CHESHUNT, ENGLAND - Only months after the resignation of Board Chairman Sir Richard Broadbent and the suspensions of eight top level executives, Tesco has reportedly added Chris Robinson's name to the list.
According to the Telegraph, Robinson, Tesco's Finance Director of its Food Sourcing Division, has been suspended as a result of his connection to the $421 million profit error scandal which has rocked the retailer over the past calendar year.
Despite the challenges surrounding his office, CEO Dave Lewis is confident in Tesco's ability get back on track and regain the enviable position it used to enjoy in the British retail community. Between closing underperforming stores and the launch of its new One Stop discount format, Lewis is firm in his belief that Tesco is heading in the right direction.
“We have shown ourselves that the expertise that exists within the team at Tesco is as good and strong as it's ever been,” he shared with BBC. “But we're not at all kidding ourselves that we've in any way turned the corner. There's an awful lot more that we need to do. We'll continue to invest in our business, but we also need to make some tough decisions. Obviously, we've announced some of these today.”
The success of this turnaround plan will be something that only time can tell, but Lewis' confidence is certaily reassuring. Stay tuned to ANUK as we continue to track the ongoing situation at Tesco.
KINGSVILLE, ON – Mastronardi Produce has completed the construction of a new greenhouse venture: Pepperco USA. The largest greenhouse pepper company in North America, Mastronardi Produce has vastly expanded its acreage and capacity in Coldwater, Michigan since completing Phase II of its greenhouse operation this past summer.
“After the recent completion of Phase II, we decided to carry on expanding our Coldwater greenhouses to 100 acres,” shared CEO Paul Mastronardi. “We’ve already established a strong demand for our Michigan grown tomatoes from retailers and were overwhelmed with the response from consumers. We’re anticipating even more enthusiasm for local SUNSET® peppers this Spring.”
Greenhouse builders Havecon Projects and Stolze finished Phase II of the company's expansion initiative last August. Afterwards, they stayed on to complete the Pepperco project, a 41 acre facility, and the first large scale pepper greenhouse in the United States.
The Coldwater operation has become a tremendous asset for Mastronardi since its opening in 2012.
“Because of the strategic location of Coldwater, we’re able to reduce food miles and deliver a vine-ripened product,” said Joe Sbrocchi, VP of Business Development. “With such close proximity to a number of distribution centers, we’re able to harvest, pack and ship our produce to our clients’ doors the same day, which ensures our consumers are getting the freshest product possible.”
Pepperco USA is set to begin harvesting in Spring 2015, according to a press release.
Great work on this new facility, Mastronardi Produce!
ZAANDAM, THE NETHERLANDS – Ahold has announced that its settlement in the Waterbury litigation class action suit is now final, with the appeal period set by the court coming to an end.
As we previously reported, Ahold and its former subsidiary US Foodservice, now known as US Foods, entered into an agreement to resolve a class-action lawsuit. Ahold agreed to pay $297 million to settle the litigation, which accused its former US Foodservice distribution unit of allegedly “defrauding thousands of hospitals and restaurants through overcharges.”
According to a press release, the U.S. District Court for the District of Connecticut approved the settlement in December 2014. The settlement amount of $297 million has been paid from Ahold’s existing provision. Now that the settlement is final, Ahold’s potential liability in the class action has been resolved.
Following the announcement of the finalization of the settlement, Ahold also announced the appointment of Jan Ernst de Groot as its Chief Legal Officer and a member of the company’s Executive Committee.
Jan Ernst will begin these new roles on February 1. He will be based in Ahold’s headquarters in Zaandam, the Netherlands and will report to CEO Dick Boer.
Dick Boer, Ahold CEO, said, “I am excited that Jan Ernst is joining our company as Chief Legal Officer. He brings highly relevant global commercial experience as a general counsel. In addition, Jan Ernst has a strong business and sustainability acumen, and is an experienced boardroom advisor. He will provide key insights as we continue to execute our Reshaping Retail strategy.”
Jan Ernst will be responsible for Ahold’s legal affairs, governance and compliance. He will also head up responsible retailing and product integrity.
Congratulations on the new position, Jan Ernst!
