1. Landfill Free Peru, Indiana

2. Decrease waste disposal to landfill by 10% in FY2016 as compared to FY2008 on a production weighted basis One Zero Landfill facility per IOC by 2018. Smithfield Sustainability Goal

3. JMFG: 20% less waste to landfill in FY2013 as compared to FY2008 (production weighted) FY2008: 6.63 lbs/cwt FY2013: 5.30 lbs/cwt Landfill Reduction: So Far, So Good

4. Waste Management Hierarchy Landfill Waste  Energy Recycling (including compost) Reuse Waste Elimination/Source Reduction

5. Zero waste shipped to a landfill for a 12 month continuous period The percent of waste reused or recycled must be at least 50% of the total generated Incineration without energy recovery is limited to legally required disposal (hazardous and medical wastes) Stabilized and landfilled hazardous waste limited to 0.1% of the total waste generated. The total waste management cost must not exceed 5% above the baseline waste management cost. Zero Landfill - Smithfield Definition

6. FY2008 = 999 tons/year FY2011 = 440 tons/year FY2012 = 252 tons/year FY2013 = 25 tons/year Last landfill disposal was in May 2012 In June 2013, Peru met the Smithfield Foods definition of landfill free. Armour-Eckrich Peru, IN

7. Precooked Bacon Plant : lots of grease! FY2013 Amount: 6,246 tons/year Very profitable: FY2013 Revenue:$5,113,047/year Peru, IN Armour-Eckrich

8. Plastic sleeves and liners; Clean and dirty plastics; Paper towels; Ear plugs; Old corrugated cardboard and wax coated cardboard; Wooden pallets – broken and scraps; Scrap metals; Barrels; Aluminum cans; Used oven belts; food waste from employee lunch breaks, etc. What’s acceptable for recycling? What’s In “Trash”

9. o Cardboard Baler: Boxes, Combos, Paper, Film Cores o Plastic Baler: Film, Stretch Wrap, Aprons, Sleeves, Rain Suites and Coats, Banding o Plastic Combo: Bottles, Buckets, Tubs, Squeegees, Helmets o Paper Baler: Coated Paper, Copy Paper, Newspaper, Labels, Pallet Tickets, Paper Towels, Ingredient Bags, Glove Boxes o Metals Container: Blades, Pipe, Edge Metals, Fuses with Metal Ends, Cans, Air Filters, Lids and Bands from Drums, Wiring o Rubber Combo: Boots, Hoses, Transfer Wheels, Green Gloves o Trash: Food Waste, Ear Plugs, Misc. A Place for Everything:

10. 1. 1. Establish BHAG 2. 2. Form Cross-Functional Team 3. 3. Designate Team Leader: Ed Schmaltz, Transportation Manager (now retired) 4. 4. Ensure Top Management Support: Mike Fritz, Plant Manager 5. 5. Get Buy-In from all Facility Team Members 6. 6. Partner with Recycling Firm that will take almost everything Step by Step Process:

11. o Color coded bags for improved sorting: o Black bags for plastics o Tan for trash o Clear for paper o Lock Trash Compactor! o Covanta: Waste-to-Energy Facility in Indianapolis for food scraps and anything else that cannot be recycled. Step by Step Process:

12. o Daily Plant Employee Meetings o Reviewed with the EMS Team o Town Hall meeting/Cookout o Review of material retrieved from trash compactor Educate, Reinforce New Waste Disposal Protocols & Update on Progress: This involvement helped employees improve their habits and inspired them to take pride in their contributions.

13. Bottle Collector: Can Collector:

14. Trash Collector:

15. Color Coded Liners

16. Desk Side Recycling

17. Wood Scrap Recycling

18. Rubber Hose Recycling

19. Plastic Tub Recycling

20. Misc. Plastics Recycling

21. Aluminum Can Crusher

22. Inedible Room Paper Compactor

23. Cardboard Compactor Trash Compactor With Lock

24. Recycling Trailer

25. o Cardboard:452 Tons/year$32,000/year o Plastic:217 Tons/year$ 1,200/year o Paper: 45 Tons/year$ 0/year o Metal: 21 Tons/year$ 4,500/year o Rubber: 5.5 Tons/year$ 1,100/year o Aluminum: 1.4 Tons/year$ 1,400/year o Pallets: 605 Tons/year$ 20,400/year TOTALS: 1,346.9 Tons/year$60,600/year Recycled/Diverted Amounts & Revenue

26. o Recycling Revenue: $60,600/year o Landfill Cost Avoidance: $31,000/year o Compactor Lease Avoidance: $4,800/year o Waste to Energy Costs: ($1,900)/year TOTAL:$94,500/year Note: Only 13.56 tons to WTE in first year of landfill free (1% of total “Waste” Generated) Net Annual Savings:

27. Front of Peru Facility

28. Armour-Eckrich, St. James, MN – Zero Landfill started March 2013. Armour-Eckrich, Springfield, MA – Zero Landfill started June 2013. Saratoga Food Specialties, Bolingbrook, IL – Zero Landfill started June 2013. Others Getting There

29.  Cellulose Casings and Dewatered DAF sludge = 60% of total landfill material  Before: 550 tons/month to landfill  Now:220 tons/month to landfill  Compost Cincy (www.compostcincy.com)www.compostcincy.com Started in November 2012 cost neutral! John Morrell, Springdale, OH

30. FY2013: 19,214 tons/year (53% of total 36,126 tons for JMFG) o FY2008: 24,542 tons/year (56% of total 43,620 tons for JMFG) Wastewater Sludges = 16,000 tons/year (83% of total landfill material in Sioux Falls)  Land application of Sioux Falls wastewater sludge will reduce total JMFG landfill amounts by 44% John Morrell, Sioux Falls, SD