Tyson Foods(US:TSN) Sou Hu Cai Jing·2025-11-22 13:23Core Viewpoint - Tyson Foods announced the closure of a major beef processing plant in Nebraska and plans to scale down operations at another facility in Texas due to losses in its beef processing segment, which is the only loss-making division in its latest financial report [1][3]. Group 1: Company Actions - The plant being closed is located in Lexington, Nebraska, with a daily capacity to process approximately 5,000 cattle, accounting for about 4.8% of the U.S. daily beef slaughter [3]. - The Texas facility, which will see a reduction in production, has a daily capacity of around 6,000 cattle [3]. - The adjustments will impact approximately 5,000 jobs across the two facilities [3]. Group 2: Financial Performance - In the latest financial report, Tyson Foods reported an adjusted operating loss of $426 million for its beef processing segment for the fiscal year 2025 [3]. - The beef processing division is the only segment showing losses, highlighting significant challenges within this area of the business [3]. Group 3: Industry Context - Nebraska has a strong cattle industry, ranking second in the U.S. for cattle herd size, following Texas [5]. - The local cattle industry is facing survival challenges due to prolonged drought and rising feed costs, leading to a decline in the cattle herd to a 75-year low [5].