Operational changes announced

by Editor fleischwirtschaft.com
Monday, November 25, 2013

Pilgrim's Pride Corporation announced several operational changes to improve efficiencies as part of its goal to generate approximately $200 million in savings in 2014.

Effective January 24, 2014, the company will expand its operations in Russellville, Ala., and Douglas, Ga., to absorb the current fresh poultry processing operations in Boaz, Ala. This consolidation will allow the company to maintain current production levels, more efficiently utilise idle capacity and generate more than $20 mill. in incremental margin. In addition, the company will invest approximately $10 mill. to upgrade its feed mill in Falkville, Ala., and add approximately 100 jobs at the Douglas and Russellville operations.

Purchased in 2007, Boaz is the company's smallest operation in terms of processing capacity and employs approximately 1,100 people. Many Boaz employees will be offered opportunities at other nearby Pilgrim's operations and all employees will be offered retention incentives.

Pilgrim's, consistent with its long-term strategy to align the company's core competencies with customer needs, will also invest approximately $25 mill. to expand large bird deboning capacity and modernize utilities at its Mt. Pleasant, Texas, facility. The company previously announced an investment of $25 mill. to upgrade its feed mill and processing operations in Enterprise, Ala.