Q1. Could you start by giving us a brief overview of your professional background, particularly focusing on your expertise in the industry?

• BS Animal Science-Oklahoma State University

• Nearly 41 years with ibp, inc./Tyson Foods Inc., one of the largest multiple protein companies in the world.
• Expertise was mainly in beef and pork, with limited poultry.
• Held numerous positions with the Fresh Meat Group at Tyson, including but not limited to pricing and margin management, sales and marketing, hides group, strategic short and long-term planning, succession planning, industry participation with livestock, industry, and trade associations; and the last 13 years in International including the last five years as SVP-International Fresh Meat Sales. 

Q2. Who are the main players in the fresh meat industry, and what market share or position does each represent?

Assuming US:

Pork: Smithfield, Tyson, JBS, Seaboard, Triumph Foods, Clemens Foods, Seaboard/Triumph, Hormel Foods

Beef: Tyson, JBS, Cargill, National, Greater Omaha Beef, Creekstone, Agri Beef.

Q3. What is the go-to-market strategy for the fresh meat industry?

Low-cost producer of the highest quality with service and total value that exceeds the competition.

Q4. Is there an opportunity  for more price increases, or are customers pushing back on pricing?

Continued price increases are limited but not impossible at this point. However, the consumer is trading down to lower-valued beef items, and poultry demand is increasing.

Q5. Are there any mergers and acquisitions/consolidations that are expected in the fresh meat industry?

Not really. And, if any of the top 4 were to try to buy a competitor, I'd think that the US Dept of Justice would have a long look at the purchase.

Q6. What are the best growth opportunities in the fresh meat market, and why?

Anything dealing with value added is the main play. Whether that be in packaging enhancement, product differentiation, food safety, etc., is important because of the possible revenue enhancement.

Q7. If you were an investor looking at companies within the space, what critical question would you pose to their senior management?

• What types of innovation are you utilizing, and how does it affect margins/control cost?
• How are you maintaining or improving plant efficiencies to maintain or capture competitive advantages?
• What type of cost controls are in place that will enable you to remain competitive within the marketplace?