Sanderson Holders Again Reject Antibiotics Proposal

(Dow Jones) -- Sanderson Farms' shareholders rejected again--albeit by a narrower margin--a shareholder proposal to phase out the use of antibiotics in chickens. The vote was 8.2M votes in favor and 10.1M against vs. 5.71M to 12.4M a year ago. Rival poultry processors like Tyson Foods, Pilgrim's Pride and Perdue Farms have increasingly moved to eliminate antibiotics from chicken flocks. Sanderson said in an annual proxy filing that it has a "detailed contingency plan" to eliminate those drugs if competitive pressures require and estimates that it would wean its entire chicken operation from antibiotics within 12 months. Shares close down 1.5% at $131.44, up 38% over the past 12 months.