Investor Fact Book — Fiscal Year 2017 Our Purpose Raising the World’S Expectations for How Much Good Food Can Do
Total Page:16
File Type:pdf, Size:1020Kb
Investor Fact Book — Fiscal Year 2017 Our Purpose Raising the world’s expectations for how much good food can do Team Behaviors Core Values We are a caring team that puts We strive to be honorable the customer first. and operate with integrity. We listen, assume positive intent, We strive to be then speak with candor. faith-friendly and inclusive. We embrace creativity to We strive to serve as stewards get better every day. of the resources entrusted to us. We are inclusive, and through We strive to provide a safe intentional collaboration, we win. work environment. We make a commitment daily, to deliver results the right way. Our Strategy Sustainably feed the world with the fastest growing protein brands. How We Will Achieve Our Strategy Grow. Deliver. Sustain. Our businesses through Ongoing financial fitness through Our company and our world differentiated capabilities. continuous improvement. for future generations. Our Customer Promise We partner with Every day we take As consumers We will remain We are optimistic customers to the opportunity demand our externally and solutions delight consumers to strengthen products, we focused, agile driven, turning in the constant our customer promise to be and constantly challenges into pursuit of growth. relationships by indispensable to educated in opportunities working together our customers as consumer insights. and finding ways as a team. our customers are to keep growing indispensable to us. together. About Tyson Foods Contents Tyson Foods, Inc. (NYSE: TSN) is one 2 Who We Are of the world’s largest food companies and a recognized leader in protein. 3 The Core 9 Founded in 1935 by John W. Tyson and 4 Leading U.S. Protein Producers grown under three generations of family leadership, the company has a broad 4 Portfolio Roles and Business Models portfolio of products and brands like 5 Fiscal 2017 International Sales Tyson®, Jimmy Dean®, Hillshire Farm®, Ball Park®, Wright®, Aidell’s®, ibp® and 6 U.S. Operations State Fair®. Tyson Foods innovates 9 Beef continually to make protein more sustainable, tailor food for everywhere 14 Pork it’s available and raise the world’s 17 Chicken expectations for how much good food can do. Headquartered in Springdale, Arkansas, the company had 122,000 team members at September 30, 2017. Through its Core Values, Tyson Foods strives to operate with integrity, create value for its shareholders, customers, communities and team members and serve as a steward of the animals, land and environment entrusted to it. Investor Inquiries Trademarks and Registered Trademarks [email protected] Tyson®, Jimmy Dean®, Hillshire Farm®, 479-290-2604 Ball Park®, Wright®, Aidells®, ibp®, State Fair®, Sara Lee™ and Van’s® Media Inquiries [email protected] The terms “Tyson,” “Tyson Foods,” “the 479-290-6397 Company,” “our,” “we” and “us” refer to Tyson Foods, Inc., to one or more of its Tyson Foods Websites consolidated subsidiaries or to all of them as a Corporate www.tysonfoods.com whole. These terms are used for convenience Investor Relations ir.tyson.com only and are not intended as a