HARRISBURG, PA - C&S Wholesale Grocers, Inc. appears to be bouncing back with the purchase of a Pennsylvania facility with plans to invest upwards of $15 million into the project.
This is a move that will create a minimum of 500 full-time jobs in the area, according to a press release, a happy turn around following the company’s recent need to make nationwide cutbacks.
"Today we are pleased to officially announce the creation of 500 new, full-time jobs through C&S's expansion project," Pennsylvania Governor Tom Wolf stated in the release. "The reuse of this shuttered facility is a huge win for the commonwealth and the Lehigh Valley region, and serves as a prime example of the importance of remaining engaged in securing new employers and opportunities to yield positive economic impacts for Pennsylvania."
In addition to the hundreds of new full-time positions, C&S Wholesale reported it will also be retaining its 1,980 existing employees statewide over the next three years.
According to the governor’s office, the project was coordinated by the Governor's Action Team, a group of experienced economic development professionals that work with businesses considering locating or expanding in Pennsylvania and reports directly to the Governor.
C&S Wholesale received a fundraising proposal from the Department of Community and Economic Development, which included Job Creation Tax Credits amounting to $1,290,000 to be distributed upon creation of the new jobs.
COLORADO - The Colorado Fruits and Vegetable Association, now coming up on its second anniversary of incorporation, is more than just a collective for fruit and vegetable growers to go to for a question here or there.
Board Member Adrian Card and association President Robert Sakata took the time to tell me about the association’s broad spectrum of objectives to overall aid and improve the produce industry in Colorado, as well as some of the main initiatives it is focusing on in the near future.
“We are a grower-led organization with the intention of helping growers make better business decisions, but we look to help them in other areas as well,” Adrian explains. “We look to help influence food safety, labor and water issues, as well as the outward facing aspect to stimulate more business and the purchase of colorado fruits and vegetables in other areas.”
The association also offers several different partnership and membership options, from fruit and vegetable growers that could seek any aid in business management or networking, to those interested in allied partners with financial partnership interest, to everything in between. Even better, it shares a kinship with Western Growers that allows all members and partners to also have a membership with the Western Growers Association.
“Our President, Robert Sakata, is not only a grower, but also holds a seat with Western Growers, helping to give us a voice with federal pushes, as well as educational activities and other important initiatives and resources that Western Growers provides.”
Robert shared with me that partnerships like the one with Western Growers are how the industry will feed future generations.
“The world has become a very small place. With the challenges that fresh fruit and vegetable farmers face, not only on their own operations but on a global scale, how are we going to feed 9 billion people by 2050? This means that gone are the days where we stand alone,” the association President tells me. “We need to partner across the U.S. and we are very fortunate to have linked with Western Growers.”
The Colorado Fruits and Vegetable Association offers a very broad value proposition for growers and industry members, from business planning and management, to risk management, to help with finding the right labor. The latest focal points, Adrian explains, are helping Colorado growers to find the best field labor channels and to understand.
“Helping growers recruit and retain better qualified farm workers, be that through brokers, contractors, or other qualified resources, and helping them understand how to manage and recruit is one of our top priorities right now,” he tells me.
Working with farms that span anywhere from 2 acres to 2,000, there is not much this association does not cover.
Right now some of Colorado’s main produce includes winter squash, tomatoes, potatoes, onions, apples, carrots, and more.
WENATCHEE, WA - Stemilt has released its first pear category Stemilt-O-Graphic of the new crop, showing significant growth in branded pouch bags year-over-year. Using retail scan data from Nielsen Perishables Group, Stemilt’s analysis reveals the percentage that bags contributed to the pear category in October grew from 5.9% in 2014 to 6.9% in 2015, with dollars from bags also on the rise.
“Branded pouch bag programs are making a positive impact on the pear category,” said Stemilt’s Marketing Director Roger Pepperl as he explains that these programs drive up average purchase size. “Stemilt was the first in the industry to introduce pouch bag pears with our Lil Snappers® line of 3lb. pouch bags. Lil Snappers perform well because its branding is aimed at parents and kids, the ideal audience for the smaller sized fruit found inside. The 3lb. size is proven to build volume for the category by not diminishing purchase size.”
