Thu. February 18th, 2016 - by Melissa De Leon Chavez

CALIFORNIA - Despite Punxsutawney Phil's impressively terrible accuracy in predicting the length of the season, February started off looking as though he would be right about an early spring until last night.

After experiencing a string of warm, sunny days, certain California regions were hit with rain and mountain snow last night. The weather was thanks to a storm from the Pacific that spread considerably more precipitation further south than those the month has seen thus far.

Alex Sosnowski, Senior Meteorologist, AccuWeather"While this will not be the long-feared or much-anticipated blockbuster storm for California, it will bring drenching rain and heavy mountain snow to central and northern areas with some rain reaching into Southern California," AccuWeather Senior Meteorologist Alex Sosnowski said in a weather report.

Photo Credit: AccuWeather

The “blockbuster” refers to meteorologists’ promises that this month would see the peak of the El Niño storms, as we reported previously. Instead, we have seen almost two dry weeks along the state except for parts of the coast. As for southern California, AccuWeather reports this will be the first time in the month that the Los Angeles area will have seen rain.

"Heavy snow will fall across the Sierra Nevada with a foot or more of snow possible," Brett Rathbun, another AccuWeather Meteorologist, stated, adding that travel would be dangerous through Donner Pass into today.

Photo Credit: AccuWeather

The rainfall began lightly in central and northern California yesterday afternoon, intensifying later in the evening, while southern California saw intermittent rains last night.

Accuweather reports that those showers will continue through today, followed by cooler, drier weather in the southern part of the state this weekend. Meanwhile, in the north, one more dose of rain and mountain snow is expected to touch later tomorrow before the storm has waned.

AndNowUKnow will continue to follow all weather patterns as the western states continue to combat the record drought.

Wed. February 17th, 2016 - by Jordan Okumura-Wright

SPOKANE, WA - Mike Kamphaus, 28-year veteran of Supervalu (with his last position running Supervalu’s W. Newell Produce Company), is making strides in his role as President and CEO of Peirone Produce. Mike joined the company back in June 2014 and has been spearheading the company’s efforts to streamline their business model, focus on enhancing customer service initiatives and improving/upgrading Peirone’s product offerings.

Mike Kamphaus, President and CEO, Peirone Produce“Peirone is a very dynamic company and my hope is to elevate our services and offerings to become the go-to distributor and procurement solution for retailers in Eastern Washington, Idaho, Montana and Oregon,” Mike tells me from his desk in Spokane, Washington. “What I found when I first walked in was a best-in-class facility, a tremendously talented team, and a strong customer base.”

Mike spent the first few months in his position meeting with customers to understand their needs in order to identify the best areas for investment and growth. 

Mike Kamphaus and Others During Retailer Tour of Nogales Crossing

“Two years ago I was running the biggest produce operation for Supervalu (W. Newell) and felt like I had reached all the goals I could accomplish there,” Mike says. “Then the phone rang for this position, and I saw it as my chance to use my experiences at Supervalu and Star Markets to run a stand-alone company.” 

Peirone Produce Company turned 70 years old last year and is looking to grow significantly into its next decade. Originally, the distributor was family-run by the Peirone family till the mid-80’s when it was then acquired by full-line distributor URM, bringing Peirone into the subsidiary fold.  

Peirone Produce

“After being acquired, URM installed Pat Davidson as CEO. One of Pat’s biggest contributions before his retirement was how he took a company that was located in a little facility in downtown Spokane and built it into one of the finest produce distribution centers in the Pacific Northwest,” Mike tells me. “To walk into a facility that was created to handle produce in an optimal and safe environment, allowed me the foundation to concentrate on where to take the company next.”

Before his tenure at Supervalu, Mike came up through the ranks with the retailer Star Markets in Boston, Massachusetts as a produce clerk and subsequently transitioned into its management program.

“Like many in this industry, you have to have a passion for produce, challenges and all. I was lucky enough to find this path,” he adds.

Peirone Produce

Mike tells me that his direction can be summed in two goals: first, making the company supremely customer-centric; and second, becoming the market leader as the produce distributor of choice for retailers in the Inland Pacific Northwest. 

“We are listening to our customers and, in turn, we are reacting to their needs,” Mike tells me. “Currently we are upgrading our product offerings and looking at the company from a technological standpoint to ensure we are buttoned up in all areas from food safety to handling and operational efficiency.”

This week, Peirone is integrating a new warehouse management system with Produce Pro to adapt to their growing customer base and distribution needs. In the past year and half, Peirone has seen double-digit growth and is slated to watch those numbers continue to rise. But this won’t satisfy Mike quite yet; after all, for him, this is only the beginning.

