Smits To Become Cargill’s CFO
Former Sara Lee executive Marcel Smits will become Cargill’s new CFO on April 15.
“Marcel Smits is a terrific addition to the Cargill leadership team. His global experience in financial management and the food industry will be a tremendous asset to the company,” said Cargill Chairman and CEO Greg Page.
Smits, a native of the Netherlands, served in a variety of financial management positions for Unilever in Europe, Latin America and Asia throughout the mid-1980s and 1990s, lastly as SVP of finance for China. He subsequently served as CFO for two Dutch listed companies, first for Vendex KBB, a retail group, then for KPN, the country’s leading telecommunications service provider. Both Vendex KBB and KPN serve a variety of European markets. Smits became CFO of Sara Lee in 2009 and was appointed CEO in early 2011. During his tenure at Sara Lee, the company restructured its portfolio and split itself into two separate companies, Hillshire Brands, a North American food company that maintains “Sara Lee” as one of its product brands, and D.E Master Blenders 1753, an international coffee and tea business listed and headquartered in the Netherlands. Smits is a certified public accountant with master’s degrees in business administration and tax law from the University of Amsterdam.
Cargill’s CFO position was vacated in November when Sergio Rial left the company to return to his native Brazil. Cargill President and COO David MacLennan had added the duties of interim CFO to his responsibilities up until now.
Cargill is an international producer and marketer of food, agricultural, financial and industrial products and services. Founded in 1865, the privately held company employs 142,000 people in 65 countries.
Agri Beef Co. Adds Ground Beef Processing Facility
Agri Beef Co., producer of premium Northwest beef brands Snake River Farms, Double R Ranch and St. Helens, has expanded its Washington beef processing facility in Toppenish, Wash., to include a grind operation. The new grind facility is co-located with the company’s beef production facility for efficiency. Agri Beef will now grind its own retail ground beef rolls (also known as ground beef chubs), bulk ground beef rolls and bulk ground beef patties.
The Northwest location of the combined facility allows for ease of frequent deliveries and consistent supply. It also will ensure shorter lead times and a fresher product with faster turnaround for increased shelf life. The new grind facility includes a two-step metal detection process and spiral freezer.
“Agri Beef’s investment in the new grind operation allows us to offer complete production for our brands and fulfill our commitment to efficient supply chain management,” says Jay Theiler, executive director of marketing. “Many of our customers requested that we offer Agri Beef produced grinds and we are proud to fulfill that request. We know that retail and foodservice customers will find our ground beef rolls and patties consistent with Agri Beef’s commitment to high quality.”
Retail ground beef
Agri Beef’s retail ground beef rolls (chubs) are available in 1- and 3-lb. packages under the St. Helens and Double R Ranch brands. The individual packaging features a 1-inch clear window for the customer to see the product. The retail rolls are available in 90, 85, 80 and 75 percent lean points.
Bulk ground beef
Agri Beef’s bulk rolls come in 5- and 10-lb. increments and in fine and coarse grind textures. The bulk rolls are available in 93, 85, 80 and 75 percent lean points. Agri Beef also produces a Snake River Farms American-Style Kobe ground beef 5-lb. roll with a lean point of 75 percent.
Agri Beef’s ground beef rolls are sold fresh but can be shipped frozen upon request.
Patties
Agri Beef’s frozen beef patties are available in bulk 10-lb. boxes. Patties range in size from 1/4lb. to 1/2lb.The patties are offered from the St. Helens Premium Angus Beef, Double R Ranch and Snake River Farms brands. The St. Helens and Double R Ranch patties are 80 percent lean and the Snake River Farms patties are 75 percent lean. Agri Beef also makes a patty for foodservice made from 75 percent regular ground beef and 25 percent American-Style Kobe beef.
Robert Rebholtz Sr. founded Agri Beef Co. in 1968 in Boise, Idaho, as a family-owned ranching and cattle feeding operation. The company has since grown to incorporate every step of beef production—from ranching, cattle feeding and animal nutrition to beef processing, marketing and sales.
Cargill Beef NASCAR Racing Enters Fourth Season
When the Cargill Beef/Roush Fenway Racing No. 6 Ford Mustang takes the track this weekend for the NASCAR Nationwide Series race at Daytona International Speedway, driver Trevor Bayne will be competing for the racing team’s third consecutive series championship. In 2010, Bayne became the youngest driver to win the Daytona 500 Sprint Cup Series race at age 20. He replaces 2011, 2012 Nationwide Series champion Ricky Stenhouse Jr., who moved to the Sprint Cup Series with Roush Fenway for the 2013 season.
