Cal-Maine Foods, Inc. Reports Positive Test Result For Avian Influenza At Texas Facility, Resulting In Depopulation Of ~1.6M Laying Hens And 337,000 Pullets, Or ~3.6% Of The Company's Total Flock As Of March 2, 2024
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Cal-Maine Foods, Inc. (NASDAQ:CALM) reported a positive test for avian influenza at its Texas facility, leading to the depopulation of about 1.6 million laying hens and 337,000 pullets, or 3.6% of its total flock. The company has temporarily halted production at the affected facility and is working to minimize customer disruption by securing production from other facilities. Cal-Maine Foods is committed to maintaining robust biosecurity programs, despite the ongoing risk of HPAI in the wild bird population. The human health risk from HPAI is considered low, and there is no risk associated with properly handled and cooked eggs. Cal-Maine Foods will provide updates in its next quarterly report and does not anticipate interim updates unless the situation materially changes.
April 02, 2024 | 8:14 pm
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Cal-Maine Foods, Inc. faces a temporary production halt and flock reduction due to avian influenza at its Texas facility, affecting 3.6% of its total flock.
The depopulation of a significant portion of Cal-Maine Foods' flock due to avian influenza and the temporary halt in production at the affected facility could lead to a short-term negative impact on the company's stock price. This is due to potential disruptions in supply and the costs associated with managing the outbreak and securing alternative production means. However, the company's efforts to minimize disruption and the low health risk to humans may mitigate some of the negative impacts.
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IMPORTANCE 90
RELEVANCE 100