7			10.4			11.0			11.7			12.3			13.0

(1)

Basic equity value calculated using 56.1 million shares outstanding multiplied by price per share. Total equity value includes the purchase of additional options at various strike prices below the offer price, assuming a marginal tax rate of 41%.

(2)

Net Debt of $482 million as of 05-Oct-2002 includes $27 million of Minority Interest.

(3)

Excludes pre-tax $9.2 million of legal reserve charges in 3Q2002.

(4)

Management projections.

(5)

IBES EPS estimates.

20

Illustrative Present Value of Future Stock Price

Implied Future Stock Price(1)

PV of 2003 Future Stock Price(2)

		Forward P/E
Equity Discount Rate
		10 x		12 x		14 x
6	%	$	31.79	$	38.15	$	44.51
8	%		31.20		37.44		43.69
10	%		30.64		36.76		42.89
12	%		30.09		36.11		42.13
14	%		29.56		35.47		41.39

PV of 2004 Future Stock(2)

		Forward P/E
Equity Discount Rate
		10 x		12 x		14 x
6	%	$	32.93	$	39.52	$	46.10
8	%		31.72		38.07		44.41
10	%		30.58		36.69		42.81
12	%		29.50		35.40		41.29
14	%		28.47		34.16		39.86

EPS Source: Management

(1)

Implied future stock price as of 31-Dec each year. EPS estimates for the fiscal year ended 31-Dec are $2.95 for 2003E, $3.37 for 2004E and $3.69 for 2005E.

(2)

Present value of future stock price calculated as of 31-Dec-2002.

21

Illustrative Implied P/E Multiples

Forward P/E Multiples at end of 2003(1)

		Present Value of Future Stock Price
2004E EPS
% change				$29.50		$31.50		$33.50		$35.50		$37.50		$39.50
-20	%	$	2.70	12.0	x	12.9	x	13.7	x	14.5	x	15.3	x	16.1	x
-10	%	$	3.03	10.7		11.4		12.1		12.9		13.6		14.3
0	%	$	3.37	9.6		10.3		10.9		11.6		12.2		12.9
10	%	$	3.71	8.8		9.3		9.9		10.5		11.1		11.7
20	%	$	4.04	8.0		8.6		9.1		9.7		10.2		10.7

Forward P/E Multiples at end of 2004(1)

		Present Value of Future Stock Price
2005E EPS
% change				$29.50		$31.50		$33.50		$35.50		$37.50		$39.50
-20	%	$	2.95	12.1	x	12.9	x	13.7	x	14.6	x	15.4	x	16.2	x
-10	%	$	3.32	10.7		11.5		12.2		12.9		13.7		14.4
0	%	$	3.69	9.7		10.3		11.0		11.6		12.3		13.0
10	%	$	4.06	8.8		9.4		10.0		10.6		11.2		11.8
20	%	$	4.43	8.1		8.6		9.2		9.7		10.2		10.8

EPS Source: Management projections

(1)

2004E EPS is $3.37 and 2005E EPS is $3.69. EPS estimates for the fiscal year ended 31-Dec. Present value of future stock price calculated as of 31-Dec-2002 assuming discount rate of 10%.

22

Illustrative Discounted Cash Flow Analysis:
Base Case Scenario—Five Year Projections(1)(2)

($ in millions, except per share)

		Fiscal Year Ending December
		2003E		2004E			2005E			2006E			2007E
	EBITDA	$	405	$	431		$	446		$	454		$	454
	EBIT		293		319			334			342			342
	Taxes		82		89			94			96			96
	Unlevered Net Income		211		229			241			246			246
(+)	Depreciation & Amortization		112		112			112			112			112
(-)	Capital Expenditures		124		136			109			109			109
(-)	After Tax Pension Benefit Plan Contribution		16		0			1			5			3
(-)	Increase in Working Capital		88		15			28			(14	)		0
(+)	Deferred Taxes		27		27			26			26			26
(+)	SABA Minority Purchase and Container Lease Payoff		0		(15	)		(55	)		0			(23	)
	Unlevered Free Cash Flow	$	121	$	202		$	186		$	284		$	249

Equity Value per Share ($)(3)

		Terminal Multiple of 2007E EBITDA
Discount Rate
		5.0 x		6.0 x		7.0 x		8.0 x		9.0 x
12.0	%	$	26.91	$	31.18	$	35.46	$	39.73	$	44.00
11.0			28.19		32.66		37.13		41.60		46.06
10.0			29.54		34.22		38.89		43.56		48.24
9.0			30.96		35.85		40.75		45.64		50.53
8.0			32.46		37.58		42.70		47.83		52.95

Equity Value per Share ($)(3)(4)

Change in EBITDA Growth		5-year EBITDA CAGR		Equity Value per Share
(4.0	)%	(1.1	)%	$	30.79
(2.0	)%	0.9	%	$	34.70
0.0	%	2.9	%	$	38.89
2.0	%	4.9	%	$	43.39
4.0	%	6.9	%	$	48.22

(1)

Company Projections. Assumes SABA minority interest is put to the Company in 2005. Assumes SERP and Excess Savings Plan remain unfunded, as the Company is under no legal obligation to fund. Assumes significant funding of the Defined Pension Benefit Plan is delayed beyond 2002.

