LANGLEY, B.C. - The Overwaitea Food Group, a supermarket operator based in British Columbia, Canada, is moving eastward in an ambitious expansion plan.
The company expects to open 40 stores in Saskatchewan and Manitoba with its Save-On-Foods banner, according to the Financial Post. The openings will occur over the next three to five years, beginning with seven stores in the spring of 2016. Those seven stores include three locations in Winnipeg, as well as stores in Saskatchewan in Regina, Saskatoon, Yorkton, and Moose Jaw.
Darrell Jones, President of Overwaitea Food Group, told the Post that the company has its sights set on slow organic growth, rather than expansion through mass consolidation.
“Our focus is mainly on building stores and putting stores in neighborhoods where we can build stores to fit the neighborhood – having a more focused approach in the communities where we plan to grow,” Jones tells the Post. “We think that is the advantage we have that makes us unique from our competitors.”
Speaking on the rumors that Metro Inc., Canada’s third-largest grocery chain, would acquire Overwaitea, Jones went on the record as saying, “I simply can’t see, right now, anything like that happening.”
Jones continued, “They have a very successful business in Ontario and Quebec and we are doing our thing in the West and I think that is likely going to be the case for some time to come.”
In total, Overwaitea operates 145 stores in British Columbia and Alberta. Overwaitea operates 80 Save-On grocery stores in B.C. and 30 in Alberta. The company plans to add 10 more stores in B.C. and Alberta over the next 18 months.
Jones also told the Post that it may bring its downtown format, Urban Fare, to Manitoba and Saskatchewan as well.
Stay tuned to AndNowUKnow as we track Overwaitea’s push eastward.
UNITED STATES - Getting the Federal Aviation Administration (FAA) to approve your drone for commercial use hasn’t always been easy. In fact, until just recently it was nearly impossible. You may remember our story from this January about the first-ever drone approved by the FAA for agricultural use. Well, in the past six months, the FAA have approved over 500 exemptions for everyone from farmers, to security companies, to film production companies.
In the last two years, a lack of specific legal framework for commercial drone flight in the US has been a hindrance to growth of the industry, some are saying.
"Getting an FAA exemption was pretty complicated, and hence you mostly had just larger companies, military contractors, and big energy firms spending the effort to obtain them," Bilal Zuberi, a Partner at drone-savvy firm Lux Capital, tells The Verge. "At one point having an exemption was thought of as a real competitive advantage. That's no longer the case. It’s now just a basic, painful, bureaucratic process of standing in line to get your permission."
Now, working with the Center for the Study of the Drone at Bard College, the Verge has collected data on all commercial drone exceptions by the FAA to give us this informative snapshot of the rapidly expanding industry. On The Verge’s website here, you can find an interactive database that allows you to get a clearer picture of the approved companies and what they are planning to do with their drones.
Even in the past six weeks since The Verge started working on this project, they say the number of drone exemptions processed by the FAA has nearly doubled.
"Over the last 12 months, one of the things I have noticed is major corporations have decided the existential risk of drones is gone," continued Zuberi. "Now most big companies have tasked somebody to figure out their "drone" strategy. Previously there was a lot more action happening overseas.”
Thankfully for our industry, however, it looks like that is all starting to change.
MORGAN HILL, CA - Sakata Seed America and P. Allen Smith Garden Home are teaming up, with Sakata Home Grown immediately becoming the official vegetable seed brand of P. Allen Smith.
“A great joy is eating something you have grown in your own garden,” Smith stated in a press release.
Smith is an award-winning designer, garden and lifestyle expert, hosts two of his own public television programs (P. Allen Smith's Garden Home and P. Allen Smith's Garden to Table), hosts the syndicated P. Allen Smith Gardens show, and is a best-selling author for home gardening.
“I am delighted to share with all gardeners and chefs, beginner to expert, an exclusive P. Allen Smith Home Grown Seed Collection,” Smith continued. “I have selected some of my favorites that I grow in my garden, from Red Robin tomatoes to Broccolini broccoli. These varieties are known for their bountiful harvest and great taste, something that would delight all gardeners from their garden to their table. A return to the vegetable garden is a welcomed trend which is good for the well-being of ourselves, families, and communities. It may not be possible to grow an entire garden, but growing just a few things makes a difference.”
