||A major contributor to this article appears to have a close connection with its subject. (May 2014)|
|Type||Sociedad Anónima Bursátil de Capital Variable|
|Traded as||BMV: BIMBO A|
|Headquarters||Mexico City, Mexico|
|Key people||Daniel Servitje (Chairman of the Board and CEO)|
|Products||Bread products, candies, pastries etc.|
|Revenue||US$ 13.785 billion (2012)|
|Net income||US$ 155.6 million (2012)|
|Divisions||Bimbo Bakeries USA|
Grupo Bimbo, S.A.B. de C.V. (Spanish pronunciation: [ˈbimbo]) is the largest Mexican-owned baking company, with operations in the Americas, Asia and Europe. In 2013 generated US$ 13.785 billion in sales. Since 1980, Grupo Bimbo shares have traded on the Mexican Stock Exchange.
It produces over 10,000 products under more than 100 household brands including: Arnold, Barcel, Ben’s, Bimbo, Brownberry, Dempster’s, Dulces Vero, Eagle, Entenmann’s, Fargo, El Globo, Marinela, McGavin’s, Mrs Baird’s, New York Bakery Co., Nutrella, Oroweat, Plus Vita, POM, Pullman, Ricolino, Sara Lee, Silueta, Tia Rosa, Thomas’, Villaggio, among others.
It has over 130,000 associates and operates 171 plants (39 in Mexico and 132 abroad), three trading agencies and eight joint ventures. The products of Grupo Bimbo are sold in more than 2.3 million points of sales across 22 countries, including: Argentina, Brazil, Canada, Chile, China, Colombia, Costa Rica, Ecuador, Guatemala, Honduras, Mexico, Nicaragua, Panama, Paraguay, Peru, Portugal, El Salvador, Spain, United Kingdom, United States, Uruguay and Venezuela. Its headquarters are located in Mexico City.
It has an extensive distribution network in Mexico and one of the largest of the American continent, with over 53,000 routes and like other companies, operates under a system of recurring visits to point of sales, sometimes they visit the same establishment up to 3 times per day.
Among its joint ventures there are Alicorp (Perú), Blue Label (México), Fincomún, Galletas la Moderna, Grupo Nutresa (Colombia), Mundo Dulce (Arcor), PanGlo and Rich.
Grupo Bimbo was established in Mexico in 1945 by Lorenzo Servitje, Roberto Servitje, José T. Mata, Jaime Sendra, Jaime Jorba and Alfonso Velasco. Over fifteen years, under the leadership of Daniel Servitje, current Chairman of the Board and CEO of the Group, has multiplied the business four times, increasing sales and production volume by reporting US$4,67 billion sales in 2004 to US$ 10,712 million sales in 2011.
The name Bimbo was first coined in 1945, a mixing of the words bingo and Bambi. There may be some resistance to the name in English-speaking areas, as evidenced by a Say "Beembo!" advertising campaign in the United States. In connection with this campaign, a company representative was quoted as saying that the name is derived from the Italian word bambino, meaning little boy.
The corporate image, a small white teddy bear, resulted from the drawing that came to Mr. Jaime Jorba in a Christmas card, and whom Anita Mata, wife of Jaime Sendra, dressed with a white apron and a chef’s hat, as was given a loaf of bread under his arm. This is the teddy bear that, to this day, distinguishes Bimbo for its tender, clean, white and soft characteristics.
BIMBO became a trademark recognized as “famous” by the Mexican Institute of the Industrial Property in April 27, 2010, becoming one of the 27 brands that have achieved this category in Mexico. In 2014, the Brand Footprint by Kantar World Panel positioned it in seventh place in the food industry in the world.
The first products launched into the market were cellophane wrapped large and small white loafs of bread, rye bread and toasted bread. Later in 1948, there were already nine Bimbo products in the market, until in 1952 the production of the Donas del Osito (Bear Cub’s doughnuts) started, along with a new buns line: Bimbollos, Medias Noches and Colchones.
In 1949 the first depot outside Mexico City is inaugurated in the city of Puebla. Afterwards, in 1956, in Guadalajara the Bimbo Occidente plant with Roberto Servitje as its first General Manager, started its operations. Four years later the Bimbo del Norte plant was inaugurated in the city of Monterrey, Nuevo León.
After an administrative restructure and the launch of successful products such as Gansito and Submarinos Marinela, in 1972 the Group installed the largest bakery in Latin America and one of the ten largest in the world, in Azcapotzalco, Mexico City.
With an important growth in the products and brands portfolio, such as Barcel, Marinela, Tía Rosa, Ricolino and Suandy, Don Roberto Servitje was appointed as CEO of Grupo Bimbo in 1979. A year later, the company started trading 15% of its shares at the Mexican Stock Exchange (BMV).