(2)

Terminal value calculated at year end 2007. Cash flows discounted to year end 2002.

(3)

Assumes net debt of $513 million as of 31-Dec-2002 and fully diluted shares calcuated using the Treasury method with 56.1 million basic shares outstanding and 3.6 million options with an average exercise price of $25.79.

(4)

Assumes mid-year convention, 10.0% discount rate and a 7.0x EBITDA terminal multiple.

23

Weighted Average Cost of Capital
Selected Company Comparables

($ in millions)

Company		Market Equity(1)		Total Debt		Total Capitalization		Equity/ Total Cap.		Levered Beta(2)	Unlevered Beta	WACC
Dole Food Company		$	1,648	$	1,165	$	2,813	58.6	%	0.57	0.38	7.2	%
Chiquita		$	517	$	570	$	1,087	47.5	%	0.76	0.44	7.9	%
Fresh Del Monte			1,093		153		1,245	87.8		0.95	0.87	7.0
Fyffes			444		182		627	70.9		0.58	0.46	8.2
Archer Daniels Midland			8,245		5,298		13,542	60.9		0.44	0.31	6.4
Bunge			2,224		1,820		4,044	55.0		0.34	0.22	6.8
Corn Products			1,069		617		1,686	63.4		0.57	0.41	6.8
Conagra			13,417		7,447		20,864	64.3		0.29	0.21	6.6
Hormel Foods			3,210		446		3,657	87.8		0.45	0.41	6.8
Smithfield Foods			2,096		1,591		3,687	56.9		0.41	0.27	6.8
Tyson Foods			3,829		3,987		7,816	49.0		0.61	0.36	6.7
Dean Foods			3,312		3,611		6,923	47.8		0.25	0.15	7.9
Del Monte Foods			1,731		1,899		3,630	47.7		0.64	0.37	9.2
Flowers Foods			641		245		886	72.3		0.67	0.54	6.8
San Miguel			3,348		650		3,998	83.7		0.25	0.22	7.8
	Average							63.9	%	0.52	0.38	7.3	%
	Median							62.1		0.51	0.37	6.8

Required Equity Return
U.S. 10-Year Treasury Rate(1)	4.13	%
Average Unlevered Beta	0.38
Levered Beta(3)	0.57
Market Risk Premium(4)	7.80	%
Required Equity Return	8.55	%

After-Tax Cost of Debt
Pre-Tax Cost of Debt(5)	7.3	%
Marginal Tax Rate	28.0
After-Tax Cost of Debt	5.2	%

WACC Calculation
		Cost		Weight		Average
Cost of Debt		5.2	%	41.4	%	2.2	%
Cost of Equity		8.6		58.6		5.0
	WACC					7.2	%
	Deutsche Bank Research					9.0

(1)

As of 16-Dec-2002.

(2)

Source: Bloomberg 2-year weekly historical betas as of 13-Dec-2002.

(3)

Based on Dole Food Company's capitalization of 58.6% equity as of 16-Dec-2002 and 41.4% debt as of 05-Oct-2002.

(4)

Based on long-run geometrical average market risk premium from 1926-2000 as calculated by Ibbotson Associates.

(5)

Based on $400MM bond issuance on 30-Apr-2002.

24

Weighted Average Cost of Capital
Banana Industry Comparables

($ in millions)

Company		Market Equity(1)		Total Debt		Total Capitalization		Equity/ Total Cap.		Levered Beta(2)	Unlevered Beta	WACC
Dole Food Company		$	1,648	$	1,165	$	2,813	58.6	%	0.57	0.38	8.7	%
Chiquita		$	517	$	570	$	1,087	47.5	%	0.76	0.44	9.2	%
Fresh Del Monte			1,093		153		1,245	87.8		0.95	0.87	7.6
Fyffes			444		182		627	70.9		0.58	0.46	9.6
	Average							68.7	%	0.76	0.59	8.8	%
	Median							70.9		0.76	0.46	9.2

Required Equity Return
U.S. 10-Year Treasury Rate(1)	4.13	%
Average Unlevered Beta	0.59
Levered Beta(3)	0.89
Market Risk Premium(4)	7.80	%
Required Equity Return	11.08	%

After-Tax Cost of Debt
Pre-Tax Cost of Debt(5)	7.3	%
Marginal Tax Rate	28.0
After-Tax Cost of Debt	5.2	%

WACC Calculation
		Cost		Weight		Average
Cost of Debt		5.2	%	41.4	%	2.2	%
Cost of Equity		11.1		58.6		6.5
	WACC					8.7	%
	Deutsche Bank Research					9.0

(1)

As of 16-Dec-2002.

