Item 3. Legal Proceedings
ITEM 3.
LEGAL PROCEEDINGS
We and certain of our subsidiaries are parties to the environmental litigation matters discussed in “Item 1. Business—Regulation” above. Apart from those matters and the matters listed below, we and our affiliates are parties to various lawsuits arising in the ordinary course of business. In the opinion of management, any ultimate liability with respect to the ordinary course matters will not have a material adverse effect on our financial position or results of operations.
North Carolina Nuisance Litigation
In August, September and October 2014, 25 complaints were filed in the Eastern District of North Carolina by 515 individual plaintiffs against our wholly owned subsidiary, Murphy-Brown, alleging causes of action for nuisance and related claims. The complaints stemmed from the nuisance cases previously filed in the Superior Court of Wake County. On February 23, 2015, all 25 complaints were amended and one complaint was severed into two separate actions. The 26 currently pending complaints were filed on behalf of 541 plaintiffs and relate to approximately 14 company-owned and 75 contract farms. All 26 complaints include causes of action for temporary nuisance and negligence and seek recovery of an unspecified amount of compensatory, special and punitive damages, as well as unspecified injunctive and equitable relief. Murphy-Brown is in the process of responding to the complaints in all 26 cases. The Company believes that the claims are unfounded and intends to defend the suits vigorously.
Neuse Riverkeeper Foundation and Waterkeeper Alliance NOI
From time to time we receive notices from regulatory authorities and others asserting that we are not in compliance with certain environmental laws and regulations. In some instances, litigation ensues.
On March 13, 2014, the Neuse Riverkeeper Foundation and Waterkeeper Alliance submitted a 60-day Notice of Intent (NOI) to file a citizen suit against the Company, our wholly owned subsidiary Murphy-Brown, a contract grower, the landowner, and certain individual employees of either Murphy-Brown or the contract grower related to alleged violations of the Clean Water Act at a hog farm in Greene County, North Carolina. The Company is continuing to investigate the allegations and is in the process of responding.
ITEM 4.
MINE SAFETY DISCLOSURES
Not applicable.
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EXECUTIVE OFFICERS OF THE REGISTRANT
The following table shows the name and age, position and business experience during the past five years of each of our executive officers. Our board of directors (the "Board" or "Board of Directors") elects executive officers to hold office until the next annual meeting of the Board, until their successors are elected or until their resignation or removal.
Name and Age
Position
Business Experience During Past Five Years
C. Larry Pope (60)
President and Chief
Executive Officer
Mr. Pope was elected President and Chief Executive Officer in June 2006, effective September 1, 2006. Mr. Pope served as President and Chief Operating Officer from October 2001 to September 2006.
Kenneth M. Sullivan (51)
Executive Vice President and Chief Financial Officer
Mr. Sullivan was promoted to Chief Financial Officer in 2013 and elected Executive Vice President effective March 1, 2015. He served as Senior Vice President of Finance and Chief Accounting Officer from 2012 to 2013, Vice President of Finance and Chief Accounting Officer from 2010 to 2012, Chief Accounting Officer from 2007 to 2010 and Vice President of Internal Audit from 2003 to 2007.
Dhamu Thamodaran (59)
Executive Vice President and Chief Commodity Hedging Officer
Mr. Thamodaran was elected Executive Vice President and Chief Commodity Hedging Officer in July 2011. He was named Senior Vice President and Chief Commodity Hedging Officer in June 2008. Prior to these appointments, Mr. Thamodaran served as Vice President, Price Risk Management.
Dennis H. Treacy (60)
Executive Vice President and Chief Sustainability Officer
Mr. Treacy was elected Executive Vice President, Corporate Affairs, and Chief Sustainability Officer in October 2011. He was named Senior Vice President of Corporate Affairs and Chief Sustainability Officer in February 2010. Prior to these appointments, Mr. Treacy served as Vice President, Environmental and Corporate Affairs.
Joseph B. Sebring (67)
President, Packaged Meats Division
Mr. Sebring was elected President, Packaged Meats Division effective March 1, 2015. He served as President of John Morrell from May 1994 to February 2015.
Dariusz Nowakowski (61)
President of Smithfield Europe
Mr. Nowakowski was elected President of Smithfield Europe in August 2012 and is responsible for all of Smithfield's wholly owned subsidiaries in Europe. Mr. Nowakowski joined Smithfield in 2006 as President of Animex.
Scott Saunders (51)
President, Fresh Pork Division
Mr. Saunders was elected President, Fresh Pork Division, effective March 1, 2015. He served as Chief Financial Officer of John Morrell from 2008 to February 2015.
Gregg Schmidt (57)
President, Hog Production Division
Mr. Schmidt was elected President, Hog Production Division, effective March 1, 2015. He served as President of Murphy-Brown from 2013 to February 2015. He served as President of Murphy-Brown East Production Operations from 2011 to 2013 and served as President of the International Division from 2002 to 2011.
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PART II