Tyson Foods Acquires Assets of Don Julio Foods of Utah
Deal Includes Retail Branded Tortilla, Chip and Snack Business
SPRINGDALE, Ark., Feb. 15, 2013 (GLOBE NEWSWIRE) -- Donnie Smith, president
and CEO of Tyson Foods, Inc. (NYSE:TSN), today announced its subsidiary
company, Tyson Mexican Original, Inc., has acquired the assets of Don Julio
Foods of Clearfield, Utah. The deal is an example of the company's overall
growth strategy. Don Julio, a maker of flour and corn tortillas, and salty
snacks such as potato chips, tortilla chips and pretzels, sells products to
retailers throughout the U.S. under the Don Julio Authentic and Clover Club
Tyson Mexican Original is the second largest manufacturer of tortillas in the
U.S. A majority of its sales are currently with foodservice customers; however
the acquisition will put the company's products on grocery store shelves
throughout the U.S.
"Don Julio is an example of a brand that's the right fit for Tyson Foods,"
Smith said. "The people are great, the business expands on an existing
tortilla business where we already have expertise and it will allow us to
offer our retail customers another product with a loyal consumer following."
The management team – which includes Nate Fisher, son of company founder,
Craig Fisher – will continue to manage the operation. Don Julio employs about
50 people, the majority of whom are expected to become Tyson team members.
The acquisition includes all brands marketed by Don Julio, equipment and
related assets. Financial terms of the deal are not being disclosed.
Entrepreneur Craig Fisher created Don Julio Foods in 1994 as a line of chip,
tortilla and dip products. Production was outsourced until 2002 when Fisher
and his son opened the tortilla manufacturing plant in Clearfield. Soon after
beginning to make their own products, the company acquired Clover Club Foods,
the same company where Craig Fisher began his career in the food business the
1980s. Most of the company's salty snacks are marketed under the Clover Club
brand. Don Julio and Clover Club products are distributed nationwide at
national and regional retail grocery stores.
Tyson Foods purchased Mexican Original, Inc. in 1983 to diversify its product
offerings. Prior to the Don Julio acquisition, the company operated three
dedicated tortilla operations in Fayetteville, Ark., Portland, Ind., and
Sanford, N.C. Mexican Original tortillas and chips are sold to foodservice and
restaurant customers. About 1,300 team members work for Mexican Original.
"We are excited to have the Don Julio folks join our Tyson Foods team," said
Richard Irvin, manager of operations for Mexican Original. "We look forward to
working with them and helping them grow the Don Julio and Clover Club brands."
Tyson Foods, Inc. (NYSE:TSN), founded in 1935 with headquarters in Springdale,
Arkansas, is one of the world's largest processors and marketers of chicken,
beef and pork, the second-largest food production company in the Fortune 500
and a member of the S&P 500. The company produces a wide 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
services to customers throughout the United States and approximately 130
countries. The company has approximately 115,000 Team Members employed at more
than 400 facilities and offices in the United States and around the world.
Through its Core Values, Code of Conduct and Team Member Bill of Rights, Tyson
strives to operate with integrity and trust and is committed to creating value
for its shareholders, customers and Team Members. The company also strives to
be faith-friendly, provide a safe work environment and serve as stewards of
the animals, land and environment entrusted to it.
The Tyson Foods, Inc. logo is available at
Forward Looking Statements
Certain information contained in the press release may constitute
forward-looking statements, such as statements relating to anticipated retail
market growth and brand integration. These forward-looking statements are
subject to a number of factors and uncertainties which could cause our actual
results and experiences to differ materially from the anticipated results and
expectations expressed in such forward-looking statements. We wish to caution
readers not to place undue reliance on any forward-looking statements, which
speak only as of the date made. Among the factors that may cause actual
results and experiences to differ from anticipated results and expectations
expressed in such forward-looking statements are those factors listed under
Item 1A. "Risk Factors" included in our September 29, 2012, Annual Report
filed on Form 10-K.
CONTACT: Gary Mickelson, Tyson Foods, Inc.,
Worth Sparkman, Tyson Foods, Inc.,
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