(2)

Source: Bloomberg 2-year weekly historical betas as of 13-Dec-2002.

(3)

Based on Dole Food Company's capitalization of 58.6% equity as of 16-Dec-2002 and 41.4% debt as of 05-Oct-2002.

(4)

Based on long-run geometrical average market risk premium from 1926-2000 as calculated by Ibbotson Associates.

(5)

Based on $400MM bond issuance on 30-Apr-2002.

25

LBO Analysis
Independent Buyer

($ in millions)

Uses of Funds		Amount		Note
Buy basic shares outstanding		$	1,882	56,175,750 shares outstanding * $33.50
Pay for exercise of options			22	3,160,269 options in the money at $33.50, net of tax
Rollover existing debt			555	$400 mm 7.25% Sr. Notes due 2009 and $155 mm 7.88% Debentures due 2013
Retire existing debt			510	$210 mm 7.00% Notes due 2003 and $300 mm 6.38% Notes due 2005
Premium to retire existing debt			32	MWC of T+15 bps on the 6.38% Notes, plus accrued interest
Financing costs			51	2.50% bank, 3.00% high yield, 4.00% PIK, 1.00% bridge, 0.25% consent and ticking
Fees			12	Estimated at 0.50% of enterprise value
	Total Uses	$	3,064

Sources of Funds		Amount		Note
Revolver		$	110	$300 mm total facility. Assume L + 4.00%
Term loan A			250	Assume L + 4.00%
Term loan B			600	Assume L + 4.25%
Funds from sale/leaseback			57	Plane and Miami facility
Rollover existing debt			555	$400 mm 7.25% Sr. Notes due 2009 and $155 mm 7.88% Debentures due 2013
Senior subordinated notes			350	Assume 11.00% coupon
PIK notes			100	Gross proceeds. Assumed 15.00% coupon + warrants
New equity			563	Cash contribution from Independent buyer
Cash on hand			479
	Total Sources	$	3,064

26

Illustrative Returns Sensitivity(1)(2)
4.7x Total Debt/EBITDA

•

Assumes 3 year exit

	Share Price
EBITDA Exit Multiple
	$29.50		$31.50		$33.50		$35.50		$37.50		$39.50
5.5x	33.2	%	31.0	%	10.3	%	1.7	%	-7.6	%	-18.5	%
6.0x	40.6	%	38.3	%	19.8	%	12.1	%	4.2	%	-4.5	%
6.5x	47.3	%	44.8	%	27.9	%	21.0	%	13.9	%	6.3	%
7.0x	53.4	%	50.9	%	35.2	%	28.6	%	22.1	%	15.3	%
7.5x	59.1	%	56.4	%	41.7	%	35.5	%	29.4	%	23.0	%

•

Assumes 4 year exit

	Share Price
EBITDA Exit Multiple
	$29.50		$31.50		$33.50		$35.50		$37.50		$39.50
5.5x	29.4	%	27.8	%	12.8	%	8.4	%	2.2	%	-4.7	%
6.0x	34.0	%	32.3	%	18.9	%	14.9	%	9.6	%	3.8	%
6.5x	38.2	%	36.4	%	24.3	%	20.5	%	15.7	%	10.6	%
7.0x	42.0	%	40.2	%	29.0	%	25.4	%	21.0	%	16.3	%
7.5x	45.5	%	43.7	%	33.2	%	29.8	%	25.6	%	21.3	%

Source: Management projections

(1)

Assumes SABA minority interest is put to the Company in 2005. Assumes SERP and Excess Savings Plan remain unfunded, as the Company is under no legal obligation to fund. Assumes funding of the Defined Pension Benefit Plan is delayed beyond 2002. Assumes transaction occurs on January 1, 2003, using $479 million of the Company's cash on hand, new PIK notes with a 15% interest rate and 5% warrants, new subordinated debt with an 11% interest rate and a new credit facility with interest rates of Libor + 400 bps on the R/C Facility and the TLA and Libor +425 bps on the TLB. Interest rate on extant bonds is increased to 11%. Equity returns are calculated assuming year end exit.

(2)

Updated subsequent to the 18-Dec-2002 Special Committee meeting to reflect the revised capital structure presented by Deutsche Bank on the morning of 18-Dec-2002.