In 1984, the company started its expansion by exporting to the United States of America. Two years later, the company created a new organizational structure from which the Group was constituted to this day.
Later, in 1989, Bimbo Central America was created with the inauguration of a plant in Guatemala. Two years later with the plant of Bimbo Argentina, the Latin America Region Corporate structure was created and in 1995, the company inaugurated two more plants in Chile and in Argentina.
With the appointment of Daniel Servitje as CEO of the company in 1997, the global growth strategy was strengthened. In 1998 the Group acquired the American bakery “Mrs Baird’s”, as well as Plus Vita and Pullman in Brazil, in 2001. A year later it acquired the West region baking business of George Weston Limited in the United States.
Grupo Bimbo acquired the bakery Panrico in Beijing in 2007, initiating its presence in the Asian market, expanding its operations in two continents.
On 2008, Grupo Bimbo bought Nutrella bakery in Brazil and in 2009 the George Weston Foods Ltd in the United States with the brands Arnold, Boboli, Brownberry, Entenmann’s, Freihofer's, Stroehmann and Thomas’, plus 22 factories and 4,000 delivery trucks.
During 2011, the Group consolidated two important acquisitions, becoming the largest baking company in the world. On September, Grupo Bimbo bought the company Fargo in Argentina and, on October, closed the acquisition of Sara Lee's operations in Spain and Portugal for EUR$115 million and renamed it Bimbo Iberia.Thus the company manages to unify the Bimbo brand that worked independently in both countries.
Shortly after, on February 2014, Grupo Bimbo announced the acquisition of Canada Bread. The transaction valued at CAN$1,830 million, enabled the Group to reaffirm its position as the world’s leading baking company, by extending its distribution in North America and enter the market of United Kingdom, this last one through the brand New York Bakery Co., a leading manufacturer of bagels in Europe. In the same year, the company acquired Supan, a baking company in Ecuador, operation that led the company to reassure its presence in America and the world.
- 1964 Sunbeam brand in Mexico from Quality Bakers of America
- 1995 Grupo Bimbo acquires Coronado.
- 1998 American bakery “Mrs Baird’s”
- 2001 Plus Vita and Pullman in Brazil
- 2002 George Weston limited – owner of the Oroweat brand – in United States
- 2004 JoyCo in Mexico.
- 2005 La Corona and El Globo, in Mexico.
- 2006 Panrico in Beijing.
- 2008 Galletas Gabi in Mexico and Nutrella in Brasil
- 2009 Weston Foods Inc. in United States.
- 2010 Dulces Vero in Mexico.
- 2011 Sara Lee North American Fresh Bakery in United States, Fargo in Argentina and Bimbo in Spain and Portugal.
- 2014 Canada Bread in Canada and United Kingdom, and Supan in Ecuador.
Grupo Bimbo is a company that includes Corporate Social Responsibility into its production and distribution operations in the countries where it is present, which allows the company to align its economic, social and environmental goals in an efficient and responsible way.
The company started its Social Responsibilities activities by earmarking a percentage of profits to open and maintain a school. Throughout the years the company has strengthen them, until it created a vigorous program in this matter, known as “Sembrando Juntos” (Sowing Together), based on the pillars Wellbeing, Planet, Community and Associates; each one focused in the construction of a positive and long relationship between the society and the planet. It has multiple social work projects in the environmental, educational and nutritional preservation, as well as community welfare.
The pillar Planet is the environmental arm of this program, through which Grupo Bimbo aims to become a worldwide model to be followed in terms of Environmental Sustainability, with the primary objective of reducing the environmental footprint of the operations of the company and of its value chain. The Group is seeking to achieve this goal through 4 lines of action addressed to particular challenges of the industry in matters of efficient use of energy and water, waste and sustainable procurement. These lines are: carbon footprint, water footprint, waste management and natural capital, respectively.
Worldwide, the Group has implemented a series of best practices such as integrated waste management; collection devices and reuse of rainwater, as well as centers for the treatment of wastewater in plants and sales centers; it also has managed a significant reduction of emissions into the atmosphere through a strategy based on energy efficiency through vehicle technology and the incorporation of renewable energies.
Grupo Bimbo was the first company in the food industry to launch a wind farm in October 2012. Located in the state of Oaxaca, the farm Piedra Larga supplies electric energy to almost all the company’s facilities in Mexico. The company also inaugurated the first Ecologic Sales Center in July 2013, located in Mexico City, with an investment close to 2 million US dollars. This center has over 70 electric vehicles, entirely designed by the Group’s technicians.