According to a press release, Bartlett was the leading pear variety for the category in October with 63% of sales, with Bosc and d’Anjou rounding out the top three varieties at a combined 25% of sales. Stemilt expects this ranking to shift in the coming months, however, as the Bartlett pear season wraps up and is replaced by d’Anjou, a popular winter pear variety that provides an improved consumer eating experience from more time in cold storage.
In general for the produce category, Nielsen data shows the pear category decreased its contribution from 1.2% in October 2014, to 1% in October 2015. Pepperl recommends that retailers can help reverse this trend by dedicating extra shelf space and promotion for pears in the coming months, and especially during the holidays.
“Pears are an ideal fruit to promote in the produce department during the holidays,” explains Pepperl. “Retailers can merchandise bulk pears alongside cheese or wine. Promoting the use of pears in appetizers and even baked dishes encourages shoppers to place this gourmet fruit in their shopping baskets.”
Retailers can benefit from running duel promotions on both bulk and premium pouch bags, Stemilt says, with Lil Snappers® kid-sized pears being ideal for January back-to-school promotions. Pepperl says that Lil Snappers are the leading pouch bag for pears because of its great ability to promote intended use right on the package, leading to volume and sales growth for the entire pear category.
For more on Stemilt’s pear program and Lil Snappers promotions, visit www.stemilt.com.
AUSTIN, TX - More details surfaced this week about Whole Foods’ planned share buyback program, with the Austin, TX-based company revealing that it will issue $1 billion in ten-year senior unsecured notes at an interest rate of 5.2 percent.
Whole Foods will use the proceeds for "general corporate purposes," Standard & Poor’s Ratings Services (S&P) told the Wall Street Journal, including the recently announced, open-ended $1 billion share repurchase program.
Last month in an announcement that coincided with its Q4 financial report, Whole Foods unveiled plans to enter into a $500 million five-year revolving credit facility, as well as initiate a buy back of $1 billion of its own shares. Analysts believe this move may be a signal that the company believes its stock is undervalued at its current price.
“Whole Foods remains the leader in the natural and organic sub-segment of the highly fragmented food-retail industry yet its overall share of the food-retail industry is still relatively small and under pressure,” S&P said in a release
In an announcement that followed Whole Foods' Q4 report, Standard & Poor’s downgraded its outlook of Whole Foods from “stable” to “negative,” explaining, "The negative outlook reflects our view that credit protection measures could erode more than we had previously anticipated given the increase to debt and continued competitive headwinds that pressure sales and margins.”
Prior to Whole Foods’ announcement, the company’s shares had reached a month low of $29.15, but as of 1:20 PM EST, shares were on the rise to $29.88.
For more on this story as it develops, stay tuned to AndNowUKnow.
NEWARK, DE - PMA will be experiencing a year of transition with the onset of 2016, with CEO Bryan Silbermann announcing his plan to retire at the end of January 2017 after 33 years.
With a detailed plan to pass the torch to current PMA President Cathy Burns, the two association leaders took the time to discuss with me the plan that is in place to usher in this new era for PMA.
“Ever since Cathy joined us two years ago, it’s been my intent to retire on January 31st, 2017,” Bryan tells me, explaining that Cathy will take over officially as CEO beginning that month, January 1, 2017. “And starting on January the first of 2016, all the staff reporting relationships are going to transition from me to Cathy. Cathy will run the day to day operations of the association, I’ll continue as CEO and we’ll work closely together, but she’ll be running the shop.”
During the time that Cathy will be taking on this role, Bryan detailed that he will not be short of things to do, including representing PMA at the association’s worldwide events and meeting with members one-on-one to help them get the most value from their membership.
During this time Bryan will also be:
- Working with the Center for Produce Safety Executive Director Bonnie Fernandez-Fenaroli, where he currently serves as Secretary Treasurer, to firmly establish its new governance processes and complete fundraising for the Campaign for Produce Safety.
