McCormick & Company (NYSE: MKC) makes and sells spices, herbs, and flavorings for the retail, commercial, and industrial markets. The company began in 1889 in Baltimore, Maryland, United States. One hundred years later, in 1989, McCormick moved from downtown Baltimore to the suburb of Hunt Valley, Maryland. McCormick has approximately 8,000 employees. The company is headquartered in Sparks, Maryland.
In 2007, the company started a new advertising campaign to encourage people to dispose of older packages of spices, by pointing out that any of their packages that list their address as "Baltimore, MD 21202" are over 15 years old.
Its brands include McCormick, Schilling (on the west coast of the United States), Zatarain's (United States), Old Bay Seasoning (United States), Ducros (Europe), Club House (Canada), Billy Bee Honey (Canada), Schwartz (United Kingdom) and McCormick Foods Australia (Australia), Thai Kitchen and Simply Asia (United States), and most recently Lawry's and Adolph's.
McCormick & Company, Incorporated has been the largest U.S. seller of spices, seasonings, and flavorings for nearly the entirety of the 20th century, and now has grown to become the largest firm within the spice industry throughout the world. Its estimated market share is more than double that of its closest competitor, Durkee Foods. McCormick now operates seven divisions, including: McCormick Consumer Products, which provides a wide variety of spices, seasonings, and extracts under well-known brand names; McCormick Food Service, which offers spices and various other food products to foodservice distributors and membership warehouse clubs; McCormick Flavors, which supplies natural and artificial flavors for industrial needs; McCormick Foods Australia, which produces 400 items and markets them throughout the Asia and Pacific regions; Schwartz Herbs and Spices, the number one brand of herbs, spices, and seasonings in the United Kingdom; SupHerb Farms, which produces frozen and freeze dried culinary herbs; and Tubed Products, the leading producer of plastic squeeze tubes within the United States.
McCormick & Company (McCormick), Incorporated is engaged manufacturing, marketing and distribution of spices, seasonings, specialty foods and flavorings to the food industry. Its sales, distribution and production facilities are located in North America and Europe. In addition facilities are based in Mexico, Central America, Australia, the People’s Republic of China, Singapore, Thailand and South Africa.
The Company operates in two business segments, consumer and industrial. The consumer segment sells spices, herbs, extracts, seasoning blends, sauces, marinades, and specialty foods to the consumer food market under a range of brands globally, including Mc, McCormick, Lawry’s, Zatarain’s, Old Bay, Thai Kitchen, Simply Asia, Ducros, Schwartz, Vahine, Silvo, Club House, El Guapo, Aeroplane, and Billy Bee. The industrial segment sells seasoning blends, natural spices and herbs, wet flavors, coating systems, and compound flavors to multinational food manufacturers and foodservice customers both directly and indirectly through distributors.
McCormick’s products are sold directly to customers and also through brokers, wholesalers, and distributors. In the consumer segment, products are resold to consumers through a range of retail outlets, including grocery, mass merchandise, warehouse clubs, discount, and drug stores under a range of brands. In the industrial segment, products are used by food and beverage manufacturers as ingredients for their finished goods and by food service customers as ingredients for menu items to enhance the flavor of their foods.
McCormick's strategy for future growth included increasing its domestic market share to around 50 percent. The most important step toward meeting this goal involved the implementation of a comprehensive and aggressive acquisitions strategy, including the 1991 purchase of Mojave Foods Corporation and the 1993 acquisition of the Golden Dipt Division of DCA Food Industries. More importantly, however, the company's other primary strategy was to increase its international presence, which it hoped to do through a series of joint ventures and through expansion of its foreign subsidiaries. Without wasting any time, management formed a joint venture with KG of Heidelberg, Germany, in 1990; and acquired Glentham International Ltd. of Northhampton, United Kingdom, in 1992; Grupo Pesa, a Mexican seasoning company; Tuko Oy, a spice company in Finland; Butty of Switzerland, an affiliate of Unilever; and Minipack, a packaging company in Southampton, United Kingdom, all in 1994. In 1995, the company continued its acquisition strategy in Europe, Asia, and India, but also announced a restructuring of the entire company, including staff reductions, plant and departmental consolidations, and a streamlined yet more aggressive marketing campaign. Unfortunately, Bailey Thomas was not able to see the fruits of his labor--he died unexpectedly of a heart attack in 1994 and was replaced by H. Eugene Blattman as CEO.
