Heinz opens the Heinz Global Innovation and Quality Center

20/09/05 Calling the day a milestone in the 136-year history of the H.J. Heinz Company, Chairman, President and CEO William R. Johnson celebrated the official opening of the Heinz Global Innovation and Quality Center and announced a significant commitment in product development and quality to better align with consumer desires. "Heinz will dedicate almost $100 million to strategic innovation activities in North America alone over the next five years," he told those attending the ribbon cutting ceremonies.

Located in Marshall Township, north of Pittsburgh, the 100,000-square-foot facility is Heinz's global hub for research and development and home to more than 100 chefs, food technologists, researchers and package designers, plus experts in nutrition and quality assurance. The center provides technical direction, assistance and advice to Heinz business units worldwide.

Prior to this, Heinz researchers and development teams were scattered in a number of 100-year-old buildings in the company's former complex on the Pittsburgh's North Shore. Heinz invested more than $13 million to create the world-class facility located on the Marconi Campus. It signed a long-term lease for the space last year and began construction in November 2004.

Housed at the Heinz Global Innovation and Quality Center is its International Center for Excellence in Ketchup, Condiments & Sauces, a repository of technology and a knowledge base for tomatoes. A multi-national team operates out of key growing and processing regions worldwide and studies all facets of the tomato. They are seeking an understanding of the anti-oxidant lycopene and its means to enhance health and well-being. Botanists and agronomists are developing proprietary tomato hybrids to bolster field yields, enhance color and flavor and to better withstand cooking and packing operations. Heinz technologists are reviewing every production phase from paste to packaging.

Work at the Innovation Center does not stop with Heinz's traditional tomato business. With last month's acquisition of the HP(R) and Lea & Perrins(R) brands, Heinz has new avenues to explore. And, for the Classico(TM) brand, the leading premier pasta sauce brand, its culinarians have the opportunity to explore the boundaries of taste.

Ore-Ida(R) potato products are another example of recent innovation. A team of packaging and food technologists created a breakthrough with the Extra Crispy(TM) line of fries, and then developed a process, package and a custom recipe that, when combined, made possible the very successful microwaveable Easy Fries(TM).

Additionally, Heinz is taking creative products to the rapidly growing chilled market with new Ore-Ida(R) mashed potatoes.

Innovation is a global imperative and not limited to the United States. In Australia the company unveiled a truly inventive soup. This new variety is based on a concentrated puree in a convenient, easy-to-open pouch. New products launched within the past two years now account for more than 14% of Heinz Australia revenues, with similar results in New Zealand.

In the U.K., additional recipes have provided renewed interest in the British standard, Heinz(R) Baked Beans. The new Mean Beanz(TM) products offer zest and kick to traditional canned beans.

Heinz, likewise, has benefited from successful new packaging technology, as exemplified by the global market shares for Heinz(R) Tomato Ketchup, which grew with the launch of the creative upside-down bottle, known as "top-down" in Europe. In the U.S., Heinz(R) Ketchup market shares recently exceeded 60% and in Canada, 80%. In Europe, the success has been even greater. After launching this ingenious package in 18 European countries, Heinz witnessed a 10% increase in overall ketchup sales.