Calavo Growers, Inc. Announces Business Reorganization


SANTA PAULA, Calif., April 13, 2022 (GLOBE NEWSWIRE) — Calavo Growers, Inc. (Nasdaq-GS: CVGW) (“Calavo” or the “Company”), a global avocado industry leader and value-added fresh food provider, today announced plans to reorganize its operations to execute Project Uno integration efforts and better serve customers. while improving efficiency and cost savings.

The Company is now organized into two reporting segments, Cultivated and Prepared. The Grown segment will consist of fresh avocados, tomatoes and papayas. The Prepared segment will include all other products, including fresh cut fruits and vegetables, ready-to-eat sandwiches, wraps, salads and snacks, guacamole and salsa sold at retail and foodservice as well as avocado pulp sold to restaurants. The two segments will each be led by a senior vice president/general manager responsible for sales, profits, strategy, international growth, customer satisfaction, producer/supplier relations and new product development.

“The new organizational structure will bring clarity to the decision-making process and increase the speed of execution to realize efficiencies and drive growth,” said Brian W. Kocher, President and CEO of Calavo. “By aligning product execution responsibilities with P&L management, we will better serve our customers with a profitable, market-driven organization.”

In addition to Grown SVP/GM Rob Wedin and Interim Prepared SVP/GM Ron Araiza, managers reporting to Kocher will be responsible for compliance and policy development and will have a reach and company-wide influence.

  • Financial Director Mariela Matute
  • Director of Human Resources Graciela Montgomery
  • Vice President of Shared Supply Chain will be appointed
  • VP Communications, Marketing & ESG Thomas Federl
  • Vice President Calavo de Mexico Dionisio Ortiz
  • Vice President of Jalisco Operations Eloy Hintz

Matute and Montgomery, who joined Calavo in October, will remain in their roles. Federl joined Calavo on March 28 and Hintz on April 4. The other leadership positions are being filled.

“We moved quickly to establish an effective operating structure and fulfill these roles while ensuring we had the right leaders to succeed,” Kocher said. “By finding great leaders, clarifying their responsibilities, identifying accountabilities, and equipping the organization with processes and services to execute, we will position Calavo for long-term profitable growth.”

The reorganization is part of Calavo’s Uno project, a profit improvement project, which includes pricing initiatives, SKU rationalization, unified sourcing, consolidated freight and optimization of administrative functions across all business units . The company recently announced a brand refresh, which introduced the new Calavo brand identity and logo and consolidated all business units under one Calavo brand.

As a result of the reorganization, the position of chief operating officer, among other roles within the organization, is being eliminated. The anticipated first-year savings in selling, general and administrative expenses associated with the reduction in positions should offset the costs associated with reorganization and investment in talent to fill the new roles. Ongoing cost savings are expected to be over $2 million per year.

About Calavo Growers, Inc.
Calavo Growers, Inc. (Nasdaq: CVGW) is a global leader in quality produce, including avocados, tomatoes and papayas, and a pioneer in fresh, healthy fruits, vegetables and prepared foods. Calavo products are sold under the trusted Calavo brand, exclusive sub-brands, house brands and store brands.

Founded in 1924, Calavo has a rich culture of constant innovation, sustainable practices and market growth. The company now serves retail grocery stores, food service, club stores, mass merchants, food distributors and wholesalers worldwide. Calavo is headquartered in Santa Paula, California, with processing plants and packaging facilities in the United States and Mexico. Learn more about The Fresh™ family on calavo.com.

Forward-looking statements
This press release contains statements regarding Calavo’s future events and results (including certain business projections and trends) that are “forward-looking statements”, as defined in the Private Securities Litigation Reform Act of 1995, that involve risks , uncertainties and assumptions. These statements include, but are not limited to, statements relating to executive staffing, anticipated initial and ongoing cost savings, anticipated costs associated with the reorganization, long-term growth and positioning of the profitability. These statements are based on our current expectations and are not promises or guarantees. Should any of the risks or uncertainties materialize, or should assumptions prove incorrect, Calavo’s results could differ materially from those expressed or implied by such forward-looking statements and assumptions. The risks and uncertainties that could cause our actual results to differ materially from any future results expressed or implied by the forward-looking statements include, but are not limited to, the following: the impact of the COVID pandemic -19 on our business, results of operations and financial condition, including, but not limited to, disruptions in the manufacturing of our products and related supply chain operations supporting our ability to deliver our products to consumers, impacts on our employees and uncertainty about our ability to implement health and safety measures for our employees, uncertainties about consumer demand for our products, impact on our foodservice customers , increased costs, the impact of government trade restrictions imposed as a result of COVID-19 and the possible negative impact of COVID-1 9 on our goodwill and other intangible assets; our ability to increase prices, particularly in our RFG and Foods segments, to offset increased costs of goods sold, and the impact of such price increases on future net sales; the seasonality of our business; our business’s sensitivity to changes in market prices for avocados and other agricultural products and other raw materials, including fuel, packaging and paper; potential disruptions to our supply chain; risks associated with potential future acquisitions, including integration; potential exposure to data breaches and other cyberattacks on our systems or those of our suppliers or customers; dependence on large customers; the dependence on key personnel, including personnel who have not yet been hired, and the ability of our future management team to work together successfully; potential for labor disputes; dependence on co-packers for a portion of our production needs; competitive pressures, including from foreign producers; the risks of recalls and food-related injuries to our customers; change consumer preferences; the impact of environmental regulations, including those related to climate change; our ability to develop and transfer new products and services and improve existing products and services to meet customer needs; risks associated with international business (including possible U.S. and foreign government restrictive measures, such as restrictions on remittances and COVID-19 and trade protection measures such as import/export/customs duties , tariffs and/or quotas and currency fluctuations); risks associated with receivables, loans and/or investments in unconsolidated entities; volatility in the value of our common stock; the impact of macroeconomic trends and events; and the resolution of ongoing investigations, legal claims and tax disputes, including an assessment imposed by the Mexican Tax Administration Service (the “SAT”) and our defenses against collection activities initiated by the SAT. For a more in-depth discussion of these and other risks and uncertainties facing us, please see the risk factors described in our most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission and any updates. later day that can be contained. in our quarterly reports on Form 10-Q and other filings with the Securities and Exchange Commission. The forward-looking statements contained in this press release are made only as of the date of this press release, and we undertake no obligation to update or revise any forward-looking statements, whether as a result of new information , future events or otherwise.

Previous West Ham United: ExWHU worker shares Lukasz Fabianski contract news
Next Economic Orientation in South Asia