Pilgrim's Pride Corporation is an American, multi-national food company, currently one of the largest
chicken
The chicken (''Gallus gallus domesticus'') is a domesticated junglefowl species, with attributes of wild species such as the grey and the Ceylon junglefowl that are originally from Southeastern Asia. Rooster or cock is a term for an adult m ...
producers in the United States and
Puerto Rico
Puerto Rico (; abbreviated PR; tnq, Boriken, ''Borinquen''), officially the Commonwealth of Puerto Rico ( es, link=yes, Estado Libre Asociado de Puerto Rico, lit=Free Associated State of Puerto Rico), is a Caribbean island and Unincorporated ...
and the second-largest chicken producer in Mexico. It exited bankruptcy in December 2009 and relocated its U.S. headquarters to
Greeley, Colorado
Greeley is the home rule municipality city that is the county seat and the most populous municipality of Weld County, Colorado, United States. The city population was 108,795 at the 2020 United States Census, an increase of 17.12% since the 2010 ...
, in 2011. It is majority-owned by
JBS S.A.
JBS S.A. is a Brazilian company that is the largest meat processing company (by sales) in the world, producing factory processed beef, chicken and pork, and also selling by-products from the processing of these meats. It is headquartered in São ...
Pilgrim's Pride purchased Gold'n Plump for $350 million in late November 2016.
Description of firm
Pilgrim's Pride is a multi-national corporation, based in Brazil, and employs about 38,000 people with sales of $8.1 billion in 2012, and has operations in 12 states, Mexico and Puerto Rico. They have the capacity to process about 36 million birds per week resulting in almost 9.5 billion pounds of live chicken annually.
Pilgrim's Pride products are distributed primarily through foodservice and retail outlets.
Pilgrim's traces its origins to a feed store opened in 1946 in
Pittsburg, Texas
Pittsburg is a city and the county seat of Camp County, Texas, United States. Best known as the former home of the giant poultry producer Pilgrim's and the home of racing legend Carroll Shelby, Pittsburg is also the birthplace of Cavender's Boot ...
, by
Lonnie "Bo" Pilgrim
Lonnie Alfred "Bo" Pilgrim (May 8, 1928 – July 21, 2017) was the co-founder of Pilgrim's Pride, which at one time was one of the largest chicken producers in the United States. Pilgrim founded Pilgrim's Pride when he opened a feed store in 1946 ...
and his older brother, Aubrey. They were known to give away free chicks with the bags of feed they sold, thereby expanding their business. Bo, wearing traditional
Pilgrim
A pilgrim (from the Latin ''peregrinus'') is a traveler (literally one who has come from afar) who is on Pilgrimage, a journey to a holy place. Typically, this is a physical journey (often on foot) to some place of special significance to the a ...
clothing, with a pet chicken named "Henrietta" under his arm, was featured in Pilgrim's Pride advertisements. He became the president of the company after Aubrey died of a heart attack in 1966. Today, Pilgrim's Pride is
vertically integrated
In microeconomics, management and international political economy, vertical integration is a term that describes the arrangement in which the supply chain of a company is integrated and owned by that company. Usually each member of the supply ...
, meaning the company has its own divisions for every process from "egg to table".
Pilgrim's Pride is a supplier of
Kentucky Fried Chicken
KFC (Kentucky Fried Chicken) is an American fast food restaurant chain headquartered in Louisville, Kentucky, that specializes in fried chicken. It is the world's second-largest restaurant chain (as measured by sales) after McDonald's, with 2 ...
and was named its "supplier of the year" in 1997. Other customers include
Walmart
Walmart Inc. (; formerly Wal-Mart Stores, Inc.) is an American multinational retail corporation that operates a chain of hypermarkets (also called supercenters), discount department stores, and grocery stores from the United States, headquarter ...
,
Publix
Publix Super Markets, Inc., commonly known as Publix, is an employee-owned American supermarket chain headquartered in Lakeland, Florida. Founded in 1930 by George W. Jenkins, Publix is a private corporation that is wholly owned by present and ...
, and
Wendy's
Wendy's is an American international fast food restaurant chain founded by Dave Thomas (1932–2002) on November 15, 1969, in Columbus, Ohio. Its headquarters moved to Dublin, Ohio, on January 29, 2006. As of December 31, 2018, Wendy's was the ...
. By 2012, Pilgrim's was the exclusive
rotisserie chicken
Rotisserie chicken is a chicken dish that is cooked on a rotisserie by using direct heat in which the chicken is placed next to the heat source.
