SPRINGDALE, Ark. – Tyson Foods Inc. on Monday reported that its third quarter sales were $6.8 billion, compared to $6.6 billion the previous year.

The operating income for the quarter was $45 million compared to $212 million, and net income was $9 million compared to $111 million, for the same period last year.

"In the third quarter of fiscal 2008, Tyson Foods' diversified business offset the losses incurred by our chicken segment, which is experiencing more difficult market dynamics," said Richard L. Bond, president and CEO. "Our beef, pork and prepared foods segments were profitable, while our chicken segment suffered a loss.

The company blamed higher input costs for the drop in income, especially with grain for feed.

Tyson also reported that it entered into a letter of intent with XL Foods Inc. to sell the beef processing, cattle feedyard and fertilizer assets of Lakeside Farm Industries Ltd in Alberta, Canada. The transaction remains subject to government approvals, the receipt of commercially reasonable financing by XL Foods and the execution of a definitive agreement between Tyson and XL Foods. The company hopes to complete the sale by the end of fiscal 2008. The results for Lakeside, current and prior periods, are reported as discontinued operations.

Source: Tyson Foods Inc.