Tyson Foods

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Tyson Foods, Inc.
Traded as NYSE:  TSN (Class A)
S&P 500 Component
Industry Food processing
Founded1935;84 years ago (1935)
Founder John W. Tyson
Headquarters Springdale, Arkansas, U.S.
Key people
Noel White (CEO and President)
  • Increase2.svg US$ 40.052 billion (2018) [1]
  • Increase2.svg US$ 38.260 billion (2017) [1]
  • Increase2.svg US$ 3.055 billion (2018) [1]
  • Increase2.svg US$ 2.931 billion (2017) [1]
  • Increase2.svg US$ 3.027 billion (2018) [1]
  • Increase2.svg US$ 1.778 billion (2017) [1]
Total assets
  • Increase2.svg US$ 29.109 billion (2018) [1]
  • Increase2.svg US$ 23.956 billion (2014) [2]
Total equity
  • Increase2.svg US$ 12.811 billion (2018) [1]
  • Increase2.svg US$ 10.559 billion (2017) [1]
Number of employees
122,000 [2]
Subsidiaries Hillshire Brands
Website tysonfoods.com

Tyson Foods, Inc. is an American multinational corporation based in Springdale, Arkansas, that operates in the food industry. The company is the world's second largest processor and marketer of chicken, beef, and pork after JBS S.A. and annually exports the largest percentage of beef out of the United States. Together with its subsidiaries, it operates major food brands, including Jimmy Dean, Hillshire Farm, Sara Lee, Ball Park, Wright Brand, Aidells, and State Fair. [3] Tyson Foods ranked No. 80 in the 2018 Fortune 500 list of the largest United States corporations by total revenue. [4]

Multinational corporation large corporation doing business in many countries

A multinational corporation (MNC) or worldwide enterprise is a corporate organization which owns or controls production of goods or services in at least one country other than its home country. Black's Law Dictionary suggests that a company or group should be considered a multinational corporation if it derives 25% or more of its revenue from out-of-home-country operations. A multinational corporation can also be referred to as a multinational enterprise (MNE), a transnational enterprise (TNE), a transnational corporation (TNC), an international corporation, or a stateless corporation. There are subtle but real differences between these three labels, as well as multinational corporation and worldwide enterprise.

Springdale, Arkansas City in Arkansas, United States

Springdale is the fourth-largest city in Arkansas, United States. It is located in both Washington and Benton counties in Northwest Arkansas. Located on the Springfield Plateau deep in the Ozark Mountains, Springdale has long been an important industrial city for the region. In addition to several trucking companies, the city is home to the world headquarters of Tyson Foods, the world's largest meat producing company. Originally named Shiloh, the city changed its name to Springdale when applying for a post office in 1872. The four-county Northwest Arkansas Metropolitan Statistical Area is ranked 109th in terms of population in the United States with 463,204 in 2010 according to the United States Census Bureau. The city had a population of 69,797 at the 2010 Census.

Food industry collective of diverse businesses that supplies much of the worlds food

The food industry is a complex, global collective of diverse businesses that supplies most of the food consumed by the world's population. Only subsistence farmers, those who survive on what they grow, and hunter-gatherers can be considered outside the scope of the modern food industry.



The company was established by John W. Tyson in 1935, [5] and benefitted during World War II when chicken was not included in foods that were rationed. [6] As of 2014, the company employs 115,000 people, who work at more than 300 facilities, over 100 of which are in the US. [5] Tyson had about 97,000 employees in 27 states; locations are concentrated in the Midwest, with 16 locations in Arkansas, 11 in Texas, 9 in Iowa, and the remainder of the mostly eastern US with less than 3-4 locations. [5] Tyson also works with 6,729 independent contract chicken growers.[ citation needed ]

John W. Tyson was an American businessman, the founder of American multinational corporation Tyson Foods and, from 1935 until his death in 1967, its Chief Executive Officer.

World War II 1939–1945 global war

World War II, also known as the Second World War, was a global war that lasted from 1939 to 1945. The vast majority of the world's countries—including all the great powers—eventually formed two opposing military alliances: the Allies and the Axis. A state of total war emerged, directly involving more than 100 million people from over 30 countries. The major participants threw their entire economic, industrial, and scientific capabilities behind the war effort, blurring the distinction between civilian and military resources. World War II was the deadliest conflict in human history, marked by 50 to 85 million fatalities, most of whom were civilians in the Soviet Union and China. It included massacres, the genocide of the Holocaust, strategic bombing, premeditated death from starvation and disease, and the only use of nuclear weapons in war.