Peirone Produce

Wed. February 17th, 2016 - by Jessica Donnel

BELLINGHAM, WA - Is the Albertson/Haggen drama finally at its stopping point? This week, a U.S. Bankruptcy Court has approved and settled the company’s lawsuit versus Albertsons with a $5.75 million settlement.

Maybe unfortunately for Haggen, however, this is far less than the retailer expected. As we’ve previously reported, Haggen's original lawsuit against Albertsons saw the company seeking over $1 billion when it initially filed in September. In the filing, Haggen had accused Albertsons of “sabotaging” its business after the company's acquisition of 146 Albertsons locations, which took place after the FTC mandated that Albertsons sell many of its stores due to its merger with Safeway. 

Haggen

Just earlier last month we had reported on Albertsons' decision to settle for just under $6 million, when the company declared that even though it believes Haggen's claims “lack merit,” the settlement would allow it to escape what would assuredly be an expensive litigation.

What's next in the Haggen saga? An auction for what the grocer calls its “core stores” has been continually pushed back, but is currently scheduled for Monday, February 29. Stay tuned as AndNowUKnow continues to update you on the latest.

Haggen

Wed. February 17th, 2016 - by Jessica Donnel

WASHINGTON D.C. – The U.S. Department of Agriculture (USDA) has imposed sanctions on three produce businesses in California and Texas for failure to pay reparation awards issued under the Perishable Agricultural Commodities Act (PACA).

According to a USDA press release, the following businesses and individuals are currently restricted from operating in the produce industry:

  • Access Fresh LLC, operating out of Carmel, Calif., for failing to pay a $41,238 award in favor of an Idaho seller. As of the issuance date of the reparation order, Cabbage Head LLC, Richard M. Downey, and Daniel J. Lord were listed as members of the business.
  • Cali Prime Produce LLC, operating out of Belmont, California, for failing to pay a $5,641 award in favor of a Minnesota seller. As of the issuance date of the reparation order, Fouad Saeed Abdulkadir was listed as a member of the business.
  • Monarch Fresh Produce LLC, operating out of Pharr, Texas, for failing to pay a $6,574 award in favor of an Illinois seller. As of the issuance date of the reparation order, Jason N. Stros was listed as a member of the business.

The USDA is required to suspend the license or impose sanctions on an unlicensed business that fails to pay PACA reparations awarded against it as well as impose restrictions against those principals determined to be responsibly connected to the business when the order is issued. Those individuals, including sole proprietors, partners, members, managers, officers, directors, or major stockholders may not be employed by or affiliated with any PACA licensee without USDA-approval.

In the past three years, the USDA has resolved approximately 3,700 PACA claims involving more than $66 million. Its experts have also assisted more than 7,100 callers with issues valued at approximately $100 million. These are just two examples of how the USDA continues to support the fruit and vegetable industry.

Agricultural Marketing Service

Wed. February 17th, 2016 - by Christofer Oberst

LIVINGSTON, CA – Quail H Farms’ in-house sales manager, Larelle Miller, is leaving the company to start a new business that will handle produce sales for the grower. This transition in sales management will be effective February 29, 2016.

Larelle Miller, Owner, Miller Fresh Marketing Larelle’s newly-formed company, Miller Fresh Marketing, will now manage sweet potato and squash sales, including sales order processing and client account management, for Quail H Farms, as well as two other clients specializing in cherries and pears. 

“Today’s world of technology and electronic communications has afforded sales and marketing professionals the ability to effectively manage client relationships and sales functions more efficiently, even from remote sites,” Larelle said. “This means that I can effectively serve as the sales and marketing arm of several client companies from my own office, with a reduced need to be physically on their sites daily. This is an excellent opportunity to establish another successful, female-owned business within the produce industry and the ability to pursue the development of my own company with reputable clients already backing me in the venture is priceless.”

Quail H Farms

Although she will continue to report directly to Jack E. Smith, Quail H Farms’ Co-Owner and Chief Executive, Larelle will be classified as an independent contractor and will no longer be an employee of Quail H Farms, according to a press release.

Jack E. Smith, Co-Owner and CEO, Quail H Farms“We are ecstatic that Larelle is motivated to expand her sales and marketing reach into additional produce markets, and this arrangement is the only logical solution to her desire to do that without the potential for conflicts,” said Smith. “Quail H Farms, LLC has benefited tremendously from Larelle’s produce industry contacts, knowledge base, and reputation, and we feel that this will allow her to develop those mutually beneficial relationships even further.”

Quail H Farms

Overall, both parties see this as an extremely positive move that will give Larelle the opportunity to continue building her sales and marketing company, as well as remain as a key component of Quail H Farms’ marketing success.

Quail H Farms

Wed. February 17th, 2016 - by Melissa De Leon Chavez

SALINAS, CA – It’s well-known that the push for more produce-centric plates continues to strengthen on the industry side, but what about consumer perception on the front line of food trends?