With a new black and gold Cargill paint scheme on the No. 6 Ford Mustang carrying the “Our Certified Ground Beef” theme, Bayne will be driving both the car and a season-long, nationwide “Tailgating with Trevor” consumer sweepstakes. The end-of-season grand prize drawing winner will receive an all-expense-paid trip to the Concord, N.C., Roush Fenway Racing headquarters for a personalized tour and a VIP tailgating experience.
“We’re revving up promotional activities for our ground beef products with a program that inspirers grocery retailer participation and will excite consumers during the NASCAR racing season that overlaps the peak burger grilling months,” said Tammy Shaw, VP of Cargill Beef marketing and sales. “We’ll be using all channels available to us to promote our racing program in 2013, including our new cargillgroundbeef.com internet website, social media such as Facebook, Pinterest and Twitter, in-store promotion featuring point of sale materials including on-pack stickers, Facebook advertising, customized videos featuring Trevor Bayne and customized in-store programs—all focused on driving consumers to purchase Cargill ground beef.”
“Ground beef is an American food favorite used for many different recipes, from burgers to tacos, chili to meat balls, spaghetti sauce to nachos, all of which are great foods for NASCAR ‘tailgating’ at home or at the track,” said Shaw. “Our goal is to help consumers enjoy their favorite ground beef dishes while experiencing the 2013 NASCAR season.”
Cargill will be the primary sponsor of the No. 6 Mustang for the following 2013 races:
• Saturday, Feb. 23, Daytona International Speedway, Daytona Beach, Fla.;
• Saturday, March 23, Auto Club Speedway, Fontana, Calif.;
• Friday, April 12, Texas Motor Speedway, Forth Worth;
• Saturday, May 4, Talladega Superspeedway, Talladega, Ala.;
• Friday, May 10, Darlington Raceway, Darlington, S.C.;
• Saturday, June 15, Michigan International Speedway, Brooklyn, Mich.;
• Saturday, July 13, New Hampshire Motor Speedway, Loudon, N.H.;
• Saturday, Aug. 31, Atlanta Motor Speedway, Hampton, Ga.;
• Saturday, Oct. 5, Kansas Speedway, Kansas City, Kan.; and
• Friday, Oct. 11, Charlotte Motor Speedway, Concord, N.C.
Cargill is an international producer and marketer of food, agricultural, financial and industrial products and services. Founded in 1865, the privately held company employs 142,000 people in 65 countries.
Star Ranch Angus Beef Now Includes Branded, Case-Ready Ground Beef
A new product from a familiar beef brand is bringing something fresh to the retail meat case: branded ground beef. Tyson Fresh Meats Inc., the beef and pork subsidiary of Tyson Foods Inc., is extending its Star Ranch Angus beef line to include ground beef.
The new Star Ranch Angus beef chuck and round grinds offer consumers an Angus alternative for ground beef and will be sold in 1-lb. and 3-lb. pre-packaged chubs. The ground round also is available in a 5-lb. chub.
“Our new Star Ranch Angus ground beef offers important benefits to both consumers and retailers. Consumers can feel confident choosing ground beef from a brand they know and trust, and can count on the rich flavor and consistent tenderness that Angus beef delivers. Retailers get the case-ready convenience of pre-packaged chubs, plus the versatility of multiple size and leanness options,” says Kent Harrison, VP of marketing and premium programs for Tyson Fresh Meats Inc.
Tyson Fresh Meats Inc. will introduce the new grinds with a full-scale retail promotion that includes meat case signage, dividers, rail strips and a static cling. Consumer elements include an on-pack coupon for 50 cents off a Star Ranch Angus ground beef purchase and a recipe tear pad with easy ground beef recipes. Also included are VIP coupons allowing meat department employees to try either the ground chuck or ground round at home, hats, buttons and laminated pocket guides to help employees talk with consumers about the benefits of these new grinds. VIP coupons are limited.