Tyson is one of the largest U.S. marketers of value-added chicken, beef and pork to retail grocers, broad line foodservice distributors and national fast food and full-service restaurant chains; fresh beef and pork; frozen and fully cooked chicken, beef and pork products; case-ready beef and pork; supermarket deli chicken products; meat toppings for the pizza industry and retail frozen pizza; club store chicken, beef and pork; ground beef and flour tortillas. It supplies Yum! Brands chains that use chicken, including KFC and Taco Bell, as well as McDonald's, Burger King, Wendy's, Wal-Mart, Kroger, IGA, Beef O'Brady's, small restaurant businesses, and prisons.[ citation needed ]

A food service distributor is a company that provides food and non-food products to restaurants, cafeterias, industrial caterers, hospitals and nursing homes.

Ground beef, minced beef or beef mince is beef that has been finely chopped with a knife or a meat grinder or mincing machine. It is used in many recipes including hamburgers and spaghetti Bolognese.

Yum! Brands American fast food company

Yum! Brands, Inc., or Yum! and formerly Tricon Global Restaurants, Inc., is an American fast food company. A Fortune 500 corporation, Yum! operates the brands Taco Bell, KFC, Pizza Hut, and WingStreet worldwide, except in China, where the brands are operated by a separate company, Yum China. Prior to 2011, Yum! also owned Long John Silver's and A&W Restaurants.

The company makes a wide variety of animal-based and prepared products at its 123 food processing plants. It produces many different products, including Buffalo wings, boneless Buffalo wings, chicken nuggets and tenders. Every week, its 54 chicken plants, 13 beef plants, and six pork plants slaughter and package 42.5 million chickens, 170,938 cattle, and 347,891 pigs. Their largest meat packing facility is their beef production plant in Dakota City, Nebraska. Other plants include feed mills, hatcheries, farms and tanneries.[ citation needed ]

Food processing transformation of raw ingredients into food, or of food into other forms

Food processing is the transformation of agricultural products into food, or of one form of food into other forms. Food processing includes many forms of processing foods, from grinding grain to make raw flour to home cooking to complex industrial methods used to make convenience foods.

Chicken nugget chicken product made from chicken meat that is breaded or battered, then deep-fried or baked if you get them from burger king they are 1.05

A chicken nugget is a chicken product made from chicken meat that is breaded or battered, then deep-fried or baked. Fast food restaurants usually fry their nuggets in vegetable oil.

Chicken fingers U.S. dish of breaded and fried chicken meat from the pectoralis minor or similarly sized cut of chicken

Chicken fingers, also known as chicken tenders, chicken goujons,chicken strips, tendies or chicken fillets, are chicken meat prepared from the pectoralis minor muscles of the animal. These strips of white meat are located on either side of the breastbone, under the breast meat. They may also be made with similarly shaped pieces cut from chicken meat, usually the breast, or sometimes just pulverized chicken flesh.

Acquisitions and investments

The Tyson logo, used as a corporate logo from 1978 to 2017. It has been seen with minor changes since 1972. It continues to be used as a logo on Tyson brand products. TysonLogo.png
The Tyson logo, used as a corporate logo from 1978 to 2017. It has been seen with minor changes since 1972. It continues to be used as a logo on Tyson brand products.

In 2001, Tyson Foods acquired IBP, Inc., the largest beef packer and number two pork processor in the U.S., for US$3.2 billion in cash and stock. Tyson has also acquired such companies as Hudson Foods Company, Garrett poultry, Washington Creamery, Franz Foods, Prospect Farms, Krispy Kitchens, Ocoma Foods, Cassady Broiler, Vantress Pedigree, Wilson Foods, Honeybear Foods, Mexican Original, Valmac Industries, Heritage Valley, Lane Poultry, Cobb-Vantress, Holly Farms, Wright Brand Foods, Inc. and Don Julio Foods. It also acquired along with its purchase of IBP, the naming rights to an event center in Sioux City, Iowa. On 29 May 2014, the company announced a $6.13 billion cash offer to acquire all the shares in Hillshire Brands, two days after a $6.4 billion cash and shares bid for Hillshire by Pilgrim's Corp. In June 2014, Tyson won the bidding war against Pilgrim's Pride, agreeing to buy the maker of Jimmy Dean sausage and Ball Park hot dogs for $8.5 billion. [7] On July 28, 2014, the company said it would sell its Mexican and Brazilian poultry businesses to JBS S.A. for $575 million and use the proceeds to pay down debt from its pending $7.7 billion purchase of Hillshire Brands Co. [8] In May 2018, Tyson announced the acquisition of American Proteins, Inc. and AMPRO Products, Inc. for approximately $850 million. [9]

IBP, Inc.