Electric- or gas-powered heating elements may be used by using adjustable infrared heat. These type ...
supplier for
Costco
Costco Wholesale Corporation (doing business as Costco Wholesale and also known simply as Costco) is an American multinational corporation which operates a chain of membership-only big-box retail stores (warehouse club). As of 2022, Costco i ...
, supplying 50 million 3-pound marinated chickens, ready to be placed into a
rotisserie
Rotisserie, also known as spit-roasting, is a style of roasting where meat is skewered on a spit – a long solid rod used to hold food while it is being cooked over a fire in a fireplace or over a campfire, or roasted in an oven. This metho ...
.
News events in the 2000s/2010s
On October 12, 2002, Pilgrim's Pride recalled 27.4 million pounds of sliced deli poultry after finding a strain of ''
Listeria monocytogenes
''Listeria monocytogenes'' is the species of pathogenic bacteria that causes the infection listeriosis. It is a facultative anaerobic bacterium, capable of surviving in the presence or absence of oxygen. It can grow and reproduce inside the host' ...
'' in the drain of one of their facilities. It was the largest
food recall
A product recall is a request from a manufacturer to return a product after the discovery of safety issues or product defects that might endanger the consumer or put the maker/seller at risk of legal action.
The recall is an effort to limit ruin ...
in the US at the time. The outbreak killed 7 people, sickened 46, and caused 3 miscarriages.
In 2003, Pilgrim's Pride acquired Pierce Chicken (formerly of
ConAgra Foods
Conagra Brands, Inc. (formerly ConAgra Foods) is an American consumer packaged goods holding company headquartered in Chicago, Illinois. Conagra makes and sells products under various brand names that are available in supermarkets, restaurants, ...
and Hester Industries). Pierce Chicken is best known for its brand-name Wing Dings, Wing Zings, and various other prepared food products.
In May 2004, Pilgrim's Pride experienced an outbreak of
avian influenza
Avian influenza, known informally as avian flu or bird flu, is a variety of influenza caused by viruses adapted to birds. in
Hopkins County in northeast Texas; 24,000 breeder hens were destroyed to contain the outbreak.
On July 20, 2004,
PETA
Peta or PETA may refer to:
Acronym
* Pembela Tanah Air, a militia established by the occupying Japanese in Indonesia in 1943
* People for the Ethical Treatment of Animals, an American animal rights organization
* People Eating Tasty Animals, an ...
released a video showing cruelty to chickens at a Pilgrim's Pride plant in
West Virginia
West Virginia is a state in the Appalachian, Mid-Atlantic and Southeastern regions of the United States.The Census Bureau and the Association of American Geographers classify West Virginia as part of the Southern United States while the Bur ...
.
The video showed Pilgrim Pride employees kicking, jumping, throwing, and spitting on live chickens. Pilgrim's Pride held an investigation, fired 11 employees, including managers, and has provided ongoing animal welfare training to its work force after KFC owner
Yum Brands
Yum! Brands, Inc. (or Yum!), formerly Tricon Global Restaurants, Inc., is an American fast food corporation listed on the Fortune 1000. Yum! operates the brands KFC, Pizza Hut, Taco Bell, and The Habit Burger Grill, except in China, where the br ...
threatened to cease purchasing from the company following the incident; none of the employees faced any criminal charges.
Pilgrim's is also a supplier of cattle feed to various ranching operations in East Texas. The supply of cattle feed was criticized because of the alleged use of "inedible" chicken parts being used for protein content. This is a common practice in the poultry industry known as protein conversion, so as to profit from all parts of the bird. Protein conversion uses techniques to convert inedible parts of the animal, such as keratin in feathers and skin, into digestible protein to be used for livestock and pet food.
On December 4, 2006, Pilgrim's Pride announced the successful acquisition of
Gold Kist
Gold Kist was a large chicken producing company in the southern United States. It was founded in 1933 by D.W. Brooks, a University of Georgia agronomy instructor as the Cotton Producers Association, a cooperative to help farmers in Carrollton, G ...
(formerly the third largest chicken company) for $21.00 a share. Although there was initial resistance from Gold Kist, the board members of both companies voted unanimously to combine the two companies.
On December 17, 2007, Pilgrim's Pride's
CEO
A chief executive officer (CEO), also known as a central executive officer (CEO), chief administrator officer (CAO) or just chief executive (CE), is one of a number of corporate executives charged with the management of an organization especially ...
