Inside Costco’s Billion-Dollar Bet On $4.99 Rotisserie Chickens

— A dozen probes sink into a chicken carcass and inject a sweet and salty marinade directly into the meat. The swift motion only takes a second, and then the chicken moves along the conveyor belt. The next one slides in to absorb the secret concoction — described toJust a few hours before, the meat was trucked in alive. After the chickens were killed, the carcasses chilled out for a few hours.

Costco has shown it will do just about anything for its rotating little treasures. Under Lincoln Premium Processing, the retailer has secured around 100 million of the 400 million chickens it’s estimated to sell annually. Roughly half of the plant’s chicken ends up on rotisserie spits in Costco’s warehouse stores while the rest is cut into pieces, packed in plastic and shipped to stores in the Midwest and West Coast.

Costco’s Fremont operation, 45 minutes northwest of Omaha, would fall into the category of factory farm, or medium-sized concentrated animal feeding operation, according to the Environmental Protection Agency’s. After between four and 16 chicken houses get built — $2.5 million for four houses — about 42,000 chickens are raised in each house.

“They’re trying to do a good job,” says Grandin, who visited the plant and farms that supply it last year and also went back to check again this month. “There are advantages to starting fresh. When you start from scratch, there are old ideas that you don’t have to keep.”

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