UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D. C FORM 8-K

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1 HRL 8-K //06 Section : 8-K (8-K) UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D. C FORM 8-K CURRENT REPORT Pursuant to Section 3 or 5 (d) of the Securities Exchange Act of 934 Date of Report (Date of earliest event reported) November, 06 (Exact name of registrant as specified in its charter) Delaware (State or Other (Commission File (IRS Employer Jurisdiction of Number) Identification Incorporation) Number) Hormel Place Austin, MN 559 (Address of Principal Executive Office) Registrant s telephone number, including area code: (507) Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions: o Written communications pursuant to Rule 45 under the Securities Act (7 CFR 30.45) o Soliciting material pursuant to Rule 4a- under the Exchange Act (7 CFR 40.4a-) o Pre-commencement communications pursuant to Rule 4d-(b) under the Exchange Act (7 CFR 40.4d-(b)) o Pre-commencement communications pursuant to Rule 3e-4(c) under the Exchange Act (7 CFR 40.3e-4(c)) Section FINANCIAL INFORMATION Item.0 Results of Operations and Financial Condition On November, 06, the Company issued an earnings release announcing its financial results for the fourth quarter ended October 30, 06. A copy of the earnings release is furnished as Exhibit 99 to this Form 8-K and is incorporated herein by reference. Section 9 FINANCIAL STATEMENTS AND EXHIBITS

2 Item 9.0 Financial Statements and Exhibits (d) Exhibits furnished pursuant to Item.0 99 release issued November, 06 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned hereunto duly authorized. (Registrant) Dated: November, 06 By /s/j. N. SHEEHAN J. N. SHEEHAN Senior Vice President and Chief Financial Officer Dated: November, 06 By /s/j. L. HAYNES J. L. HAYNES Vice President and Controller (Back To Top) Section : EX-99 (EX-99) INVESTOR CONTACT: MEDIA CONTACT: Nathan Annis Wendy Watkins (507) (507) ir@hormel.com media@hormel.com HORMEL FOODS ACHIEVES RECORD FOURTH QUARTER AND FULL YEAR RESULTS Exhibit 99 AUSTIN, Minn. (November, 06) Hormel Foods Corporation (NYSE: HRL) today reported record performance for the fiscal year 06 fourth quarter and full year. All comparisons are to the fourth quarter or full year of fiscal 05. The fourth quarter and full year of 06 contains an extra week as compared to the prior year. All earnings per share measures are adjusted to reflect the two-for-one stock split distributed on February 9, 06. SUMMARY Fourth Quarter Record diluted earnings per share of $0.45, up 9 percent from 05 GAAP EPS of $0.35; diluted EPS up percent from non-gaap adjusted diluted EPS of $0.37 Record net earnings of $44 million, up 30 percent from 05 GAAP net earnings of $87 million; net earnings up percent from non- GAAP adjusted net earnings of $00 million Record dollar sales of $.6 billion, up 9 percent; volume up 9 percent Refrigerated Foods operating profit up 5 percent; volume up 9 percent; dollar sales up 8 percent Jennie-O Turkey Store operating profit up 6 percent; volume up 3 percent; dollar sales up 9 percent Grocery Products operating profit up 5 percent; volume up percent (sales of JUSTIN S products contributed percent to volume growth); dollar sales up 6 percent (sales of JUSTIN S products contributed 6 percent to sales growth) International & Other operating profit down 6 percent; volume up percent; dollar sales up percent Specialty Foods operating profit down 0 percent as compared to 05 GAAP operating profit; operating profit down 4 percent as compared to 05 non-gaap adjusted segment operating profit ; volume down 9 percent ; dollar sales down 0 percent COMMENTARY

