Hormel Foods Finalizes The Sale Of Farmer John, Saag's Specialty Meats And Three Farm Operations

AUSTIN, Minn., Jan. 3, 2017 /PRNewswire/ -- Hormel Foods Corporation (NYSE:HRL) today announced it has completed the sale of Clougherty Packing, LLC, owner of the Farmer John^® and Saag's^® brands, along with PFFJ, LLC farm operations in California, Arizona, and Wyoming to Smithfield Foods, Inc.

The purchase price was $145 million in cash, adjusted for working capital. Farmer John harvests approximately 7,400 hogs per day and, in fiscal 2016, the businesses accounted for approximately $500 million in sales and earnings per share of approximately 3 cents. 

About Hormel Foods – Inspired People. Inspired Food.™
Hormel Foods Corporation, based in Austin, Minn., is a global branded food company with over $9 billion in annual revenues across 75 countries worldwide. Its brands include SKIPPY^®, SPAM^®, Hormel^® Natural Choice^®, Applegate^®, Justin's^®, Wholly Guacamole^®, Hormel^® Black Label^® and more than 30 other beloved brands. The company is a member of the S&P 500 Index and the S&P 500 Dividend Aristocrats, was named one of "The 100 Best Corporate Citizens" by Corporate Responsibility Magazine for the eighth year in a row, and has received numerous other awards and accolades for its corporate responsibility and community service efforts. In 2016, the company celebrated its 125^th anniversary and announced its new vision for the future - Inspired People. Inspired Food.™ - focusing on its legacy of innovation. For more information, visit www.hormelfoods.com and http://2015csr.hormelfoods.com/.

FORWARD-LOOKING STATEMENTS
This news release contains forward-looking information based on management's current views and assumptions. Actual events may differ materially. Factors that may affect actual results include, but are not limited to: whether and when the required regulatory approvals will be obtained, whether and when the closing conditions will be satisfied, and whether and when the transaction will close. Topics: Company, Financial

Contact: Rick Williamson
507-437-5345
media@hormel.com

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SOURCE Hormel Foods Corporation