Tyson Foods 2015 Annual Report Download - page 6
Download and view the complete annual report
Please find page 6 of the 2015 Tyson Foods annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.Weworktoensureourproductsmeethighstandardsoffoodsafetyandquality.InadditiontoourowninternalFoodSafetyandQualityAssuranceoversightand
review,ourchicken,beef,porkandpreparedfoodsproductsaresubjecttoinspectionpriortodistribution,primarilybytheUnitedStatesDepartmentof
Agriculture(USDA)andtheUnitedStatesFoodandDrugAdministration(FDA).WearealsoparticipantsintheUnitedStatesHazardAnalysisCriticalControl
Point(HACCP)programandaresubjecttotheSanitationStandardOperatingProceduresandthePublicHealthSecurityandBioterrorismPreparednessand
ResponseActof2002.Additionally,ourforeignoperationsaresubjecttovariousotherfoodsafetyandqualityassuranceoversightandreview.
EMPLOYEES AND LABOR RELATIONS
AsofOctober3,2015,weemployedapproximately113,000employees.Approximately107,000employeeswereemployedintheUnitedStatesand6,000
employeeswereemployedinforeigncountries,primarilyinChina.Approximately31,000employeesintheUnitedStatesweresubjecttocollectivebargaining
agreementswithvariouslaborunions,withapproximately12%ofthoseemployeesincludedunderagreementsexpiringinfiscal2016.Theremainingagreements
expireoverthenextseveralyears.Approximately5,000employeesinforeigncountriesweresubjecttocollectivebargainingagreements.Webelieveouroverall
relationswithourworkforcearegood.
MARKETING AND DISTRIBUTION
Ourprincipalmarketingobjectiveistobetheleadingbrandedproviderofprotein-basedsolutionsforourconsumersandcustomersacrosschicken,turkey,beef,
porkandpreparedfoods.Wegrowourleadingbrands(Tyson®,JimmyDean®,HillshireFarm®,SaraLee®,BallPark®,Wright®,Aidells®andStateFair®)
whilesupportingstrongregionalandemergingbrandsprimarilythroughconsumerengagementmarketingplansfocusedoncoreconsumertargetsleveraging
proprietaryresearchandinsights.Ourinsightsensurewemaintainrelevancyandareconsistentlymeetingtheneedsofourconsumerandcustomerpartners.We
utilizeournationaldistributionsystemandcustomersupportservicestoachievetheleadingmarketpositionforourproducts.
Wehavetheabilitytoproduceandshipfresh,frozenandrefrigeratedproductsworldwide.Domestically,ourdistributionsystemextendstoabroadnetworkof
fooddistributorsandissupportedbyourownedorleasedcoldstoragewarehouses,publiccoldstoragefacilitiesandourtransportationsystem.Ourdistribution
centersaccumulatefreshandfrozenproductssowecanfillandconsolidatepartial-truckloadordersintofulltruckloads,therebydecreasingshippingcostswhile
increasingcustomerservice.Inaddition,weprovideourcustomersawideselectionofproductsthatdonotrequirelargevolumeorders.Ourdistributionsystem
enablesustosupplylargeorsmallquantitiesofproductstomeetcustomerrequirementsanywhereinthecontinentalUnitedStates.Internationally,weutilizeboth
railandtruckrefrigeratedtransportationtodomesticports,whereconsolidationstakeplacetotransporttoforeigndestinations.
PATENTS AND TRADEMARKS
Wehavefiledanumberofpatentsandtrademarksrelatingtoourprocessesandproductsthateitherhavebeenapprovedorareintheprocessofapplication.
Becausewedoasignificantamountofbrandnameandproductlineadvertisingtopromoteourproducts,weconsidertheprotectionofourtrademarkstobe
importanttoourmarketingefforts.Wealsohavedevelopednon-publicproprietaryinformationregardingourproductionprocessesandotherproduct-related
matters.Weutilizeinternalproceduresandsafeguardstoprotecttheconfidentialityofsuchinformationand,whereappropriate,seekpatentand/ortrademark
protectionforthetechnologyweutilize.
INDUSTRY PRACTICES
Ouragreementswithcustomersaregenerallyshort-term,primarilyduetothenatureofourproducts,industrypracticesandfluctuationsinsupply,demandand
priceforsuchproducts.Incertaininstanceswherewearesellingfurtherprocessedproductstolargecustomers,wemayenterintowrittenagreementswherebywe
willactastheexclusiveorpreferredsuppliertothecustomer,withpricingtermsthatareeitherfixedorvariable.
AVAILABILITY OF SEC FILINGS AND CORPORATE GOVERNANCE DOCUMENTS ON INTERNET WEBSITE
Wemaintainaninternetwebsiteforinvestorsathttp://ir.tyson.com.Onthiswebsite,wemakeavailable,freeofcharge,annualreportsonForm10-K,quarterly
reportsonForm10-Q,currentreportsonForm8-K,XBRL(eXtensibleBusinessReportingLanguage)reports,andallamendmentstoanyofthosereports,assoon
asreasonablypracticableafterweelectronicallyfilesuchreportswith,orfurnishto,theSecuritiesandExchangeCommission.Alsoavailableonthewebsitefor
investorsaretheCorporateGovernancePrinciples,AuditCommitteecharter,CompensationandLeadershipDevelopmentCommitteecharter,Governanceand
NominatingCommitteecharter,StrategyandAcquisitionsCommitteecharter,CodeofConductandWhistleblowerPolicy.Ourcorporategovernancedocuments
areavailableinprint,freeofchargetoanyshareholderwhorequeststhem.
5