Thu. August 7th, 2014 - by Andrew McDaniel

WASHINGTON, D.C. – United Fresh is gearing up for The Washington Conference on September 8-10, 2014 with a fun video featuring United Fresh Board members lip-syncing to "Ain’t No Stopping Us Now."  You gotta see this! Make sure to check it out below.

Here are some of the activities taking place at this year’s conference:

  • Opening Party on Rooftop Terrace Overlooking the Capitol:  This year’s opening party is bigger and better than ever before! You’ll enjoy one of the best vantage points in the city on the Rooftop Terrace of Charlie Palmer Steak, all while networking with produce industry friends and partners.
  • United FreshPAC Reception & Dinner at the Capitol Hill Club:  The United FreshPAC reception and dinner will be held at the famous National Republican Club of Capitol Hill. This prestigious reception brings together members who have made a personal commitment to the United FreshPAC to strengthen the produce industry. For more information, contact Angela Tiwari at 202-303-3416. 

  • Fresh Festival on Capitol Hill:  At this unique event that’s become one of the most talked-about receptions in DC, you’ll network with members of Congress, their staff and key administration officials as they sample the colorful and flavorful items of our industry. 

  • New Member & First-Time Attendee Welcome:  This special reception welcomes United’s newest members and first-time conference attendees. Make new contacts and learn about how you can get more involved with United! (Invitation Only)
  • Leadership Alumni Organization Dinner:  Following the Opening Party, United Fresh Produce Industry Leadership Program alumni will gather at Charlie Palmer Steak Alcove. The program, which was first started in 1995, has graduated nineteen classes of produce industry leaders. For more information, contact Victoria Backer at 202-303-3408. (Invitation Only)

The conference will also feature sessions and activities like business education sessions, congressional meetings and forums with regulatory officials.  To register, click here.

United Fresh

Thu. August 7th, 2014 - by Christofer Oberst

CHARLOTTE, NC - Chiquita shares climbed this morning as the company reported its second quarter financial results.

As of 12:40 PM ET, shares are up $0.54 to $10.20, a 5.59% increase revealing positive relative strength as the company nears the closing of its announced merger with Fyffes.  Check out this five day snapshot of Chiquita's stock:

The company earned profits of $18 million in the second quarter of this year.  This is a 42% decrease from the same quarter last year.

"Our second quarter results reflect sequential improvement versus the weather-impacted first quarter and versus year ago overall. We remain on path toward the long-term goals established with our 'return to the core' strategy despite substantial headwinds in the quarter and year to date," said Chiquita CEO Ed Lonergan in a statement.  “We realized value and volume sales increases in our banana operations, but reduced productivity, principally due to dry weather, on both owned and third-party farms in Central America resulted in higher sourcing costs and less fruit to sell in our weekly pricing markets.”

The company’s revenue actually climbed just under 2% in Q2 to $826 million, but its costs of sales grew at 3% and affected profit margins.  Bananas are still the largest seller for Chiquita, accounting for $537 million in sales during the quarter, ror a 3% increase.

Lonergan added, "We continue to make progress toward our proposed combination with Fyffes. We are confident this merger of equals unites highly complementary businesses and teams, and will enable us to improve service and reliability to customers while improving the efficiency of our operations. Our shareholder meeting to approve the transaction will take place on September 17, 2014, and we expect to close the transaction by the end of the year, subject to satisfaction of previously announced closing conditions."

Chiquita expects to achieve run-rate EBIT margins of 4% for bananas and 7-8% for salads by the end of 2015.

Stay tuned to AndNowUKnow as we continue to follow Chiquita and its merger with Fyffes.

Chiquita

Thu. August 7th, 2014 - by Kyle Braver

TEWKSBURY, MA - News is breaking that Hannaford Bros. has entered a serious offer to purchase majority control of Market Basket from Arthur S. Demoulas' side of the family, one which makes Arthur T. Demoulas' own attempts to obtain majority control of his family's business a lot more complicated.

Kevin Griffin, publisher of the Griffin Report on Food Marketing, told the Boston Globe that Hannaford has a lot to gain from a Market Basket acquisition.