precise Brands www.tysonfoods.com/our-brands description of any of the separate companies, each of which manages its own affairs. Who We Are — Tyson Foods is a modern, multi-national, protein-focused food company producing 20% of the beef, pork and chicken in the United States in addition to a portfolio of foods under the Tyson®, Jimmy Dean®, Hillshire Farm®, BallPark®, Wright®, Aidell’s® and State Fair® brands. SALES BY SEGMENT Fiscal 2017 38% 11% 30% 20% Sales: BEEF PORK PREPARED FOODS $38.3 Billion CHICKEN 1% OTHER SALES BY DISTRIBUTION CHANNEL 51% 33% 12% CONSUMER PRODUCTS FOODSERVICE INTERNATIONAL 4% OTHER Fiscal 2017 BEEF PORK CHICKEN PREPARED FOODS 130,000 424,000 35,000,000 75,000,000 APPROX. AVG. HEAD PER WEEK APPROX. AVG. HEAD PER WEEK APPROX. AVG. BIRDS PER WEEK APPROX. AVG. POUNDS PER WEEK 12* 9* 48 42 FACILITIES FACILITIES FACILITIES FACILITIES 122,000 14 4 2 1** 1 TEAM MEMBERS DISTRIBUTION INTERNATIONAL RESEARCH & TURKEY PET TREAT CENTERS FACILITIES DEVELOPMENT FACILITY FACILITY CENTERS *Includes three case-ready beef and pork plants. **Included in Prepared Foods’ 42 facilities. 2 Tyson Foods Fiscal 2017 Fact Book The Core 9 Our “Core 9” comprises products that are the #1 or #2 brands in their categories. Frozen Branded # Prepared # Hot Dogs # Stacked 1 Chicken 1 1 Bacon Frozen # Protein # Breakfast # Smoked 1 Breakfast 1 Sausage 1 Sausage Super Branded Corn Premium # Lunchmeat # Dogs # Smoked 2 1 1 Sausage Source: IRI, Total Multi-Outlet, data through 8/6/17. Tyson Foods Fiscal 2017 Fact Book 3 Leading U.S. Protein Producers FED BEEF PORK CHICKEN % % 17 % 27% 23 20 33% 49% 9% 25% 16% 23% 6% 18% 19% 8% 7% 23% TYSON FOODS 17% TYSON FOODS 20% TYSON FOODS 23% JBS 25% SMITHFIELD 16% PILGRIM’S PRIDE 18% CARGILL 19% JBS 8% SANDERSON FARMS 9% LEUCADIA 6% HORMEL 7% PERDUE FARMS 27% OTHER 33% OTHER 49% OTHER Source: Cattle Buyers Weekly, 2017. Source: EMI Analytics, July 2017 Source: Watt Poultry USA, March Based on maximum U.S. capacity as reported in National Pork Board 2018. Based on ready-to-cook (head per day). Quick Facts. Based on estimated pounds produced. daily U.S. capacity (head per day). Portfolio Roles and Business Models Branded and Value Added Commodity Grow above Grow above Leverage industry by industry and throughput and investing in expand margins efficiency to brand building, through generate cash. innovation customer and customer partnership, RETAIL development. differentiation and competitive FOODSERVICE costs. CHANNELS ALL 4 Tyson Foods Fiscal 2017 Fact Book Fiscal 2017 International Sales CHINA OTHER & HONG KONG Total Company 31% 21% International Sales: * JAPAN ~$4.5 Billion 17% TAIWAN % 4 SOUTH KOREA MEXICO CANADA % % 4% 9 14 BEEF EXPORT SALES: PORK EXPORT SALES: ~$2.2 BILLION $971 MILLION OTHER OTHER % CHINA SOUTH % 18 & HONG KONG KOREA 15 % % ITALY 23 4 JAPAN 5% 35% CANADA TAIWAN 10% 7% JAPAN % MEXICO 20 CHINA % & HONG KONG 12 % SOUTH 15 MEXICO KOREA % 15% 21 CHICKEN INTERNATIONAL SALES: PREPARED FOODS EXPORT SALES: ~$1.25 BILLION* $91 MILLION CHINA & HONG KONG MEXICO 25% 25% OTHER % OTHER 38 48% MEXICO 10% CANADA % BRAZIL 23 % SOUTH 6 KOREA % JAPAN 10 INDIA % PUERTO % 4 RICO CANADA 5 3% 3% * Includes exports and in-country production Tyson Foods Fiscal 2017 Fact