PAGE 4 • HERMISTON HERALD/EAST OREGONIAN SATURDAY, JANUARY 10, 2015 PENDLETON & HERMISTON WHERE THE SAUSAGE IS MADE Hill Meat plans expansion, upgrades near Pendleton airport BY PHIL WRIGHT EO MEDIA GROUP The whiff of smoked pork drifts from Hill Meat Co. atop Airport Hill in Pendle- ton, hinting at the hot dogs, sausages and bacon curing inside. The family-owned and operated business has EHHQPDNLQJ¿OOHUIUHHSRUN goods since 1947, but the focus is on the future. Jim Cheney has the title of Hill Meat CEO, but he VDLG KLV GDXJKWHU 1LFROH Sorensen, is the president and real show runner. They revealed Tuesday the com- pany is in the engineering phases to add 20,000 square feet of manufacturing space to the plant, and to give the 60-plus-year-old building a big makeover, including lowering the ceilings and removing walls, install- ing better lighting and im- proved refrigeration. The project will cost millions, they said, but the engineers predict the larger plant will use less energy than today, and more space will make it easier to add new pro- duction lines. “It seems like we’re burst- ing at the seams all the time,” Sorensen said. The renovation also will eliminate maintenance prob- lems with the aging structure, she said, and her father point- ed out it means Hill Meat can stay well above federal in- spection standards. “We want to be on the top side, not barely hanging on,” Cheney said. E.J. HARRIS PHOTO Employees make kielbasa on Wednesday at the Hill Meat Company in Pendleton. The company, which now has about 80 employees, ZDVRQWKHEULQNRI¿QDQFLDO ruin, Cheney said, when he assumed ownership in 2001. Right away, Cheney made changes. For one, Hill Meat stopped selling products out the front door. Cheney said that made no sense when the company also wanted goods in grocery stores. And he said Hill Meat used to handle its own dis- tribution, sending delivery trucks to 40 or 50 places over two- or three-day trips. That was a lot of miles and bills of sale. So Cheney said he built partnerships with distribution warehouses that also once viewed Hill Meat as competi- tion. The move cut deliveries to two or three stops in a day, while getting more Hill Meat products out there. Hill Meat for several years sold most of its goods through the food service industry, dis- tributors such as Sysco, or through restaurant and hotel chains, including McMenam- ins brew pubs and Red Lion hotels. Sorensen said that in the past couple of years the company has worked hard to get products into grocery stores, and has had success with independently owned stores such as Roth’s Fresh Markets, Red Apple and Albertson’s. The company brought a marketing special- ist to gain better representa- tion in the independent gro- cery market, and today, she said, Hill Meat has about a 50-50 split between retail and food service. Hill Meat also has been able to sell products into cor- porate grocers, such as Safe- way, but those have more red tape before a product can hit the shelves. Cheney said Al- bertson’s buying Safeway stores last year likely will EHQH¿W +LOO 0HDW HDUO\ WKLV year. Developing the retail mar- ket also came about because of a $10 million investment the company made a few years ago in equipment to maintain and improve consis- tency. Quality is subjective, Cheney said, but consistency matters. Sorensen said Hill Meat also revamped packaging DQG D ORJR WR UHÀHFW WKDW LWV products contain quality pro- WHLQ ODFN ¿OOHUV DQG SUHVHU- vatives and are gluten- and allergen-free. Most Hill Meat goods have been that way for years, she said, but customers want to see that on the label. Sorensen said late 2013 was the last time Hill Meat made a product that contained unlabeled allergens, such as soy or peanut dust. Unlabeled DOOHUJHQVDUHWKH1RFDXVH of food recalls in the U.S. for goods that fall under the eye of the U.S. Food and Drug Administration. Why would any company want that kind of headache, Sorensen said. Social media is another new arena Hill Meat entered in late 2014 with a Facebook page. So far, there’s just 445 likes. And it goes dog-in-bun with a new company website. Hill Meat’s growth and in- novation, though, have roots in the old-fashioned notion of keeping business part- ners happy. That sometimes means sticking another com- pany’s name on a Hill Meat product. “We feel it is a partner- ship,” Sorensen said. “If we can help them grow their business, it will help us.” And sometimes it means literally going the