Tulip Food Company. 28. November 2012

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1 Tulip Food Company November 2012

2 Group Structure Fresh meat Trading Pork Division Danish Crown GmbH DAT-Schaub a.m.b.a. Danish Crown, UK Beef Division Schlachtzentrum Nordfriesland Scan-Hide Processed meat Tulip Food Company Tulip Ltd (UK) Plumrose USA Sokolów 2

3 History 1887: Private slaughterhouse in Vejle, Denmark -125 years 1909: TULIP is registered as the first brand in Denmark -103 y 1990: The processing activities of Tulip Slagterierne are merged with JAKA, Normeat and Danepak UK into Tulip International 1998: The processing activities of Danish Crown and Vestjyske Slagterier are transferred to Tulip International following the merger of Danish Crown and Vestjyske Slagterier 3

4 History 2001: Tulip International is split in a UK unit and a Continental unit. The UK unit is merged with Tulip Ltd and the Continental unit is merged with Danish Prime to Tulip Food Company 2002: Tulip Food Company takes over the Steff-Houlberg processing activities following the merger of Danish Crown and Steff-Houlberg Slagterierne Purchase of Pølsefabrikken Gøl 2004: Purchase of Oldenburger Fleischwaren in Germany 2008: Purchase of the Ekvalls factory in Malmö (Ugglarps) 2010: Purchase of Nietfeld Feinkost GmbH in Germany 4

5 Product Range Tulip Food Company s product range comprises 2,800 items 5 Ekskl. Nietfeld

6 Market Segments 2010/11 Retail Food Service Fast Food Industry 75% 16% 6% 3% 6

7 Volume Distribution 2010/11 Denmark 38% International 51% Other Nordic Countries 11% Tons International 89,000 Denmark 68,000 Other Nordic countries * 20,000 7 *Incl. Faroe Islands, Greenland and Iceland

8 Volume Distribution 2010/11 Canned 28% Chilled 40% Frozen 32% Tons Chilled 70,000 Frozen 57,000 Canned 50,000 8

9 Turnover broken down on main categories 2010/11 Canned, comminuted meats Cold cuts Sausages Bacon Frikadellen Fried+smoked Salami Soups Hams/shoulders Ready meals Toppings Paté Other MDKK 9

10 Manufacturing Units Svenstrup Aalborg Esbjerg Vejle Malmö Aabenraa Faaborg Schüttorf Oldenburg Dinklage 10

11 Sales Offices Sweden Norway Russia Japan Denmark Germany France Italy 11

12 Food Safety - the highest priority Own control, based on HACCP principles and approved by authorities and customers 7 BRC-approved factories (English standard) 7 IFS-approved factories (German standard) 2 US-approved factories (US standard) 12

13 Quality Management System Corporate Quality Management System: Strategic policies and procedures Local Quality Management System: US based system Risk assessments Pre-requisite program for traceability, quality control etc. SSOP-program HACCP-plan 13

14 Inspection by DVFA: Inspection of Quality Management System Daily control 1 pr. shift HACCP and SSOP EU-audits 5 times pr. year US-Audit team inspection 4-6 times pr year Output: Ensures full compliance with all requirements Continuous improvements Export permissions: USA, Japan, Korea, Canada, Mexico and Argentina 14

15 Verification of Quality Management System Internal audits: Conducted by local QA in accordance with yearly plan Certification audits: Against BRC and IFS-standards by Bureau Veritas Certification Customer audits (examples): Marks & Spencer, Sainsbury, Tesco, Hormel, Coop, LIDL 15

16 Traceability - sourcing of raw materials We only use suppliers approved by the EU and TFC Always full traceability back to the supplier using slaughter date and Establishment no. Hygienic quality, temperature and documentation controlled at reception Separation of production, cleaning, separate lines Raw materials for products intended for China Only Danish suppliers approved for China 16

17 Traceability internal Always full traceability from supplier to customer (one step backward and one step forward). Traceability system is regularly verified. Traceability system ensures 100% traceability through production using specific labelling. 17

18 Traceability - ID-tags Registrerings tidspunkt: Date and time of print of label : Tulip Item no. Sv Skinke klump mørk: Item name (Ham) Netto: 286,0: Netto weight Leverandør: 0025: Supplier no. (Danish Crown Est.no 25) Slagtedato : Slaughter date Til afd.: 1815: Shows that the product has been stored in internal cooler no Lbnr.: : Bar code no. This code will identify the product until the next step of the production process. 18

19 Labelling of products Specific products dedicated for export to China Tulip has specific procedures in place that ensures: Product composition incl. raw material Labelling according to Chinese requirements Identification mark (DK 65 EF) Each product is traceable 19

20 Heat treatment According to Codex Alimentarius Principles and USDA Canning Regulations. Heat treatment is a Critical Control Point (CCP) Verified Daily by TFC Verified by DVFA Audited at least annually 20

21 THANK YOU 21 Niels Thomsen: