Hormel Foods Corporation celebrates 125 years of history

Hormel: Growing in Austin Pages 3-4

Company celebrates around the world Pages 5-8

A party for the whole family is coming to downtown Pages 10-14

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AUSTIN DAILY HERALD

Growing in Austin As Hormel celebrates 125 years, company leaders look ahead

By Jason Schoonover

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n 1891, George A. Hormel & Company started operations in Austin and reached about $220,000 in sales that first year. By 1920, sales reached $30 million a year.

With Hormel Foods Corp.’s 2015 sales at around $9.3 billion, up from about $2.8 billion in 1991, CEO and Chairman of the Board Jeffrey Ettinger said it’s been an exciting time to watch the company grow.

“So substantial growth,” Ettinger said. “Some of the mainstay items are still doing great for the company, including Spam or Hormel Pepperoni or Cure 81 Hams, but we clearly have added a lot of new franchises over the last 25 years as well.”

As Hormel Foods celebrates 125 years in Austin, company leaders are looking back over many successful years and ahead toward new things coming in the future.

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Refrigerated Foods Group Vice President Thomas Day started with Hormel in 1981, and he credited the leadership of past CEOs Dick Knowlton and Joel Johnson along with Ettinger for getting the company to where it is today.

And Ettinger has help in the company’s highest ranks, as the company named James Snee its 10th president last year.

“I would tell you as I sit here today, after 35 years with the company, I think it has the potential to be an even better company in the future as the result of, I’d say Mr. Snee’s leadership into the future, Day said.

Day sees a bright future ahead with the leadership of company President James Snee and the young people the company has brought in.

“I personally think the best days are yet to come for Hormel Foods,” Day said.

Expanding with purpose

In May 2016, Hormel Foods acquired Justin’s LLC, a maker of nut butter spreads and products, for $286 million. The Justin’s purchase came after the company had made several large acquisitions in recent years, including: Applegate Farms for $775, Wholly Guacamole for about $140 million, CytoSports Holdings for $450 million, and Skippy for $700 million.

Those represent four of the largest five acquisitions in the company’s history.

At Hormel’s annual shareholders meeting in January, company leaders outlined how those four acquisitions tie into the Hormel’s four main target areas for growth: healthy and holistic, multicultural, global and on-the-go.

But innovation within the company is also a key to Ettinger. Along with acquisitions and new products, the company is also targeting on-the-go products. This includes the REV Wrap item and the Skippy P.B. Bites developed after Hormel acquired the peanut butter line.

“This clearly is a continuing theme going forward,” Ettinger said.

And the company expects more growth.

Hormel has acquired several brands in recent years at a time when Hormel leaders see them as primed for growth. With businesses like Applegate Farms and Justin’s, Hormel leaders

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ABOVE: Hormel President James Snee answers a question with CEO Jeffrey Ettinger prior to the Hormel shareholders meeting in January 2016 at Austin High School. Herald file photo RIGHT: Hormel Founder George Hormel, right, poses with his son, Jay Hormel. Photo provided say they’re able to give the smaller companies a boost with the backing of Hormel’s research and development expertise and distribution capabilities.

Looking at Hormel brands like Justin’s, Applegate Farms and CitoSport, Ettinger still sees much growth to come.

“If you think about them, they’re still really quite new to our organization,” Ettinger said.

“We’re just scratching the surface and getting started with the kind of growth and excitement that those items can lend the portfolio.

So it’s going to be fun to see over the next few years the contribution that those items make coupled with the great items that our company’s had in the core portfolio for many years.”

A strong foundation

To Ettinger, an important part of founder George Hormel and his son Jay Hormel’s legacy is the creation of The Hormel Foundation in the 1940s, as he called The Foundation “the glue that ties Austin and Hormel together.”

The Foundation holds a controlling interest in the company, and Ettinger said that allows the company to move ahead with a long-term perspective.