27

Marginal Investment Return Analysis
4.7x Total Debt/EBITDA

($ in millions)

•

Marginal investment of $125 million allows for the purchase of 76% of the outstanding stock of the Company

Uses of Funds		Amount		Note
Buy basic shares outstanding		$	1,882	56,175,750 shares outstanding * $33.50
Pay for exercise of options			22	3,160,269 options in the money at $33.50, net of tax
Rollover existing debt			555	$400 mm 7.25% Sr. Notes due 2009 and $155 mm 7.88% Debentures due 2013
Retire existing debt			510	$210 mm 7.00% Notes due 2003 and $300 mm 6.38% Notes due 2005
Premium to retire existing debt			32	MWC of T+15 bps on the 6.38% Notes, plus accrued interest
Financing costs			51	2.50% bank, 3.00% high yield, 4.00% PIK, 1.00% bridge, 0.25% consent and ticking
Fees			32	Estimated advisory, legal and other fees
	Total Uses	$	3,084

Sources of Funds		Amount		Note
Revolver		$	110	$300 mm total facility. Assume L + 4.00%
Term loan A			250	Assume L + 4.00%
Term loan B			600	Assume L + 4.25%
Funds from sale/leaseback			57	Plane (via GE Capital) and Miami facility (via Murdock affiliate)
Rollover existing debt			555	$400 mm 7.25% Sr. Notes due 2009 and $155 mm 7.88% Debentures due 2013
Senior subordinated notes			350	Assume 11.00% coupon
PIK notes			100	Gross proceeds. Assumed 15.00% coupon + warrants
Rollover equity			438	13,086,847 shares owned by DHM * $33.50
New equity Murdock's marginal investment			125	Cash contribution from Castle & Cooke
Cash on hand			499
	Total Sources	$	3,084

28

Illustrative Marginal Investment Returns for Murdock(1)
Illustrative Returns on $125 million Investment and 4.7x Total Debt/EBITDA

•

Assumes 3 year exit

	Share Price
EBITDA Exit Multiple
	$29.50		$31.50		$33.50		$35.50		$37.50		$39.50
5.5x	97.3	%	71.4	%	61.6	%	50.5	%	37.5	%	21.3	%
6.0x	107.6	%	84.8	%	76.4	%	67.2	%	56.9	%	45.0	%
6.5x	117.0	%	96.4	%	89.0	%	81.1	%	72.5	%	62.8	%
7.0x	125.6	%	106.8	%	100.2	%	93.2	%	85.7	%	77.4	%
7.5x	133.6	%	116.2	%	110.2	%	103.9	%	97.2	%	89.9	%

•

Assumes 4 year exit

	Share Price
EBITDA Exit Multiple
	$29.50		$31.50		$33.50		$35.50		$37.50		$39.50
5.5x	73.3	%	58.2	%	52.5	%	46.1	%	38.7	%	29.9	%
6.0x	79.2	%	65.8	%	60.8	%	55.5	%	49.5	%	42.6	%
6.5x	84.6	%	72.4	%	68.1	%	63.4	%	58.3	%	52.6	%
7.0x	89.5	%	78.4	%	74.5	%	70.3	%	65.9	%	61.0	%
7.5x	94.1	%	83.8	%	80.3	%	76.5	%	72.5	%	68.2	%

Source: Management projections

(1)

Assumes SABA minority interest is put to the Company in 2005. Assumes SERP and Excess Savings Plan remained unfunded, as the Company is under no legal obligation to fund. Assumes funding of the Defined Pension Benefit Plan is delayed beyond 2002. Assumes transaction occurs on January 1, 2003, using $499 million of the Company's cash on hand, new PIK notes with a 15% interest rate and 5% warrants, new subordinated debt with an 11% interest rate and a new credit facility with interes rates of Libor + 400 bps on the R/C Facility and the TLA and Libor +425 bps on the TLB. Interest rate on extant bonds is increased to 11%. Equity returns are calculated assuming year end exit.

29

III. Review of Trading Performance

30

Earnings Per Share History and Share Price Performance

Source: Factset

31

Current Year P/E Multiples(1), 1994-2002

Source: IBES and Factset

(1)

Reflects earnings estimates for the current fiscal year.

32

Next Year P/E Multiples(1), 1994-2002

Source: IBES and Factset

(1)

Reflects earnings estimates for the next fiscal year.

33

Historical Relative P/E, 1992 - 2002

(1)

S&P Food Products consists of Archer Daniels Midland, Campbell Soup, Conagra Foods, General Mills, Heinz, Hershey, Kellogg, Sara Lee and Wrigley.

34

Historical Enterprise Value to LTM EBITDA Multiples

Source: Factset

(1)

Food Composite includes Archer Daniels Midland, Bunge, Conagra, Corn Products, Dean Foods, Del Monte Foods, Flowers Foods, Hormel Foods, San Miguel, Smithfield Foods, and Tyson Foods.

