Tyson Foods Receives an ‘A’ for New Corporate Responsibility Report
SPRINGDALE, Ark., February 5, 2013 – Tyson Foods, Inc., (NYSE: TSN) one of the world’s leading producers of meat and poultry, has received an “A” from the Global Reporting Initiative for its latest corporate social responsibility report, company officials announced today.
The new sustainability report is the fourth Tyson Foods has produced since 2005, but the first to receive the Global Reporting Initiative’s (GRI) Application Level “A.” This represents a high degree of disclosure and transparency in sustainability reporting. GRI is a world-recognized organization that promotes economic, environmental and social sustainability.
The 2012 Tyson Foods Sustainability Report documents the company’s progress from 2010-2012 across four key areas: people, planet, profit and products. The full report can be found online at http://www.tysonfoods.com/sustainability.
“For us, sustainability is about trying to do the right thing in everything we do,” said Donnie Smith, president and CEO of Tyson Foods. “It’s fundamental to our core values, cuts across every aspect of our business, and supports our mission of making great food and making a difference.”
Among the key accomplishments outlined in the report:
· Animal well-being: In 2012 Tyson announced the launch of FarmCheck™, a program to audit animal treatment at the independent farms that supply the company.
· Water and fuel conservation: Since 2004, Tyson has cut water consumption by nearly 11 percent. The company continues to work with the University of Arkansas on ways to make additional reductions. Through efforts to improve fuel efficiency and reduce emissions, the company has eliminated more than 145 million over-the-road truck miles since 2011.
· Nutrition: In 2012 Tyson launched nine new products that meet updated nutritional standards for school meals. These foods feature lower fat and sodium content and eliminate food allergens.
· Hunger and disaster relief: Since 2010 Tyson donated more than 18 million pounds of food, valued at $23 million, to nonprofit hunger relief agencies across the U.S. In 2012 the company also launched the “Meals that Matter” mobile disaster relief supply unit, which was first used in New Jersey and New York in the aftermath of Hurricane Sandy.
· Charitable giving: Tyson has donated $10 million to support education, health and human services, families and the environment since 2010.
“With the global population surpassing the 7 billion mark, the food industry’s greatest challenge is to help feed the world,” Smith said. “But it’s not enough just to fill mouths. Creating access to a steady, nutritious diet for people across the globe requires partnerships throughout the food chain that are built on sustainable, modern agricultural and ethical business practices.”
About the Tyson Foods, Inc. 2012 Sustainability Report
Tyson Foods’ 2012 sustainability report was produced in accordance with the Global Reporting Initiative (GRI) G3 sustainability reporting guidelines and the Food Processing Sector Supplement. The report was submitted to GRI’s Report Services, which concluded that the report fulfills the requirement of Application Level A. GRI is a network-based organization that has pioneered the development of the world’s most widely used sustainability reporting framework. The GRI Guidelines set out the principles and indicators that organizations can use to measure and report their economic, environmental and social performance.
About Tyson Foods, Inc.
Tyson Foods, Inc. (NYSE: TSN), founded in 1935 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 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. Tyson provides products and services to customers throughout the United States and more than 130 countries. The company 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 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.
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Contact: Gary Mickelson, (479) 290-6111, gary.mickelson@tyson.com
Tyson Foods, Inc. Sustainability Report - Additional Information
The following are additional highlights from the new Tyson Foods sustainability report in each of the company’s four sustainability focus areas: people, planet, profit and products.
People
The 115,000 people who work Tyson Foods – who are called “team members” – are considered the company’s most valued resource. By investing in their continued development, Tyson is empowering team members to give back to their communities. For example:
· Compensation: Tyson’s compensation and benefits package is one of the best in the industry. The majority of team members who prepared food products in processing plants are compensated at or above U.S. minimum wage requirements. During fiscal year 2012, our average hourly rate was $12.27 per hour, which is 69 percent higher than the federal minimum wage.
· Military hiring: In 2012, Tyson hired 1,000 veterans and military spouses. The company currently employs approximately 3,000 military veterans.