“When I think about the geographic locations of Hannaford and Market Basket, there’s some overlap, but I think they would be mostly complementary,” he said.

Hannaford LocationsDemoulas Locations

Arthur T. Demoulas and his side of the family currently enjoy control over 49.5% of the controlling shares for Market Basket, a number he has been trying to increase with attempts to buyout control over the 50.5% of the business owned by his cousin Arthur S. Demoulas' side of the family. Until now, Arthur T. Demoulas was the clear front runner in buyout talks and considered by many Market Basket's only chance to restore peace after the labor controversy his firing early this summer created.

For more on that controversy check out ANUK's previous article here.

What a Hannaford acquisition would mean for Arthur T. Demoulas is unclear. Potentially, Hannaford executives could return Arthur T. Demoulas to his former position as President and CEO of the company.

“The problem there is they would have to have a lot of faith in Arthur T., and you can basically never get rid of him if it doesn’t work out,” Gary Chaison told the Boston Globe. “But I think the only way out is a return to the past, with Arthur T. getting his job back.”

James J. Hanks, a specialist in mergers, acquisitions and corporate governance at Northwestern Law School, sees the possibility of other courses of actions. If Hannaford wanted its own candidate in the CEO seat, it could offer Arthur T. Demoulas a lesser position of influence within the company such as an executive advisory role.

There is also the possibility of an attempt to force Demoulas' hand to get him to sell his own shares of Market Basket.

“The buyer could go to Arthur T. and play hardball and say, ‘We have the votes to merge Market Basket with our chain that we own 100 percent,’ ” Hanks said.

This would dilute Arthur T. Demoulas' ownership shares, dramatically weakening his influence within the company.

With so many variables in the equation, the simple truth is that it is hard for anyone to predict what will happen next for Market Basket. When the news does break however, you can count on AndNowUKnow to be there first to keep you in the know.

Market Basket

Hannaford Bros

Thu. August 7th, 2014 - by Jordan Okumura-Wright

ANTIGO, WI - Volm Companies is celebrating 60 years of innovation this year.  In 1954 Gerald Volm, founder of the company, opened a small farm supply store carrying burlap potato bags in the rural community of Bryant, Wisconsin.  Volm then formed distributor relationships with other bag companies and moved its growing business to Antigo, Wisconsin where it began manufacturing its own bags to meet changing market needs. 

Volm Celebrating 60th Anniversary

In addition, Volm has invested in a packaging equipment manufacturing business and partnered with several equipment suppliers to be able to provide complete solutions for growers, packers and processors.  Volm has since expanded to include multiple manufacturing, sales, and distribution locations across the nation with sales support in Canada as well.

Volm Celebrating 60th Anniversary

Matt Alexander, VP of Sales & Marketing

Matt Alexander, VP of Sales & Marketing tells us, “As Volm continues to make strategic investments in North America to strengthen its core fresh produce business; the future is bright and full of opportunities.  Customers can expect to see a constant stream of innovative packaging and equipment solutions from their trusted long term partner who understands the fresh produce supply chain from packing facility to market shelf.”

The company continues to follow Gerald Volm’s example by serving customers the high value solutions they need, along with the personalized customer service they deserve.  Volm will continue to celebrate their anniversary throughout the year at various events including October’s PMA Fresh Summit where they invite their customers and attendees to join them at their booth.

Volm Companies

 

Wed. August 6th, 2014 - by Christofer Oberst

HOUSTON, TX - After 50 years of dedication to the produce industry, FreshPoint Dallas President Lucian LaBarba, has decided to retire. As of July 23rd, when his retirement officially went into effect, the longtime produce veteran will be letting a new generation of leaders take over business operations.

Lucian LaBarba“Everyday you got to defend your turf,” Lucian tells me.  It is a principle that he has lived by.  “You get customers and develop customers over a long period of time.  We were taught by the best, and the only way you maintain these relationships is by working and helping them everyday.”

LaBarba first got involved in the produce business as a teenager, working for his family's company, American Pre-Pack.  “Becoming a Produce Man started at 14 years of age, there was no after school care, we went to the Market, we were taught the LaBarba Family Brand. Work came with a lot of discipline; that, we all proudly followed,” Lucian said. "It started with my Dad, Carlo, and Uncle Ernest, they were strong teachers. That is where I learned to treat all with class and dignity. 'Be Fair' -- that was their motto."

