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The Food Institute Daily Update
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The Food Institute, One Broadway, Elmwood Park, NJ 07407 Phone: 201-791-5570 Fax: 201-791-5222 www.foodinstitute.com
December 18, 2009
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Editor's Note: Daily Update will not publish Monday, Dec. 21 through Friday, Dec. 25. Publication will resume Monday, Dec. 28.

Industry News

A division of Ahold USA, Giant-Carlisle, will acquire 25 stores from Ukrop's Super Markets, Inc. The purchase price, which is approximately $140 million, includes 25 stores, inventory, equipment, lease agreements and one new store location. Full Story

PepsiCo will not advertise PepsiCo drinks during the Big Game, ending a 23-year run. The company instead plans to focus on a new marketing effort that will appear mostly online, reported The Associated Press. Full Story Recording Now Available! Regulating The New Social Media ... What You Need To Know Before You "Tweet," a Food Institute webinar, discussed the regulatory and legal repercussions companies face in using social media outlets. Webinar participants included Mary Engle with the Federal Trade Commission, Violet Aldaia of Brand Edge Global, David Mallen with the National Advertising Division of the Better Business Bureau, and Richard Leighton with the law firm of Keller and Heckman. To purchase a recording or learn more, click here.

Snack food is for sale at 41% of stores that do not primarily sell food, including 96% of pharmacies, 22% of furniture stores and 16% of clothing stores, according to a study published in American Journal of Public Health. Candy was the most frequently sold item (33%), followed by drinks (20%) and salty snacks (17%), reported HealthDay. Full Story

Skinny Nutritional Corp. intends to reposition its line of Skinny Waters as a beverage rather than a dietary supplement. The change was made after a consideration of market analysis and in response to a recent draft guidance and related correspondence from FDA. Full Story

In-Store Marketing Triggers: The Effect on Brands and Purchase Behavior
Purchase the recording today!

In-Store Marketing Triggers: The Effect on Brands and Purchase Behavior, a webinar presented by The Food Institute & Miller Zell, examined Miller Zell research on shopping habits and provides guidance in how to more effectively target food and beverage shoppers in the grocery and mass channels by using the store as a valuable media. The webinar featured Curt Johnson, SVP Consumer Industries, Miller Zell and was moderated by Food Institute president Brian Todd. To purchase a recording, click here.

Some 25% of consumers claim that their shopping goal is to spend as little money as possible, while 24% noted that their shopping goal is to get everything in a single trip, according to a report on in-store convenience by M/A/R/C Research and The Integer Group. About 51% use manufacturer coupons and 49% use shopper-card discounts. About 71% reported visiting c-stores the same number of times as three months ago, with 21% visiting less and 8% visiting more, reported CSP Daily News. Full Story

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Food Institute News

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New!!! Sign Up Today! The Food Institute and Olsson Frank Weeda Terman Bode Matz PC will host the Understanding FDA's Reportable Food Registry (RFR) webinar on Tuesday, Jan. 26 at 12 p.m. (EST). This webinar featuring Kathleen Gombas, Senior Advisor, Office of Food Safety U.S. Food & Drug Administration Center for Food Safety & Applied Nutrition and Joseph Lyzcek will address questions and update participants on FDA's current thinking regarding the RFR. In addition, webinar moderator Robert Hahn will provide insight on the legal obligation of reporting an adverse event through the RFR. To sign up and learn more, click here.

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International News

advertiseHong Kong grew to be the fourth largest market for U.S. food and beverage exports in 2009, noted FAS. U.S. exports of high value food products to Hong Kong are expected to grow by 15% and top the $1.4 billion mark by the end of 2009, the largest growth among all U.S. export markets in the world. FAS Report

Growth in India's economy and consumer buying power accelerated sharply since the early 1990s. As a result, India's food demand is expanding and diversifying. However, India's farm sector has not shared in the benefits of policy reform, and growth in the sector remained sluggish, noted ERS. ERS Report

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Washington News

New Mexico, which removed food taxes six years ago, may reinstate them to help balance the state budget, reported KOAT.com. Full Story

The Future of Food Retailing: A Willard Bishop & FI Webinar
Recording Now Available!

The combination of food inflation and the recession has had predictable and well-documented consequences, such as growth in private label shares. However, some retailers, notably Wal-Mart, appear to be leveraging the economic downturn as they fundamentally change their shopper value propositions, according to The Future of Food Retailing webinar presented by Willard Bishop and the Food Institute. If successful, these changes will alter supplier relationships as well as the landscape for competitive food retailers, in potentially seismic magnitude and with long-lasting dimensions. To purchase a recording of the webinar for $149, click here. FI Members, pay $99 with your Member Rewards Card!

The Daily Update is a substantially abbreviated version of Today In Food. You can get a subscription to Today In Food, which usually has over 30 news items each day, as well as access to the archives for just $49.95 per year. Click here to sign up.

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Market News

Almost three-fourths of retailers claim that the greatest opportunity to increase blueberry sales during the winter is a more consistent supply, according to a report by The Perishables Group. Others see a need for larger pack sizes and believe consistency and quality can be improved. Meanwhile, the majority of retailers noted that a primary difference between domestic and imported blueberries is price. Full Story

In 2009, economic recession, high unemployment and abundant supplies of pork and poultry adversely affected demand for beef, noted ERS. As a result, demand was insufficient to maintain cattle and beef prices throughout 2009, which led to sluggish feedlot marketings, heavy dressed weights and ample beef supplies, despite relatively low cattle inventories. Meanwhile, continued declines in chick placements resulted in a reduction in the fourth-quarter 2009 broiler meat production estimate to 8.85 billion-lbs. and reductions to all the quarterly production estimates in 2010. ERS Report

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