Tyson Fresh Meats, Inc., formerly IBP, Inc. and Iowa Beef Processors, Inc., is an American meat packing company based in Dakota Dunes, South Dakota, United States. IBP was the United States' biggest beef packer and its number two pork processor. To reflect the company's multiple operations, the company changed its name to Iowa Beef Processors, Inc. in 1970. After the company expanded operations to pork and other areas, Iowa Beef Processors, Inc., became IBP, Inc. Occidental Petroleum owned IBP from 1981 to 1987, and was the majority owner from 1987 to 1991.

Stock financial instrument

The stock of a corporation is all of the shares into which ownership of the corporation is divided. In American English, the shares are commonly known as "stocks". A single share of the stock represents fractional ownership of the corporation in proportion to the total number of shares. This typically entitles the stockholder to that fraction of the company's earnings, proceeds from liquidation of assets, or voting power, often dividing these up in proportion to the amount of money each stockholder has invested. Not all stock is necessarily equal, as certain classes of stock may be issued for example without voting rights, with enhanced voting rights, or with a certain priority to receive profits or liquidation proceeds before or after other classes of shareholders.

Hudson Foods Company of Rogers, Arkansas, was a beef processor that was involved in what was then the largest recall of food in United States. The plant was in Columbus, Nebraska. The company recalled over 25 million pounds of ground beef. Tyson Foods bought Hudson Foods out in the 1990s.

Tyson, through its capital venture fund [10] Tyson Ventures, has invested in Beyond Meat, Memphis Meats, and Future Meat Technologies, [11] companies developing plant-based meat substitutes and cultured clean meat, respectively. Former CEO Tom Hayes said that "it might seem counterintuitive", but the investments are part of an effort to meet future consumer demand in a sustainable way. [12] [13] [14]

Beyond Meat Los Angeles-based producer of plant-based meat substitutes

Beyond Meat is a Los Angeles-based producer of plant-based meat substitutes founded in 2009 by Ethan Brown. The company's products became available across the United States in 2013. In May 2016, it released the first plant-based burger to be sold in the meat section of grocery stores, on an international basis. The company has products designed to replace chicken meat, beef, and pork sausage.

Memphis Meats

Memphis Meats is a food technology company headquartered in Berkeley, California aiming to grow sustainable cultured meat. The company was founded by three scientists: Uma Valeti (CEO), Nicholas Genovese (CSO), and Will Clem. Valeti is a cardiologist and a professor at the University of Minnesota.

On June 1, 2018, Tyson announced that it would sell the Sara Lee, Van's, Chef Pierre and Bistro Collection brands to Kohlberg & Company. [15] The sale was completed on August 1, forming Sara Lee Frozen Bakery, which will be based in Oakbrook Terrace, Illinois. [16]

On August 9, 2018, Tyson announced that it would sell its pizza crust business, including TNT Crust, to Austin-based Peak Rock Capital. [17] The sale was completed on September 4. [18]

On August 20, 2018, Tyson announced its intent to acquire food supplier Keystone Foods from Marfrig. [19] Tyson announced it had acquired the company on November 30, 2018. [20]

Tyson Renewable Energy

Tyson's processing plants are left with a vast supply of animal fats. In late 2006, the company created a business unit called Tyson Renewable Energy to examine ways of commercializing the use of this leftover material by converting it into biofuels. [21] The unit is also examining the potential use of poultry litter to generate energy and other products. [22] On April 16, 2007, Tyson announced a joint venture with ConocoPhillips to produce roughly 175 million gallons of biodiesel a year—enough to run Tyson Foods' truck fleet for 3.5 years. [23]

Corporate charity

Since 2000, Tyson Foods has donated millions of dollars in cash to help non-profit organizations across the country.[ citation needed ] Forbes named Tyson Foods the second most proportionally generous company for its donations in 2007 totaling 1.6 percent ($8 million) of its annual operating income. [24] Tyson initiated the KNOW Hunger campaign in early 2011 to raise awareness of hunger in the United States. After the Joplin tornado of 2011, Tyson sent 77,000 pounds of food to the city. [25] It also sent 100,000 pounds of food to the communities along the Gulf of Mexico after the oil spill. [26]

Religious activities

Current chairman John Tyson is a practicing Interfaith Believer and does not believe in Biblical Christianity. In addition to placing 128 part-time chaplains (including both Protestant and Catholic Christians and Muslim Imams) in 78 Tyson plants, [27] in 2006 the company invited their customers to download a prayer book, containing prayers from many faiths, including Christianity, Judaism, Islam, and American Indian spirituality, from the company's website to read during mealtime. [28] [29]

Corporate governance

Board of Directors


John W. Tyson, the founder, was CEO from 1935 until his death in 1967.