35

Appendix A: Financial Performance

36

Consolidated Sales and Operating Income

($ in millions)

Revenue(1), 1996 - 2007E

EBIT(2), 1996 - 2007E

Source: Management projections

(1)

Revenues from 2001 through 2007E reflect SAB and EITF adjustments and exclude the Honduran beverage business. The adoption of Staff Accounting Bulletin No. 101 resulted in commission only revenues being reported on a net basis versus a gross basis. The adoption of EITF Nos. 00-14 and 00-25 requires the cost of certain sales incentives and promotions to be classified as a reduction of revenue rather than as a marketing expense.

(2)

EBIT is before corporate expenses and excludes Honduran Beverage beverage business.

(3)

Adjusted to include 100% Saba EBIT. Margins have not been adjusted due to lack of Saba revenue information at this time.

37

Historical Financial Data
Income Statement

($ in millions, except per share)

		FY1999			FY2000			FY2001			LTM 10/05/02
Revenue		$	4,543		$	4,503		$	4,315		$	4,380
Cost of goods sold			3,946			3,878			3,747			3,580
	Gross Profit	$	598		$	624		$	568		$	799
	Gross Margin		13	%		14	%		13	%		18	%
Selling, marketing and admin exp		$	479		$	499		$	518		$	531
	EBIT(1)	$	119		$	126		$	182		$	269
	EBIT Margin		3	%		3	%		4	%		6	%
Extraordinary items
	Gain on sale of citrus assets	$	0		$	(9	)	$	0		$	0
	Business downsizing charge		48			46			0			0
	Hurricane Mitch insurance proceeds		(20	)		(43	)		0			0
Interest income			10			15			6			10
Other income, net			6			1			7			(1	)
Interest expense			86			90			71			75
Income taxes			4			20			67			89
	Income (loss) from continuing operations	$	16		$	36		$	58		$	114
	EPS of continuing operations	$	0.29		$	0.64		$	1.04		$	2.48
Income from discontinued ops, net of tax			32			32			19			1
Gain on sale of discontinued ops, net of tax									169			0
	Net Income	$	49		$	68		$	246		$	115
	Net Income Margin		1	%		2	%		6	%		3	%
Depreciation and amortization		$	124		$	125		$	118		$	106
EBITDA(1)(2)		$	242		$	251		$	300		$	375

Source: Dole Food Company 10-K dated 29-Dec-2001 and 10-Q dated 05-Oct-2002

(1)

2001 EBIT and EBITDA exclude a $132.7MM one-time charge related to the BCG cost-cutting initiatives.

(2)

LTM 05-Oct-2002 EBITDA excludes $9.2mm legal reserve charge.

38

Historical Financial Data
Balance Sheet

($ in millions)

		December 31,
								October 5, 2002
		2000			2001
Cash and cash equivalents		$	25.2		$	361.3		$	682.9
Receivables			570.2			531.9			491.5
Inventories			437.1			386.1			375.0
Prepaid expenses			46.1			46.4			40.5
Net current assets of discontinued ops			35.3			—			—
Total current assets		$	1,113.7		$	1,325.8		$	1,589.9
Investments		$	84.4		$	81.1		$	79.8
PP&E			965.6			905.8			996.0
Goodwill			263.9			255.9			132.7
Other assets			275.5			178.1			140.5
Net non-current assets of discontinued ops			98.1			—			—
	Total assets	$	2,801.3		$	2,746.7		$	2,938.9
Notes payable		$	34.4		$	17.3		$	22.6
Current portion, LTD			9.9			9.8			231.5
Accounts payable(1)			262.7			249.6			680.4
Accrued liabilities(1)			450.8			537.7			—
	Total current liabilities	$	757.8		$	814.4		$	934.6
Long-term debt		$	1,135.4		$	816.1		$	883.6
Other long-term liabilities			318.0			348.1			348.0
Minority interests			35.3			32.0			27.3
Common stock			316.5			316.5			316.8
Additional paid in capital			56.9			57.2			65.4
Retained earnings			318.6			446.7			439.3
Accumulated other comprehensive loss			(137.2	)		(84.4	)		(76.2	)
	Total shareholders' equity		554.8			736.0			745.4
	Total liabilities and equity	$	2,801.3		$	2,746.7		$	2,938.9
Operating Working Capital		$	339.8		$	177.2		$	226.6
	Change in Working Capital					(162.6	)		49.4

Source: Dole Food Company 10-K dated 29-Dec-2001 and 10-Q dated 05-Oct-2002

(1)

Accounts payable and accrued liabilities listed as one line in Dole Food Company 10-Q dated 05-Oct-2002.

