1613680 - Valley Processing December 7 2012

1 Page1of60 Audit Report Global Standard for Food Safety Issue 6: July 2011 Summary Company name Valley Processing BRC Site Code 1156437 Site name Valley Processing Scope of audit The receiving of fresh fruit and Processing it through washing, grinding, filtration and pasteurization for single strength juice also taking and evaporating to make concentrates of grape, apple, pear which are shipped out in insulated tankers or drums. Exclusions from scope Nothing Audit Finish Date 2012-10-17 2. Results Audit result Certificated Audit grade BAudit type AnnouncedAudit frequency 12 months Re-audit due date 2012-10-19 Previous audit grade B Previous audit date 2011-10-17 Number of Non-Conformities Fundamental 0 Critical 0 Major 0 Minor 15 Details Address Valley Processing 108 East Blaine Ave Sunnyside, WA 98944 Country United States Telephone 1- 509-837-8084 ext 12 Commercial representative Name Mary Ann Bliesner Email Details Technical representative Name Penny Babalya Email Profile Plant size (meters square) 11612 No.

2 Of employees 70 No. of HACCP plans 5 Subcontracted processes No Other certificates held Kosher Regions exported to North America Asia Major changes since last BRC audit Flooring in Tank Room 1 was replaced, rebuilt gutters and drains, Company Description Valley Processing is located in a semi-industrial area. It was built in 1950 and has two production lines. It has four building of which two are production, one is packing, and one is a freezer. The Facility is 125,000 square feet. It is privately owned. It processes raw fruit into juice, juice concentrate, purees and essences. The fruits are apple, grapes, pears, cranberries, cherries, and raspberries, Characteristics Product categories 07 - Dairy, liquid egg Finished product safety rationale The finished product has been pasteurized High care No High risk No Allergens handled on site None Product claims made IP, organic Kosher and Organic Product recalls in last 12 Months No Products in production at the time of the audit Grape juice and apple juice Page3of60 Duration Details On-site duration 24 man hours Duration of production facility inspection 10 man hours Reasons for deviation from typical or expected audit duration none Next audit type selected Announced Audit Duration per day Audit Days Audit Dates Audit Start Time Audit Finish Time 1 2012-10-15 8:00 15.

3 00 2 2012-10-16 8:00 15:00 3 2012-10-17 8:00 15:00 Personnel Auditor Number 123147 Auditor Names and roles Richard LaCalamito Present at audit Note: the most senior operations manager on site should be listed first and be present at both opening & closing meetings (ref: clause ) Opening Meeting Site Inspection Procedure Review Closing Meeting Name / Job Title Mary Ann Bliesner- Owner and President x Charlie Meyers- Plant Manager x x x Penny Babalya- Quality Systems Manager (QSM) x x x x Page 4 of 60 Critical or Major Non Conformities Against Fundamental Requirements No.

4 Requirement ref. Details of non-conformity Critical or Major? Anticipated re-audit date Critical No. Requirement ref. Details of non-conformity Anticipated re-audit date Major No. Requirement ref. Details of non-conformity Corrective action taken Root cause analysis and proposed action plan Evidence provided document, photograph, visit/other Date reviewed Reviewed by Non-Conformity Summary Sheet Page 5 of 60 Minor No. Requirement ref. Details of non-conformity Corrective action taken Root cause analysis and proposed action plan Evidence provided document, photograph, visit/other Date reviewed Reviewed by 1 Need to have more details on methods to prevent contamination of organic product written into the HACCP program. Expanded HACCP System to include a new section on Organic Program and a new section on Preventative Maintenance section. Re-issued document per REV#11. Had organic mentioned in our HACCP System but considered organic managed as a separate programs certified and audited for compliance by the WA.

5 State Dept of Ag. not specifically by the FDA.. The facility amended HACCP System REV#11 which was revised on Oct. 19, 2012 November 12, 2012 Richard LaCalamito 2 The monthly audits need to have the corrective action, time frame and who has the responsibility written into the internal audits. When the Food Safety/ HACCP Committee reviews the October 2012 plant audits, they will assign the responsibility and timeline for all corrective actions. These responsibility and time assignments will be published in the subsequent plant audit report. Always listed completed corrective actions but refrained from projecting a fix date/individual because I wanted to know when it was done not projected to be done. Will add a projected date from now on. The facility amended Internal Audit Policy DOC#041306 REV#6 which as revised on 11-3-12 November 12, 2012 Richard LaCalamito Page 6 of 60 Minor 3 The wall NE corner of filter room needs patched.