As the spice supplier for such expanding global chains as McDonald's and Burger King, McCormick was also growing in this area. During the late 1990s, the company's U.S. Consumer Business and Food Service Group reported record revenues, and the formation of a Global Industrial Group signalled management's commitment to expand its packaging operations around the world.
After a long and complex history, the new McCormick remained much the same as the McCormick of early Multiple Management days in its commitment to employees, innovations, and product excellence worldwide. Yet the company had even developed a whimsical sense of its place within the industry. In 1998, as part of a special printing process, management contracted a printing press company to include the scent of vanilla on its annual report.
Principal Subsidiaries: Festin Foods Corp. (50%); Gilroy Foods, Inc.; Glentham International, Ltd. (U.K.); Golden Dipt Co.; Grupo Pesa, S.A. (Mexico); Kancor Flavours and Extracts Limited (40%); Lukcor, S.A. (50%); McCormick & Wild, Inc. (50%); McCormick Canada, Inc.; McCormick de Centro America, S.A.; McCormick de Mexico, S.A. de C.V. (50%); McCormick de Venezuela, C.A.; McCormick Foods Australia Pty. Ltd.; McCormick Ingredients Southeast Asia Pte Ltd.; McCormick GmbH; McCormick-Lion Limited (49%); McCormick S.A. (France); McCormick U.K. plc; Mojave Foods Corporation; Sesaco Corporation (22.5%); Setco, Inc.; Shanghai McCormick Seasoning & Foodstuffs Co., Ltd. (35%); Stange (Japan) K.K. (50%); Tubed Products, Inc.; Tuko Oy (Finland).
Principal Divisions: Food Service Group; McCormick Flavor Division; McCormick Ingredients; McCormick Schilling Division.
OVERALL
Beta: 0.41
Market Cap (Mil.): $5,936.87
Shares Outstanding (Mil.): 119.99
Annual Dividend: 1.12
Yield (%): 2.26
FINANCIALS
MKC Industry Sector
P/E (TTM): 17.60 60.79 35.12
EPS (TTM): 20.52 -- --
ROI: 13.58 2.45 8.07
ROE: 26.23 3.93 13.03
Statistics:
Public Company
Incorporated: 1903
Employees: 7,600
Sales: $1.88 billion (1998)
Stock Exchanges: NASDAQ
Ticker Symbol: MCCRK
SICs: 2099 Food Preparations, Not Elsewhere Classified; 2087 Flavoring Extracts & Syrups, Not Elsewhere Classified
Name Age Since Current Position
Wilson, Alan 53 2009 Chairman of the Board, President, Chief Executive Officer
Stetz, Gordon 50 2011 Chief Financial Officer, Executive Vice President, Director
Beard, Paul 55 2011 President, Asia Pacific Zone
Timbie, Mark 56 2006 President - North American Consumer Foods
Langmead, Charles 53 2005 President - U.S. Industrial Group
Kurzius, Lawrence 52 2008 President - McCormick International
Kelly, Kenneth 56 2008 Senior Vice President, Corporate Controller
Perich, Cecile 59 2010 Senior Vice President - Human Relations
Carpenter, William 58 2008 Vice President, General Counsel, Secretary
Mangan, Michael 54 2009 Lead Independent Director
Hrabowski, Freeman 60 1997 Independent Director
Stevens, William 68 1988 Independent Director
Brady, James 70 1998 Independent Director
Fitzpatrick, J. Michael 64 2001 Independent Director
Preston, Margaret 53 2003 Independent Director
Bilbrey, John 54 2005 Independent Director
Roche, George 69 2007 Independent Director
Little, Patricia 50 2010 Independent Director
Address:
18 Loveton Circle
P.O. Box 6000
Sparks, Maryland 21152-6000
U.S.A.