The company seeks to contribute innovative and purposeful way with all those actions that are undertaken in order to reduce the environmental footprint, therefore it works with different organizations and projects to achieve it. An example of this, is the collaboration with Reforestamos México, the civil association that works to ensure the forests that Mexico needs for its future development. Emerged as an initiative from Grupo Bimbo, and established in 2002, the success of its operations throughout more than a decade, has allowed it to consolidate as one of the most important organizations regarding forest nurturing.
Its working model involves training ejidos and communities to generate and develop the required abilities to get a major benefit from their goods and services derived from their forests. It also seeks after the sensibilization of the private sector about their responsibility regarding forests.
Reforestamos Mexico works with companies to invest in the reforestation of high conservation areas. During 2013, in partnership with 46 companies, among them Grupo Bimbo, it summoned more than 91 thousand volunteers who supported in the reforestations of 90 hectares of forests in priority areas such as Nevado de Toluca, State of Mexico, and Bosque de la Primavera, in Guadalajara.
- 2009: US$8.9 billion. 55% Foreign Sales.
- 2010: US$9.2 billion. 53% Foreign Sales.
- 2011: US$10.7 billion. 54% Foreign Sales.
- 2012: US$13.1 billion. 59% Foreign Sales.
- 2013: US$13.8 billion. 61% Foreign Sales.
Awards and recognitions
- Good Neighbor Award 2013 from the United States – Mexico Chamber of Commerce (USMCOC) to Grupo Bimbo
- Prize 2013 BCG Global Challengers from Boston Consulting Group to Grupo Bimbo in 2013
- Award for Exporter Merit 2013 Rodolfo González Garza from COMCE Northeast to Grupo Bimbo in 2013
- Ranking Great Place To Work from “WOBI” Magazine to Bimbo in fifth place and Barcel in eighteenth place in 2013
- National Quality Award granted by the President’s Office through the Ministry of Economy to Marinela de México in 2013, Barcel in 2011 and Bimbo in 2007
- 9th place in the ranking of the 500 Most Important Companies in Mexico from “Expansión” Magazine to Grupo Bimbo
- 5th place of the Top 25 worldwide Mexican companies in 2013 of the ranking “500 Most important Companies” from Expansión magazine to Grupo Bimbo
- Award for Business Excellence from ANTAD to Bimbo in 2013
- Fifth place among the Top 25 Mexican brands by Interbrand to Bimbo in 2014.
- Seventh Strongest Food Brand in the World and 1st in Latin America, from the Brand Footprint study by Kantar World Panel to Bimbo in 2014
- Ranking of the 50 Most Valuable Brands in Latin America from a study conducted by Millward Brown to Grupo Bimbo in 2013
- Top Brand Award from the Universidad Tecnológica de El Salvador to Grupo Bimbo in 2013
- Ranking of the Companies with Best Reputation from MERCO to Grupo Bimbo in first place for two consecutive years in 2014 and 2013
- The third company with the best corporate reputation by the Reputation Institute to Grupo Bimbo in 2014
- Top Best Reputation Companies in Mexico in the RepTrak Pulse Mexico from The Reputation Institute and Inmark Mexico to Grupo Bimbo in 2012 and 2010
- Top ten companies with the best reputation in the Reptrak Pulse Spain by the Reputation Institute to Bimbo in 2014
- Best practices 2013 “Conservation and preservation of the environment” from CEMEFI to the Piedra Larga Wind Farm initiative in 2013
- Sustainable seal of the BMW from the Mexican Stock Exchange to Grupo Bimbo in 2013
- Clean Transport from the SEMARNAT to Grupo Bimbo since 2009
- Socially Responsible Company distinction by CEMEFI and AliaRSE to Grupo Bimbo for 14 consecutive years
- Ranking of Companies with the Highest Social Responsibility in Mexico from “Mundo Ejecutivo” Magazine to Grupo Bimbo since 2010
- Recognition Healthy Responsible Company (RESR) from the Business Council of Health and Welfare to Grupo Bimbo in 2013
- Clean Industry CDN from PROPAEM to Grupo Bimbo in 2013
- Clean Industry from the Procuraduría Federal de Protección al Ambiente (PROFEPA) to Barcel Mexicali and Barcel Laguna in 2013
- Road Safety Award from The Ministry of Public Safety to Grupo Bimbo in 2012
- National Exports Award in Mexico granted by the President’s Office to Bimbo in 2011.
- GFSI: 113 plants
- Environmental Certification: 25 plants
- AIB 360: 70 plants
- "GRUPO BIMBO SAB- SERIES A". Bloomberg Businessweek. Retrieved 30 October 2011.