July 21, 2008

Operator News

Restaurant Holdings Group Inc. outlined the franchise expansion plan for Inka Grill, the Peruvian home-style casual dining restaurants, for the next five years. The plan projects an initial thirty franchises in the first two years, scaling up to an estimated 220 units by year five. Full Story

Following Starbucks' plan to close some 600 units, some localities started campaigns to have the coffee chain change its mind, reported The Wall Street Journal. While the largest number of closings will be in California, Florida and Texas, the impact is greater proportionally in states such as Mississippi, which is slated to lose 41% of its Starbucks locations. Full Story (WSJ Subscription Required), List of Starbucks Closing

Since moving its headquarters to Texas, Stockade Companies LLC plans to expand its steak restaurant concepts, adding three Sirloin Stockades and four Montana Mike's in the Austin area over the next five years, reported Austin Business Journal. Full Story (Free Registration Required)

E-Brands Restaurants LLC is investing $14 million into restaurant operations in Central Florida and beyond. The company's projects include opening a new concept and performing all food and beverage operations for the Westin Harbour Island in Tampa, reported Orlando Business Journal. Full Story (Free Registration Required)

Retail News

A specialty grocery business, Kosher on Wheels, visits 15 communities all over Florida. The long trailer is filled with shelves and refrigerators and freezers full of kosher specialty goods and staples, according to The News-Press. Full Story

Dillons Stores and Kwik Shop will open a hybrid convenience/grocery store in Greensburg, KS. The expansion phase of the project will almost triple the size of the existing location to about 8,000-sq. ft. and construction is expected to be finished early next year, reported the Wichita Business Journal. Full Story (Free Registration Required)

Industry News

Grocery coupon clipping households tend to spend slightly more money on groceries weekly, $114, versus the national average of $110, according to Scarborough Research. They are more likely than the average household to purchase a variety of grocery products across categories- from pantry staples like coffee and ready-to-eat cereal to health items such as yogurt and energy/nutrition bars. The Sunday newspaper remains the number one place for acquiring household coupons, with 53% of households getting their coupons from that source. Internet coupons are of increasing interest to consumers,with 11% of households currently obtaining coupons via the web, an increase of 83% since 2005. Full Story

About 71% of consumers plan to spend less on back-to-school items this year, and almost half (48%) plan to reduce their household spending by more than $100, according to a survey from Deloitte. Some 79% will buy more back-to-school items on sale, 70% will buy only what their family needs, 68% will purchase more lower-priced items, and 53% will use more store coupons. Full Story

InBev's access to Anheuser-Busch's distribution network will allow it to spread its brews into convenience stores, markets and bars across the nation. While InBev makes hundreds of different brews around the globe, it currently exports only about two dozen to the U.S., and experts predict that it will change in the near future, reported The Wall Street Journal. Full Story (WSJ Subscription Required)

"Rewiring" Kraft's culture is a big part of CEO Irene Rosenfeld's plans to increase sales at the company, which is looking to boost revenue 12% to 13% this year. In 2009, the focus will be on international markets as it continues to integrate it new global biscuit business, which it bought from Groupe Danone last year giving it a ready-made distribution and factory network across 20 countries, reported The Financial Times. Full Story

Latest sales & earnings for food related companies (Updated Daily)

Coca-Cola Bottling Co. Consolidated will eliminate 5% of its work force in an effort to improve efficiency and help offset significant increases in the cost of raw materials and in its operating expenses, reported the Charlotte Business Journal. Full Story (Free Registration Required)

In a study of mobile marketing, about 24% of consumers surveyed responded to a mobile offer, while 21% responded to three or more offers per month, according to the Direct Marketing Association. Food and beverage represented 21% of the mobile offers studied, reported Supermarket News. Full Story

An additive, UmamiPrime, was launched as a possible alternative to monosodium glutamate, reported Food Navigator. The additive could help food manufacturers reduce costs and salt content in their products, according to International Flavors & Fragrances, which developed the product and has the proprietary patent. Full Story

The EU offered to cut its farm tariffs by 60% to kick-start trade talks in Geneva. EU trade commissioner Peter Mandelson urged emerging economies such as Brazil, India and China to reciprocate by slashing their industrial tariffs, reported BBC NEWS. Full Story

Global food shortages are forcing the Middle East and North Africa to choose between growing more crops to feed an expanding population or preserving their limited supply of water, reported The New York Times on the Web. High import costs are exasperating the problem. Full Story (Free Registration Required)

Unilever signed a definitive agreement for the disposal of its Bertolli olive oil and vinegar business with Grupo SOS for a consideration of €630 million. Full Story

Washington News

FDA will set up offices in Delhi and Mumbai, India, in 2009 in an effort to improve the safety of imported food and drug products. The offices will be part of the "FDA Without Borders" initiative disclosed by FDA Commissioner Andrew von Eschenbach in March. Full Story

A Washington state judge issued a temporary restraining order to stop USDA's Critical Feed Use program. The program allows ranchers to graze cattle or cut hay on Conservation Reserve Program acres when the spring nesting season for grass-nesting birds ends, reported The Wichita Eagle. Full Story (Free Registration Required)

Market News

Colorado's peaches will arrive at markets roughly 10 days behind schedule in August, but growers claim the quality of this year's crop is better than usual, reported Rocky Mountain News. Full Story

A microbe living in backyard gardens might provide some protection against foodborne pathogens. Agricultural Research Service geneticists looked at the pathogen-fighting abilities of the farm and garden-friendly microbe, Enterobacter asburiae, in studies begun in 2002. E. asburiae can significantly reduce the levels of two pathogens, E. coli O157:H7 and Salmonella enterica. Full Story

USDA revised requirements regarding off-grade raisins under the Federal marketing order for California raisins. Full Notice

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