In 2007, the company started a new advertising campaign to encourage people to dispose of older packages of spices, by pointing out that any of their packages that list their address as "Baltimore, MD 21202" are over 15 years old.
Its brands include McCormick, Schilling (on the west coast of the United States), Zatarain's (United States), Old Bay Seasoning (United States), Ducros (Europe), Club House (Canada), Billy Bee Honey (Canada), Schwartz (United Kingdom) and McCormick Foods Australia (Australia), Thai Kitchen and Simply Asia (United States), and most recently Lawry's and Adolph's.
McCormick & Company, Incorporated has been the largest U.S. seller of spices, seasonings, and flavorings for nearly the entirety of the 20th century, and now has grown to become the largest firm within the spice industry throughout the world. Its estimated market share is more than double that of its closest competitor, Durkee Foods. McCormick now operates seven divisions, including: McCormick Consumer Products, which provides a wide variety of spices, seasonings, and extracts under well-known brand names; McCormick Food Service, which offers spices and various other food products to foodservice distributors and membership warehouse clubs; McCormick Flavors, which supplies natural and artificial flavors for industrial needs; McCormick Foods Australia, which produces 400 items and markets them throughout the Asia and Pacific regions; Schwartz Herbs and Spices, the number one brand of herbs, spices, and seasonings in the United Kingdom; SupHerb Farms, which produces frozen and freeze dried culinary herbs; and Tubed Products, the leading producer of plastic squeeze tubes within the United States.
McCormick & Company (McCormick), Incorporated is engaged manufacturing, marketing and distribution of spices, seasonings, specialty foods and flavorings to the food industry. Its sales, distribution and production facilities are located in North America and Europe. In addition facilities are based in Mexico, Central America, Australia, the People’s Republic of China, Singapore, Thailand and South Africa.
The Company operates in two business segments, consumer and industrial. The consumer segment sells spices, herbs, extracts, seasoning blends, sauces, marinades, and specialty foods to the consumer food market under a range of brands globally, including Mc, McCormick, Lawry’s, Zatarain’s, Old Bay, Thai Kitchen, Simply Asia, Ducros, Schwartz, Vahine, Silvo, Club House, El Guapo, Aeroplane, and Billy Bee. The industrial segment sells seasoning blends, natural spices and herbs, wet flavors, coating systems, and compound flavors to multinational food manufacturers and foodservice customers both directly and indirectly through distributors.
McCormick’s products are sold directly to customers and also through brokers, wholesalers, and distributors. In the consumer segment, products are resold to consumers through a range of retail outlets, including grocery, mass merchandise, warehouse clubs, discount, and drug stores under a range of brands. In the industrial segment, products are used by food and beverage manufacturers as ingredients for their finished goods and by food service customers as ingredients for menu items to enhance the flavor of their foods.
McCormick's strategy for future growth included increasing its domestic market share to around 50 percent. The most important step toward meeting this goal involved the implementation of a comprehensive and aggressive acquisitions strategy, including the 1991 purchase of Mojave Foods Corporation and the 1993 acquisition of the Golden Dipt Division of DCA Food Industries. More importantly, however, the company's other primary strategy was to increase its international presence, which it hoped to do through a series of joint ventures and through expansion of its foreign subsidiaries. Without wasting any time, management formed a joint venture with KG of Heidelberg, Germany, in 1990; and acquired Glentham International Ltd. of Northhampton, United Kingdom, in 1992; Grupo Pesa, a Mexican seasoning company; Tuko Oy, a spice company in Finland; Butty of Switzerland, an affiliate of Unilever; and Minipack, a packaging company in Southampton, United Kingdom, all in 1994. In 1995, the company continued its acquisition strategy in Europe, Asia, and India, but also announced a restructuring of the entire company, including staff reductions, plant and departmental consolidations, and a streamlined yet more aggressive marketing campaign. Unfortunately, Bailey Thomas was not able to see the fruits of his labor--he died unexpectedly of a heart attack in 1994 and was replaced by H. Eugene Blattman as CEO.
