April 19, 2011

IFDA News

One week from today, an IFDA webinar featuring Arnie Schwartz of the NPD Group will examine how changing demographics in the U.S. population are affecting the overall foodservice industry. In part one of this new series from NPD Group and IFDA, participants will see how an emerging generation Y, aging baby boomers, and significant growth in Hispanic and Asian populations are reshaping consumption behaviors in the U.S. Mr. Schwartz, foodservice president at the NPD Group, will also include a Q & A session at the close of his presentation. The webinar is open to IFDA Distributor Members and IFDA Partners. For more information and to register for this April 26 webinar, click here.

Distributor News

As of Apr. 11, U.S. average diesel fuel prices were $4.105 per gallon, up 0.027 cents per gallon from a week ago, and up $1.031 from one year ago. Full Story

U.S. Foodservice purchased poultry distributor Ritter Food Service, a division of The Pennfield Corporation. Ritter serves more than 1,000 customers in Pennsylvania, Maryland and New Jersey, reported WorldPoultry.net. Full Story

Operator News

Consumers are increasingly influenced by factors in addition to price when considering frequenting a foodservice establishment, according to a survey conducted by Radius Global Market Research. For instance, diners in all categories stated that increased access to calorie counts and other nutritional information at restaurants would influence how often they visit. Fast casual diners want a wider variety of chicken and breakfast menu items. Full Story

The restaurant industry is expected to add 1.3 million positions by 2021. Positions that combine both food preparation and service are expected to increase by 403,000 by 2021, while waitstaff jobs are expected to grow by 240,000 during the same period. The restaurant industry employs nearly 10% of the U.S. workforce at 12.8 million this year. Full Story

Fast food chains will be rolling out new beverages as summer approaches. In June, 7-Eleven will be putting Slurpees into cups with dual chambers, a special valve and two straws that lets customers drink one or two Slurpee flavors at a time. McDonald's is rolling out McCafe Frozen Strawberry Lemonade in May, while Sonic is planning a shake dubbed Double Stuf Oreo Blast in May, reported USA Today. Full Story

Burger King and its franchisees will settle a legal battle over the chain's double cheeseburger. The franchisees will receive no money in the settlement, but the double cheeseburger will remain on the Value Menu for $1.29. Franchisees will get more authority in future decisions about the Value Menu, reported The Associated Press. Full Story

A proposed class action lawsuit in U.S. District Court, Northern District of California, claims McDonald's unfairly uses toys to attract children to its restaurants. The plaintiff claims the company's advertising violates California consumer protection laws, reported Reuters. Full Story

The Supreme Court will not stop a disabled man's lawsuit against Chipotle Mexican Grill for having counters too high for a person in a wheelchair. The high court refused to hear an appeal from the chain, reported The Associated Press. Full Story

Subway reduced sodium levels in its sandwiches by 15%. Sodium levels in Fresh Fit sandwiches were reduced by 28%, reported CNNMoney.com. Full Story

Attorneys dropped a lawsuit that alleged that Taco Bell's beef was mostly not beef, reported CNN. Full Story

Retail News

Wal-Mart Stores Inc. agreed to buy social media company Kosmix. Kosmix's founders and team will operate as part of a newly formed group called @WalmartLabs that will create technologies and businesses around shopping online or with smart phones, reported Reuters. Full Story

Industry News

J & J Snack Foods Corp. will acquire several frozen food lines from ConAgra Foods. The deal includes brands such as Patio, Hand Fulls, Holly Ridge Bakery, Villa Taliano, Top Picks and private label brands that sell dough-encased frozen goods. It includes the manufacturing facilities in Hilly Ridge, NC and Weston, OR, reported The Associated Press. Full Story

New! The Apr. 19 edition of the Lempert Report, hosted by Phil Lempert, asks what happens after Facebook and Twitter. Also, are food dyes affecting behavior? Click here to view.

Latest sales & earnings for food related companies (Updated Daily - FI Membership Required)

Dean Foods Co. will sell its milk processing business in Waukesha, WI. The plant and its related business are part of a settlement with the U.S. Department of Justice over an antitrust dispute with farmers in the Northeast, reported Bloomberg Businessweek. Full Story

PepsiCo is in the process of creating a Center of Excellence to handle key areas of media and marketing procurement and embrace a more global approach, according to an internal memo obtained by Advertising Age. Full Story (Free Registration Required)

Leprino Foods' cheese and whey plant in Greeley, CO will add a main office building and wastewater treatment facility. The full plant is expected to be completed in 2013, reported Greeley Tribune. Full Story

About 50% of Americans use a mobile device while shopping, according to survey released by Arc Worldwide, Marketing to the Mobile Shopper. To reach all types of mobile shoppers, companies should activate both mobile on-the-go and mobile in-store interactions. Full Story

Brasil Ecodiesel Industria & Comercio de Biocombustiveis & Oleos Vegetais SA is in talks to merge with Vanguarda do Brasil SA, creating a biodiesel and crop producer valued at $1.4 billion. Vanguarda's controlling shareholder, Brazilian farmer Otaviano Pivetta, plans to take a 32% stake in the merged entity, reported Bloomberg.com. Full Story

Market News

Indonesia's government is trying to become one of the world's top 10 exporters of fish, modernizing roads, ports and processing facilities while aiming to double the country's haul of tilapia, catfish, lobster and other seafood. The program, the "Blue Revolution," seeks to boost Indonesia's fish exports by more than 70% over the next three years, though the country's expansion is largely aimed for domestic consumption. Indonesia caught and farmed 6.7 million tons of fish in 2008, reported The Wall Street Journal. Full Story (WSJ Subscription Required)

India allowed the export of 500,000 metric tons of sugar under the Open General License for the first time in more than two years. The food ministry allowed mills to export 448,500 tons of sugar, while keeping aside 51,500 tons for exports to neighboring countries such as Bangladesh, Nepal and the Maldives to honor diplomatic commitments. India is expecting its output to jump to between 24.5 million and 25 million metric tons in the marketing year through September, reversing two years of a domestic deficit, reported The Wall Street Journal. Full Story (WSJ Subscription Required)

Lingering cold weather pushed back the planting of many crops in Michigan's Saginaw County, including sugar beets and corn, at least two weeks, according to Michigan State University Extension, reported MLive.com. Full Story (Free Registration Required)

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