· Employee development: Since 2010, more than 5,000 management and support team members participated in training provided by the Tyson Foods Leadership College. This training focuses on seven core leadership competencies: leadership, business acumen, strategic agility, communication, building a culture of inclusion, developing self and others, and understanding Tyson Foods. In addition, the company invested $1.4 million in its Educational Assistance Program, which enables team members to further their education; some became U.S. citizens with support from this program.
Planet
“Environmental protection and resource conservation are responsibilities we take seriously and consider crucial components to conducting our business in a sustainable manner,” said Kevin Igli, Tyson’s chief environmental, health and safety officer. “While we expect to do more in the coming years, we are already making real, meaningful progress.”
Additional environmental stewardship highlights covered in the report include:
· Energy use and emissions: Tyson completed its companywide baseline inventory of greenhouse gases in 2004. Since then, the company has continued to track and publicly report its Greenhouse Gas (GHG) emissions on a periodic basis, with calendar years 2011 being the lowest measured year. In addition, the company has successfully implemented EPA’s mandatory GHG reporting requirements. Looking forward, the company is implementing a web-based, real-time, comprehensive energy management system that is expected to lead to a further 10-20 percent reduction in energy consumption over the next 5-10 years. These efforts are expected to translate into a reduction of GHGs.
· Transportation: Taking guidance and inspiration from its membership in the U.S. EPA’s SmartWay Transport Partnership, the company has eliminated more than 145 million over-the-road truck miles since 2011.
· Sustainable packaging: Tyson has modified some packaging to reduce the size of boxes used in transport while, at the same time, adding product weight. These changes have reduced the amount of packaging materials used and eliminated 2.1 million truck miles. For these advancements, Tyson earned Walmart’s 2012 Excellence in Sustainability award.
Products
Tyson is committed to making safe, nutritious food for a growing world. The company’s efforts are anchored by a network of 17 food safety laboratories and supported by 2,100 food safety and quality professionals, at both the corporate and facility levels.
Other items of note in the report include:
· Food safety: In 2010, Tyson’s Food Safety and Research Laboratory in Springdale, Ark., won the Governor’s Award for Performance Excellence.
· Nutrition awareness: In 2011, Tyson Food Service partnered with the Los Angeles Unified School District on an all-inclusive program to raise awareness about healthy meals. The program, “I’M IN”, is designed to help fight childhood obesity, encourage student attendance and reduce dropout rates.
· Healthy recipes: On its website, Tyson provides complete nutrition information about its products, giving consumers the ability to search for meal ideas and recipes that are low fat (less than or equal to 10 grams), calorie smart (less than or equal to 600 calories), carb smart (less than or equal to 30 grams), and sodium sensible (less than or equal to 720 milligrams).
Profit
Tyson is committed to doing business in accordance with best practices in corporate governance to generate both positive returns for shareholders and economic opportunity for its suppliers. The company also expects suppliers to share Tyson’s commitment to high ethical standards.
Other governance and economic performance highlights include:
· Financial performance: During the past three years, Tyson experienced record sales with an 8-percent compounded annual growth rate, generated $3.7 billion in operating cash flows, invested nearly $2 billion back into the company and paid down its debt by $1.1 billion.
· Supplier conduct: In 2010, Tyson finalized its Supplier Code of Conduct, which outlines the principles and ethical standards Tyson expects its supply partners to work toward. The comprehensive list includes elements such as legal compliance, food safety, animal well-being, worker rights and safety, environmental conservation and generally conducting business in a sustainable manner.
· Supporting family farms: Tyson spent more than $1.4 billion with independent chicken farmers in 2011 and 2012. The company depends on more than 12,000 independent farmers to supply the company with livestock and poultry.
· Supplier diversity: In 2012, Tyson increased company spending with minority- and women-owned businesses by approximately 11.5 percent and 5 percent, respectively.
NOTE TO EDITORS: Visuals of Tyson hunger relief efforts and other photos related to corporate citizenship are available upon request.