- Working on collaborative initiatives with the United Fresh Produce Association and other groups.
- Updating the history of PMA to help capture the institutional knowledge of long-time staff and volunteer leaders.
On the other side, Cathy explained that in addition to running the day to day operations for PMA, three other areas have been identified that she’ll be focused on as it relates to 2016. This, she said, begins with leading the organization’s performance against benchmarks outlined in PMA’s strategic plan 2.0, which was outlined when she joined the association.
“One of my deciding factors in joining PMA was embracing the strategic plan and to own it like I wrote it, which I have for the last couple of years and will continue to do so for the life of this strategic plan,” Cathy said.
Another area of focus will be serving as the primary contact between the Board of Directors and staff, as well as leading PMA’s long-term growth and staff development to ensure the association continues to provide year-round, personalized value to members and industry alike.
In a statement, Bryan shared that he never imagined when joining PMA in 1983 that he’d be looking back 33 years later at a career that has given him such satisfaction and room to grow.
“What I thought would be a three-year gig ran more than ten times as long! That’s a tribute both to the welcoming nature of the people who make up this great industry, and to the staff family which makes up this world-class association. I can’t wait to see how we grow in the next year and the decades ahead – because helping to grow businesses is what PMA does best.”
We share in Bryan’s excitement as we enter a year that will see the ending of one great chapter for PMA and the start of another. Keep checking with AndNowUKnow as we continue to follow this transition in leadership, and all other new influencing the produce industry.
IDAHO FALLS, ID - Welcome to What’s In Store.
Since 1943, Wada Farms has made its goal to put quality potatoes on the American dinner table with integrity and respect. While the company continues to expand its program, Wada Farms is introducing its new product line of grown in Idaho, Organic potatoes. The company has consistently grown within its boundaries of the land to keep farming healthy and mother nature happy.
Choosing this Wada Farms bag of organic potatoes is not only a personal choice, but also a mindful one for the planet. These potatoes are available starting October 26th and running through March 2016 in Tater Made, sustainable bags, made from up to 25% starch-based renewable content.
Now available in 3 lb. and 5 lb. sizes, retailers can offer these innovative and sustainable new packages for Wada’s Organic Russet, Red, and Gold potato varieties.
Wada Farms believes in the value of providing both organic and conventionally grown potatoes. While organics are not for everyone, the company is excited about the opportunity to grow with this category to meet the increasing demand.
Thank you for watching What's In Store.
DELTA, B.C. - With the wrap-up of another successful season at Windset Farms’ BC greenhouse comes one more reason to celebrate—another year of the company providing donations in support of the FCC Drive Away Hunger Campaign.
“I’m honored and grateful to have Windset Farms as a long-time partner to FCC Drive Away Hunger,” said Michael Hoffort, FCC’s President and CEO. “Corporate partners like Windset Farms make a huge difference to the success of the program and to Canadian families.”
According to a press release, this year marks Windset’s fifth as a National Sponsor for the organization, and the company says it has already made plans to continue its support in the coming year. Over the past five years, Windset Farms has been able to donate over 300,000 pounds (136,100kg) of fresh and nutritious vegetables to food banks in BC.
“As a family farm, we love this opportunity to be able to give back to other families in our community,” adds John Newell, COO and Owner of Windset Farms. “Drive Away Hunger has already done so much to fight hunger and we look forward to being part of their continued success.”
To learn more about Drive Away Hunger, watch the video below.
This year, Drive Away Hunger reports that it was able to collect enough food to put 5.2 million meals on the plates of hungry Canadians across the country, and Windset Farms is happy to have been part of this accomplishment.
WENATCHEE, WA - It has been just six months since completing some of the final rooms for CMI’s 500,000+ square-foot facility, housing new packing lines equipped with the latest technological machinery, and the company is ready to showcase the final product.
How to do so, however, presented a bit of an obstacle. The only way, the company stated in a press release, was to take to the skies with drone technology.