After having conducted a study called “Viva la Veggies,” Mann Packing Company, Inc. has a deeper insight into foodservice operators’ awareness, attitude, and usage of vegetables, as well as consumers’ perception of greener menus.

Gina Nucci, Director of Foodservice Marketing, Mann Packing Company, Inc."This new report is completely in line with what we’re hearing from our customers: there has been a definite shift toward all things veggie,” Gina Nucci, Director of Foodservice Marketing for Mann’s, commented, according to a press release. “Creating menus that are veg-centric is a win-win for both operators and consumers.”

Watch Mann's recent video about consumers' growing love of veggies below:

Conducted by Technomic, an independent research firm, the survey encompassed 305 foodservice operators across an equal mix of commercial and non-commercial segments and collected in-depth information about current food trends, how vegetables are used, and future menu applications.

Some of the company’s key findings included the following:

  • Consumer perceptions about better-for-you menu options have shifted. In the past, health concerns centered around low-fat, low-calorie or low-sugar. Attention is now directed toward whole grains, high nutritional value, and full vegetable servings.
  • More than half of the operators surveyed see economic value in serving more vegetables, and one-third have increased vegetable portion size to reduce the overall cost of a dish.
  • 34 percent of operators find that using veggies in the center of the plate adds more flavor and color to the dish.

As for information specific to Mann’s products, the company found good news in the results. Two-fifths of operators surveyed reported that they purchase ready-to-use vegetables, while one-third of operators that don’t are interested in purchasing them in the future.

Key factors that piqued that interest included ease of use, availability of clean product, and its ability to save time.

In fact, Mann’s reported that three of the vegetables in its Power Blend (kale, kohlrabi, and Brussels sprouts) are in the top 10 vegetables considered “cutting edge” by operators, while four out of the top five are products of Mann’s: kale, Kalettes™, kohlrabi, and Broccolini®.

To access the full Viva la Veggies report, click here. While registration is required, it’s free of charge. Even more tools, including additional summaries and infographics, are available on the company’s new foodservice blog, Mann, That’s Easy. To see the blog, click here.

Mann Packing

Wed. February 17th, 2016 - by Jordan Okumura-Wright

NOGALES, AZ - It has been a busy year thus far for Crown Jewels, with new additions to the company’s product portfolio, increasing supplies, and the new King's Taste reinvigorated label communicating Crown Jewels' continued evolution.

Currently, the company is in the thick of its Mexican produce season, crossing good volume from the states of Sonora and Sinaloa on zucchini squash, cucumbers, bell peppers, eggplant, as well as the company’s new ruby grapefruit, and new hard squashes that include acorn, butternut, and spaghetti.

Atomic Torosian, Partner, Crown JewelsVolume is starting to pick up because of the warmer weather on yellow and gray squash in Sonora and Sinaloa,” Partner, Atomic Torosian, tells me. “Most of these items will be harvested through June depending on markets and weather. The markets have recently been a challenge on zucchini and cucumbers as the warmer weather brought on heavier volume than anticipated. But, prices should level out once we move north.”

Crown Jewels' Bell Peppers

President, Rob Mathias, a driving force behind the company’s new King’s Taste label, shares that Crown Jewels will be starting to launch the brand this spring with vegetables, honeydews, watermelons  and eventually grapes.

Rob Mathias, President, Crown Jewels

“It has been an incredibly exciting year. This label is dedicated to our new grower partner Hector Ortiz Jr. Our General Manager, Jesus Gonzalez, and Sales Manager, Paul Bachelier, have been working diligently to make this happen,” Rob tells me.

As we previously reported, after celebrating Crown Jewels’ 25th Anniversary this past season, the company is continuing to grow as a diversified grower, packer, shipper, with some of the best grower partners in the industry for fresh fruits and vegetables and the company is already working on its next 25-year plan.

Crown Jewels' King's Taste Label

As with most of Crown Jewels’ programs, the company strives to keep the supply chain consistent for its retail partners as the team looks forward to announcing their new California Summer Melon program to the industry very soon.

Crown Jewels

Wed. February 17th, 2016 - by Christofer Oberst

WASHINGTON – USDA has filed action against Poppell’s Produce Inc., a Georgia-based company, for PACA violations.  

The Agricultural Marketing Service, an agency within USDA, alleged in a press release that the company failed to make payment to 20 produce sellers in the amount of $327,702 from September 2012 through December 2013.

Poppell’s Produce Inc. will have an opportunity to request a hearing. If USDA finds, however, that the company committed repeated and flagrant violations, it would be barred from the produce industry for two years. In addition, its principals could not be employed by or affiliated with any PACA licensee for one year and then only with the posting of a USDA approved surety bond.

