TreeHouse Foods

TreeHouse Foods, Incorporated
Public
Traded as NYSE: THS
S&P 400 component
Industry grocery product manufacturer
Founded 2005
Headquarters Oak Brook, Illinois, USA
Products private label grocery products
Revenue $2.9 billion USD (2014)
Number of employees
 7000 (approximate)
Website http://www.treehousefoods.com

TreeHouse Foods, located in Oak Brook, Illinois, is a multinational food processing company specializing in producing private label packaged foods.[1][2][3] Created in 2005[4] and consisting entirely of acquisitions,[4] in 2010 the company had sales of 2 billion[4] and employed over 4000 people at 20 facilities.[4] Food Processing Magazine named them their 2010 Processor of the Year,[4] calling them "the biggest company you never heard of."[4][5] The company is a component of the S&P 600[6] and in 2014 was the 46th largest food and beverage company in North America.[7]

History

In 2005, Dean Specialty Foods was spun off from Dean Foods as Bay Valley Foods, LLC, a division of TreeHouse Foods, Inc.[8] In June of that year, TreeHouse Foods started trading on the New York Stock Exchange with a ticker of THS.[8]

Michelle Obama was a member of the board of directors from 2005 - 2007.[9] Terdema Ussery, president and CEO of the National Basketball Association’s Dallas Mavericks, serves on the board of directors.[10]

Acquisitions and Subsidiaries

2006

Acquired the soup business of Del Monte Foods Company.[11]

2007

Acquired the salsa and picante business of San Antonio Farms. Acquired jam, jelly, syrup and pie-filling (both brand name and private-label) producer E.D. Smith, founded by the Canadian politician E.D. Smith.[11]

2010

Acquired Sturm Foods and S.T. Specialty Foods.[11]

2013

Acquired Naturally Fresh, Inc., Cains Foods,[12][13] and Associated Brands.[8][14]

2014

Made a bid to acquire Michael Foods Group Inc.[15][16] and one to acquire Flagstone Foods.[17]

In April 2014 TreeHouse acquired private-label soup and gravy maker Protenergy Natural Foods from Whitecastle Investments.[18]

In June 2014, TreeHouse announced that it was buying Minnesota-based Flagstone Foods for $860 million as a way to gain access to the growing healthy snacks category.[19] The company said the acquisition would push its annual turnover towards $3.5 billion.[20]

Business Model

The company's primary business strategy is to acquire producers of private-label products in Canada and the U.S.[21] It services both the retail grocery[9] and the foodservice distribution channels.[22][23] In addition to private brand non-dairy creamers, single-serving coffee pods,[24][25] baby foods, salad dressings, marinades, dips, soups,[26] sauces, dry mix pasta dinners, jams, spreads, and cereals[16] the company also maintains several brand name products including McCann's Steel Cut Irish Oatmeal, Cremora[1] non-dairy coffee lightener, Second Nature egg substitutes, and Nature's Goodness baby foods.[4]

References

  1. ↑ 1.0 1.1 "Behind the Brand: TreeHouse Foods". Seattle Times. Retrieved 31 March 2014.
  2. ↑ Hargrave, Marshall. "There Is Money To Be Made In Store Brand Foods". Motley Fool. Retrieved 31 March 2014.
  3. ↑ Watson, Elaine. "TreeHouse Foods cashes in as consumers opt for premium private label single-serve coffee, tea". Food Navigator. Retrieved 31 March 2014.
  4. ↑ 4.0 4.1 4.2 4.3 4.4 4.5 4.6 Fusaro, Dave. "2010 Processor of the Year: Treehouse Foods". Food Processing. Retrieved 31 March 2014.
  5. ↑ Thain, Greg (2012). Store Wars: The Worldwide Battle for Mindspace and Shelfspace. Wiley. ISBN 978-1-118-37406-1.
  6. ↑ "TreeHouse Foods, Inc. Company Profile". Hoovers. Retrieved 31 March 2014.
  7. ↑ "Food Processing's Top 100". Food Processing. Retrieved 31 March 2014.
  8. ↑ 8.0 8.1 8.2 "History". TreeHouse Foods. Retrieved 31 March 2014.
  9. ↑ 9.0 9.1 Parker, Jennifer. "Michelle Obama Cuts Ties with Controversial Wal-Mart Supplier". ABC News. Retrieved 31 March 2014.
  10. ↑ "Board of Directors". TreeHouse Foods, Inc. Retrieved 7 April 2014.
  11. ↑ 11.0 11.1 11.2 "TreeHouse Foods History". Retrieved 11 May 2014.
  12. ↑ Waterhouse, Gail. "Cains Foods sold for $35 Million to TreeHouse Foods". The Boston Globe. Retrieved 31 March 2014.
  13. ↑ "TreeHouse Foods, Inc Completes Acquisition of Cains Foods L.P.". Reuters. Retrieved 31 March 2014.
  14. ↑ "TreeHouse Foods to buy Associated Brands". Chicago Business Journal. Retrieved 31 March 2014.
  15. ↑ "TreeHouse Foods (THS)/Michael Foods Deal Has Limited Potential". StreetInsider.com. Retrieved 31 March 2014.
  16. ↑ 16.0 16.1 Oran, Olivia. "TreeHouse Foods joins list of Michael Foods Suitors". Reuters. Retrieved 31 March 2014.
  17. ↑ Xu, Jodi. "TreeHouse Foods Said to Weigh Acquisition of Flagstone Foods". Business Week. Retrieved 14 May 2014.
  18. ↑ Calia, Michael. "TreeHouse Foods to Buy Protenergy Natural Foods". Wall Street Journal. Retrieved 11 May 2014.
  19. ↑ "TreeHouse Foods Buying Flagstone Foods for $860M". ABC NEWS. Retrieved 30 June 2014.
  20. ↑ "TreeHouse Foods acquiring health snack maker Flagstone Foods for $860 mn". Minneapolis News.Net. Retrieved 2 July 2014.
  21. ↑ Gelski, Jeff. "TreeHouse on the lookout for acquisitions". Food Business News. Retrieved 11 May 2014.
  22. ↑ "TreeHouse Foods Profile". Forbes. Retrieved 31 March 2014.
  23. ↑ "TreeHouse Foods, Inc.". New York Times. Retrieved 31 March 2014.
  24. ↑ Solon, Olivia. "Trouble brewing as company adds 'DRM' to coffee". Wired.co.uk. Retrieved 31 March 2014.
  25. ↑ "TreeHouse Sues Green Mountain Coffee for Anti-Competitive Product". Reuters. Retrieved 31 March 2014.
  26. ↑ Lindeman, Teresa. "Sales rise and profit falls at TreeHouse Foods". Pittsburgh Post-Gazette. Retrieved 31 March 2014.

External links