distance. Cheney recalled a compa- ny on the Mexico border ran out of Hill Meat bacon, so he drove 18 hours to make the delivery. Shearer’s expansion creates more opportunities $4M project brings more jobs in Hermiston BY SEAN HART EO MEDIA GROUP A new expansion brought new employees and new growth at Shearer’s Foods in Hermiston in 2014. On Jan. 15, 2014, the po- tato and tortilla chip manu- facturer began a $4 million expansion to be able to make cooked corn tortilla chips DQG FUHDWHG WKH ¿UVW EDWFK May 25, Plant Manager Paul Chapman said. The plant was already creating tortilla chips from FRUQÀRXUEXWWKHH[SDQVLRQ provided the opportunity to cater to new manufacturing customers who wanted chips prepared in a more tradition- al style, he said. By adding cooking kettles and soaking kettles, Shearer’s can now cook, soak and mill raw corn, he said. “A key part here has been being able to go out and bring LQ EXVLQHVV VLJQL¿FDQW FXV- tomers that want that kind of product,” Chapman said. “It has increased the business, and it has also increased our potential for more business.” He said Shearer’s is a co-manufacturer that creates chips for a variety of brands, EO MEDIA GROUP FILE PHOTO A worker at the Shearer’s Foods processing plant outside Hermiston inspects potato chips before they are packaged for distribution. The business completed a $4 million expansion in 2014, which will allow it to serve more customers this year. including store labels. With the new capability, Chapman said the company has attract- ed new customers because they can get all of their de- sired products from one plant. ³:H KDYH D VLJQL¿FDQW brand new customer that’s going to be starting up in a month,” he said. “They’re YHU\ELJLQWKH3DFL¿F1RUWK- west. They’re going to get potato chips and cooked corn tortilla chips.” The plant increased its production volume last year and plans to further increase it by 15 percent this year, he said. The additional volume has allowed the plant to run the tortilla chip production lines closer to their maximum FDSDFLW\ LQFUHDVLQJ HI¿FLHQ- cy and requiring additional employees, Chapman said. “Obviously, from a man- ufacturing point of view, you want to utilize your assets 24/7,” he said. “Being able to do cooked corn tortilla chips has allowed us to run the lines during days that we had capacity that we did not have the business. We have brought in about an addition- al 30 to 35 new associates on top of where we were.” Prior to the expansion, Chapman said Shearer’s em- ployed about 310 people, and employee numbers will prob- ably grow to 350 or more as business continues to in- crease. He said the plant still has about 20 percent more ca- SDFLW\LWFRXOG¿OOLQLWVWRUWLOOD chip lines. “We are looking for good people,” he said. “Most peo- ple come in and start as pack- ers, but I have two supervisors here that started as packers. They came off the street at a low level and worked hard.” Chapman said Shear- er’s, which began in Ohio, LQFUHDVHG IURP ¿YH WR HLJKW plants in 2014 with plans for continued growth. People can apply at shearers.com. Although the ConAgra Lamb Weston facility in Hermiston and Hermiston Foods did not expand in 2014, both made infrastructure up- dates, representatives said. “We had no line expan- sions or added jobs in 2014, but our facility in Hermiston is an integral part of our op- eration, and we continued to invest in the facility in 2014, making infrastructure up- dates to the plant,” ConAgra spokesman Shelby Stoolman said in an email. Hermiston Foods Gener- al Manager Trent Waldern said the business celebrat- ed its 25th year in operation in 2014, which through the years “has necessitated re- placement and upgrades in our plant equipment and in- frastructure.” He said 2014 was an av- erage year, but the weather was better than 2013, help- ing local growers achieve the yields necessary to meet pro- jected sales volumes. He said +HUPLVWRQ)RRGVKDVVLJQL¿- cant staff turnover each year and, like other local seasonal HPSOR\HUVLV³¿QGLQJLWSUR- JUHVVLYHO\ PRUH GLI¿FXOW WR attract new employees.” Waldern did, however, commend local growers for adapting with the company. “Our local contract grow- ers have done a good job of working with us to meet our crop needs and adapt to changes in those needs,” Wal- dern said. At Express Employment Professionals, we are dedicated to helping businesses secure high quality, experienced workers quickly & easily. 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