Hormel Foods Corp

The company mentions using the WRI Aqueduct tool as well as an internal risk management process to assess water quality risks. The company discloses that the risk assessment covers all the entities and groups over which operational control is exercised. The company mentions that it has two production locations in the US and three internationally, all of which are located in regions defined as having high or extremely high water risk by the WRI Aqueduct Water Risk Atlas. It discloses the main watersheds that receive its wastewater, but it does not explain which ones are at risk due to water quality issues.

The company does not disclose the concentrations of nutrients in wastewater discharged into priority bodies. The company mentions that it received one wastewater-related notice in 2023. The company states that corrective actions were taken after the issue was discovered, but it does not provide further details about them. The company discloses it has increased its water-related CAPEX a 10% in the reporting year, due to increases in water and wastewater treatment requirements and increased program fees and related expenses.

The company does not disclose information.

The company has mapped its turkey and pig sourcing areas to identify water risks. The company was part of the AgWater Challenge, an initiative led by Ceres, which ended in 2022. Through this initiative, the company committed to engaging with its largest suppliers, including feed grain growers, to implement best environmental practices for reducing water pollution risks, including those related to the storage, transport, and application of animal manure. While the company has established a sustainable agriculture policy that also includes feed suppliers, feed is not currently part of its assessment to identify areas with water quality risks.

The company does not disclose information.

The company does not disclose information.

The company does not disclose information.

The company discloses the volume of wastewater that has undergone different levels of treatment. All its wastewater has undergone primary treatment. The company does not use wastewater for fertigation without any treatment. The company does not disclose publicly available information on manure treatment. In 2023, the company announced on its website that it was exploring biogas production in collaboration with a Danish company; however, it has not provided any updates since then.

The company had a target to reduce organic waste discharge from its facilities by 10% by 2030.  In 2023, it transitioned its focus from organic waste reduction to investing in wastewater treatment projects in collaboration with municipal partners. The company mentions that it has two production locations in the US and three internationally, all of which are located in regions defined as having high or extremely high water risk by the WRI Aqueduct Water Risk Atlas. The company mentions that it will continue to monitor water risks in these areas and implement programs to mitigate any identified water risks, but it does not provide specific information.

The company mentions that its farms have manure and litter management plans in place, and it encourages contract farmers to adopt nutrient management plans. In 2022, the company became a lead sponsor of a 50,000-acre regenerative pilot project in Minnesota, collaborating with other partners, including the ESMC and The Nature Conservancy. Collectively, Hormel Foods and Target will provide $1.7 million to support farmers participating in the pilot and adopting practices such as cover cropping, reduced tillage, and nutrient management. In its latest sustainability report, the company mentions that approximately 41,000 acres of land had been enrolled in the program.

In the previous reporting year, the company disclosed that its Brazilian subsidiary, Cidade do Sol, had sent 100% of the byproduct generated in the effluent treatment station to be transformed into organic fertilisers through composting. However, the company does not mention any information about this in its 2023 report.

The company does not disclose information.

The company does not disclose information.

The company responded to the investor letter, but it did not respond to the engagement questions. The company did not meet with investors within the engagement period. The company did not acknowledge the FAIRR´s assessment or provide feedback.