Sanderson Farms to Build Poultry Complex in Texas

Sanderson Farms Inc. is building a new feed mill, hatchery, poultry processing plant and waste water treatment facility in Smith and Wood Counties, Texas.

The company is engaged in the production, processing, marketing and distribution of fresh, frozen and minimally prepared chicken.

Around $200 million will be allocated to the Texas complex and $135 million for poultry production facilities.

The facilities will comprise a poultry complex capable to process 1.25 million birds per week for retail chill pack customers. The complex will employ up to 1,700 people, and will need 80 contract growers and will be equipped to process and sell approximately 375 million pounds of dressed poultry meat annually.

Start of construction is subject to completion of tax abatement and incentive agreements with public subdivisions and the State of Texas and the required permits from appropriate agencies.

The company plans to begin construction this year and expects the complex to be operational by 2019.

“We believe this expansion will enhance our ability to drive revenues and earnings and allow us to continue our record of building long-term value for our shareholders. The additional capacity of 1.25 million birds per week represented by the new complex will provide new marketing opportunities for the company for retail grocery customers. We are pleased that our recent financial performance has put us in a position to continue to grow our company,” said Joe F. Sanderson, Jr., chairman and chief executive officer of Sanderson Farms, Inc.

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