Don Tyson served as the company's CEO and chairman from 1967 to 1991.

Leland Tollett was CEO from 1991 until 1998. [31]

John H. Tyson served as CEO from 1999 to 2006. [32]

Richard L. Bond was CEO of the company from 2006 until January 7, 2009, when he stepped down and his position was filled by temporary replacement Leland Tollett. Donnie Smith served as CEO from November 2009 to 2016. In November 2016, the company announced Smith would step down at the end of the year and would be succeeded by company president Tom Hayes. [33]

Hayes was replaced by Noel White in September 2018. [34]


World headquarters of Tyson Foods at 2200 Don Tyson Pkwy, Springdale, Arkansas Tyson World Headquarters.jpg
World headquarters of Tyson Foods at 2200 Don Tyson Pkwy, Springdale, Arkansas

Environmental record

Tyson has been involved in several lawsuits related to air and water pollution. In June 2003, the company admitted to illegally dumping untreated wastewater from its poultry processing plant near Sedalia, Missouri, pleading guilty to 20 felony violations of the federal Clean Water Act. As part of the plea agreement, the company agreed to pay $7.5 million in fines, hire an outside consultant to perform an environmental audit, and institute an "enhanced environmental management system" at the Sedalia plant. [35] At the same time, Tyson also settled a case filed by the Missouri attorney general's office related to the same illegal dumping.[ citation needed ]

The United States Environmental Protection Agency began the investigation into the discharges in 1997, and federal officials served two criminal search warrants at the plant in 1999. According to EPA and U.S. Department of Justice officials, Tyson continued to illegally dump wastewater after the search warrants were executed, prompting an EPA senior trial attorney to remark that: "Having done this work for nearly 20 years, I don't recall any case where violations continued after the execution of two search warrants. That's stunning." Under the federal and state plea agreements, Tyson agreed to pay $5.5 million to the federal government, $1 million to the Pettis County School Fund and $1 million to the Missouri Natural Resources Protection Fund to help remedy the damage. [36]

In 2002, three residents of Western Kentucky, together with the Sierra Club, filed a lawsuit concerning the discharge of dangerous quantities of ammonia from Tyson's Western Kentucky factories. Tyson settled the suit in January 2005, agreeing to spend $500,000 to mitigate and monitor the ammonia levels. [37]

In 2004, Tyson was one of six poultry companies to pay a $7.3 million settlement fee to the city of Tulsa, Oklahoma, to settle charges that the use of chicken waste as fertilizer had created phosphorus pollution in Tulsa's main drinking water sources. [38]

Employment of illegal immigrants

In 2001, Tyson was charged with conspiracy to smuggle undocumented workers to work on its production lines. Tyson plant managers arranged for delivery of illegal workers with undercover immigration officials. Prosecutors alleged that the conspiracy to import workers dates back to 1994 when plant managers began to find it difficult to fill positions with "cheap legal help". Of the six managers who were indicted, two accepted plea bargain deals, and one committed suicide one month after being charged. In March 2003, a federal jury acquitted Tyson of having knowingly hired illegal immigrants. [39] [40]

In May 2006, Tyson suspended operations at nine plants during a nationwide day of immigration demonstrations citing expected lack of workers. [41]

In October 2006, a federal judge granted class-action status to a lawsuit brought by Tyson employees who allege that Tyson's practice of hiring illegal immigrants depresses wages 10–30%. The suit further contends that the company violated federal racketeering laws by conspiring with National Council of La Raza and League of United Latin American Countries not to question the employment applications of anyone with a Hispanic surname. [42] [43] [44]

Price manipulation

In 2004, a federal jury found that Tyson Fresh Meats had used captive supply agreements to artificially lower fed cattle prices in violation of the Packers and Stockyards Act. Damages were found to be $1.28 billion. A U.S. Court of Appeals voided the verdict because it determined Tyson had a legitimate business justification to artificially lower cattle prices. [45]