All interstate traders in fresh and frozen fruits must be licensed by USDA under PACA. If any trader violates the act, USDA is authorized to suspend or revoke their license.

In the past three years, USDA resolved approximately 3,700 PACA claims involving more than $66 million. Its experts also assisted more than 7,100 callers with issues valued at approximately $100 million. These are just two examples of how USDA continues to support the fruit and vegetable industry.

Agricultural Marketing Service

Wed. February 17th, 2016 - by Jessica Donnel

PLANT CITY, FL - Wish Farms has done it once again. The 3rd Annual Bright House Networks Strawberry Picking Challenge, hosted by Wish Farms, has officially banked $77,000 for Redlands Christian Migrant Association.

Gary Wishnatzki, Owner, Wish Farms

“We had a wonderful turnout this year despite the rainy weather,” said Gary Wishnatzki, Owner of Wish Farms. “This fun, family event was well received by the community. We hope we succeeded in bringing awareness not only to the hard work of our farm workers but also to the outstanding contribution that RCMA makes.”

Wish Farms

Held on Saturday, February 6, this fundraising event banded together 18 corporate-sponsored teams to compete in relays for the title of “Best Harvest Crew.” 

A few of the crews that were represented, as well as coaches from strawberry growers around the state, include:

  • United Way Suncoast
  • Monte Package Company
  • ATP Logistics
  • International Paper
  • Florida Strawberry Growers Association
  • Farm Credit of Central Florida

Gary Wishnatzki Presenting the ‘Strawberry Joe’ Perpetual Trophy

When all was said and done, the International Paper team, coached by Philip Stanaland of G&D Farms, came out on top, being awarded the coveted ‘Strawberry Joe’ perpetual trophy. In a separate local strawberry grower challenge, local growers nominated their best harvesters to compete in a pro-picking competition. Out of the six professional strawberry harvesters that participated, Javier Hernandez of G&D Farms received the highest judge’s score for quality and received a $300 cash prize.  

Javier Hernandez of G&D Farms

The day-long event, emceed by InfoMas reporter Melissa Zayas Moreno, featured a smorgasbord of family-friendly events, including a charity u-pick open to the public, a strawberry shortcake eating contest, balloon artist, face painter, games, DJ music provided by Host Entertainment Productions, and special appearances by the Florida Strawberry Festival Queen and Court, and N.R.G. “Next Radical Generation” singing group.   

Wish Farms

According to a press release, proceeds from the event will benefit Redlands Christian Migrant Association, a non-profit organization that operates child-care centers and charter schools for Florida’s rural poor, particularly farm workers’ children. RCMA operates 70 child-care centers and three charter schools throughout Florida.

Wish Farms

Since the inception of the event in 2014, the Wish Farms and the Strawberry Picking Challenge have donated a total of $150,000 to the children of RCMA.  

Wish Farms

Wed. February 17th, 2016 - by Melissa De Leon Chavez

NEW YORK, NY - While Fairway Market struggles to get back on track financially, the company has had more weight added to the pressure. Nasdaq has delivered the chain’s parent, Fairway Group Holdings Corp., with a second notice of delisting, this time for failure to satisfy a continued listing rule or standard.

As we previously reported, Fairway recognized that it could face bankruptcy in the coming months, lacking the funds to open the new stores it planned to help facilitate a turnaround.

“Our current limited cash resources and significant leverage will adversely affect our ability to open new stores,” the company said, according to the New York Post, earlier this month.

Now, a Form 8-K filed by Fairway Group Holdings Corp. with the SEC reveals that the Listing Qualifications Department of The Nasdaq Stock Market has threatened to delist the company for failure to deliver the minimum market value of publicly held shares of $15,000,000 for 30 consecutive business days.

The form does not have any immediate effect on Fairway’s Class A listing with Nasdaq, however, they have 180 days (until August 9, 2016) to deliver that market minimum.

This caution from Nasdaq is separate from another notice the retailer received in early January regarding the bid price requirement, which it must comply with by July 5, 2016 or its Class A common stock will be subject to delisting.

According to the filing, if the chain does close at $15,000,000 or more for a minimum of ten consecutive business days at any time during this 180-day period, Nasdaq will provide written confirmation to the company that it has regained compliance.

If it is not in compliance with this latest notice by August 9, the company will receive a written notice from Nasdaq that its Class A common stock is subject to delisting.

Fairway stated that it intends to monitor its market value of publicly held shares of its Class A common stock between now and August 9, 2016.

While it does intend to consider all available options, the filing said that the company can not provide assurance that it will be able to regain compliance with the Nasdaq minimum value of publicly held shares requirement or maintain compliance with Nasdaq’s other listing requirements, including the bid price requirement.

AndNowUKnow will continue to follow this story as it develops further.

Fairway Market