Schneider Foods. June 8, Douglas Dodds President

Transcription

1 Schneider Foods June 8, 2004 Douglas Dodds President

2 2 Profile Doug Dodds, President Joined the Company over 35 years ago Appointed President in 1985 Founded in 1890 by John Metz Schneider Dutch girl logo introduced in 1936 Over 5,000 employees and 20 plants across Canada Average seniority of 11 years for hourly workers 47% of management have more than 15 years service Food Security - CT-PAT approval from U.S. Customs for all locations that export product to the U.S.

3 3 Company Strategy Build market share on quality brand names Market value-added products Diversification of product mix Geographic expansion Low cost manufacturing

4 Maple Leaf Foods MAPLE LEAF FOODS INC. PROTEIN VALUE CHAIN Sales: $5,042 * Operating Earnings (1) : $152 million Assets: $2,148.7 million MEAT PRODUCTS GROUP AGRIBUSINESS GROUP BAKERY PRODUCTS GROUP Sales: $2,869.8 Operating Earnings: $12.7 Assets: $666.5 Maple Leaf Consumer Foods Sales: $918.8 Operating Earnings: $81.6 Assets: $555.7 Shur-Gain Sales: $1,253.2 Operating Earnings: $58.1 Assets: $716.5 Fresh Bakery Schneider Foods Landmark Frozen Bakery Maple Leaf Pork Elite Swine Maple Leaf Poultry Rothsay Maple Leaf Foods International *2003 Financials not including Schneider Foods 4

5 Schneider Foods SCHNEIDER FOODS FRESH PORK CSUMER FOODS POULTRY Mitchell s Fresh Pork Processed Meats Mitchell s Processed Meats Horizon Chicks Processed Poultry Grocery Products Cappola (68%) Royal Touch (50%) Cold Spring Farms (49%) 5

6 Manufacturing Facilities Plant Location Surrey Saskatoon Winnipeg Thamesford Guelph Kitchener Toronto BC SK MB Products Made Whole muscle, specialty sausage Hog kill cut, wieners, sliced luncheon meats, whole muscle (hams), fresh/frozen sausage, smoked sausage, sliced bacon Hot Rods Fresh and processed turkey LunchMate Wieners, sliced luncheon meats, whole muscle, specialty and dry sausage, frozen sausage Burgers Toronto/Cappola Cooked/Dry Sausage, Proscuitto Port Perry Baked Goods St. Anselme QC Baked Goods Hanover Hatchery/chicks St. Marys Poultry slaughter Ayr Processed poultry Mississauga Processed poultry 6

7 7 Manufacturing Facilities Kitchener Plant Plant commenced operations in early 1900 s Production of luncheon meats, hams, wieners and sausage products for national markets Major distribution centre for Eastern Canada 1,100 full-time and part-time hourly employees average seniority of 16 years

8 8 Operational Excellence Product Formulation Blending ingredients with known composition Consistency Margin enhancement Sliced Luncheon Meat Processing High volume capability World class technology (blend optimization, auto stuff, slice, interleaving, vacuum packaging) Contracts in place with many large food service sandwich operators Wiener Processing High volume capability World class technology (3 continuous processing lines)

9 9 Operational Excellence Strong presence in processed meats private label contracts with major Canadian retails Multiple plant manufacturing capability for high volume products (business continuity/logistics) National distribution network (shared by all businesses) World class automated finished product warehouse management systems National sales force shared by all businesses Certified testing laboratories for products and processes (Public) Chemistry laboratory (nutritional profiling) Microbiology laboratory (pathogen monitoring) Quality assurance laboratory (product analysis)

10 10 Sales Profile Schneider Foods Sales By Channel Schneider Foods Retail Sales By Region Atlantic Food Service Quebec West CDN Retail Ontario

11 11 Leading Categories Wieners Bacon Sliced Meats Ham Deli Canned Meats Frozen Entrees Refrigerated Entrees Meat Snacks Lunch Kits

12 12 Value Added Marketing Strategy Product positioning Premium quality, premium priced, great taste Product thrusts High margin, value added Innovative Convenient Good for you New areas of store Pricing strategy Premium priced Strong margin expectation

13 13 Value Added Customer Strategy Pursue high market shares in key categories Develop strong customer relations Category management Preferred vendor status (Retail & Food Service) Food service distributor thrust Pursue non-traditional outlets Mass merchandise Clubs Convenience channel

14 14 Innovation Operations: Process benchmarking / GAP analysis Continuous improvement process brainstorming sessions Dedicated process improvement specialists New product innovation: LunchMate / Fun Kits Frozen handheld Meat snacks Meatless (new soy product) Michelina s Salad Bowls Hot Sandwich Food service and private label key account initiatives

15 Leading Brands 15

16 Outlook Building the Schneiders brand Lead market in new product innovation Focus on premium quality convenience foods Add value for retail and food service customers Increase margins and market share Growth in food service business Increase earnings Maintain low cost producer status through technology improvements, cost controls and optimizing distribution system Realize early wins from merger Keep organization focused and motivated through the merger process

17 Schneider Foods