AUSTIN, Minn. — During its annual shareholder meeting in Austin, Minn., on Jan. 31, 2012, Hormel Foods Corporation, a multinational marketer of consumer-branded food and meat products, celebrated the growth of MegaMex Foods, its 50/50 joint venture with Herdez del Fuerte. Since its inception just two years ago, MegaMex Foods has increased sales by more than 150 percent.
"The focus of MegaMex Foods is to bring the spirit of Mexico to every table," said James M. Splinter, group vice president, Grocery Products at Hormel Foods. "Great brands like Herdez(R), CHI-CHI'S(R), La Victoria(R), Don Miguel(R), and the new additions to MegaMex Foods, Wholly Guacamole(R), Wholly Salsa(R) and Wholly Queso(R), will help us accomplish this goal. We are excited about the future because our expectation for this business is that it will continue to grow at an accelerated rate exceeding that of our core Grocery Products portfolio."
MegaMex Foods was a key driver of success for Hormel Foods which experienced record success in fiscal year 2011. To highlight this achievement, Jeffery M. Ettinger, chairman of the board, president and chief executive officer at Hormel Foods, offered remarks on the company's recent growth.
During fiscal year 2011, Hormel Foods:
— Experienced record dollar sales of $7.9 billion, up 9 percent from the previous year;
— Increased net earnings per share by 15 percent over 2010; and
— Registered net sales increases in all five operating segments year over year: — Grocery Products up 2 percent;
— Refrigerated Foods up 10 percent;
— Jennie-O Turkey Store up 12 percent;
— Specialty Foods up 7 percent; and
— All Other (International) up 26 percent.
"In looking at the full year, we delivered significant sales growth of 9 percent, ending the year at a record $7.9 billion, with all five segments registering increases," Ettinger said. "We were able to accomplish this by enhancing our support of key Hormel(R) and Jennie-O Turkey Store(R) brands in fiscal 2011 with effective advertising campaigns. In addition, our rock-solid balance sheet and strong, long-term track record for both new product innovation and for making strategic acquisitions is positioning us to continue generating profitable growth."
To view a video of the meeting, visit http://www.hormelfoods.com/newsroom/events/annualmeeting.aspx .
About Hormel Foods
Hormel Foods Corporation, based in Austin, Minn., is 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. The company leverages its extensive expertise, innovation and high competencies in pork and turkey processing and marketing to bring branded, value-added products to the global marketplace. The company is a member of the Standard & Poor's 500 Index, Dow Jones Sustainability Indexes, Maplecroft Climate Innovation Indexes, Global 1000 Sustainable Performance Leaders and was named one of "The 100 Most Trustworthy Companies" by Forbes in 2010. The company enjoys a strong reputation among consumers, retail grocers, foodservice and industrial customers for products highly regarded for quality, taste, nutrition, convenience and value. For more information, visit http://www.hormelfoods.com .
About Herdez Del Fuerte
Herdez Del Fuerte, based in Mexico City, is a leading manufacturer and marketer of consumer-branded food and beverages in Mexico and the United States. The company has a strong product portfolio mainly based in tomato, fruit, vegetable, jalapeno, mole sauce, coffee and tuna products marketed under highly recognized and valued brands, including HERDEZ(R), DEL FUERTE(R), DONA MARIA(R), LA VICTORIA(R), NAIR(R), EMBASA(R), BUFALO(R), LA GLORIA(R), CARLOTA(R) and BLASON(R), among others. Herdez Del Fuerte also markets and distributes products from affiliated companies such as Hormel Alimentos, McCormick de Mexico and Barilla Mexico. To fulfill its retail and foodservice customer and consumer needs, Herdez Del Fuerte operates seven manufacturing facilities and seven distribution centers across Mexico with more than 6,000 employees. Herdez Del Fuerte is a joint venture between Grupo Herdez, S.A.B. de C.V., and Grupo KUO, S.A.B. de C.V. For more information, visit http://www.grupoherdez.com.mx and http://www.kuo.com.mx
Source: Hormel Foods Corporation