3 We had a strong finish to fiscal 06, achieving record earnings for the fourteenth consecutive quarter, said Jim Snee, president and chief executive officer. Three of our five business segments delivered sales, volume, and earnings growth, again demonstrating our balanced business model. Refrigerated Foods and Jennie-O Turkey Store both had excellent quarters with growth coming from value-added, branded products and improved market conditions. Grocery Products enjoyed a strong quarter aided by the inclusion of the JUSTIN S specialty nut butter business in addition to strong results from SPAM luncheon meat and SKIPPY peanut butter, Snee said. Specialty Foods sales declined, primarily due to the divestiture of Diamond Crystal Brands in May, while sales of MUSCLE MILK protein products were strong, mentioned Snee. Specialty Foods earnings decreased primarily due to increased advertising. Our International segment had a tough quarter as the team continues to work through challenging market conditions in China. Fiscal 07 will mark the 5 st consecutive year we have increased our dividend, an accomplishment few other companies can claim, Snee said. Effective in the new fiscal year the annual dividend will be $0.68 per share, a 7 percent increase. SEGMENT OPERATING HIGHLIGHTS FOURTH QUARTER Refrigerated Foods (47% of Net Sales, 44% of Total Segment Operating Profit) Refrigerated Foods segment profit increased 5 percent driven by excellent results in our foodservice and retail channels in addition to lower input costs. Sales grew 8 percent on volume growth of 9 percent aided by foodservice products such as HORMEL BACON TM fully cooked bacon and HORMEL pepperoni, and retail products such as APPLEGATE deli meats, HORMEL NATURAL CHOICE meats, and HORMEL GATHERINGS party trays. Jennie-O Turkey Store (% of Net Sales, 4% of Total Segment Operating Profit) Jennie-O Turkey Store segment profit increased 6 percent and sales increased 9 percent following the recovery from avian influenza in fiscal 05. Increased earnings reflect improved live production results in addition to strong sales growth from JENNIE-O branded foodservice products. Grocery Products (9% of Net Sales, % of Total Segment Operating Profit) Grocery Products sales increased 6 percent on the inclusion of JUSTIN S specialty nut butters along with strong sales of SPAM luncheon meat and SKIPPY peanut butter. Segment profit increased 5 percent. Grocery Products increased advertising for key products such as SKIPPY P.B. Bites during the quarter. International & Other (5% of Net Sales, 5% of Total Segment Operating Profit) International segment profit decreased 6 percent while sales increased percent. High pork raw material costs and soft retail demand continue to weigh on the China meat business. Specialty Foods (8% of Net Sales, 5% of Total Segment Operating Profit) Specialty Foods segment profit decreased 0 percent while sales were down 0 percent, primarily due to the divestiture of Diamond Crystal Brands in May. MUSCLE MILK branded items posted double-digit sales growth with increases across many product lines including protein powders and ready-to-drink protein beverages. OUTLOOK In fiscal 07, we expect to generate organic sales growth consistent with our long-term goal of five percent coupled with mid-single-digits earnings growth, said Snee. Grocery Products is positioned to deliver an excellent year aided by the inclusion of JUSTIN S specialty nut butters and contributions from branded products such as SKIPPY peanut butter and HERDEZ salsas. Jennie-O Turkey Store should benefit from favorable grain prices and increasing demand for JENNIE-O branded products. We anticipate continued low input costs for our valueadded products in Refrigerated Foods in addition to positive momentum in both retail and foodservice channels. We expect the International segment to show growth through increased exports and improved results from our China business, mentioned Snee. Specialty Foods is expected to show year-over-year sales and earnings growth net of the Diamond Crystal Brands divestiture and will benefit from continued strong results from MUSCLE MILK protein products. Taking all these factors into account and considering the previous three years of strong double-digit earnings increases, we would have expected our fiscal 07 earnings guidance range to be $.7 to $.77 per share, commented Snee. However, after excluding earnings from the Farmer John divestiture of approximately 3 cents per share, we are setting our fiscal 07 earnings guidance range at $.68 to $.74 per share, Snee said. DIVIDENDS Effective November 5, 06, the company paid its 353 rd consecutive quarterly dividend at the annual rate of $0.58. CONFERENCE CALL