“There is really no way to appreciate the magnitude of this facility without seeing it from the air,” Katharine Grove, Marketing Specialist at CMI, said in a press release. “So that’s exactly what we did in the video, using an HD drone to shoot the plant from above. We also took some calculated risks with the shoot, precariously flying a drone inside our new facility above live-running apple lines to show the notable features of the new plant.”
To see the footage for yourself, watch this brief video:
With separate cherry and apple facilities, the capacity for 350,000 packaged fruit cartons with potential for 12,000 carts to be packed per shift, and 15 open loading docks (with expansion to 30), Katharine added there have been few apple facilities of this size built from the ground up in the last twenty years. “Most apple packing plants here are grown incrementally, with growers gradually expanding and adding on to existing warehouses. McDougall & Sons started with a detailed plan, a large chunk of open land, and built it 100% from the ground up.”
With the completion of the apple room in July of 2014 and the cherry room in June of 2015, Bryon McDougall, Vice President of McDougall & Sons, said in the release that the plant required more than five years of planning and construction.
“Looking at the future growth of our company orchards, plus the growth of our independent grower base, we knew the only way moving forward was building a brand new facility,” he stated. “While building from the ground up is more costly, strategically it was the best option for managing our future needs.”
With the CA storage capacity of one million cartons, the new McDougall & Sons’ facility is already packing all conventional apple varieties, including Red Delicious, Gala, Fuji, Pink Lady, and Ambrosia™, marketed by CMI.
COMMERCE, CA - Haggen stores continue to change hands. In the most recent round, Smart & Final Stores LLC has acquired an additional 32 stores for about $68 million, approved by a U.S. Bankruptcy Court yesterday.
"We're excited about the opportunity to build upon our footprint in the important California market,” CEO David Hirz said, according to a press release. "We continue to see significant room for growth within our existing markets. Through the acquisition of the Haggen stores, we will capture some of this opportunity. Our team looks forward to serving the communities of each new store."
Hirz called the move a strategic acquisition, saying that this places the chain ahead in its 'Project 100' plan - 100 new stores, 100 new teams, and investing in 100 new neighborhood projects in the next four years.
The company added that it plans to convert all 32 stores to its Extra! store format, including expanded fresh produce, natural and organic product line, as well as deli, meat, and frozen selections with a smaller and more convenient size.
Below is a complete list of the most recent Haggen locations Smart & Final acquired:
As we previously reported, Smart & Final had purchased four of the 47 Haggens that were approved to go last week, along with Albertsons, Sprouts Farmers Market, and Stater Bros., plus 28 other California locations for $56 million earlier this month.
Keep checking in with AndNowKnow as we continue to follow the acquisition saga currently affecting the retail circuit.
CALIFORNIA - If you happen to be a Californian citrus grower, this past holiday weekend brought more than just seemingly endless leftovers and door-busting sales. California’s Central Valley welcomed cold weather reaching below 30 degrees; quite a departure from last year’s overly warm temperatures.
According to a press release from California Citrus Mutual (CCM), temperatures in the coldest areas of the Valley dropped to of 27 and 28 degrees for a time. The organization calls these conditions "ideal for this early in the navel season," saying the temperatures improve both the fruit’s color and flavor.
This year’s mandarin crop, which traditionally is less cold tolerant than other citrus varieties, has yet to be damaged by the cold weather, either, reports are showing. However, mandarin growers in Kern, Tulare, Fresno, and Madera counties have reported the use of wind machines on Saturday and Sunday nights to push temperatures up in the groves. A strong inversion layer in many areas also helped to keep temperatures manageable, a CCM press release explains.
A weather report provided by the Weather Advisory Service says the cold weather is here to stay for the Central Valley as well. The Service predicts near freezing minimum temperatures throughout the beginning of December, all the way through December 11th. This could potentially mean good things for the Valley's citrus crop, CCM says.
AndNowUKnow will be continuing coverage of the Central Valley’s citrus crop, so stay tuned for updates.