Business
Cal-Maine Foods, Inc. Announces $82.0 Million for Capital Projects to Expand Company’s Cage-Free Production Capabilities
RIDGELAND, Miss.--(BUSINESS WIRE)-- Cal-Maine Foods, Inc. (NASDAQ: CALM) today announced that its Board of Directors has approved new capital projects to
About this update from Cal-maine Foods, Inc.
[{"type":"text","content":" RIDGELAND, Miss.--(BUSINESS WIRE)--\nCal-Maine Foods, Inc. (NASDAQ: CALM) today announced that its Board of Directors has approved new capital projects to further expand the Company’s cage-free egg production capabilities. The Company plans to fund the proposed projects for an estimated total of $82 million through a combination of available cash on hand, investments and operating cash flow.\n\nThe proposed projects will include the following Cal-Maine Foods’ locations:\n\n\nDelta, Utah - four new cage-free layer houses and two pullet house conversions with capacity for approximately 810,000 cage-free layer hens. Work is expected to commence immediately with project completion expected by fall 2023.\n\n\nGuthrie, Kentucky - nine cage-free layer house conversions and two pullet house conversions with capacity for approximately 953,000 cage-free layer hens. Work is expected to commence immediately with expected completion by spring 2025.\n\n\nCommenting on the announcement, Dolph Baker, chairman and chief executive officer of Cal-Maine Foods, Inc., stated, “We are pleased to announce these cage-free expansion projects that will further advance our growth strategy and better serve customers given growing customer and consumer demand and expanding state requirements for cage-free eggs. Cal-Maine Foods is well-positioned as an industry leader in meeting this demand. Including this project, since 2008, we have allocated approximately $625 million in facilities, equipment and related operations expanding our cage-free production and distribution capabilities. This includes approximately $123 million of projects scheduled for completion during the next three years. We are committed to meeting the needs of our valued customers and will continue to identify opportunities to enhance our operations with improved efficiencies to support our anticipated growth.”\n\nCal-Maine Foods, Inc. is primarily engaged in the production, grading, packing, marketing and sale of fresh shell eggs, including conventional, cage-free, organic, pasture-raised, free-range and nutritionally enhanced eggs. The Company, which is headquartered in Ridgeland, Mississippi, is the largest producer and distributor of fresh shell eggs in the United States and sells the majority of its shell eggs in states across the southwestern, southeastern, mid-western and mid-Atlanti...