4 A conference call will be webcast at 8:30 a.m. CT on Tuesday, November, 06. Access is available at The call will also be available via telephone by dialing and providing the access code An audio replay is available by going to and entering the access code The webcast replay will be available at :30 a.m. CT, Tuesday, November, 06, and will remain on the website for one year. COMPARISON OF U.S. GAAP TO NON-GAAP FINANCIAL MEASUREMENTS The non-gaap adjusted financial measurements are presented to provide investors additional information to facilitate the comparison of past and present operations. The non-gaap adjusted financial measurements are used for internal purposes to evaluate the results of operations and to measure a component of certain employee incentive plans in fiscal year 05. Non-GAAP measurements are not intended to be a substitute for U.S. GAAP measurements in analyzing financial performance. These non-gaap measurements are not in accordance with generally accepted accounting principles and may be different from non-gaap measures used by other companies. ADJUSTED FINANCIAL MEASURES Adjusted segment operating profit, net earnings, and diluted net earnings per share exclude charges relating to the closure of the Stockton, California, manufacturing facility and the exit from international joint venture businesses in the first quarter of fiscal 05, and charges relating to the goodwill impairment charge associated with the Diamond Crystal Brands business and an adjustment to the contingent consideration accrual for CytoSport in the fourth quarter of fiscal 05. The tables below show the calculations to reconcile from the non-gaap adjusted measures to the GAAP measures in both the fourth quarter and full year of fiscal Fourth Quarter Full Year About Hormel Foods Inspired People. Inspired Food. 05 Non- GAAP Adjusted Diamond Crystal Brands Impairment CytoSport Contingent Consideration Adjustment GAAP (In thousands, except per share amounts) Grocery Products $ 8,734 $ 78,77 $ 78,77 Refrigerated Foods 68,040,87,87 Jennie-O Turkey Store 9,99 73,7 73,7 Specialty Foods 0,8 35,05 $ (,537) $ 8,870,348 International & Other 9,570 3,300 3,300 Total segment operating profit 38,85 $ 3,60 (,537) 8, ,934 General corporate expense (7,35) (6,649) (6,649) Net interest & investment expense (,07) (3,34) (3,34) before income taxes 364,483 $ 30,6 (,537) 8,870 88,944 Income taxes (0,543) (0,73) (0,73) Net earnings attributable to Hormel Foods Corporation $ 43,940 $ 99,898 $ (,537) $ 8,870 $ 87,3 Diluted net earnings per share $ 0.45 $ 0.37 $ (0.04) $ 0.0 $ 0.35 (In thousands, except per share amounts) Non- GAAP Adjusted Stockton Plant Closure International Business Exit Diamond Crystal Brands Impairment CytoSport Contingent Consideration Adjustment 05 GAAP Grocery Products $ 68,46 $ 39,08 $ (0,56) $ 8,58 Refrigerated Foods 585,65 44,968 44,968 Jennie-O Turkey Store 39,47 76,7 76,7 Specialty Foods 0,97 05,95 $ (,537) $ 8,870 93,58 International & Other 78,409 87,864 $ (9,546) 78,38 Total segment operating profit,37,866,34,08 (0,56) (9,546) (,537) 8,870,0,343 General corporate expense (49,436) (35,99) (35,99) Net interest & investment expense (6,680) (0,77) (0,77) before income taxes,36,750,088,706 (0,56) (9,546) (,537) 8,870,055,967 Income taxes (46,698) (374,334) 3, (369,879) Net earnings attributable to Hormel Foods Corporation $ 890,05 $ 74,37 $ (6,84) $ (8,776) $ (,537) $ 8,870 $ 686,088 Diluted net earnings per share $.64 $.3 $ (0.0) $ (0.0) $ (0.04) $ 0.0 $.7

5 Hormel Foods Corporation, based in Austin, Minn., is a global branded food company with over $9 billion in annual revenues across 75 countries worldwide. Its brands include SKIPPY, SPAM, Hormel Natural Choice, Applegate, Justin s, Wholly Guacamole, Hormel Black Label and more than 30 other beloved brands. The company is a member of the S&P 500 Index and the S&P 500 Dividend Aristocrats, was named one of The 00 Best Corporate Citizens by Corporate Responsibility Magazine for the eighth year in a row, and has received numerous other awards and accolades for its corporate responsibility and community service efforts. In 06, the company celebrated its 5th anniversary and announced its new vision for the future - Inspired People. Inspired Food. - focusing on its legacy of innovation. For more information, visit and 4 FORWARD-LOOKING STATEMENTS This news release contains forward-looking information based on management s current views and assumptions. Actual events may differ materially. Please refer to the cautionary statement regarding Forward-Looking Statements and Risk Factors which appear on pages in the company s Form 0-Q for the fiscal quarter ended July 4, 06, which can be accessed at under Investors-SEC Filings. 5 Segment Data Fiscal 06 Fourth Quarter Segment Operating Results (dollars in thousands) FOURTH QUARTER 4 WEEKS ENDED 3 WEEKS ENDED October 30, 06 October 5, 05 % Change NET SALES Grocery Products $ 49,74 $ 4, Refrigerated Foods,37,76,49, Jennie-O Turkey Store 54,409 40,3 8.8 Specialty Foods 6,674 69,887 (9.7) International & Other 40,858 38,593.6 Total $,67,94 $,400, OPERATING PROFIT Grocery Products $ 8,734 $ 78, Refrigerated Foods 68,040, Jennie-O Turkey Store 9,99 73,7 6.0 Specialty Foods 0,8,348 (9.7) International & Other 9,570 3,300 (6.0) Total segment operating profit 38,85 308, Net interest and investment expense (income),07 3,34 (69.6) General corporate expense 7,35 6, Less: Noncontrolling interest before income taxes $ 364,733 $ 89,56 6. YEAR TO DATE 53 WEEKS ENDED 5 WEEKS ENDED October 30, 06 October 5, 05 % Change NET SALES Grocery Products $,684,756 $,67, Refrigerated Foods 4,647,73 4,37, Jennie-O Turkey Store,740,968,635, Specialty Foods 939,34,03,359 (4.9) International & Other 5,93 534,70 (4.4) Total $ 9,53,4 $ 9,63,863.8 OPERATING PROFIT Grocery Products $ 68,46 $ 8, Refrigerated Foods 585,65 44, Jennie-O Turkey Store 39,47 76,7 9.3 Specialty Foods 0,97 93, International & Other 78,409 78,38 0. Total segment operating profit,37,866,0, Net interest and investment expense (income) 6,680 0,77 (34.4) General corporate expense 49,436 35,