Book 5 U.S. Operations at Fiscal 2017 Year End ALABAMA GEORGIA MAINE 1,800 Team Members 4,100 Team Members 300 Team Members Albertville (Chicken, Animal Nutrition) Cumming (Chicken) Portland (Chicken) Blountsville (Chicken) Dawson (Chicken) Macon (Distribution Center) ARIZONA MICHIGAN Rome (Prepared Foods) 60 Team Members 1,700 Team Members Vienna (Chicken) Tolleson (Distribution Center) Warren (Prepared Foods) Traverse City (Prepared Foods) ARKANSAS ILLINOIS 4,600 Team Members Zeeland (Prepared Foods) 24,200 Team Members Caseyville (Prepared Foods) Berryville (Chicken and Animal Nutrition) Chicago (Corporate Office, MISSISSIPPI Beef Further Processing) Clarksville (Chicken, Animal Nutrition) 3,700 Team Members Discovery Center, Downers Grove Carthage (Chicken, Animal Nutrition Dardanelle (Chicken, Animal Nutrition) Joslin (Beef) Forest (Chicken, Animal Nutrition) Fayetteville (Prepared Foods) Ottawa (Distribution Center) Vicksburg (Chicken) Fort Smith (Chicken) Rochelle (Distribution Center) Grannis (Chicken) MISSOURI INDIANA 5,800 Team Members Green Forest (Chicken, Animal Nutrition) 3,200 Team Members Concordia (Prepared Foods) Hope (Chicken, Animal Nutrition) Corydon (Chicken) Dexter (Chicken, Animal Nutrition) Logansport (Pork) Nashville (Chicken) Monett (Chicken, Animal Nutrition) Portland (Prepared Foods) North Little Rock (Chicken) Noel (Chicken) Pine Bluff (Chicken, Animal Nutrition) IOWA Sedalia (Chicken, Animal Nutrition) Rogers (Chicken, Distribution Center) 11,000 Team Members St. Joseph (Prepared Foods) Council Bluffs (Case-Ready Beef and Pork, Russellville (Chicken, Distribution Center) Prepared Foods) NEBRASKA Scranton (Animal Nutrition) Independence (Animal Nutrition) 9,600 Team Members Siloam Springs Louisa County (Pork) Dakota City (Beef) (Cobb Vantress Headquarters) Perry (Pork) Lexington (Beef) Springdale Storm Lake (Pork, Prepared Foods - Turkey) Madison (Pork, Prepared Foods) World Headquarters Waterloo (Pork, Prepared Foods) Omaha (Prepared Foods) Discovery Center, Springdale KANSAS Chicken, Animal Nutrition NEW JERSEY 5,700 Team Members 200 Team Members Texarkana (Animal Nutrition) Emporia (Beef Further Processing) Vineland (Prepared Foods) Van Buren (Chicken) Finney County (Beef) Waldron (Chicken) Hutchinson (Prepared Foods) NORTH CAROLINA Kansas City (Prepared Foods) 7,500 Team Members CALIFORNIA Olathe (Distribution Center) 1,100 Team Members Claremont (Prepared Foods) South Hutchinson (Prepared Foods) Rancho Cucamonga (Prepared Foods) Harmony (Animal Nutrition) San Diego (Prepared Foods) KENTUCKY Monroe (Chicken) San Lorenzo (Prepared Foods) 2,500 Team Members Sanford (Prepared Foods) Claryville (Prepared Foods) Tarboro (Prepared Foods) FLORIDA Robards (Chicken, Animal Nutrition) 150 Team Members Wilkesboro (Chicken) Jacksonville (Beef Further Processing) 6 Tyson Foods Fiscal 2017 Fact Book U.S. Operations U.S. Operations Headquarters Prepared Foods Headquarters Prepared Foods Turkey Turkey Chicken ChickenCase-Ready BeefCase-Rea & Porkdy Beef & Pork Beef Beef Animal NutritionAnimal Nutrition Pork Distribution Center Pork Distribution Center VIRGINIA OHIO SOUTH DAKOTA 1,500 Team Members 2,100 Team Members 500 Team Members Glen Allen (Chicken, Animal Nutrition) Amherst