After cutting his teeth in spinach packing operations, he transitioned to his family’s wholesale produce company in the Dallas Farmers Market where he learned important lessons on working with customers and upholding the LaBarba way of doing business.

In 1981, the company changed its name to American Foodservice, whereupon LaBarba spent the next several years working in its sales department. The company was later purchased by Sysco's FreshPoint, after which LaBarba remained a major company leader until his retirement.

In a letter to his family of associates, Lucian said, “The Family to me means all of our Associates and their Families, this is why we go to work. To our Vendors they have always taken on our business and known how personal it was to us. And to our Customers, we never sold anybody, we helped them with their needs. For 97 years, we pioneered many new products and brands with quality and value. To all of our valued Customers and Friends nothing would be possible without the great support that we have received. When I think about our many friends, I can say thank you to all. I say thank you from all of us and our Family of Associates. It has been a great ride.”

Congratulations on your retirement, Lucian! We wish you the best.

FreshPoint

Wed. August 6th, 2014 - by Andrew McDaniel

MOSCOW, RU – Russian President Vladimir Putin has ordered one-year limitations on food and agricultural imports from countries that have imposed sanctions against Russia over its actions in Ukraine.

Though the full list of products to be banned or limited is not yet published, Reuters reports that the Russian state news agency stated on Wednesday that Russia will ban all imports of food from the United States and all fruit and vegetables from Europe.  Alexei Alexeenko of Russia’s Plant and Veterinary Oversight Service was quoted as saying “from the USA, all products that are produced there and brought to Russia will be prohibited.”

The Associated Press reports that White House spokeswoman Laura Lucas Magnuson decried the import ban, saying "Retaliating against Western companies or countries will deepen Russia's international isolation, causing further damage to its own economy."

Food and agricultural imports from the U.S. amounted to $1.3 billion last year, according to the U.S. Department of Agriculture.

In an emailed statement to reporters, the American Farm Bureau Federation President Bob Stallman said, “This is clearly a political move. It is unfortunate that the biggest losers in this will be Russian consumers, who will pay more for their food now as well as in the long run. America's farmers and ranchers would have been more surprised if Russia’s leaders had not announced bans and restrictions on food and agricultural imports. They do so regularly for seemingly small reasons and now they have to deal with sanctions imposed by our nation and others."

We reported earlier this year that U.S. sanctions against Russia could have a direct impact on U.S. exporters.  Russia is the largest importer of apples and pears in the world, according to the USDA.  The U.S. exported an estimated 16.1 million pounds of apples to Russia in 2012, and an estimated 15.6 million pounds of pears in 2013.  To read more in our previous article, click here.

For now, we will have to wait and see what effects these bans will have on U.S. agricultural exporters.  Stay tuned to AndNowUKnow as we continue to track this ongoing story.

Wed. August 6th, 2014 - by Christofer Oberst

Mike Green, EVP and President of Foodservice Operations

HOUSTON, TX – Executive Vice President and President of Foodservice Operations Mike Green has announced plans to retire after a 24 year career with the company.

"Mike has been a strong and impactful leader throughout his 24-year career with Sysco, playing an important role in the development of several of our key leaders," said Bill DeLaney, Sysco President and Chief Executive Officer. "We greatly appreciate his many significant contributions to Sysco's success, and we wish him the best upon his retirement."

Green started his career in the foodservice industry in 1981 after which he spent 10 years working in various management roles before taking a position with Sysco Chicago in 1981 as part of Sysco's management development program. By 1992 he was working as the Vice President of Marketing and Merchandising. He worked his way up the chain of command steadily throughout the years, eventually assuming his current position in 2013.

According to a press release, Sysco is still in the process of identifying Green's successor.

Stay tuned to AndNowUKnow for any updates in Sysco's hiring process.  

Sysco

Wed. August 6th, 2014 - by Jordan Okumura-Wright

SALINAS, CA – TransFresh Corporation, a wholly-owned subsidiary of Chiquita Brands, has significantly modified its flagship technology, Tectrol® Modified Atmosphere Packaging Systems, to deliver more consistent supplies of fresh blueberries.

