Silgan Containers Earns 13th Consecutive 'Spirit of Excellence' Award from Hormel Foods

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Silgan Containers wins award from Hormel Foods.

The “Spirit of Excellence” continues at Silgan Containers Corporation (NASDAQ: SLGN) with the 13th consecutive award of its kind from Hormel Foods (NYSE:HRL). The annual award recognizes suppliers that have achieved performance excellence and demonstrated outstanding quality.

The “Spirit of Excellence” is awarded to suppliers that meet or exceed Hormel’s Supplier Quality Management (SQM) requirements. Silgan’s 2005 report card includes a 100% on-time performance record for all 2,738 deliveries, 100% administrative accuracy and a 99.9% product quality rating. “Hormel’s extensive SQM system is designed to provide objective, definitive data on each supplier’s products and operations,” said Thomas J. Snyder, Executive Vice President for Silgan Containers. “Our 99.6% rating in overall performance underscores the importance of every task and the contributions of many individuals at each Silgan plant.”

Steve Jensen, Corporate Manager of Purchasing for Hormel Foods, presented Silgan Containers with the award. “Silgan’s track record in meeting our needs over the years is outstanding,” said Jensen. “2005 in particular was a year of extreme events, including hurricanes and FEMA orders, and still Silgan responded to our rush needs without exception.”

The strong relationship between Silgan and Hormel dates back to 1927, spanning decades of product successes such as the iconic Hormel Spam® can that fed allied troops during WWII. Today, Silgan is Hormel’s largest supplier, providing 18 different sizes and types of cans made in 15 different manufacturing plants. This elevated level of demand generates additional complexity for Silgan, making the stringent Hormel requirements especially challenging – and making the “Spirit of Excellence” extremely rewarding. “We take great pride in our partnership with Hormel and remain committed to supporting their business needs long into the future,” said Snyder.

In addition to 13 “Spirit of Excellence” awards, Silgan has been recognized with two “Hormel #1 Awards” (1995 and 2000), the only container packaging supplier to date to hold this honor. The “Hormel #1 Award” is presented every 5 years to suppliers that have met or exceeded the Supplier Quality Management requirements of the “Spirit of Excellence” for that period and that have demonstrated continuous improvement year after year.

About Silgan Containers

Silgan Containers, a subsidiary of Silgan Holdings, is the largest manufacturer of metal food containers in North America, with a unit volume market share in the United States in 2005 of approximately half of the market and net sales of $1.886 billion. Our leadership is driven by high levels of quality, service and technological support, low cost producer position, strong long-term customer relationships and our proximity to customers through our widespread geographic presence. Silgan Containers manufactures and sells steel and aluminum containers that are used primarily by processors and packagers for food products, such as soup, vegetables, fruit, meat, tomato based products, coffee, seafood, adult nutritional drinks, pet food and other miscellaneous food products. Our customers include Campbell, Del Monte, General Mills, Hormel Foods, Nestle and many other household brand names.

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Heidi Slocumb
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