6 Less: Noncontrolling interest 465,76 (60.5) before income taxes $,37,5 $,057, CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (In thousands, except per share amounts) Fourteen Weeks Ended October 30, 06 Thirteen Weeks Ended October 5, 05* Fifty-Three Weeks Ended October 30, 06 Fifty-Two Weeks Ended October 5, 05* Net sales $,67,94 $,400,858 $ 9,53,4 $ 9,63,863 Cost of products sold,09,4,905,88 7,365,049 7,455,8 GROSS PROFIT 598,50 495,030,58,75,808,58 Selling, general and administrative 44,006 88,95 87, ,6 Goodwill impairment charge,537 99,537 Equity in earnings of affiliates,36 7,957 38,685 3,887 OPERATING INCOME 365,750 9,498,33,895,067,30 Other income & expenses: Interest & investment income, ,9,934 Interest expense (3,88) (3,8) (,87) (3,) EARNINGS BEFORE INCOME TAXES 364,733 89,56,37,5,057,43 Provision for income taxes 0,543 0,73 46, ,879 (effective tax rate) 33.05% 35.8% 3.39% 34.99% NET EARNINGS 44,90 87, ,57 687,64 Less: net earnings attributable to noncontrolling interest ,76 NET EARNINGS ATTRIBUTABLE TO HORMEL FOODS CORPORATION $ 43,940 $ 87,3 $ 890,05 $ 686,088 NET EARNINGS PER SHARE Basic $ 0.46 $ 0.35 $.68 $.30 Diluted $ 0.45 $ 0.35 $.64 $.7 WEIGHTED AVG. SHARES OUTSTANDING Basic 58,778 58,648 59,90 58,43 Diluted 54,3 54,793 54,473 54,00 DIVIDENDS DECLARED PER SHARE $ 0.45 $ 0.5 $ 0.58 $ 0.50 *Shares and per share figures have been restated to give effect to the two-for-one stock split distributed on February CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION (In thousands) ASSETS October 30, 06 October 5, 05 (Unaudited) CURRENT ASSETS Cash and cash equivalents $ 45,43 $ 347,39 Accounts receivable 59,30 605,689

7 Inventories 985, ,65 Income taxes receivable 8,8 6,3 Deferred income taxes 86,90 Prepaid expenses 3,775 4,383 Other current assets 5,79 9,4,09,9,063,03 TOTAL CURRENT ASSETS DEFERRED INCOME TAXES 6,3 INTANGIBLES,737,755,56,703 OTHER ASSETS 490,78 538,357 PROPERTY, PLANT & EQUIPMENT, NET,05,449,0,739 TOTAL ASSETS $ 6,370,067 $ 6,39,83 LIABILITIES AND SHAREHOLDERS INVESTMENT CURRENT LIABILITIES Short-term debt $ $ 85,000 Current liabilities excluding debt,053,96,09,05 TOTAL CURRENT LIABILITIES,053,96,4,05 LONG-TERM DEBT LESS CURRENT MATURITIES 50,000 50,000 OTHER LONG-TERM LIABILITIES 65, ,43 SHAREHOLDERS INVESTMENT 4,45,406 4,00,393 TOTAL LIAB. & SHAREHOLDERS INVESTMENT $ 6,370,067 $ 6,39,83 8 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (In thousands) Fifty-Three Fifty-Two Weeks Ended Weeks Ended October 30, 06 October 5, 05 OPERATING ACTIVITIES Net earnings $ 890,57 $ 687,64 Depreciation and amortization of intangibles 3,968 33,434 Goodwill impairment charge 99,537 (Increase) decrease in working capital (5,45) 3,095 Other 0,797 8,66 NET CASH PROVIDED BY OPERATING ACTIVITIES 99,848 99,99 INVESTING ACTIVITIES Proceeds from sale of business 0,49 Acquisitions of businesses/intangibles (80,889) (770,587) Net purchases of property/equipment (49,97) (5,56) Decrease (increase) in investments, equity in affiliates, and other assets,078 (4,798) NET CASH USED IN INVESTING ACTIVITIES (408,959) (900,947) FINANCING ACTIVITIES Net (payments to) proceeds from short-term debt (85,000) 85,000 Dividends paid on common stock (96,493) (50,834) Share repurchase (87,885) (4,98) Other 59,73 0,35 NET CASH USED IN FINANCING ACTIVITIES (509,646) (70,67) Effect of exchange rate changes on cash (6,339) (7,353) INCREASE IN CASH AND CASH EQUIVALENTS 67,904 3,065 Cash and cash equivalents at beginning of year 347,39 334,74

8 CASH AND CASH EQUIVALENTS AT END OF YEAR $ 45,43 $ 347,39 (Back To Top) 9