According to Sakata, Smith has identified a collection some of the seed company’s varieties and branded it under the P. Allen Smith Home Grown Seed Collection. Now, gardeners and cooks alike will be able to tune into Smith’s various medias, including his shows that air on over 590 stations nationally, YouTube channel, and digital communications, to learn more about things like:
- Details on the new collection.
- How the varieties are performing in the test garden.
- How to grow and cook with Sakata fruits and vegetables.
“Our goal is to provide top-quality fruit and vegetable varieties to gardeners and cooks and their families,” Alecia Troy, Sakata’s Marketing Manager, said in the release. “We look forward to the exposure Allen will bring to gardening and healthy eating with the P. Allen Smith Home Grown Seed Collection. Our partnership with P. Allen Smith is an exciting step toward connecting with consumers through education and passion.”
Smith grew up in the nursery business and his other partners in business include respected names like Bonnie Plants, Proven Winners, Jobes Organics and Le Creuset.
“The fruits and vegetables Allen selected for the P. Allen Smith Home Grown Seed Collection are perfect for the home gardener,” Tracy Lee, Product Manager for the company’s Home Grown division, said. “They are unique, flavorful, and offer added quality and vigor. He’s done his homework – in fact, right now Sakata veggies are planted at Allen’s headquarters at Moss Mountain Farm in Little Rock, Arkansas, where they are continually evaluated for inclusion in recipes, projects and events.”
Sakata recently educated bloggers about the industry as a whole and how seed reaches the end user at P. Allen’s Annual Garden2Blog Event. Located at his Moss Mountain Farm in Little Rock, AR. Founded in 2011, the event hosts 30 garden bloggers from around the U.S. and Canada for two days of trend sharing and knowledge exchange. Sakata also provided seed for bloggers to take home and plant in their own gardens.
PHOENIX, AZ - Sprouts Farmers Market announced that it added two new members to its executive team; Shawn Gensch as the new Chief Marketing Officer and Dan Sanders as the new Executive VP of Store Operations.
“Shawn and Dan share deep retail leadership experience,” Doug Sanders, President and Chief Executive Officer of Sprouts, said in a press release. “With their marketing and operations expertise, Sprouts will continue to grow as a healthy grocery store offering fresh, natural and organic foods at great prices.”
Gensch, whose appointment was effective on June 29th, brings almost 25 years of marketing and finance experience. With executive roles in both the retail and financial services industries, inluding Target’s Senior VP of Marketing position and serving on the Board of Directors for GWG Holdings, Inc., he now will serve as a member of the Sprouts Executive Leadership Team.
“Never before have consumers had so many options when it comes to making decisions about where to shop for groceries and health needs,” Gensch said in the release. “Sprouts is uniquely positioned to join our guests on that journey, to share what we do and why we do it each and every day. Delivering value and variety for healthy living is paramount to the Sprouts brand and I am thrilled to be joining the team.”
Sanders, whose official start date was on July 6th, brings three years as Division President for SUPERVALU, where he led store operations across various divisions including Albertsons and ACME Markets. With a total of 25 years of supermarket operations experience, he has previously served on the Board of Directors of the Food Marketing Institute and the Western Association of Food Chains.
“I look forward to helping Sprouts sustain its unique approach to inspiring healthy living for all through this period of growth,” said Dan Sanders. “Sprouts puts customers first by providing the best value, service and experience every day and I am honored to join the organization.”
Sanders will report to Sprouts’ Chief Operating Officer, Jim Nielsen, and Gensch will report directly to Doug Sanders.
ORLANDO, FL - Jeffrey Davis, former Executive Vice President and Chief Financial Officer for Wal-Mart U.S., has been appointed as Chief Financial Officer for Darden Restaurants, effective July 16, 2015.
Davis will report directly to Darden Restaurants CEO Gene Lee. Lee was thrilled to welcome Davis into the fold, highlighing his successful performance and multiple credentials.
“Jeff is an operationally-focused CFO with a track record of helping businesses thrive,” Lee said in a press release. “His wide-ranging experience and leadership style is a perfect fit for our organization.”
Davis, who succeeds Brad Richmond, will be responsible for the financial functions of the company, including finance and accounting, corporate reporting, investor relations, and more. As we previously reported, Richmond will be retiring at the end of the month after 32 years of service and will move into an advisory role to assist with the transition.
Prior to being appointed to the top financial post at Wal-Mart, Davis served as the Vice President of Finance for the Wal-Mart U.S. specialty division in 2006. He later held roles such as Executive Vice President and Treasurer for Wal-Mart Stores, Inc.
