PITTSBURG, Texas, April 16 /PRNewswire-FirstCall/ -- Pilgrim's Pride Corp.
(NYSE: PPC) today issued the following statement in response to an enforcement
action today by the U.S. Department of Homeland Security's Immigration and
Customs Enforcement (ICE) division:
"Officials from the U.S. Department of Homeland Security's Immigration and
Customs Enforcement (ICE) division took into custody a total of approximately
400 hourly, non-management employees at Pilgrim's Pride processing facilities
in Batesville, Ark., Chattanooga, Tenn., Live Oak, Fla., Moorefield, W. Va.
and Mt. Pleasant, Texas.
"According to the U.S. Attorney's Office, these individuals have engaged
in immigration-related crimes, including aggravated identity theft, in order
to fraudulently obtain employment with the company.
"No civil or criminal charges, including charges that Pilgrim's knowingly
hired these employees or conspired to hire them, have been filed against the
company in any of these cases. Pilgrim's Pride cooperated fully with ICE and
the U.S. Attorney's office to help them apprehend these individuals. In fact,
it was Pilgrim's Pride that uncovered the identity theft situation in
Batesville and notified the federal government, and we worked closely with
them to identify those individuals who were apprehended at the Batesville
site.
"The approximately 400 employees taken into custody by ICE represent about
4% of the 9,400 people employed at these facilities. The company is working
diligently to prevent or minimize any disruption in operations or service at
these affected sites, and we are continuing to cooperate fully with the
government in its investigation.
"We share the government's goal of eliminating the hiring or employment of
unauthorized workers. We have terminated all of the employees who were taken
into custody and will terminate any employee who is found to have engaged in
similar misconduct. We are investigating these allegations further.
"All of Pilgrim's Pride's U.S. locations -- including those visited by ICE
today -- voluntarily participate in E-Verify (formerly known as the Basic
Pilot/Employment Eligibility Verification Program), which determines
employment eligibility for all new hires.
"The E-Verify program, which is under the jurisdiction of the Department
of Homeland Security, verifies the authenticity of the applicant's social
security or alien number and personal information using an automated system
that includes verification checks of Social Security Administration (SSA) and
U.S. Citizenship and Immigration Services (USCIS) databases. However, as
noted by Michael Chertoff, Secretary of the Department of Homeland Security,
the E-Verify/Basic Pilot program cannot detect identity theft situations.
"Pilgrim's Pride has relied on the ICE Best Hiring Practices in designing
its immigration compliance program. These practices include participation in
E-Verify, prompt attention to Social Security No-Match letters, and retention
of outside experts in immigration compliance to ensure that the company is
doing all that it can to verify that its employees have work authorization.
These practices also require that the company be sensitive to all applicable
anti-discrimination laws.
"As a company, Pilgrim's Pride continually audits and reviews its
processes and procedures to assure continuing compliance with best hiring
practices and existing employment law. The company provides education and
training on proper hiring procedures, fraudulent document detection, use of
the E-Verify/Basic Pilot Employment Verification Program, and
anti-discrimination procedures. Pilgrim's Pride also conducts internal and
third-party audits of I-9 forms and hiring practices on an ongoing basis, and
fully investigates any reports of alleged identity theft."
About Pilgrim's Pride
Pilgrim's Pride Corporation is the largest chicken company in the United
States and Puerto Rico and the second-largest in Mexico. Pilgrim's Pride
employs approximately 54,500 people and operates 37 chicken processing and 12
prepared-foods facilities, with major operations in Texas, Alabama, Arkansas,
Florida, Georgia, Kentucky, Louisiana, North Carolina, Pennsylvania, South
Carolina, Tennessee, Virginia, West Virginia, Mexico and Puerto Rico as well
as other facilities in Arizona, Iowa, Mississippi, Ohio and Utah.
Pilgrim's Pride products are sold to foodservice, retail and frozen entree
customers. The Company's primary distribution is through retailers,
foodservice distributors and restaurants throughout the United States and
Puerto Rico and in the Northern and Central regions of Mexico. For more
information, please visit http://www.pilgrimspride.com.
Forward-Looking Statements
Statements contained in this press release that state the intentions,
plans, hopes, beliefs, anticipations, expectations or predictions of the
future of Pilgrim's Pride Corporation and its management, including as to the
expected benefits and synergies associated with the acquisition of Gold Kist
and changes in pricing, demand and market conditions for chicken products and
profitability, are forward-looking statements. It is important to note that
the actual results could differ materially from those projected in such
forward-looking statements. Factors that could cause actual results to differ
materially from those projected in such forward-looking statements include:
matters affecting the poultry industry generally, including fluctuations in
the commodity prices of feed ingredients, chicken and turkey; additional
outbreaks of avian influenza or other diseases, either in our own flocks or
elsewhere, affecting our ability to conduct our operations and/or demand for
our poultry products; contamination of our products, which has previously and
can in the future lead to product liability claims and product recalls;
exposure to risks related to product liability, product recalls, property
damage and injuries to persons, for which insurance coverage is expensive,
limited and potentially inadequate; asset impairment and other charges related
to facility closures or modifications; management of our cash resources,
particularly in light of our substantial leverage; restrictions imposed by,
and as a result of, our substantial leverage; changes in laws or regulations
affecting our operations or the application thereof; new immigration
legislation or increased enforcement efforts in connection with existing
immigration legislation that cause our costs of doing business to increase,
cause us to change the way in which we do business, or otherwise disrupt our
operations; competitive factors and pricing pressures or the loss of one or
more of our largest customers; inability to consummate, or effectively
integrate, any acquisition, including integrating our recent acquisition of
Gold Kist, or realize the associated cost savings and operating synergies
currently anticipated; currency exchange rate fluctuations, trade barriers,
exchange controls, expropriation and other risks associated with foreign
operations; disruptions in international markets and distribution channels;
and the impact of uncertainties of litigation as well as other risks described
under "Risk Factors" in our Annual Report on Form 10-K and subsequent filings
with the Securities and Exchange Commission. Pilgrim's Pride Corporation
undertakes no obligation to update or revise publicly any forward-looking
statements, whether as a result of new information, future events or
otherwise.
Media Contact:
Ray Atkinson
Director of Corporate Communications
(540) 896-0406
Ray.atkinson@pilgrimspride.com
Investor Contact:
Gary Rhodes
Vice President, Corporate Communications and Investor Relations
(903) 434-1495
SOURCE Pilgrim's Pride Corp.