In 2016, Maplevale sued Tyson and others for alleged price fixing. In January 2018 Winn-Dixie Stores and its sister grocery, Bi-Lo Holdings, also sued Tyson and others; weeks later, Sysco and US Foods separately sued Tyson and others. Tyson and 16 other companies were accused of working together to restrict the supply of chickens and to manipulate chicken prices; these activities allegedly started in 2008. [46] [47] Expressing the magnitude of the Mapleville allegations, NBC News stated an American family of four spends an average of $1100 per year on chicken, and if industry-wide price fixing allegations are true, "about $330 of that should still be in your wallet each year". [48]

Undisclosed use of antibiotics

In 2007, Tyson began labeling and advertising its chicken products as "Raised without Antibiotics." After being advised by the USDA that Tyson's use of protozoa-killing ionophores in unhatched eggs constituted antibiotic use, Tyson and the USDA compromised on rewording Tyson's slogan as "raised without antibiotics that impact antibiotic resistance in humans." Tyson competitors Perdue Farms and Sanderson Farms sued claiming that Tyson's claim violated truth-in-advertising/labeling standards. In May 2008, a federal judge ordered Tyson to stop using the label.[ citation needed ] Ionophores are used to control cocidiosis, a parasite common in all birds and the medication is not used in human medicine.

In June 2008, USDA inspectors discovered that Tyson had also been using gentamicin, an antibiotic, in eggs. According to USDA Undersecretary for Food Safety Richard Raymond, Tyson hid the use of this antibiotic from federal inspectors, with Tyson not denying the claim and stating that the use of this chemical is standard industry practice. Tyson agreed to voluntarily remove its "raised without antibiotics" label in future packaging and advertising. [49]

As of Mar 31 2019, their website states that "All chickens raised for the Tyson® retail brand are grown without using any antibiotics – ever." [50]

Employee abuse

An Oxfam report issued in 2016 cited anonymous employees who stated they have been denied bathroom breaks so frequently that they have started wearing adult diapers to work. According to the report: [51]

Workers struggle to cope with this denial of a basic human need. They urinate and defecate while standing on the line; they wear diapers to work; they restrict intake of liquids and fluids to dangerous degrees; they endure pain and discomfort while they worry about their health and job security.

Animal abuse

From December 2004 through February 2005, an undercover investigator for People for the Ethical Treatment of Animals (PETA) claimed to have worked on the slaughter line of a Tyson Foods chicken processing plant in Heflin, Alabama. Using a hidden camera, he allegedly documented the treatment of the more than 100,000 chickens killed every day in the plant. PETA alleges that workers were instructed to rip the heads off of birds who missed the throat-cutting machines. He claims he saw birds scalded alive in the feather removal tank, and he said that managers said it was acceptable to scald 40 birds alive per shift. The investigator claims plant employees were also seen throwing around dead birds just for fun. PETA has asked Tyson to implement controlled atmosphere killing (CAK). For this reason, PETA is boycotting businesses that use Tyson as a supplier, such as KFC and distribution channels such as Sunset Strips. The video, taken by the investigator of the killings, was posted on YouTube. [52]

In 2006, Tyson completed a study to determine whether CAK, which uses gas to render chickens unconscious before slaughter, could be a more humane practice than conventional electrical stunning. According to Bill Lovette, Tyson's senior group vice president of poultry and prepared foods, the study found no difference between the humaneness of the two methods. The company plans to ask scientists at the University of Arkansas to initiate a similar study to test these initial results. The research will be led by the newly created Chair in Food Animal Wellbeing at the Dale Bumpers College of Agricultural, Food and Life Sciences of the University of Arkansas. Tyson has committed $1.5 million to help establish the Chair, which will be involved in overseeing research and classes focused on the humane management and treatment of food animals. [53]

A 2016 undercover investigation by the animal rights organization Compassion Over Killing showed workers at four separate Tyson processing plants throwing, punching and kicking chickens as well as sticking plastic rods through their beaks. They also wrung birds' necks, ran over them with forklifts and left injured birds in heaping piles to die. [54]

Chicken nugget recall

On January 30, 2019, Tyson Foods announced a recall for over 36,000 pounds of chicken nuggets that were at risk of being contaminated with small pieces of rubber. The recall followed allegations by consumers who submitted complaints to the U.S. Agriculture Department. Tyson identified the contaminated nuggets as those received by Arizona, California, Illinois, Jersey, and Utah club store distribution centers. [55]

See also

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Coordinates: 36°09′13.70″N94°09′15.49″W / 36.1538056°N 94.1543028°W / 36.1538056; -94.1543028