Darden operates restaurants chains including Olive Garden and LongHorn Steakhouse. In recent news, the company announced that it will spin off about 430 of its more than 1,500 restaurants into a real estate investment trust. Last June, Darden revealed that the deal will give the company the opportunity to acquire more real estate. The deal is expected to be complete by the end of the year.
Darden Restaurants owns and operates more than 1,500 restaurants that generate $6.8 billion in annual sales and employs approximately 150,000 people.
SCHILLER PARK, IL - Sun Belle’s Founder and President Janice Honigberg took the time to discuss with us how the company is working with biodynamic-grown blueberries from Chile.
So what is biodynamic agriculture, exactly?
“Biodynamic agriculture is a method of organic growing,” Janice tells us. And it doesn’t stop at blueberries. This autumn the company will also be working with biodynamic grown cranberries as it expands its work within the category.
To find out more about this alternate organic growing method, its certification, and more, watch our entire interview with Janice in the 59 second video above.
SALINAS, CA - The 2015 Forbes Reinventing America: The AgTech Summit in Salinas, California is finally here. With the event kicking off this evening, some of the produce industry’s most innovative companies are preparing to team up with the best of the Silicon Valley as they look to tackle the world’s most critical challenges in farming and food production.
Among those in attendance for the Salinas, CA event will be Driscoll’s Berries, a sponsor and partner of the 2015 Forbes event.
“Driscoll’s has always been an innovator and leader in transforming ideas to real business solutions,” Kevin Murphy, Driscoll’s CEO tells me. “As the fresh berry market leader, we want to continue that tradition and by supporting these types of events we help create an environment of innovation for our industry."
Kevin Murphy will be part of the panel entitled, Farm to Table: The Changing Path to the Consumer on Thursday, July 8th, and this will be a session not to be missed. Driscoll’s is well-positioned to profit from online grocery shopping and the company believes this channel offers a great opportunity to continue building its brand.
The full schedule for the summit includes:
Driscoll’s is currently leveraging relationships with FreshDirect, Ahold PeaPod, Safeway, FruitDay in China and other key retailers worldwide. For the company, providing great tasting berries is the most important thing to the consumer, and delivering as well as preserving the cold chain will be critical in these new business models.
As the speed of emerging technology continues to change the agricultural landscape, Driscoll’s sees these new tech opportunities being employed at all levels of the supply chain. In addition, with scaling global consumer demands, there will be an increased focus on the need for good land, good water, and efficiency of farming.
For Driscoll’s, technology is embedded throughout the supply chain from tracing the company’s berries from farm to table, all the way to data collection platforms to improve yields and manage resources like water. Equally important to Driscoll’s is improving the human labor factor–allowing farm workers to work more efficiently, effectively, and with improved tools.
For those attending the Forbes Reinventing America: The AgTech Summit in Salinas, California, we will see you there!
LEAMINGTON, ON - Pure Flavor has been plenty busy in the past few months, and on the tails of an exclusive marketing agreement for peppers with Enza Zaden, the company today announced another exclusive agreement. Sakata’s mini San Marzano style tomato will be now be marketed under Pure Flavor’s Marzanito™ name.
“Pure Flavor is on a mission to continue pushing for the best flavor experience for the end consumer,” says Jamie Moracci, President of Pure Flavor. “A lot of people talk flavor, but very few develop, allocate resources, and commit to it becoming a reality. This variety is proof that we’re serious about flavor!”
Available throughout North America, this exclusive variety has been in development for many years. Marzanito™ is balanced with sweetness, a tender flesh, and a meaty inside, making it an ideal cooking tomato.
“This variety has a distinct flavor and offers characteristics which cannot be found in other tomatoes,” adds Matt Mastronardi, Chief Marketing Officer for Pure Flavor. These mini San Marzano style tomatoes will also be an important tomato SKU to add to produce departments, Mastronardi is sure to include.
“At Sakata, our team is passionate about our efforts to create varieties that will challenge and shape the future of the industry,” said Kimberly Nerli, Senior Protected Culture Manager of Sakata Seed America. “Creating viable solutions for both growers and consumers remains the central focus of the specialty tomato program, while always keeping in mind the importance of creating a powerful flavor profile across our entire portfolio.”
Sakata has developed a diverse line of specialty tomatoes that includes rounds, grapes, and cherries in a variety of sizes and colors. Pure Flavor notes in a press release that this extensive line illustrates Sakata’s understanding of the needs of the North American market and its passion for delivering above and beyond industry standards.
