Tyson Foods Expanding Case-Ready Meat Production with South Carolina Plant

Rhea-AI Summary

Tyson Foods is expanding its case-ready meats business by repurposing an idle facility in Columbia, South Carolina. The company plans to invest approximately $42 million initially to transform the plant into a meat-cutting operation, producing retail-ready packages of beef and pork. This facility will employ 330 people and is expected to begin operations in May 2021. In total, Tyson anticipates investing $55 million over the next few years to enhance the facility, boosting its capacity to meet growing retail demand.

Positive

• Initial investment of approximately $42 million to revitalize the Columbia facility.
• Creation of 330 jobs, more than doubling previous employment levels.
• Plans for a total investment of $55 million over three to five years to further enhance production capabilities.

Negative

• None.

Conversion of Columbia plant part of the company’s consumer ready products strategy

SPRINGDALE, Ark., March 17, 2021 (GLOBE NEWSWIRE) -- As part of its strategy to increase production of consumer ready products, Tyson Foods, Inc. (NYSE: TSN) is expanding its case-ready meats business by repurposing plant capacity in South Carolina.

The company plans to reopen an idle Tyson-owned facility in Columbia and convert it into a meat-cutting facility that will produce retail ready, portioned packages of sliced, fresh beef and pork, as well as ground beef, for grocery and club stores in the eastern U.S.

“We’re pleased to bring operations back to Columbia and are very grateful for the strong state and local support we’ve received for this project,” said Nate Hodne, senior vice president and general manager of the Portioned Protein Innovations team for Tyson Fresh Meats, the beef and pork subsidiary of Tyson Foods. “Once operational, this new facility will help us meet growing demand from our retail customers with high quality, pre-cut, pre-packaged fresh beef and pork.”

Initially Tyson will invest approximately $42 million to transform the facility into a meat portioning and packaging operation that is currently expected to begin production in May 2021. Over the next three to five years the company plans to invest in additional improvements and production equipment at the facility with a total investment estimated at $55 million. The new operation will employ 330 people, more than double the number of team members who worked at the facility when it closed in August 2020.

“Tyson Foods’ initial $42 million investment, and the 330 jobs that will result from it, will help continue South Carolina’s tremendous economic growth,” said Governor Henry McMaster. “We look forward to continuing our state’s fruitful partnership with Tyson and to their continued commitment to South Carolina and our people.”

“Tyson Foods’ reinvestment in the Columbia plant highlights South Carolina’s strategic and geographic importance to agribusiness,” said South Carolina Commissioner of Agriculture Hugh Weathers. “As we continue to grow the agribusiness industry in the Palmetto State, we’re happy to have Tyson as our partner.”

Tyson Foods’ case-ready beef and pork business currently operates plants in Iowa, Tennessee and Texas and plans to open a new facility in Utah later this year. The operations are called case-ready, because the packaged meat produced by the Tyson facilities are ready to be placed directly in the refrigerated meat case at grocery and club stores.

About Tyson Foods 
Tyson Foods, Inc., (NYSE: TSN) is one of the world’s largest food companies and a recognized leader in protein. Founded in 1935 by John W. Tyson and grown under three generations of family leadership, the company has a broad portfolio of products and brands like Tyson^®, Jimmy Dean^®, Hillshire Farm^®, Ball Park^®, Wright^®, Aidells^®, ibp^®, and State Fair^®. Tyson Foods innovates continually to make protein more sustainable, tailor food for everywhere it’s available and raise the world’s expectations for how much good food can do. Headquartered in Springdale, Arkansas, United States, the company has 139,000 team members. Through its Core Values, Tyson Foods strives to operate with integrity, create value for its shareholders, customers, communities and team members and serve as a steward of the animals, land and environment entrusted to it. Visit www.TysonFoods.com

Contact: Liz Croston, 605-235-3657

Category: IR, Newsroom

FAQ

What is Tyson Foods' investment in the Columbia plant?

Tyson Foods is initially investing approximately $42 million to convert the Columbia plant into a meat-cutting facility.

How many jobs will the Columbia facility create?

The new facility in Columbia will create 330 jobs, more than double the previous employment.

When is production expected to begin at the Columbia facility?

Production at the Columbia facility is expected to begin in May 2021.

What types of products will be produced at the Columbia facility?

The facility will produce retail-ready, portioned packages of sliced fresh beef, pork, and ground beef.

How much total investment is planned for the Columbia plant?

Tyson Foods plans a total investment of approximately $55 million over the next three to five years for the Columbia plant.