“In this day and age of activist investors and hostile takeovers and all those things going on … that was a key move of many years ago to put us in a position where we didn’t have to worry about that kind of noise, and we could instead focus on growing our connection with consumers and having, [and] being a place where someone could make a long-term career, because they knew we’d be around,” Ettinger said.

Plus, The Foundation in turn supports Austin through annual grants, as it’s set to give $7.8 million in community grants this year, which doesn’t include The Foundation’s support for The Hormel Institute cancer research center and Vision 2020 projects. In 2015, The Foundation gave a total of $21.4 million.

Especially as Hormel Foods dividends have grown, so too has The Foundation’s

role in the community.

“It’s been a key component of the community for many years, but it’s really stepped up its visionary work in assisting projects that otherwise might not get done,” Ettinger said.

“They’ve had, I think, excellent leadership in that regard.”

AUSTIN DAILY HERALD

From Austin to around the globe Hormel team came together to plan 125th celebrations

By Jason Schoonover

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n estimated 10,000 to 20,000 people are expected to gather in downtown Austin to celebrate 125 years of Hormel Foods Corp. on July 29. Even with a concert featuring The Band Perry and a celebration from 3 to 10 p.m. on the lawn north of the Mower County Jail and Justice Center, that event shows just a tip of the iceberg of Hormel’s celebrations spanning 125 days.

A team of Hormel employees spent a year and a half planning 125 days of celebrations at more than 40 Hormel Foods locations around the world.

“It’s to celebrate a very proud history of our company and Mr. Hormel starting that 125 years ago,” said Refrigerated Foods Group Vice President Thomas Day, who chaired the committee.

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The roots of a celebration

Hormel’s 125th anniversary committee started exploring the anniversary and possibilities for a celebration about two years ago.

From the start, Day said the focus was three key things: celebrating the company’s history, celebrating the community that has supported it, and recognizing the company’s employees.

“We’re looking for a safe environment where families can come together to enjoy themselves and, I’ll say, reflect on the history of the company,” Day said.

Jaynee Sherman, a senior brand manager with Spam international, and Emily Mason, a marketing manager, also worked on the committee of roughly 30 people. The committee worked to plan various aspects of the celebrations, and Mason called the group a great team.

Day agreed, praising the team for the many hours its dedicated toward planning what they hope will be a successful and special event.

When the committee formed, the goal was to touch all of the people that have made Hormel a success over 125 years.

“We started with a very large scale of, well it’s Austin as a community, it’s our employees,

it’s all the locations that have grown over the 125 years, is it our customers, our suppliers, our vendors?” Sherman said. “How do we make all of that into a part of the celebration?”

Celebrating in Austin

Though its celebrating around the globe, Hormel leaders knew a key part of the celebration would be centered in Austin.

“The community is our home, so giving back to the community is definitely important,” Sherman said. “We wanted to celebrate with the community because that’s who we are.”

The celebration is a key way to thank the community Hormel foods has called home for 125 years, both through the celebration and the boost many Austin businesses are expected see with the festivities.

“Hormel and the Austin community are very tight-knit with each other and this is an opportunity to give back to the community so to speak, bring in a number of people to be exposed to our downtown area, that hopefully will return downtown,” Mason said.

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Staff at Hormel Foods Corp.’s San Antonio sales office celebrated the company’s 125th anniversary with this birthday cake earlier this year. Photo provided by Hormel Foods

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Community celebrations are nothing new to Hormel Foods. It celebrated its 100th anniversary in 1991 and Spam’s 75th anniversary four years ago in conjunction with the grand opening of its remodeled north corporate offices with events that featured The Temptations.

Spam’s 75th brought in about 4,000 to 5,000 people, but the 125th will likely be bigger — anywhere from 10,000 to 20,000 people are expected for the downtown celebration.

“By having a truly downtown event like that, I do believe we should expect an even larger community turnout for the event,” CEO and Chairman of the Board Jeffrey Ettinger said.