, O.B. Goolsby Jr., died after suffering a stroke while on a hunting trip in South Texas with customers.
On April 16, 2008, after a yearlong investigation
US Immigration and Customs Enforcement
The U.S. Immigration and Customs Enforcement (ICE) is a federal law enforcement agency under the U.S. Department of Homeland Security. ICE's stated mission is to protect the United States from the cross-border crime and illegal immigration tha ...
raided plants in
Batesville, Arkansas
Batesville is the county seat and largest city of Independence County, Arkansas, Independence County, Arkansas, United States, 80 miles (183 km) northeast of Little Rock, Arkansas, Little Rock, the state capital. According to the 2010 Census, ...
;
Live Oak, Florida
Live Oak is a city in northern Florida and it is the county seat of Suwannee County, Florida, United States. The city is the county seat of Suwannee County and is located east of Tallahassee. As of 2010, the population recorded by the U.S. Census ...
;
Chattanooga, Tennessee
Chattanooga ( ) is a city in and the county seat of Hamilton County, Tennessee, United States. Located along the Tennessee River bordering Georgia, it also extends into Marion County on its western end. With a population of 181,099 in 2020, ...
;
Mount Pleasant, Texas
Mount Pleasant is the county seat of and largest city in Titus County, in the U.S. state of Texas. As of the 2020 census, Mount Pleasant's population was 16,047; it is situated in Northeast Texas.
History
Mount Pleasant was founded May 11, 184 ...
; and
Moorefield, West Virginia
Moorefield is a town and the county seat of Hardy County, West Virginia, United States. It is located at the confluence of the South Branch Potomac River and the South Fork South Branch Potomac River. Moorefield was originally chartered in 1777; ...
. Officials arrested 311 foreign national employees on suspicion of
identity theft
Identity theft occurs when someone uses another person's personal identifying information, like their name, identifying number, or credit card number, without their permission, to commit fraud or other crimes. The term ''identity theft'' was co ...
. Of these, 91 have been formally charged.
On December 1, 2008, Pilgrim's Pride filed for bankruptcy.
![Pittsburg August 2015 10 (Pilgrim's Pride feed mill)](https://upload.wikimedia.org/wikipedia/commons/f/fb/Pittsburg_August_2015_10_%28Pilgrim%27s_Pride_feed_mill%29.jpg)
On May 27, 2014, the company announced a $6.4 billion cash and debt offer to acquire all the shares in
Hillshire Brands
The Hillshire Brands Company was an American food company based in Chicago, Illinois. Prior to its acquisition by Tyson Foods, the company employed over 9,000 people and generated nearly $4 billion in annual sales.
History
Founding and early yea ...
. A rival bid from
Tyson Foods
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. It annually ...
followed two days later. On June 9, 2014, the company announced it was withdrawing its bid for Hillshire after Tyson Foods had increased its offer to $8.55 billion.
On July 21, 2017, the company's co-founder, Lonnie "Bo" Pilgrim, died at the age of 89.
On September 23, 2020, Pilgrim's Pride announced the appointment of Fabio Sandri as CEO, replacing Jayson Penn. Penn went on leave in June following an indictment earlier this year on charges of price-fixing and bid-rigging.
In February 2021 Pilgrim's pride agrees to pay a $107 million fine on charges of bid rigging and price fixing.
Purchase by JBS S.A.
On September 17, 2009,
JBS USA
JBS USA Holdings, Inc. is an American food processing company and a wholly owned subsidiary of the multinational company JBS S.A. The subsidiary was created when JBS entered the U.S. market in 2007 with its purchase of Swift & Company. JBS speci ...
Holdings, Inc. announced the purchase of 64% of the shares of Pilgrim's Pride. JBS USA Holdings, Inc. is a subsidiary of Brazilian multinational
JBS S.A.
JBS S.A. is a Brazilian company that is the largest meat processing company (by sales) in the world, producing factory processed beef, chicken and pork, and also selling by-products from the processing of these meats. It is headquartered in São ...
, the largest meat processor in the world, and the largest by revenue. Currently JBS USA Holdings, Inc. owns 78.5% of the company.
As a result, Pilgrim's Pride closed its corporate offices in Texas and Georgia and moved its headquarters to Greeley, Colorado. This move caused the former headquarters in
Pittsburg, Texas
Pittsburg is a city and the county seat of Camp County, Texas, United States. Best known as the former home of the giant poultry producer Pilgrim's and the home of racing legend Carroll Shelby, Pittsburg is also the birthplace of Cavender's Boot ...
