OAKWOOD,
Ga., Jan. 18, 2025 /PRNewswire/ --
Wayne-Sanderson Farms today filed its own motion seeking clarity
and relief from the court that its participation in the
industry-standard Agri Stats subscription service is lawful and
permitted. This was necessitated by unprecedented actions taken by
the Antitrust Division of the U.S. Department of Justice. At
2:15 a.m. Saturday morning, the
Division filed a motion seeking to declare the Company in violation
of the Consent Decree and to force the Company to abandon its
longstanding use of the industry benchmarking service Agri Stats.
The Division is separately litigating against Agri Stats in a
federal district court in Minnesota, seeking to permanently shut down
Agri Stats' business, and, according
to the Company's filings, this latest action is a backdoor attempt
by the Division to use its Consent Decree with Wayne-Sanderson to accomplish that same goal.
The Consent Decree was entered into between the Company and the
Division in 2022 upon the merger of Wayne Farms and Sanderson
Farms, when the Division compelled the companies to enter into a
settlement of a private class action lawsuit about employee wages –
which was wholly unrelated to any issues surrounding the merger –
in order to allow the merger to clear the DOJ's review process. In
addition to paying private class action plaintiffs $69.8 million, the Consent Decree required the
newly combined Company to endure a ten-year monitorship conducted
by private attorneys called monitors working at the direction of
the Division, but working solely at the cost of the
Company.
"The Division's filing is premature and unwarranted, and a
result of a poorly modeled and broken monitorship," said
Jeremy Kilburn, Chief Legal &
Compliance Officer of Wayne-Sanderson Farms. In its own filing
today with the court, the Company demonstrates that it has not
violated the Consent Decree. Instead, the filing explains the
painstaking efforts the Company has undertaken to engage with the
monitors and the Division over the last several months to identify
and resolve potential issues relating to its long-standing and
well-known subscription to Agri Stats. Until the Division's
2:15 a.m. filing a mere two days
before the new Administration enters office, neither the monitors
nor the Division had conveyed what aspects of the Agri Stats
reports it argues are problematic, in spite of numerous requests by
the Company for them to do so.
"To date, over the course of this nearly two year and almost
$2 million monitorship, our monitors
have billed for more time meeting and engaging with the Division
than they have for meeting and engaging with us. They refused to
meet with our personnel who can explain the Agri Stats service to
them and correct their misunderstandings. This is not how a
monitorship is supposed to work." said Kilburn.
Wayne-Sanderson Farms is hopeful that in the coming weeks the
Division will meaningfully engage with the Company to correct its
misunderstandings about the Agri Stats statistics subscription
service, and put an end to these wasteful proceedings.
About Wayne-Sanderson Farms
Wayne-Sanderson Farms is
an industry leader and the nation's third-largest poultry producer,
serving customers, consumers and communities with integrity,
leadership and responsible farm, workplace and business practices.
With a diverse portfolio of products, a strong operating culture
and an industry-leading workforce of more than 26,000 people,
Wayne-Sanderson Farms owns and operates 23 fresh and
further-processing facilities across Alabama, Arkansas, Georgia, Louisiana, Mississippi, North
Carolina and Texas.
Wayne-Sanderson Farms produces affordable, high-quality poultry
products for retail, foodservice, restaurant, industrial and
institutional segments under the brand names of SANDERSON FARMS® fresh chicken; COVINGTON
FARMS® fresh and frozen chicken; WAYNE FARMS® fresh and prepared chicken;
PLATINUM HARVEST® premium fresh chicken; CHEF'S CRAFT® gourmet
chicken; and NAKED TRUTH® premium chicken. For more information,
visit our website at http://www.waynesandersonfarms.com
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SOURCE Wayne-Sanderson Farms