While Hormel leaders admitted The Temptations appealed to an older generation, they wanted a band that would appeal to multiple generations this time around.

In The Band Perry, Mason said they found a band that stretched across varying demographics and was a friendly fit for families.

“The Band Perry, it checked our boxes essentially,” Mason said. “They were a good fit and they were excited to be a part of it, and I hope the community’s excited that they’ll be here.”

After finding its pick for the right band, the team next needed to pick the right location to celebrate, and it didn’t need too look far.

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Employees enjoy a Hormel Foods Corp. 125th anniversary celebration at the company’s Atlanta plant. Photo by Travis Hudgons of www.iShootAtlanta.com The new Spam Museum opened in April at 101 Third Ave. NE, and Hormel and community leaders say it has been a boon for downtown. Day said the museum is proving to be a strong attraction, whether it’s for people passing through town to stop for a break or for Austin residents.

That made holding the celebration downtown a perfect fit.

“It’s one more reason to bring people into Austin,” Day said. “And again, I think the community has embraced that. The new facility down there obviously is something to be seen.”

Downtown and the Spam Museum will be at the center of the July 29 festivities.

“The beauty of this is, with the Spam Museum now being downtown, it’s bringing everybody downtown, and the goal here was to keep all of that as the central part,” Day said.

Hormel leaders hope the festivities and sheer number of people coming to town prove beneficial for Austin businesses, both downtown and across the community.

“The idea was the focus of keeping everybody downtown, and hopefully the local businesses being able to benefit from that,” Day said.

Many businesses are discussing special hours and plans to benefit from the activity of the celebration.

“Everybody’s been extremely cooperative,” Day said. “Certainly our local business people in town have been a big part of making sure we have a successful celebration.”

Sherman said the last year and a half of preparation has been fun and has led to much collaboration across the community.

“It’s been a lot of fun just bringing this to life for our company,” Sherman said.

It’s taken a lot of community work to get everything accomplished. But it’s not just Hormel Foods, as Day praised the police department, fire department, and other community leaders and organizations for their roles in the celebration.

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“I can’t speak enough from a standpoint of community involvement — that’s what it takes to pull off something of this size,” Day said.

Along with law enforcement, Mason thanked the city and the county. The stage for the concert and much of the green space will be on county-owned land just north of the Jail and Justice Center.

“Everybody really from downtown, including the city and county, really have been wonderful to work with, and they’re extremely excited for the event,” Mason said.

“And things have gone very smoothly.”

Thanks for employees

But many of the events in Austin the week of July 23 to 29 will just be for employees.

On Sunday, July 24, the company will hold a private event for employees and their families at the Austin plant with lunch, activities and self-guided tours through the plant, which will not be producing during the tour.

The workers and families will, however, get to view more than 20 video monitors showing examples of what the plant looks like in operation.

The company has a private event on Monday, July 25, with its board of directors and some company alumni.

“We’re trying to make the most of the whole event,” Ettinger said. “It really is crit-

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ical that our success is based on the great work of our team members, and so we wanted to recognize that and provide some both informative aspects of it and then also some fun.”

Hormel will then host a celebration for its employees and their families on Thursday, July 28, at Austin High School, along with some presentations at Knowlton Auditorium.

125 days of celebrating

But the celebrations aren’t limited to Austin employees.

Hormel Foods is celebrating over 125 days across more than 40 of the company’s sales offices and manufacturing facilities across the world from May 1 and continuing through Sept. 2.

The various teams have been able to celebrate in various methods and in celebrations of various sizes, from a small group to thousands of people. The China team celebrated with a sports day for its employees, and other festivities include philanthropic opportunities, baseball games, picnics in the park.

“We’re seeing a wide, diverse range of activities and how they’re celebrating,” Sherman said. “We’ve giving them the autonomy to decide how they best want to celebrate based on their location, and they’re doing that.”