BOISE, ID - Following earlier rumors last April, Albertsons Companies, Inc. is planning for an initial public offering of stock, according to a regulatory filing on Wednesday.
The filing indicates that the company expects to raise $100 million from the offering, though that figure may change as it is only an estimate used to calculate a filing fee.
The IPO is led by Goldman Sachs & Co., Merrill Lynch, Citigroup, Morgan Stanley & Co., and Lazard Frères & Co, according to the filing.
As of June 20, 2015, Albertsons Companies, Inc. operates 2,205 stores across 33 states under 18 banners, including Albertsons, Safeway, Vons, Jewel-Osco, Shaw’s, Acme, Tom Thumb, Randalls, United Supermarkets, Pavilions, Star Market, and Carrs. Out of those 2,205 stores, Albertsons operates 456 stores, while Safeway operates 1,247.
The company also operates 30 distribution centers and 21 manufacturing facilities.
The map below represents Albertsons Companies’ regional banners and combined store network, as of June 20, 2015.
Safeway and Albertsons completed their merger, worth approximately $9.2 billion, in January. The Federal Trade Commission granted approval to the merger on the condition that the retailers divest 168 stores.
According to the Wall Street Journal, Albertsons had sales of $27.2 billion in fiscal 2014. That figure is boosted to $57.5 billion in sales with the addition of Safeway’s financial performance. This makes Albertsons Companies the second-largest traditional supermarket chain in the U.S. behind Kroger Inc.
In the filing, the company states, “Our operating playbook has enabled us to accelerate identical store sales growth. The Legacy Albertsons Stores have delivered positive identical store sales growth in each of the past 16 fiscal quarters. In fiscal 2014, we delivered identical store sales growth of 8.2% across the SVU (Supervalu) Albertsons Stores, and 9.1% across the NAI (New Albertsons) Stores, compared with negative 4.8% for each of them in fiscal 2012 (prior to their acquisition). Our Safeway stores delivered identical store sales growth of 3.0% in fiscal 2014, compared to 1.4% in fiscal 2013, and we believe that implementation of our playbook will enable us to further accelerate our sales growth.”
In our most recent edition of The Snack magazine, we examined how suppliers may be affected by Safeway-Albertsons decentralized model. For more on that story, click here.
Stay tuned to AndNowUKnow as we continue to follow Albertsons’ initial public offering.
UPDATE (JULY 8, 12:37 PM PACIFIC): At 3:10 pm ET, trading resumed on the New York Stock Exchange after it had been suspended for nearly four hours.
NEW YORK CITY, NY - At 11:32 am local time the New York Stock Exchange (NYSE) came to a screeching halt. About ten minutes later it was announced that all open orders have been canceled.
According to Tech Crunch and CNBC reports, a computer glitch is what brought the exchange to a stop this morning.
“We’re currently experiencing a technical issue that we’re working to resolve as quickly as possible,” an NYSE Spokesperson announced, according to Tech Crunch. “We will be providing further updates as soon as we can, and are doing our utmost to produce a swift resolution, communicate thoroughly and transparently, and ensure a timely and orderly market re-open.”
Though the Department of Homeland Security is involved with the situation, no cyber attack is reportedly suspected. At 12:28 pm NYSE confirmed via its Twitter account that the glitch is internal and not from any kind of security breach.
While new deals are canceled, stocks on other exchanges do continue to trade at this time including NASDAQ and BATS Global Markets.
According to Joe "JJ" Kinahan, Managing Director at TD Ameritrade, business continues as usual despite the market being down. “I think it’s a credit to the system,” Kinahan told CNBC on a call this morning as he commented that the process is being handled very well. “10 years ago this would have been a major problem, but now it’s a seamless event.”
Market Maker for J. Streicher & Co. Mark Otto appeared to agree, according to Reuters, stating on the NYSE floor that the situation is under control and traders were just waiting for word. “There's no sign of panic at all.”
Reuters reported that the NYSE accounted for about 13.4 percent of all equities volume last month and 12.5 percent as of yesterday according to BATS Global Markets data.
NYSE President Tom Farley told CNBC live that it does plan to have the system back online from 2:45 to 3:00 p.m. local time today, and will continue to update the media on the situation as it develops. Previously the NYSE decided that it would announce any additional plans at 2:30 pm local time if the system was not back up by then.