Bringing more to the table • Award winning innovation • Sophisticated fl avors • Delicious, ready-to-eat convenience • The right mix of products and channels • Superior shareholder returns

HORMEL FOODS CORPORATION was founded in 1891 in Austin, Minn. We are a multinational manufacturer and marketer of consumer-branded food and meat products, many of which are among the best known and trusted in the food industry. We leverage our extensive expertise, innovation and high competencies in pork and turkey processing and marketing to bring quality, value-added brands to the global marketplace.

For 116 years, we’ve made our name with products that bring quality and taste to consumers’ eating experience. We have a long and proud tradition of bringing more to the table for our employees, our consumers and our investors. At Hormel Foods, innovation is about meeting our consumers’ needs; it’s about knowing what’s going to set us apart, what’s going to move our products off the shelves and onto consumers’ tables around the world. Hormel Foods at a Glance - 2006 Fiscal Year Segment Financial Results Net Sales Operating profi t (in millions) (in millions) Grocery Products The center of the store has never been more enticing. With $ $ convenient products that serve as flavorful toppers, ethnic side 846.5 137.6 dishes or the main course, our shelf-stable products are guar- anteed to enhance any part of the meal experience. Key brands in this segment include: Hormel, Chi-Chi’s, SPAM, Valley Fresh, 15% of total 28% of total Dinty Moore, Compleats Refrigerated Foods Our refrigerated products are available to consumers and $ $ foodservice operators in a variety of preparation stages— 3,018.6 149.1 raw, marinated, and pre-cooked — to meet their cooking needs. Key brands in this segment include: Hormel Always Tender, CURE 81, Hormel Black Label bacon, Hormel 52% of total 31% of total pepperoni, Hormel Natural Choice

Jennie-O Turkey Store Our innovative Jennie-O Turkey Store® products have $ $ changed how people look at turkey. We offer products 1,105.4 128.7 for every meal occasion, including turkey burgers, fresh ground turkey, deli-sliced sandwich meat, turkey dogs and our Oven Ready whole turkey and turkey breasts. 19% of total 27% of total

Specialty Foods We’re building scale in high potential categories by offering $ $ restaurant packets, nutritional food products and supple- 624.6 48.6 ments and contract manufacturing. This segment includes Diamond Crystal Brands, Century Foods International and Hormel Foods Specialty Products. 11% of total 10% of total

All Other With products like maple flavored Hormel® real bacon $ $ crumbles and Stinky French Garlic SPAM®, our Inter- 150.4 17.3 national presence continues to grow. In some Asian countries, SPAM® is even given as a traditional gift. 3% of total 4% of total

2006 segment results have been adjusted for the shift of Dan’s Prize into the Refrigerated Foods segment. ™ ™ Delivering shareholder value

Net Sales (Billions $) Net Earnings (Millions $) EBITDA (Millions $) Dividends Per Share (Dollars $) 6.0 300 600 .60

5.0 CAGR 10.1% 250 CAGR 10.9% 500 CAGR 9.3% .50 CAGR 9.5% 4.0 200 400 .40

3.0 150 300 .30 2.0 100 200 .20 1.0 50 100 .10 0 0 0 0 02 03 04 05 06 02 03 04 05 06 02 03 04 05 06 02 03 04 05 06

Financial Highlights Table and Ratios: (In Thousands, Except per Share Amounts)

Restated* Restated* Restated* Restated* 2006 2005 2004 2003 2002

Net Sales $ 5,745,481 $ 5,413,997 $ 4,779,875 $ 4,200,328 $ 3,910,314 Net Earnings 286,139 254,603 233,550 186,403 188,981 Per Share (Diluted) 2.05 1.82 1.67 1.33 1.35 Percent of Sales 4.98% 4.70% 4.89% 4.44% 4.83% EBITDA (1) $ 571,810 $ 541,128 $ 475,122 $ 399,433 $ 400,939 Percent of Sales 9.95% 9.99% 9.94% 9.51% 10.25% Depreciation and Amortization $ 121,101 $ 115,189 $ 94,745 $ 88,020 $ 83,238 Capital Expenditures 141,516 107,094 80,363 67,104 64,465 Long-term Debt, less current maturities 350,054 350,430 361,510 395,273 409,648 Debt/Capitalization Ratio 16.27% 18.44% 20.96% 24.33% 27.16% Return on Invested Capital (2) 13.91% 13.60% 13.43% 11.88% 13.12% Dividends Paid $ 75,840 $ 69,371 $ 61,343 $ 57,092 $ 53,437 Per Share of Common Stock 0.56 0.52 0.45 0.42 0.39

* Restated for retrospective application of FIFO inventory valuation (1) Net earnings before income taxes plus interest expense, depreciation and amortization, less interest and investment income (2) After-tax EBIT divided by total debt plus total shareholders’ investment

Comparison of 5 Year Cumulative Total Return* (Dollars) Hormel Foods Corporation S&P Packaged Foods & Meats Index S&P 500 Index 200

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100

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10/01 10/02 10/03 10/04 10/05 10/06

*$100 invested on 10/31/01 in stock or index-including reinvestment of dividends. Fiscal year ending October 29. Copyright © 2006, Standard & Poor’s, a division of the McGraw-Hill Companies, Inc. All rights reserved. www.researchdatagroup.com/S&P.htm

Contact Information: Jody Feragen SVP & CFO (507) 437-5950 [email protected] Fred Halvin Director, IR (507) 437-5007 [email protected] Hormel Foods Corporation Forward-Looking Statements: This corporate fact sheet contains forward-looking information based on 1 Hormel Place management’s current views and assumptions. Actual events may differ materially. Please refer to the Austin MN 55912-3680 risk factors in the annual report on pages 33-37 which can be accessed at www.hormel.com.