Tyson Foods and Hillshire Brands Complete Merger
CEO Donnie Smith Announces New Senior Leadership Team
SPRINGDALE, Ark. and CHICAGO, Aug. 28, 2014 (GLOBE NEWSWIRE) -- Tyson Foods,
Inc. (NYSE:TSN) today announced the completion of its merger with The
Hillshire Brands Company, a transaction that positions Tyson Foods as a clear
leader in the prepared foods business. In connection with the merger, shares
of Hillshire Brands common stock will be delisted and cease trading on the New
York Stock Exchange and Chicago Stock Exchange before the opening of the
respective markets on August 29, 2014.
Tyson Foods, Inc. logo
The combination of Tyson Foods and Hillshire Brands creates a single company
with more than $40 billion in annual sales and a portfolio that includes
recognized brands such as Tyson®, Wright®, Jimmy Dean®, Ball Park®, State
Fair® and Hillshire Farm®.
"As of today, Tyson Foods and Hillshire Brands are officially together in one
great company," said Tyson Foods CEO Donnie Smith. "Part of our strategic
growth plan has been to shift toward higher-margin prepared and branded foods.
This transaction gives us a portfolio of complementary, proven brands as a new
springboard and accomplishes in a short time what would have taken us years to
build on our own."
The integration of the two companies is currently expected to generate synergy
savings of $225 million in fiscal 2015 and more than $500 million by fiscal
Teams of people from Tyson and Hillshire have been working on integration
plans since July to help make sure the combined company gets off to a good
"During this process, I've had a chance get to know many people on the
Hillshire Brands team and the great work they're doing, and I'm more convinced
than ever that the future of our combined companies is bright," Smith said.
"As excited as I am about our new brands, I'm equally excited about the
combined talent of the two companies."
A new leadership team has been selected and includes a mix of existing senior
leaders from Tyson Foods and Hillshire Brands.
Andy Callahan, former president of Hillshire's retail business, will manage
all retail consumer brands, including the legacy Hillshire consumer brands
(such as Jimmy Dean^®, Ball Park^®, Hillshire Farm^® and Sara Lee^®), Tyson's
consumer brands (such as Tyson^® frozen, value-added poultry and Wright^®
Brand bacon) and Hillshire's Gourmet Food Group.
Sally Grimes, former chief innovation officer and president of Hillshire's
Gourmet Food Group, will lead Tyson's innovation (including research and
development), sales and global brand strategy teams to support all products
sold through retail channels and to maximize global growth of our consumer
Donnie King, former president-Prepared Foods, Customer and Consumer Solutions
for Tyson Foods, will oversee Tyson's legacy poultry, fresh meats and
non-branded prepared foods businesses as well as the combined Tyson Foods and
Hillshire foodservice businesses. Those reporting to him will include Steve
Stouffer who will lead fresh meats; Noel White who will lead poultry; Wes
Morris who will lead prepared foods operations; and Tom Hayes, currently chief
supply chain officer for Hillshire Brands, who will lead the combined Tyson
and Hillshire foodservice businesses.
Those continuing to report to Donnie Smith will include David Van Bebber, who
leads the Tyson legal team; Sara Lilygren, who leads corporate affairs; Dennis
Leatherby, who continues as the company's chief financial officer; Hal Carper,
who heads strategy and new ventures; Mike Roetzel, who oversees operations
services; and Russell Tooley, who heads the company's business process and
continuous improvement practice.
Ken Kimbro, who has led Tyson Foods' human resources functions since 2001,
will be transitioning into retirement. He will be replaced by Mary Oleksiuk,
former chief human resources officer for Hillshire Brands.
Malik Sadiq, senior vice president-Asia Pacific, will oversee Tyson
International on an interim basis. He takes the place of James Young who will
be transitioning to our Cobb-Vantress breeding stock subsidiary in the coming
"This is an awesome team and they're prepared to make this integration process
smooth and efficient while we continue to exceed the expectations of our
customers and consumers," Smith said.
Sean Connolly, former president and chief executive officer of Hillshire
Brands, has chosen to pursue other interests, but will consult during the
DIGITAL ASSETS FOR JOURNALISTS
Donnie Smith Interview for Media
Tyson/Hillshire product b-roll
Hillshire plant b-roll
Tyson Foods' Fact Book
Hillshire Brands Fact Sheet
About Tyson Foods
Tyson Foods, Inc. (NYSE:TSN), 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 was founded in 1935 by John W. Tyson, whose family
has continued to be involved with son Don Tyson leading the company for many
years and grandson, John H. Tyson, serving as the current chairman of the
board of directors. Tyson Foods 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. The company provides products and services to
customers throughout the United States and approximately 130 countries. It 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 Foods 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.
About The Hillshire Brands Company
The Hillshire Brands Company is a leader in branded, convenient foods.
Hillshire Brands' portfolio includes iconic brands such as Jimmy Dean, Ball
Park, Hillshire Farm, State Fair, Sara Lee frozen bakery and Chef Pierre pies,
as well as artisanal brands Aidells, Gallo Salame, Van's Natural Foods and
Golden Island premium jerky.
This communication contains certain forward-looking statements with respect to
certain plans and objectives of Tyson Foods with respect to the acquisition of
Hillshire Brands and related transactions. These forward-looking statements
can be identified by the fact that they do not relate only to historical or
current facts. By their nature, forward-looking statements involve known and
unknown risks and uncertainties because they relate to events and depend on
circumstances that will occur in the future. Forward-looking statements often
use words such as "anticipate", "target", "expect", "estimate", "intend",
"plan", "goal", "believe", "hope", "aim", "continue", "will", "may", "would",
"could" or "should" or other words of similar meaning or the negative thereof.
There are several factors which could cause actual plans to differ materially
from those expressed or implied in forward-looking statements. Among the
factors that may cause actual results and experiences to differ from
anticipated results and expectations in forward-looking statements are the
following: the risk that Hillshire Brands will not be integrated successfully
into Tyson Foods following the consummation of the merger; and the risk that
revenue opportunities, cost savings, synergies and other anticipated benefits
from the merger may not be fully realized or may take longer to realize than
expected. Neither Tyson Foods nor Hillshire Brands assumes any obligation to
update the information contained in this communication (whether as a result of
new information, future events or otherwise), except as required by applicable
Jon Kathol, 479-290-4235, firstname.lastname@example.org
Gary Mickelson, 479-290-6358, email@example.com
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