39

Historical Financial Data
Selected Cash Flow Items

($ in millions)

		FY1999			FY2000			FY2001
Operating Activities(1)
	Net income (loss) from continuing ops	$	16.3		$	36.1		$	(37.1	)
	Depreciation and amortization		123.5			125.3			118.0
	Provision for deferred income taxes		(7.2	)		4.4			17.3
	Non-cash special charges		41.7			39.0			121.8
	Gain on sale of citrus assets and securities					(8.6	)		(8.2	)
	Change in operating assets and liabilities		(122.4	)		(30.4	)		21.8
Investing Activities
	Proceeds from sales of assets	$	11.8		$	57.2		$	572.1
	Capital Expenditures		(136.6	)		(110.6	)		(119.8	)
	Investment and acquisitions, net of cash acquired		(3.8	)		(0.9	)		(2.0	)
Financing Activities
	Net of short-term borrowings	$	(11.8	)	$	(11.9	)	$	(16.3	)
	Net of long-term borrowings		169.2			(129.8	)		(334.4	)
	Cash dividends paid		(22.7	)		(22.3	)		(22.3	)
	Issuance of common stock		0.7			0.1			0.3
	Repurchase of common stock		(91.9	)		—			—

Source: Dole Food Company 10-K dated 29-Dec-2001

(1)

Excludes Hurricane Mitch insuance proceeds of $43.5mm in 1999 and $52.9mm in 2000.

40

Projected Financial Data
Income Statement

($ in millions, except per share data)

			Fiscal Year Ended December 31
			2002E			2003E			2004E			2005E			2006E			2007E
Total EBIT			$	296		$	293		$	319		$	334		$	342		$	342
	Growth			58	%		-1	%		9	%		5	%		2	%		0	%
Depreciation			$	105		$	112		$	112		$	112		$	112		$	112
Total EBITDA			$	401		$	405		$	431		$	446		$	454		$	454
	Growth			31	%		1	%		6	%		4	%		2	%		0	%
		Net Interest Expense		80			60			52			42			31			26
Taxable Income				216			233			267			292			310			315
Income Taxes				60			65			75			82			87			88
Minority Interest				0			0			0			0			0			0
	Net Income (Loss)		$	156		$	168		$	192		$	210		$	223		$	227
EPS (Diluted)			$	2.74		$	2.95		$	3.37		$	3.69		$	3.93		$	3.99

Source: Management projections

41

Projected Financial Data
Cash Flow Statement

($ in millions)

		Fiscal Year Ended December 31
		2003E			2004E			2005E			2006E			2007E
Net Income to Common		$	168		$	192		$	210		$	223		$	227
+ Depreciation			112			112			112			112			112
+ Deferred Taxes			27			27			26			26			26
	Operating Sources of Cash		307			331			349			361			365
- Changes in Working Capital		$	(88	)	$	(15	)	$	(28	)	$	14		$	0
- Capital Expenditures		$	(124	)	$	(136	)	$	(109	)	$	(109	)	$	(109	)
- Defined Benefit Pension Plan		$	(16	)	$	0		$	(1	)	$	(5	)	$	(3	)
- SABA Minority Purchase and Container Lease Payoff		$	0		$	(15	)	$	(55	)	$	0		$	(23	)
	Cash for Debt Service	$	78		$	164		$	155		$	261		$	230
	Cumulative Cash for Debt Service	$	78		$	242		$	398		$	659		$	889
	Total Scheduled Amortization		(219	)		(8	)		(301	)		(1	)		(1	)
Net Cash Flow			(141	)		157			(146	)		260			229
	Cash Flow After Bank Sweep	$	(141	)	$	157		$	(146	)	$	260		$	229

Source: Management projections

42

Appendix B: Common Stock Comparison

43

Common Stock Comparison

($ in millions, except per share)

