2013 Integrated Report Integrated 2013 2013 About This Report Welcome to the Smithfield Foods1 2013 Integrated Report. This publication Integrated combines our annual financial results with highlights of our sustainability programs and performance in six key areas: animal care, employees, Report environment, food safety and quality, helping communities, and value creation. The content of this integrated report primarily covers fiscal 2013; Smithfield’s fiscal year runs from May through April. More comprehensive sustainability information, which aligns with the Global Reporting Initiative guidelines, is available at smithfieldcommitments.com. Additional investor information is available at investors.smithfieldfoods.com. About Smithfield Foods NEW! Based in Smithfield, Virginia, Smithfield Foods is the world’s largest pork processor and hog producer. Revenues exceeded $13 billion in fiscal 2013. In the United States, we are also the leader in numerous packaged meats categories with popular brands including Smithfield®, Eckrich®, Farmland®, Armour®, Cook’s®, Gwaltney®, John Morrell®, Kretschmar®, Curly’s®, Carando®, Margherita®, and Healthy Ones®. We conduct our operations Smithfield Foods, Inc. through four segments: Pork, Hog Production, International, and Corporate, each of which includes a number of subsidiaries, joint ventures, or other investments. See the Our Operations foldout on page 34 for more details. Smithfield Foods, Inc. 200 Commerce Street Smithfield, VA 23430 PACKAGED OCT 2013 Good Food. 1 Smithfield Foods, Inc., is a holding company with a number of independent operating companies (IOCs). +1 757 365 3000 Throughout this report, the term “Smithfield” is utilized for ease of reference to indicate one or more of ® these IOCs. Smithfield should not be confused with Smithfield-Farmland, which is one of these IOCs. smithfieldfoods.com EXP OCT 2014 Smithfield-Farmland was created in August 2013 as part of an internal company reorganization that smithfieldcommitments.com Responsibly. combined The Smithfield Packing Company with Farmland Foods. Contact Table of Contents Financial Highlights 2 Executive Letters 3 Key Data Summary 8 The feedback we have received on our performance and communications efforts has proven very valuable to our company. We hope that you will continue to communicate with us as we proceed Key Commitments 9 along our performance improvement journey. Animal Care 12 Benefiting from Vertical Integration 16 Dennis H. Treacy Kathleen P. Kirkham Keira L. Lombardo Executive Vice President Sustainability and Vice President, Investor Relations and Chief Sustainability Officer Social Media Manager and Corporate Communications Employees 18 +1 757 365 3000 +1 757 365 1965 +1 757 365 3000 [email protected] [email protected] [email protected] Environment 20 William D. Gill Stewart T. Leeth David A. Townsend Assistant Vice President, Assistant Vice President, Environmental Assistant Vice President, Food Safety & Quality 24 Environmental Affairs and Corporate Affairs, and Senior Counsel Environmental Affairs +1 757 356 6700 +1 757 365 3000 +1 913 256 5303 [email protected] [email protected] [email protected] Helping Communities 26 International Operations 28 facebook.com/SmithfieldFoods @SmithfieldFoods youtube.com/SmithfieldFoods Governance & Management 30 Value Creation & Risk Management 32 Our Operations 34 Credits Our Companies 38 Designed and produced by RKC! This report is printed on Neenah Paper Classic Crest Recycled 100 Bright White stock. This paper contains 100 percent post-consumer recycled fiber (Robinson Kurtin Communications! Inc) and was made using 100 percent renewable electricity. We achieved the 10-Year Financial Summary 40 following by printing on this stock instead of virgin paper: Content developed by BuzzWord, Inc. Non-GAAP Measure Reconciliation 42 Trees saved 137 Printed by J.S. McCarthy Water saved 62,257 gallons Corporate Information 43 Cover photography by Peggy Barnett Solid waste not 3,780 pounds Executive photography and videos by produced Corporate Officers 44 Daniel Marracino and Sean O’Hara Energy saved 43 million BTUs Third-Party Recognition 2012/2013 45 Additional photography by Timothy Llewellyn (pages 19, 21, 23, 24, and 27) and Brad Carbon emissions 12,927 pounds Schloss (page 26) not generated Integrated Reporting Index 46 Contact 47 Contact Table of Contents Financial Highlights 2 Executive Letters 3 Key Data Summary 8 The feedback we have received on our performance and communications efforts has proven very valuable to our company. We hope that you will continue to communicate with us as we proceed Key Commitments 9 along our performance improvement journey. Animal