Tyson Foods Inc., founded in 1935 with headquarters in Springdale, Ark., is one of the world’s largest processors and marketers of chicken, beef and pork. The company produces a variety of protein-based and prepared food products and is the recognized market leader in the retail and foodservice markets it serves. Tyson provides products and service to customers throughout the United States and more than 130 countries. The company has approximately 115,000 team members employed at more than 400 facilities and offices in the U.S. and around the world.
Meat Prices Soar Nationwide, Surpassing USDA Analysts’ Expectations
TheGroceryGame.com, a source for grocery coupons and savings tips online, is offering insights into the national food situation and how consumers can combat rising meat costs. While the USDA currently projects a 3 to 4 percent increase in meat prices for this year; The Grocery Game, which monitors prices on a daily basis with an exclusive database of national grocery store prices and sales, has tracked even higher percent changes in the first six weeks of the New Year alone.
Boneless chicken breast, for example, has increased in price nationwide by an average of 3.8 percent, according to the USDA’s retail prices, yet local grocery stores list significant mark-ups. One such example is the price of boneless skinless chicken breast at Price Chopper stores in Missouri, where a price increase of 33.4 percent occurred between February 2012 and February 2013, according to a news release from The Grocery Game.
Research conducted by The Grocery Game provides additional examples of similarly increased markups in the last month alone:
• At Albertson’s in Oregon, the sale price of Boneless Beef Chuck Roast rose by $1 from the prior week—a 33 percent increase;
• In California Vons stores, the sale price of 93 percent lean ground beef increased 15 percent in the last month; and
• ShopRite stores in the Northeast demonstrated a 10 percent increase on Boneless Beef Loin Shell Steak over the past week as the price grew by $1.
“In 2013, consumers will need to pay special attention to not only rising meat costs, but food prices in general,” says Teri Gault, CEO and founder of The Grocery Game. “Families will also need to employ new savings strategies to find produce and healthy food products at an affordable price.”
Gault offers the following insights on how to keep meat on the menu without breaking the bank:
• Stock up on sales: review the front page of store circulars for weekly specials—often as much as 50-67 percent off the original price. Instead of buying a variety of meats at full price, buy multiple cuts of one or two types of meat on sale and freeze for later use;
• Invest in a deep freezer: store extra sale meats in a deep freezer, enabling a variety of choices—from chicken and pork to beef and ground turkey—the savings earned by purchasing meats and frozen products on sale will pay for the cost of the deep freezer within a few months or less;
• Switch to lower-priced meats: chicken and turkey are the cheapest meats available, so incorporate more of them into meals by switching out higher priced beef or pork one to two times per week; and
• Meatless Monday: dedicate at least one day per week for a meatless meal. Incorporate new sources of protein through legumes such as beans and lentils.
Best Chicago Meat Co. Introduces David’s Kosher
Best Chicago Meat Co. LLC has acquired a new brand – David’s Kosher—whose products were introduced at the Dutch Farms Food Show in Chicago on Wednesday.
“Months ago, we identified a need for another brand in the Kosher hot dog category,” said David L. Van Kampen, president and COO of Best Chicago Meat Co. “We welcome this opportunity to add David’s Kosher to our quality brands. We are proud to can offer a superior product at lower prices.
“The frank has a superior taste and is naturally smoked,” he added. “It’s also gluten free, and no fillers, soy, artificial colors or by-products are used.”
Van Kampen said David’s Kosher all-beef hot dogs will be on grocery shelves March 15. In addition, David’s Kosher is introducing a second product called “The Classic,” a hot dog made from Kosher chicken and beef.
Before the acquisition of the brand by Best Chicago Meat Co., David’s Kosher was owned by Agri Star Meat & Poultry LLC in Postville, Iowa.
“I feel Best Chicago Meat has a tremendous opportunity to introduce David’s Kosher in Chicagoland retailers as well as grow the brand nationally,” Van Kampen said.
Best Chicago Meat currently offers four major brands: David’s Kosher, Moo & Oink, Jemmburger and Glenmark.
“Best Chicago Meat excels at quality and reliability,” Van Kampen said. “We feel we provide a market basket of exceptional products to customers, and we are bringing David’s Kosher an unparalleled level of quality, value and excellence.”