6 Plant #1:Filter Room The wall surface was damaged and is now Repaired. Damage was noted in Plant #1 monthly audit but repair had not been done yet. There is photo evidence of this repair. November 12, 2012 Richard LaCalamito 4 The floor needs patched in the cold room near the one support column Plant #1 barrel room/coldroom floor has been repaired. Damaged area was missed during monthly plant audit and will be repaired now. There is photo evidence of this repair. November 12, 2012 Richard LaCalamito 5 There is no designated walk way in some sections of building number 1. Walkways have been re-painted along the main hallway, filter room ,decanter room and west end of Plant #1 Plant #1 first floor had extensive gutter and drain repairs so floors were torn out which destroyed the walkway designations. There is photo evidence of this repair. There are painted walkways in each room. November 12, 2012 Richard LaCalamito 6 There are some sections of the ceiling in the cooler of building 1 which need to be repaired.

7 Plant #1 barrel room/cold-room ceiling has been repaired. Barrelroom/coldroom ceiling repair was missed previously but is now fixed. There is photo evidence of this repair.. November 12, 2012 Richard LaCalamito Page 7 of 60 Minor 7 The U-7 tank has duct tape closing a hole. The duct tape is also ripped through with a 1/4" gap. Plant #1 the top of tank U7 has been repaired so a permanent repair is now in place(no duct tape). Tank is not used that often so the temporary repair missed being upgraded to a permanent repair. The facility has a new Maintenance Repair log and the photo evidence of this repair. November 12, 2012 Richard LaCalamito 8 The upper deck in the tank room needs swept The upper deck area has been cleaned . Depending on product run, this area can sit idle at times and was missed during last clean up. photo proof of clean-up. November 12, 2012 Richard LaCalamito 9 The sink located in building 1 needs to be hands free upon entrance A new hands-free faucet has been installed in the Plant #1 grape lab.

8 Faucet leaked but lacked a hands-free design. The faucet was leaking and needed replacement. It has been replaced with a hands-free faucet . photo evidence of the new hands-free faucet in the grape lab November 12, 2012 Richard LaCalamito 10 The metal control program needs to have a sign out for lost and damaged knives. Have amended our Knife Handling Training Sheet to include instructions if knife is broken or lost, employee Did not previously document damaged or lost knives. Issue new sign off DOC#110112 REV#0 The facility has put in the proper Use of Sharp Instruments/Knives November 12, 2012 Richard LaCalamito Page 8 of 60 Minor must report it to their supervisor. Supervisors now have a new sign off sheet that must be completed for any lost or broken knife published 11-1-12 and now all shift super-visors have this sheet to document broken or lost utility knives on their shift. was amended DOC# 091010A REV#5 to include a new sign off sheet for lost or broken knife DOC#110112 REV#0 published on 11-1-12 11 There were clamps on the ground and not hung up in building number 2.

9 GMP non-compliance was addressed by amending GMP training sheet to specifically state no parts on floors and then employee was counseled Using GMP Training DOC#033104A REV#19 conducted 11-5-12 Employee was lax and failed to obey proper GMP when handling food equipment parts so he has been counselled on 11-5-12 by the Quality Systems Manager and has signed off on DOC#033104A REV#19 published on 11-4-12 GMP Training/ added item #14 DOC#033104A REV#19 . Re- training done with specific employee 11-5-12 signed training sheet attached. November 12, 2012 Richard LaCalamito 12 There was product stored next to the walls in finished product ware house. Product is being moved away from the walls to allow for visual inspection behind To maximize storage employees backed pallets too close to walls but are photo evidence of new perimeter in that cold room. November 12, 2012 Richard LaCalamito Page 9 of 60 Minor Product on pallets moving pallets out now.

10 13 The maintenance department needs a written procedure and check off list after work is completed. The Maintenance Dept. has published a Temporary Maintenance Repair Log to document when they are upgraded to permanent repairs. Had not established a formal checklist for documented the upgrade of temporary repairs to permanent repairs. See new Maintenance Log with the tank U7 repair work documented now. Document proof of both the new maintenance log and the repair itself November 12, 2012 Richard LaCalamito 14 The ingredients used in Processing need a FIFO Will attach copies of the receiving sheet for incoming Processing & filtering aids and packaging and the new training sheet to facilitate current FIFO Program DOC#053007A REV#12 11-5-12 Have always maintained FIFO use of raw materials and JIT inventory program but will add copy of the dated receiving sheet at front of row to facilitate FIFO rotation. New vendor Program Doc#053007A and training sheets for 2 personnel who unload trucks DOC#053007A REV#12 11-5-12 November 12, 2012 Richard LaCalamito 15 There was a knife on a ledge by a tank in building number 2 which had not been tethered.