, and a location in nearby
Mt. Pleasant, Texas
Mount Pleasant is the county seat of and largest city in Titus County, in the U.S. state of Texas. As of the 2020 census, Mount Pleasant's population was 16,047; it is situated in Northeast Texas.
History
Mount Pleasant was founded May 11, 184 ...
, to cut employment by a total of 160 people. Other locations which lost jobs included sites in
Atlanta
Atlanta ( ) is the capital and most populous city of the U.S. state of Georgia. It is the seat of Fulton County, the most populous county in Georgia, but its territory falls in both Fulton and DeKalb counties. With a population of 498,715 ...
,
Dallas
Dallas () is the List of municipalities in Texas, third largest city in Texas and the largest city in the Dallas–Fort Worth metroplex, the List of metropolitan statistical areas, fourth-largest metropolitan area in the United States at 7.5 ...
, and
Broadway, Virginia
Broadway is a town in Rockingham County, Virginia, United States. The population was 3,691 at the 2010 census. It is included in the Harrisonburg Metropolitan Statistical Area.
History
Bethlehem Church, Lincoln Homestead and Cemetery, Linvill ...
.
COVID-19 pandemic
In late April, 2020, an outbreak of
COVID-19
Coronavirus disease 2019 (COVID-19) is a contagious disease caused by a virus, the severe acute respiratory syndrome coronavirus 2 (SARS-CoV-2). The first known case was COVID-19 pandemic in Hubei, identified in Wuhan, China, in December ...
began at the Pilgrim's Pride plant in
Lufkin, Texas
Lufkin is the largest city in Angelina County, Texas and the county seat. The city is situated in Deep East Texas and about 60 miles west of the Texas-Louisiana border. Its estimated population is 35,021 as of July 1, 2019.
Lufkin was founded ...
. On May 8, a worker at the Lufkin plant was found dead in her home after being diagnosed with Covid-19. After the
West Virginia National Guard
The West Virginia National Guard is a part of the West Virginia Department of Military Affairs and Public Safety. It comprises the West Virginia Army National Guard and the West Virginia Air National Guard. Unlike some states, West Virginia does ...
conducted coronavirus tests of 520 (out of 940) workers at the Pilgrim's Pride plant in
Moorefield, West Virginia
Moorefield is a town and the county seat of Hardy County, West Virginia, United States. It is located at the confluence of the South Branch Potomac River and the South Fork South Branch Potomac River. Moorefield was originally chartered in 1777; ...
, 18 workers tested positive. By May 11, 194 Covid-19 cases had been diagnosed among workers at the Pilgrim's Pride plant in
Cold Spring, Minnesota
Cold Spring is a city in Stearns County, Minnesota, United States, at the gateway of the Sauk River Chain of Lakes, an interconnected system of 14 bay-like lakes fed and connected by the Sauk River. Cold Spring is part of the St. Cloud Metropol ...
, which employs about 1,100 workers. That same day, 75 to 85 cars filled with workers drove around the plant, honking horns and demanding over a loudspeaker that it be closed for two weeks. At least one worker has tested positive at the Pilgrim's Pride plant in
Chattanooga, Tennessee
Chattanooga ( ) is a city in and the county seat of Hamilton County, Tennessee, United States. Located along the Tennessee River bordering Georgia, it also extends into Marion County on its western end. With a population of 181,099 in 2020, ...
, and other workers have tested positive at the company's plant in
Timberville, Virginia
Timberville is a town in Rockingham County, Virginia, United States. The population was 2,522 at the 2010 census, which was a significant increase from the 1,739 reported in the 2000 census. It is part of the Harrisonburg Metropolitan Statistical ...
, where dozens of workers protested in early April, although the company has declined to release the number of cases there.
References
External links
Company websitePilgrim's Pride website(Archive)
Pilgrim's Pierce Chicken division
{{Authority control
JBS S.A. subsidiaries
Companies listed on the Nasdaq
American companies established in 1946
Food and drink companies established in 1946
Agriculture companies of the United States
Economy of Dallas
Companies based in Greeley, Colorado
Brand name poultry meats
Food recalls
Camp County, Texas
1946 establishments in Texas
Poultry companies
Meat processing in the United States
Meat companies of the United States
Companies that filed for Chapter 11 bankruptcy in 2008
American subsidiaries of foreign companies
2009 mergers and acquisitions
Meat packers