									Enterprise Value Multiples(2)
																											Calendarized P/E Multiples(2)
									Sales						EBITDA						EBIT
Company	Closing Price 12/16/02		% of 52 Week High		Equity Market Cap(1)		Enterprise Value(1)
									LTM		2002		2003		LTM		2002		2003		LTM		2002		2003		2002		2003		2004
Banana Companies
Dole Food Company	$	29.15	86	%	$	1,648	$	2,123	0.5	x	0.5	x	0.5	x	5.7	x	5.5		5.1	x	7.9	x	7.7	x	7.0	x	11.0	x	9.6	x	8.6	x
Chiquita(3)		12.98	70			517		1,032	0.4		0.4		0.4		6.0		4.5		4.2		7.7		5.6		5.1		7.3		6.0		NA
Fresh Del Monte(4)		19.36	66			1,093		1,227	0.6		0.6		0.5		4.4		4.8		4.9		5.5		6.3		6.5		6.1		5.7		5.2
Fyffes		1.25	78			444		313	0.2		0.2		0.2		4.2		4.0		3.9		4.9		4.8		4.7		9.0		8.5		NA
Commodity Processors
Archer Daniels Midland(5)(6)		12.73	86			8,245		12,319	0.5		0.5		0.4		7.6		7.5		7.2		12.0		11.9		11.5		17.6		15.3		13.4
Bunge(7)		23.45	90			2,224		4,179	0.3		0.3		0.2		5.3		4.6		4.1		6.7		7.0		7.4		9.0		8.8		8.4
Corn Products Intl(6)		29.83	81			1,069		1,721	0.9		0.9		0.9		6.4		6.4		5.9		10.5		NA		NA		18.5		15.5		11.0
Conagra		24.87	90			13,417		20,846	1.1		0.9		1.0		10.5		9.5		9.4		12.6		12.2		11.8		6.2		5.7		NA
Meat Processors
Hormel Foods(6)		22.75	81			3,210		3,379	0.8		0.9		0.8		8.2		8.1		7.2		10.4		10.3		8.9		16.4		14.4		13.1
Smithfield Foods(8)		18.88	72			2,096		3,614	0.4		0.5		0.4		7.0		7.5		7.3		10.0		8.6		9.0		17.4		13.3		9.5
Tyson Foods(9)		10.85	70			3,829		7,765	0.3		0.3		0.3		5.7		5.8		5.6		8.8		6.4		8.6		10.0		9.8		8.3
Other Food Companies
Dean Foods		36.62	91			3,312		6,856	0.7		0.7		0.7		7.0		7.9		7.5		8.9		10.4		9.9		13.2		12.0		11.0
Del Monte Foods(10)(11)		8.44	71			1,731		3,621	1.2		NA		NA		8.0		NA		NA		9.7		NA		NA		NA		NA		NA
Flowers Foods		21.00	73			641		880	0.5		0.5		0.5		7.1		6.9		6.2		17.3		11.9		9.7		25.9		18.1		16.8
San Miguel(6)(12)		1.18	93			3,348		3,782	1.5		1.4		1.3		8.7		10.7		9.1		17.2		16.0		14.8		24.7		20.6		16.6
High			93	%	$	13,417	$	20,846	1.5	x	1.4	x	1.3	x	10.5	x	10.7	x	9.4	x	17.3	x	16.0	x	14.8	x	25.9	x	20.6	x	16.8	x
Mean			79			3,227		5,110	0.7		0.6		0.6		6.9		6.8		6.3		10.2		9.3		9.0		13.9		11.8		11.3
Median			80			2,160		3,618	0.6		0.5		0.5		7.0		6.9		6.2		9.9		9.4		9.0		13.2		12.0		11.0
Low			66			444		313	0.2		0.2		0.2		4.2		4.0		3.9		4.9		4.8		4.7		6.1		5.7		5.2

(1)

Source: Latest publicly available financial statements. Equity Market Cap based on fully diluted shares outstanding.

(2)

Sources: LTM numbers are based upon the latest publicly available financial statements. All projected sales, EBITDA, EBIT, and EPS estimates have been calendarized.
Projected sales, EBITDA, EBIT, and EPS source: IBES median estimates and investment research reports.

(3)

Based on annualized figures for the six months ended September 30, 2002. Complete LTM is not meaningful given the Chapter 11 reorganization that occurred in March 2002.

(4)

The company acquired certain assets of Fisher Foods Limited's chilled division on June 26, 2002 for $37.2 mm. Financials are not pro forma due to lack of public information.

(5)

Pro forma for the acquisition of Minnesota Corn Processors, completed on 9/6/2002. Not pro forma for the sale of Swift Foods Company to Hicks, Muse, Tate & Furst, due to lack of public information.

(6)

Includes equity earnings in affiliates.

(7)

Pro forma for the Brazilian restructuring that occurred in Feb. 2002.

(8)

Pro forma for the acquisition of Packerland Packing completed 10/26/2001. Not pro forma for the acquisition of Stefano Foods in June 2002 or Quik-to-Fix due to lack of public information and immateriality.

(9)

Shares outstanding includes Class A Common Stock and Class B Common Stock.

(10)

Pro forma for the acquisition of certain businesses of H.J. Heinz announced 6/13/2002.

(11)

Projected multiples are not meaningful because research estimates do not take into account the acquisition of the Heinz businesses.

(12)

In January 2002, the company acquired Cosmos Bottling Corp for PHP 14,000 mm. In 2001, the Company acquired 99.75% ownership in Pure Foods Corporation for PHP 7.018 mm. In 2001, the company restructured its non-alcoholic beverage business which included the sale of various assets. No pro forma information was given relating to the financial performance of these acquired and disposed of assets, so assumes results from operations are included from the date of acquisition. Uses weighted average price of Class A and Class B shares outstanding.