This marks the successful completion of a multi-year research and development initiative that created a unique Tectrol Storage Solution that uses Apio’s patented BreatheWay® Technology to deliver a sealed package system with adjustable oxygen transfer rates that react to changes in temperature and berry respiration, according to a press release.  This will allow for more reliable fresh blueberry storage.

Rich Macleod, TransFresh Corporation Vice President“What’s remarkable about the Tectrol Storage Solution for fresh blueberries is that the innovative zip-sealed pallet system combined with the patented breathable membrane allows just the right amount of oxygen transfer needed by the fruit, resulting in greater atmosphere control than previously possible and a virtually fool-proof packing operation,” stated Rich Macleod, TransFresh Corporation Vice President. 

“Customers who may have struggled in the past to meet the specific atmosphere needs of fresh blueberries are now finding they have a new solution available with higher consistency and a more stable atmosphere for greater storage reliability,” he said.

These innovations should give customers more confidence in their storage solutions by being able to more effectively match supplies with market demand.  TransFresh hopes to be able to adapt this technology to other commodities like fresh cherries and grapes.

Reilly Rhodes, TransFresh Tectrol Business Manager for fresh blueberries, spearheaded the multi-year development project.  When speaking of the ‘A-ha’ moment in the process, he said, “We redesigned our seal system for the fresh blueberry market and then married the redesigned seal and bag with the Apio BreatheWay® technology… at that stage, we were no longer simply adapting a successful program for fresh strawberries to fresh blueberries, we were actually creating a new and highly adaptable solution designed specifically for fresh blueberries.”

Domestic markets have sold 15% more blueberries this year than last and represent a fast growing berry segment, according to a press release.  The ability to hold blueberries in a modified or controlled atmosphere conditions helps to alleviate difficulties in market supply and demand.

TransFresh

Wed. August 6th, 2014 - by Christofer Oberst

LOS ALAMITOS, CA – Frieda's Produce was named a trendsetter among the major influencers of American food culture by David Sax in his new book: “The Tastemakers: Why We’re Crazy for Cupcakes But Fed Up with Fondue.”

"Agriculture's tastemakers are arguably the most potent trendsetters in the world," he said.

By naming Frieda's among these trendsetters, Sax recognized the incredible influence that Frieda's has had not just on the produce industry, but the American public as well. Sax specifically recounts how through discussions with Karen Caplan, Frieda’s President and CEO, he learned how Frieda's played a major role in turning the kiwifruit from a specialty item into an every day staple for the American consumer.

According to a press release, Sax has also authored "Save the Deli: In Search of Perfect Pastrami, Crusty Rye, and the Heart of Jewish Delicatessen" and has won a James Beard Award for writing and literature.

Congratulations, Frieda's! I look forward to seeing the company featured in the new book.

Frieda's Produce

Wed. August 6th, 2014 - by Kyle Braver

BOISE, ID - WinCo is expanding its in-store organics selection with a new all organics aisle in the produce section. According to the company's Facebook page, the new section is so far only being tested in select stores, but plans are in place to expand the program if it meets with success in this preliminary stage.

In response to a comment on its Facebook page a WinCo spokesperson wrote, “We're testing this area on a few stores...but we'll gladly let our Produce team know you want to see it in Oregon - thank you!”WinCo Organic Produce

So far the program has met with enthusiastic approval from loyal WinCo shoppers. WinCo highlighted one customer's comment which read: “I just wanted to say thank you for widening your selection of natural and organic products. You have the best prices in town and have saved me a trip to a second store by expanding choices! A special thanks for bringing back organic milk by the gallon, and introducing more organic produce.”

WinCo's actions reflect a growing demand for organic vegetables among American consumers. Earlier this summer for example, ANUK reported on a survey by the Organic Trade Association which found that 'heath' and organic foods are becoming increasingly synonymous for American consumers looking to feed their families. Retailers across the country are having to step up their organics game to keep up with this growing demand, and WinCo is no exception. 

To read more about this enlightening survey check out our article on the subject here.

Stay tuned to AndNowUKnow for any updates on WinCo and its partners in the retail industry.  

WinCo