As the spice supplier for such expanding global chains as McDonald's and Burger King, McCormick was also growing in this area. During the late 1990s, the company's U.S. Consumer Business and Food Service Group reported record revenues, and the formation of a Global Industrial Group signalled management's commitment to expand its packaging operations around the world.
After a long and complex history, the new McCormick remained much the same as the McCormick of early Multiple Management days in its commitment to employees, innovations, and product excellence worldwide. Yet the company had even developed a whimsical sense of its place within the industry. In 1998, as part of a special printing process, management contracted a printing press company to include the scent of vanilla on its annual report.
Principal Subsidiaries: Festin Foods Corp. (50%); Gilroy Foods, Inc.; Glentham International, Ltd. (U.K.); Golden Dipt Co.; Grupo Pesa, S.A. (Mexico); Kancor Flavours and Extracts Limited (40%); Lukcor, S.A. (50%); McCormick & Wild, Inc. (50%); McCormick Canada, Inc.; McCormick de Centro America, S.A.; McCormick de Mexico, S.A. de C.V. (50%); McCormick de Venezuela, C.A.; McCormick Foods Australia Pty. Ltd.; McCormick Ingredients Southeast Asia Pte Ltd.; McCormick GmbH; McCormick-Lion Limited (49%); McCormick S.A. (France); McCormick U.K. plc; Mojave Foods Corporation; Sesaco Corporation (22.5%); Setco, Inc.; Shanghai McCormick Seasoning & Foodstuffs Co., Ltd. (35%); Stange (Japan) K.K. (50%); Tubed Products, Inc.; Tuko Oy (Finland).
Principal Divisions: Food Service Group; McCormick Flavor Division; McCormick Ingredients; McCormick Schilling Division.
OVERALL
Beta: 0.41
Market Cap (Mil.): $5,936.87
Shares Outstanding (Mil.): 119.99
Annual Dividend: 1.12
Yield (%): 2.26
FINANCIALS
MKC Industry Sector
P/E (TTM): 17.60 60.79 35.12
EPS (TTM): 20.52 -- --
ROI: 13.58 2.45 8.07
ROE: 26.23 3.93 13.03
Statistics:
Public Company
Incorporated: 1903
Employees: 7,600
Sales: $1.88 billion (1998)
Stock Exchanges: NASDAQ
Ticker Symbol: MCCRK
SICs: 2099 Food Preparations, Not Elsewhere Classified; 2087 Flavoring Extracts & Syrups, Not Elsewhere Classified
Name Age Since Current Position
Wilson, Alan 53 2009 Chairman of the Board, President, Chief Executive Officer
Stetz, Gordon 50 2011 Chief Financial Officer, Executive Vice President, Director
Beard, Paul 55 2011 President, Asia Pacific Zone
Timbie, Mark 56 2006 President - North American Consumer Foods
Langmead, Charles 53 2005 President - U.S. Industrial Group
Kurzius, Lawrence 52 2008 President - McCormick International
Kelly, Kenneth 56 2008 Senior Vice President, Corporate Controller
Perich, Cecile 59 2010 Senior Vice President - Human Relations
Carpenter, William 58 2008 Vice President, General Counsel, Secretary
Mangan, Michael 54 2009 Lead Independent Director
Hrabowski, Freeman 60 1997 Independent Director
Stevens, William 68 1988 Independent Director
Brady, James 70 1998 Independent Director
Fitzpatrick, J. Michael 64 2001 Independent Director
Preston, Margaret 53 2003 Independent Director
Bilbrey, John 54 2005 Independent Director
Roche, George 69 2007 Independent Director
Little, Patricia 50 2010 Independent Director
Address:
18 Loveton Circle
P.O. Box 6000
Sparks, Maryland 21152-6000
U.S.A.