Cal-Maine Foods Inc.

09/09/2024 | Press release | Distributed by Public on 09/09/2024 21:19

Material Event Form 8 K

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Contacts:
Sherman Miller, President and CEO
Max P. Bowman, Vice President and CFO
(601) 948-6813
CAL-MAINE FOODS, INC. ANNOUNCES
STRATEGIC INVESTMENT IN NEW EGG PRODUCTS JOINT VENTURE
RIDGELAND, Miss.(September 9,2024)
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Cal-Maine Foods,Inc. (NASDAQ:CALM) todayannounced
thatithascompletedastrategicinvestmentwithCrepiniLLC,establishinganeweggproductsand
prepared foodsjoint venture.Crepini LLC,founded in2007, hasgrown itsbrand throughoutthe United
States and Mexico featuring egg wraps,protein pancakes, crepes, and wrap-ups, which arenow sold online
and in over 3,500 retail stores.
Thenewentity,locatedinHopewellJunction,NewYork,willoperateasCrepiniFoodsLLC
("Crepini"). Cal-Maine Foods willcapitalize Crepini with approximately$6.75 million in cashto purchase
additional equipment and other assetsand fund working capital inexchange for a 51% interestin the new
venture. Crepini LLCwill contribute itsexisting assets andbusiness in exchangefor a 49%interest in the
new venture.
Commentingontheannouncement,ShermanMiller,presidentandchiefexecutiveofficerof
Cal-MaineFoods,Inc.,stated,"WearepleasedtoannounceourstrategicinvestmentinCrepini,which
aligns withour growthstrategy toenhance ourproduct portfolioand focuson value-addedproducts and
other egg product opportunities.We have a unique opportunityto leverage the established Crepinibrand
of qualityproducts andextend ourmarket reachto majorretailers acrossthe country.This newventure
will complement ourother egg productofferings fromour growing Meadowcreekoperation, whichoffers
hard-cookedeggsforinstitutional,foodserviceandretailneeds.Asconsumerdemandforaffordable
protein options, including eggproducts, continues to grow,Cal-Maine Foods is wellpositioned to meet this
demand.We have aproven ability toderive value fromour other strategicinvestments and believethere
are significant opportunities to use our scale and established customer relationships to further expand our
egg products business.We look forward to workingwith the Crepini team as weextend our leadership role
in supporting the nation's food supply with a differentiated product mix."
"The Crepini team islooking forward toexpanding our brandand offerings.We are excited tojoin
the Cal-MaineFoods family,whose leadershipteam sharesour valuesand approachto excellence,"said
Paula Rimer Shkolnik,chief executive officerof Crepini LLC."This partnership willallow us to makeour
products availableto morenational andinternational customersand continueto provideinnovations in
the egg specialty products category."
About Cal-Maine Foods
Cal-Maine Foods,Inc. isprimarily engagedin theproduction, grading,packaging, marketingand
distributionoffreshshelleggs,includingconventional,cage-free,organic,brown,free-range,pasture-
raised and nutritionallyenhanced eggs. TheCompany, which isheadquartered inRidgeland, Mississippi,
isthelargestproduceranddistributoroffreshshelleggsinthenationandsellsmostofitsshelleggs
throughout the majority of the United States.
About Crepini LLC
Crepini LLCis aninnovator inegg wrapsand productsfrom theoriginal EggWrap thatis lowcarb, low
calorie,glutenfreeandkoshertoProteinCakeswithveggiesandcheesewhicharehighinproteinand
gluten freeto Pancheesi®Protein pancakesmade withcottage cheese,eggs andoats toWrap-ups filled
with protein powerhouses like salami, pepperoni, sausage, chorizo and a variety of cheeses. Crepini LLC is
headquartered in Hopewell Junction, NY, and sells in the continental U.S. and Mexico.
Cal-Maine Foods, Inc.Announces Strategic Investment in New Egg Products Company
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September 9, 2024
Forward Looking Statements
Statementscontainedinthispressreleasethatarenothistoricalfactsareforward-looking
statements as thatterm is definedin the PrivateSecurities LitigationReform Act of1995. The forward-
lookingstatementsarebasedonmanagement'scurrentintent,belief,expectations,estimatesand
projectionsregardingourcompanyandourindustry.Thesestatementsarenotguaranteesoffuture
performance and involve risks,uncertainties, assumptions andother factors that aredifficult to predict
and may be beyondour control. The factorsthat could cause actualresults to differ materiallyfrom those
projectedintheforward-lookingstatementsinclude,amongothers,(i)theriskfactorssetforthinthe
Company's SEC filings(including its AnnualReports on Form10-K, Quarterly Reportson Form 10-Qand
CurrentReportson Form8-K),(ii)therisks andhazardsinherentintheshelleggbusiness(including
disease,pests,weatherconditionsandpotentialforrecall),includingbutnotlimitedtothecurrent
outbreak of highly pathogenicavian influenza affecting poultryin the U.S., Canadaand other countries
thatwasfirstdetectedincommercialflocksintheU.S.inFebruary2022andthatfirstimpactedour
flocks in December2023, (iii) changesin the demandfor and marketprices of shelleggs and feedcosts,
(iv) our abilityto predict andmeet demand forcage-free and otherspecialty eggs, (v)risks, changes or
obligations that could resultfrom our recent orfuture acquisitions of newflocks or businesses andrisks
or changesthat maycause conditions tocompleting apending acquisition notto bemet, (vi)risks relating
tochangesininflationandinterestrates,(vii)ourabilitytoretainexistingcustomers,acquirenew
customers and grow our product mix, (viii) adverse results in pending litigation matters, and (ix) global
instability, including as a result ofthe war in Ukraine, the Israel-Hamas conflictand attacks on shipping
intheRedSea.SECfilingsmaybeobtainedfromtheSECortheCompany'swebsite
,
www.calmainefoods.com.Readersarecautionednottoplaceunduerelianceonforward-looking
statements because,while webelieve theassumptions onwhich theforward-looking statements arebased
arereasonable,therecanbenoassurancethattheseforward-lookingstatementswillprovetobe
accurate.Further,theforward-lookingstatementsincludedhereinareonlymadeasoftherespective
datesthereof,orifnodateisstated,asofthedatehereof.Exceptasotherwiserequiredbylaw,we
disclaimanyintentorobligationtopubliclyupdatetheseforward-lookingstatements,whetherasa
result of new information, future events or otherwise.
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