Cargill To Close Plainview, Texas, Beef Processing Plant
Cargill will idle its Plainview, Texas, beef processing facility, effective at the close of business on Friday, Feb.1, resulting primarily from the tight cattle supply brought about by years of drought in Texas and Southern Plains states, according to a company news release. Approximately 2,000 people work at the Plainview facility, and they will receive company support. Federal, state, county and city government representatives, as well as Cargill customers, suppliers and other key stakeholders were informed today of Cargill’s decision, concurrent with Cargill employees being notified.
“The decision to idle our Plainview beef processing plant was a difficult and painful one to make and was made only after we conducted an exhaustive analysis of the regional cattle supply and processing capacity situation in North America,” said John Keating, president of Cargill Beef, based in Wichita, Kan. “While idling a major beef plant is unfortunate because of the resulting layoff of good people, which impacts their families and the community of Plainview, we were compelled to make a decision that would reduce the strain created on our beef business by the reduced cattle supply. The U.S. cattle herd is at its lowest level since 1952. Increased feed costs resulting from the prolonged drought, combined with herd liquidations by cattle ranchers, are severely and adversely contributing to the challenging business conditions we face as an industry. Our preference would have been not to idle a plant.”
Cargill’s Plainview employees affected by this decision will be provided support as well as assistance finding and filling open positions at other Cargill locations or with other employers, the company says. Cargill will continue to honor its community support commitments at Plainview for 2013. The company’s remaining beef cattle processing plants in the region, at Friona, Texas; Dodge City, Kan. and Fort Morgan, Colo., will receive cattle that were previously destined for processing at Plainview. The company’s regional beef facilities at Fresno, Calif.; Milwaukee, Wis.; and Wyalusing, Pa., as well as its beef plant in Schuyler, Neb., and two beef plants in Canada, are unaffected.
“Given the over-capacity that exists with four major beef plants in the Texas Panhandle and a dwindling supply of cattle in the region, idling Plainview will allow Cargill to operate its other beef plants in Texas, Colorado and Kansas more consistently on a five-day-per-week basis to meet our customers’ requirements, while helping us maintain our position in the U.S. beef sector,” said Keating. “Our long-term commitment to U.S. beef production is unwavering. Over the past 10 years we’ve invested more than $766 million in our U.S. beef plants to ensure they remain best in class in the industry.”
The plan to idle Cargill’s Plainview facility includes measures for preserving its infrastructure for potential reopening if the U.S. cattle herd rebounds and requires additional processing capacity. However, Cargill does not expect the U.S. cattle herd to significantly increase in size for a number of years.
“We delayed the decision to idle Plainview as long as possible, due in part to our outstanding team and ongoing excellent support from the community. We were also hoping the drought would break, pasturelands would be restored, cattle ranchers would retain heifers and the national herd trend of declining numbers over the past few years would be reversed,” said Keating. “Unfortunately, the drought has not broken, feed costs remain higher than historical averages and the herd continues to shrink. The industry has experienced this cycle in the past, although this one is longer and more severe than most. Nevertheless, we are optimistic about the long-term prospects for U.S. beef demand from American and international consumers, and that the drought in Texas and the Southern Plains will become a memory.”
Cargill is an international producer and marketer of food, agricultural, financial and industrial products and services. Founded in 1865, the privately held company employs 142,000 people in 65 countries.
GreatO Premium Meats Coming To Stores
Consumers who wish to supplement their diets with additional omega-3s now can turn to something besides fish and supplements. NBO3 Technologies’ 10 years of research and development means consumers soon will be able to get the benefits of omega-3 fatty acids from the company’s new GreatO Premium Beef, Premium Chicken, Premium Pork (and bacon), as well as Premium Dairy (milk, butter and cream) products. In the next few weeks, the company will introduce its GreatO Premium Meats, initially with its first-to-market GreatO Premium Ground Beef product in selected grocers, followed by region-by-region roll out in 2013.
GreatO is the first and only USDA-labeled ground beef product naturally abundant in omega-3 fatty acids. .
“We are so confident in our proven process. GreatO is the only product on the shelf that prominently displays the omega-3 fatty acid levels on our USDA-approved label,” says Todd Hansen, CEO of NBO3 Technologies LLC. “For over a decade we have been working on revolutionizing how to not only make products that are healthier for consumers, but in turn make the animals healthier. And yes, we are offering beef with naturally abundant omega-3 fatty acids by feeding animals an omega-3 rich diet. We are truly making every bite count for the animals and for humans, alike.”