44

Common Stock Comparison

($ in millions, except per share)

																	Calendarized 2002 Margins
													LTM Margins(1)
Company	Closing Price 12/16/02		% of 52 Week High		Equity Market Cap(1)		Enterprise Value(1)		5-Year EPS CAGR(2)		2003 PE/ 5-Yr EPS CAGR										Dividend Yield		Net Debt/ LTM EBITDA
													EBITDA		EBIT		EBITDA		EBIT
Banana Companies
Dole Food Company	$	29.15	86	%	$	1,648	$	2,123	12.0	%	0.8	x	8.6	%	6.1	%	8.7	%	6.3	%	2.1	%	1.3	x
Chiquita(3)		12.98	70			517		1,032	11.0		0.5		7.4		5.8		9.6		7.8		0.0		3.0
Fresh Del Monte(4)		19.36	66			1,093		1,227	10.0		0.6		13.8		11.1		12.4		9.5		0.0		0.5
Fyffes		1.25	78			444		313	NA		NA		4.0		3.4		4.7		3.9		5.1		NM
Commodity Processors
Archer Daniels Midland(5)(6)		12.73	86			8,245		12,319	9.0		1.7		6.3		4.0		6.3		4.0		1.9		2.5
Bunge(7)		23.45	90			2,224		4,179	9.0		1.0		6.5		5.1		7.2		4.7		0.0		2.5
Corn Products Intl(6)		29.83	81			1,069		1,721	10.0		1.6		14.4		8.7		14.8		NA		1.3		2.4
Conagra		24.87	90			13,417		20,846	9.0		0.6		10.2		8.5		9.1		7.0		4.0		3.7
Meat Processors
Hormel Foods(6)		22.75	81			3,210		3,379	11.0		1.3		9.9		7.8		10.6		8.3		1.8		0.4
Smithfield Foods(8)		18.88	72			2,096		3,614	10.0		1.3		6.4		4.5		6.1		5.3		0.0		2.9
Tyson Foods(9)		10.85	70			3,829		7,765	9.0		1.1		5.8		3.8		5.7		5.2		1.5		2.9
Other Food Companies
Dean Foods		36.62	91			3,312		6,856	9.0		1.3		10.0		7.9		9.2		7.0		0.0		3.6
Del Monte Foods(10)(11)		8.44	71			1,731		3,621	NA		NA		14.5		12.0		NA		NA		0.0		4.2
Flowers Foods		21.00	73			641		880	8.0		2.3		7.5		3.1		7.7		4.5		0.2		1.9
San Miguel(6)(12)		1.18	93			3,348		3,782	42.2		0.5		17.3		8.8		12.9		8.6		1.9		1.0
High			93	%	$	13,417	$	20,846	42.2	%	2.3	x	17.3	%	12.0	%	14.8	%	9.5	%	5.1	%	4.2	x
Mean			79			3,227		5,110	12.3		1.1		9.6		6.7		8.9		6.3		1.3		2.4
Median			80			2,160		3,618	9.5		1.2		8.7		6.8		9.1		6.1		0.8		2.5
Low			66			444		313	8.0		0.5		4.0		3.1		4.7		3.9		0.0		0.4

(1)

Source: Latest publicly available financial statements. Equity Market Cap based on fully diluted shares outstanding.

(2)

Sources: LTM numbers are based upon the latest publicly available financial statements. All projected sales, EBITDA, EBIT, and EPS estimates have been calendarized.
Projected sales, EBITDA, EBIT, and EPS source: IBES median estimates and investment research reports.

(3)

Based on annualized figures for the six months ended September 30, 2002. Complete LTM is not meaningful given the Chapter 11 reorganization that occurred in March 2002.

(4)

The company acquired certain assets of Fisher Foods Limited's chilled division on June 26, 2002 for $37.2 mm. Financials are not pro forma due to lack of public information.

(5)

Pro forma for the acquisition of Minnesota Corn Processors, completed on 9/6/2002. Not pro forma for the sale of Swift Foods Company to Hicks, Muse, Tate & Furst, due to lack of public information.

(6)

Includes equity earnings in affiliates.

(7)

Pro forma for the Brazilian restructuring that occurred in Feb. 2002.

(8)

Pro forma for the acquisition of Packerland Packing completed 10/26/2001. Not pro forma for the acquisition of Stefano Foods in June 2002 or Quik-to-Fix due to lack of public information and immateriality.

(9)

Shares outstanding includes Class A Common Stock and Class B Common Stock.

(10)

Pro forma for the acquisition of certain businesses of H.J. Heinz announced 6/13/2002.

(11)

Projected multiples are not meaningful because research estimates do not take into account the acquisition of the Heinz businesses.

(12)

In January 2002, the company acquired Cosmos Bottling Corp for PHP 14,000 mm. In 2001, the Company acquired 99.75% ownership in Pure Foods Corporation for PHP 7.018 mm. In 2001, the company restructured its non-alcoholic beverage business which included the sale of various assets. No pro forma information was given relating to the financial performance of these acquired and disposed of assets, so assumes results from operations are included from the date of acquisition. Uses weighted average price of Class A and Class B shares outstanding.

45

QuickLinks

Special Committee Discussion Materials

I. Review of Proposal and Recent Developments

II. Valuation Perspectives

III. Review of Trading Performance

Appendix A: Financial Performance

Appendix B: Common Stock Comparison