Employees with Applegate Farms celebrate the 125th anniversary of its parent company, Hormel Foods Corp. Photo by Brandon Rodkewitz

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A party for the whole family Here’s a look at how Hormel is celebrating 125 years in Austin

By Jason Schoonover Hormel Foods Corp. is 125 years old, its new Spam Museum is open and it’s time to party.

Hormel is celebrating its 125th anniversary and the grand opening of its new museum in grand fashion from July 23 to July 29.

“With the grand opening event and a block party culminating with the festival concert that night, it should be just a great day for the whole family,” Hormel CEO and Chairman of the Board Jeffrey Ettinger said.

“It’s really going to be quite the week,” he added.

The Austin celebrations will peak on July 29 with a free community celebration on the lawn north of the Mower County Jail and Justice Center and east of the new museum at 101 Third Ave. NE, stretching toward

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Read more about the Austin activities on Pages 12-14 the park area along Mill Pond.

“That Friday is going to be the big day,” Ettinger said.

“Obviously, the museum has already been open for a bit, getting just excellent reports in terms of how people are enjoying the museum and it does seem to add foot traffic

and excitement to that part of Main Street.”

Austin will see films of Hormel ads, a 5k and more in the days leading to the July 29 celebration and concert by The Band Perry.

“There’s more to the 125th anniversary than just July 29th,” said Emily Mason, a marketing manager and member of the 125th committee.

Here are some highlights of what’s coming from Hormel’s “big day” and the week leading up to it around Austin.

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5K Your Way

Festivities in Austin will start on Saturday, July 23, with the 5k Your Way at Hormel Foods’ north corporate office, 1 Hormel Place, with the mile fun run at 8:30 a.m. and the 5K at 9 a.m.

The run is an annual race hosted by The Hormel Foods Corp. employee resource group, Women Our Way. Activities will include live music, games, and a free food truck and sample tent from 8 a.m. to noon.

Entry fee is $25 for adults and $15 for children under 12 years old with a $65 max per family. Registration fees are available at the Austin YMCA or online at www.active.com. All proceeds go to the Women’s Leadership Initiative and the Austin YMCA. Prizes will be given to the top three male and female racers. All finishers will receive a commemorative Hormel 125th celebration medal.

For more, visit https://www.facebook.com/5kourway or http://www. active.com/austin-mn/running/distance-running-races/5k-your-way-run2016?int=72-2-A3, though registration fees are $30 for adults and $20 for children under 12 years old with a $75 max per family online.

Young runners leave the starting line for the 1K Fun Run/Walk during the 5K Your Way event at Hormel Corporate North last year.

Herald file photo

A bit of history

The Hormel Historic Home, 208 Fourth Ave. NW, will hold free tours of the Hormel family’s historic dwelling from 3 to 8 p.m. Sunday, July 24.

The event will also feature a free concert by Going to the Sun at 6:30 p.m.

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5K YOUR WAY ROUTE:

—Starts at Hormel Foods’ north corporate office, 1 Hormel Place, Austin.

—Head East on 16th

Avenue Northeast —Turn left on Eighth Street Northeast (or County Road 16) —Turn right on 21st Avenue Northeast

—Turn left at 14th Street Northeast into Todd Park —Follow the trail headed North —Then west toward County Road 16 and cross over it,

following the trail back to 16th Avenue Northeast —Race finishes at Hormel Foods Corporate North Office.

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Spam on the Silver Screen

Before showtime on July 29, The Historic Paramount Theatre, 125 Fourth Ave. NE, will host the Hormel Foods Film Fest from 7 to 9 p.m. on Tuesday and Wednesday, July 26 and 27, and from 3 to 7 p.m. on Friday.

The film will showcase different advertising and marketing materials from the company’s various brands, many of which have never been viewed in Austin.

“We’re very fortunate to be able to run a lot of different type of media over the years,” said Jaynee Sherman, a senior brand manager with Spam international and 125th committee member. “Not all of it has been seen in Austin, and a lot of it now is via social [media]. So this is an opportunity to put what we’ve done over the years in the community eye.”

