Ettinger retiring as Hormel Foods CEO; Snee will take over the position on Oct. 31
Published 5:02 pm Tuesday, September 6, 2016
The man who has been at the helm as Hormel Foods Corp. has seen a string of record-breaking years and vastly expanded its portfolio of brands is ready to step down.
Hormel Foods Corp. announced Tuesday that Jeffrey Ettinger, 57, will retire as chief executive officer on Oct. 30. He will continue to serve as Hormel Foods chairman of the board. The board of directors elected President and Chief Operating Officer James Snee, 49, to be the company’s next CEO starting Oct. 31.
“It has been an honor to lead this great company alongside our dedicated employees around the world,” Ettinger said in a press release. “Hormel Foods has a 125-year legacy of delivering quality and innovation, as well as meaningful value to all of our stakeholders. As Jim takes the helm, I am confident that Hormel Foods will continue its growth trajectory as he and the team build on our strong foundation of success.”
In July leading up to Hormel’s 125th anniversary, Ettinger noted how it had been an exciting era to watch the company’s growth, going from about $2.8 billion in sales in 1991 to about $5 billion in shares a decade ago when Ettinger became CEO to about $9.3 billion last year.
Under Ettinger’s leadership, Hormel Foods has grown in recent years through acquisitions, organic growth and a continued focus on new product innovation.
“Under his leadership, the company added to an outstanding portfolio of brands through numerous strategic acquisitions, most notably Wholly Guacamole,Skippy, Muscle Milk and most recently, the Applegate and Justin’s brands,” John L. Morrison, the board’s lead director, in a press release.
In May 2016, Hormel Foods acquired Justin’s LLC, a maker of nut butter spreads and products, for $286 million.
The Justin’s purchase came after the company had made several large acquisitions in recent years, including: Applegate Farms for $775, Wholly Guacamole for about $140 million, CytoSports Holdings for $450 million, and Skippy for $700 million. Those represent four of the largest five acquisitions in the company’s history.
Ettinger joined hormel in 1989
Ettinger served as chairman of the board, president and CEO from November 2006 to October 2015, when Snee was appointed president and Ettinger became chairman of the board and CEO.
Ettinger joined Hormel Foods in 1989 and has served in a variety of roles: senior attorney, product manager for Hormel chili products and treasurer. In 1999, he was named president of Jennie-O Turkey Store — the largest subsidiary of Hormel Foods, based in Willmar, Minnesota. Ettinger was appointed president of Hormel Foods in 2004 and CEO effective Jan. 1, 2006. He has served on the Hormel Foods Board of Directors since 2004, and currently serves on the boards of The Toro Company, Ecolab Inc., North American Meat Institute, Grocery Manufacturers Association, The Hormel Foundation, The Hormel Institute and the Minnesota Business Partnership.
In 2016, Ettinger was named as one of the 30 World’s Best CEOs by Barron’s. In 2012, he was named Responsible CEO of the Year by Corporate Responsibility magazine. In addition, Ettinger is the founding chair of the company’s diversity and inclusion council, which aims to meet the growing needs of its diverse workforce and consumer base.
“Jeff has expertly piloted the company to significant growth and success during his tenure, leading a talented management team in the delivery of strong and consistent returns to Hormel Foods shareholders,” Morrison said in the press release.
Ettinger and his wife, LeeAnn, have four children and are active in the Austin community.
Passing the torch
Snee will take over as a CEO about a year after becoming Hormel’s 10th president last October.
“While Jeff will certainly be missed, I am equally as confident in the leadership of Jim Snee as he assumes the role of CEO,” Morrison said in a statement.
Morrison praised Snee, who has been with Hormel for 27 years, for his strong performance as president and successful experience in running the company’s International division along with his prior leadership roles in the affiliated foods and foodservice units within Refrigerated Foods.
“The company is in excellent hands,” he said.
Snee is pleased to take over Hormel’s top job.
“It is truly an honor to be elected as the next CEO for Hormel Foods,” Snee said in the release. “This is a remarkable company made up of thousands of inspired employees dedicated to providing inspired foods to our customers around the world. Jeff has guided us with his strategic leadership, brave innovation, unquestionable integrity, and unwavering commitment to our communities and corporate citizenship.”
As president, Snee led all of the company’s business segments and global operations including Grocery Products, Refrigerated Foods, Specialty Foods, Jennie-O Turkey Store and International & Other.
Snee joined Hormel Foods in 1989 in the foodservice division and served in various positions within the group before being named manager of inventory and distribution for the Refrigerated Foods segment in 1995. He was promoted to foodservice area manager and foodservice regional sales manager in 1996 and 1998, respectively. Snee was named director of purchasing in 2006 and vice president of affiliated business units in 2008.
He was named vice president of Hormel Foods and senior vice president of Hormel Foods International Corp. at the end of fiscal year 2011. Snee advanced to group vice president of Hormel Foods and president of Hormel Foods International Corp. in October 2012.
“It has been a pleasure to work directly with Jeff over the past year, and I look forward to leading the company with this legacy of excellence,” Snee said in the release. “I am certain we are well positioned for future success in the years to come.”
Primed for further growth
Ettinger will leave Hormel in a good place.
After reporting record earnings of $195.7 million for the third quarter, Hormel was looking ahead to a strong 2017.
“Our early look into fiscal 2017 shows us once again growing sales and earnings,” Snee said last month.
As Hormel celebrated 125 years in July, Ettinger was confident in Hormel Foods’ outlook, noting the acquisitions of the last few years and the company’s innovation with new products like the REV Wrap and Skippy P.B. Bites sow the seeds for a bright future.
Ettinger noted that Hormel has acquired several brands in recent years at a time when they are primed for growth. Looking at Hormel brands like Justin’s, Applegate Farms and CitoSport, Ettinger still sees much growth to come with the help of Hormel’s research and development expertise and distribution capabilities.
“If you think about them, they’re still really quite new to our organization,” Ettinger said. “We’re just scratching the surface and getting started with the kind of growth and excitement that those items can lend the portfolio. So it’s going to be fun to see over the next few years the contribution that those items make coupled with the great items that our company’s had in the core portfolio for many years.”
Hormel Foods Corp. timeline of presidents and CEOs
•George A. Hormel, Founder and president: 1891
•Jay C. Hormel, president: 1929
•H.H. Corey, president: 1946, CEO: 1954
•R.F. Gray, president: 1955, CEO: 1962
•M.B. Thompson, president: 1965, CEO: 1968
•I.J. Holton, president: 1969, CEO: 1972
•Richard L. Knowlton, president: 1979, CEO: 1981
•Joel W. Johnson, president: 1992, CEO: 1993
•Jeffrey M. Ettinger, president: 2004, CEO: 2006
•James P. Snee, president: 2015, CEO: 2016