Care 12 Benefiting from Vertical Integration 16 Dennis H. Treacy Kathleen Kirkham Keira L. Lombardo Executive Vice President Sustainability and Vice President, Investor Relations and Chief Sustainability Officer Social Media Manager and Corporate Communications Employees 18 +1 757 365 3000 +1 757 365 1965 +1 757 365 3000 [email protected] [email protected] [email protected] Environment 20 William D. Gill Stewart T. Leeth David Townsend Assistant Vice President, Assistant Vice President, Environmental Assistant Vice President, Food Safety & Quality 24 Environmental Affairs and Corporate Affairs, and Senior Counsel Environmental Affairs +1 757 356 6700 +1 757 365 3000 +1 913 256 5303 [email protected] [email protected] [email protected] Helping Communities 26 International Operations 28 facebook.com/SmithfieldFoods @SmithfieldFoods youtube.com/SmithfieldFoods Governance & Management 30 Value Creation & Risk Management 32 Our Operations 34 Credits Our Companies 38 Designed and produced by RKC! This report is printed on Neenah Paper Classic Crest Recycled 100 Bright White stock. This paper contains 100 percent post-consumer recycled fiber (Robinson Kurtin Communications! Inc) and was made using 100 percent renewable electricity. We achieved the 10-Year Financial Summary 40 following by printing on this stock instead of virgin paper: Content developed by BuzzWord, Inc. Non-GAAP Measure Reconciliation 42 Trees saved 137 Printed by J.S. McCarthy Water saved 62,257 gallons Corporate Information 43 Cover photography by Peggy Barnett Solid waste not 3,780 pounds Executive photography and videos by produced Management 44 Daniel Marracino and Sean O’Hara Energy saved 43 million BTUs Third-Party Recognition 2012/2013 45 Additional photography by Timothy Llewellyn (pages 19, 21, 23, 24, and 27) and Brad Carbon emissions 12,927 pounds Schloss (page 26) not generated Integrated Reporting Index 46 Contact 47 2013 Integrated Report Integrated 2013 2013 About This Report Welcome to the Smithfield Foods1 2013 Integrated Report. This publication Integrated combines our annual financial results with highlights of our sustainability programs and performance in six key areas: animal care, employees, Report environment, food safety and quality, helping communities, and value creation. The content of this integrated report primarily covers fiscal 2013; Smithfield’s fiscal year runs from May through April. More comprehensive sustainability information, which aligns with the Global Reporting Initiative guidelines, is available at smithfieldcommitments.com. Visit investors.smithfieldfoods.com for additional investor information. About Smithfield Foods NEW! Based in Smithfield, Virginia, Smithfield Foods is the world’s largest pork processor and hog producer. Revenues exceeded $13 billion in fiscal 2013. In the United States, we are also the leader in numerous packaged meats categories with popular brands including Smithfield®, Eckrich®, Farmland®, Armour®, Cook’s®, Gwaltney®, John Morrell®, Kretschmar®, Curly’s®, Carando®, Margherita®, and Healthy Ones®. We conduct our operations through four segments: Pork, Hog Production, International, and Corporate, each of which includes a number of subsidiaries, joint ventures, or other investments. See the Our Operations foldout on page 34 for more details. Smithfield Foods, Inc. Smithfield Foods, Inc. 200 Commerce Street Smithfield, VA 23430 PACKAGED OCT 2013 Good Food. 1 Smithfield Foods, Inc., is a holding company with a number of independent operating companies (IOCs). +1 757 365 3000 Throughout this report, the term “Smithfield” is utilized for ease of reference to indicate one or more of ® these IOCs. Smithfield should not be confused with Smithfield-Farmland, which is one of these IOCs. smithfieldfoods.com EXP OCT 2014 Smithfield-Farmland was created in August 2013 as part of an internal company reorganization that smithfieldcommitments.com Responsibly. combined The Smithfield Packing Company with Farmland Foods. 2013 Integrated Report 2013 Integrated Report DO NOT PRINT This report is enhanced with Smithfield DIGITAL. Access videos, additional content, and Web links, or email us right from your smartphone or tablet. Scan Visit Site Share 1 Download the free Smithfield 2 Look for pages with the 3 Open the Smithfield DIGITAL 4 View enhanced digital DIGITAL app for iPhone, iPad, Smithfield DIGITAL logo. app, hold the phone six to 12 content. or Android. inches above the page, and tap to scan the page. This app is compatible with the following: iPhone 3GS or later (running iOS 5.1 or later), iPad 2 or later (running iOS 5.1 or later), and most devices running Android 2.2 or later. 139246_Book.indd 1 9/26/13