Mason described it as a fun opportunity to learn more about Hormel’s brands.

It’ll feature things like Driven By Bacon, which was a piece highlighting a bacon-fueled motorcycle being driven across the country.

The film will be about an hour and half of continuous advertisements, and people can come and go as they please.

Refreshments will be for sale at the film festival.

A grand opening

Austin’s new Spam Museum serves up a trip around the globe, a look back at Spam in World War II, the history of Austin’s largest company, examples of how the famed canned meat is made, and plenty of fun to share — both in person and on social media.

Hormel’s new Spam Museum opened at 101 Third Ave. NE in April with several fun exhibits to explore and history to soak in: Can Central, World Market, Supporting Our Troops, Spam Brand 101, 1891 and Beyond, Spam Brand Today, Hormel Foods Today and brand shop, and the Kids Play Area.

But to kickoff the big day July 29, Hormel will kickoff with a ribbon cutting for the museum from 9:30 to 10 a.m.

The Band Perry

Festivities on July 29 will run from 3 to a little past 10 p.m. with free live entertainment on three stages and many activities.

Along with Grammy-award-winning entertainment like

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The Band Perry, the community celebration will feature food town to perform at 6:30 p.m. on the community stage. She found fame in 2014 when her song “His Daughter” went viral and activities for the whole family. They’ll also have the Spamerican Tour truck along with other food trucks. on Youtube, and she’s continuing after her musical dreams.

“You’re just trying to appeal to as many people as possiKat Perkins will play at 7:25 p.m. on the main stage. Born ble,” said Refrigerated Foods Group Vice President Thomas in North Dakota, Perkins is now a Minneapolis-based musiDay, who chaired the 125th committee. cian who appeared on season six of “The Voice,” where she Emcee John Cosgrove, Band 125, chef Sunny Anderson, reached the semifinals before eventually being eliminated.

Kat Perkins and The Band Perry are all set to grace the main After The Band Perry, the night will close with fireworks stage. around 10 p.m. over Austin native Molly mill pond.

Kate Kestner will return “We’ll end with the to the community fireworks that are alstage at 6:30 p.m. Othways a hit,” Day said. ers on the community “I don’t care if you’re stage include TC Road nine or 90, they’re a lot Crew, The Magic of of fun.”

Adam Perry, The BazilVenues lions and the Mariachi The concert venue Aguilas de Ellis Middle and celebration venue School will play on the was picked because community stage. it’s close enough to Shapeshift, Band showcase the Spam 125 and Salsa Del Museum and to benefit Soul will play on a side downtown businesses. stage.

“That’s really why The Band Perry, set our community event to play at 8:30 p.m., is The Band Perry. Photo provided is downtown, because made up of Kimberly of the Spam Museum,” Perry and her younger brothers, Reid and Neil. The group has released hit singles like Sherman said.

Sherman promised the museum will be open throughout “If I Die Young,” “You Lie” and “All Your Life.” They’ve taken home trophies at the Academy of Country Music Awards and the weekend for people to walk through, along with “Spamples” available at the site.

Country Music Awards, and they’ve also received Grammy Ettinger called the staging arrangement unique, adding it and Billboard Music Award nominations, along with several may be the first and only staging arrangement to have a main other nominations.

Hormel last brought in The Temptations to perform for the stage behind the Mower County Jail and Justice Center facing Spam’s 75th anniversary in 2012. But while The Temptations north going down and into the park along Mill Pond.

“That whole open area’s going to be utilized, and I think appealed to an older generation, company leaders expect it’ll just make for a fantastic event,” Ettinger said.

The Band Perry to appeal to a variety of age groups, not just Then when the concert is done, there will be fireworks. older or younger generations.

“It should be a great night — weather willing,” Ettinger “I think this group cuts across and that’s one of the reasons said. that they were selected,” Day said.

For more, visit www.hormelfoods125.com/celebrations/ Austin High School graduate Molly Kate Kestner returns to

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