WASHINGTON, D.C. – The White House has named Debra “Deb” Eschmeyer as the Executive Director of Let’s Move!, the role previously held by Sam Kass who left in December. Deb will also be a Senior Policy Advisor for Nutrition Policy.
“For more than a decade, Deb has been leading the way in teaching kids about the importance of healthy eating,” said First Lady Michelle Obama.
The First Lady continued, “From classrooms and gardens to kitchens and farms, Deb has made learning about nutrition fun and accessible for kids across the country. I am thrilled that she will be continuing this important work here at the White House, and I know she will be an invaluable addition to our team.”
As the Executive Director, Deb will lead the First Lady’s initiative to help raise a healthier generation of kids with longer, healthier lives, according to a press release. In her role as a Senior Policy Advisor for Nutrition Policy, she will also advise on food and nutrition issues beyond Let’s Move!
Through her career, Deb created public-private partnerships to collaborate with diverse stakeholders to combat childhood obesity and food insecurity. She co-founded FoodCorps, a national AmeriCorps service program that places emerging leaders into schools in limited-resource communities for a year of public service.
In that year, the FoodCorps service members teach hands-on lessons about food and nutrition, build and tend school gardens, teach cooling lessons and help change what’s on school lunch trays.
Congratulations on these appointments, Deb!
SANTIAGO, CHILE - After nearly a month of hostilities, Chile's port workers and the nation's port authorities have reached an agreement to end December's labor strike.
"We appreciate this accord, which ends more than three weeks of paralysis," shared Chile's fruit exporters' chamber Fedefruta. "From the beginning, we held talks with the Ministries of Interior, Agriculture and Labor, employers and port unions in order to begin a conversation that might end the conflict."
The strike, which began at the key northern port of Angamos and rapidly spread throughout the nation, paralyzed exports during late December, according to Reuters. This was a serious hardship for the grape, apple and berry farmers who form a key component of the Chilean national economy.
Fedefruta notes, however, that work remains to be done, even after this welcome news.
"Independent of what was agreed in the document, a law is urgently needed to protect the safe shipment of perishables in the future,” the organization shared. “Securing the safe transportation of these products should be considered a key priority for the Chilean economy. "
At least now, however, growers relying on Chile's key ports at Angamos, Iquique and the nation's multitude of southern shipping outlets, can go to work with the knowledge that their shipping lanes are once again open for business.
Stay tuned as we continue to keep you updated on this important topic.
STAR, ID - The Federal Aviation Administration issued the first-ever drone authorization permit to a company in the agricultural industry on Tuesday. Advanced Aviation Solutions, a Star, Idaho-based company, was granted a permit to use drones for “crop sourcing.”
With this permit in hand, President and CEO Steve Edgar has big plans for the future of his company.
"I envision we can take this model nationally, globally," he said. "It's scalable and something we can replicate or even grow into a franchise model."
For now, Edgar possesses an important advantage over potential competitors, whose operations have not yet been approved by the FAA. He knows this time is fleeting, however.
"It's going to be incumbent upon us act quickly, to capitalize on that six-month lead time," Edgar told the Idaho Statesman. "The competition will be there."
Edgar's first step is a partnership with Empire Aerospace and drone pilot Robert Blair. Together, the three will form Empire Unmanned LLC, under which they will bring the drone business to life.
The business model is an appealing one. According to ABC News, Edgar intends to use a 1.5 pound fixed-wing eBee drone to take photographic measurements of farm fields, determine the health of crops and inspect for pests. The eBee is even equipped with sensors capable of detecting which fields need watering, allowing resources to be allocated more efficiently.
The permit does stipulate that all drone operations must be monitored by an observer in addition to a ground pilot who must keep the drone within sight at all times. At minimum, the pilot will also be required to have an FAA private pilot certificate and a current medical certificate, according to ABC News.
This news is significant in that Advanced Aviation Solutions is the first company in the agricultural industry to be extended a drone permit, although 13 exemptions to 12 companies outside the agricultural industry have also been granted. Given that the FAA has already received 214 additional requests, this number is expected to grow.
Stay tuned to AndNowUKnow as we continue to monitor the development of this exciting new technology.
LOS ANGELES, CA - 4Earth Farms is welcoming Gabriel Avalos, a produce veteran with over 12 years of experience, to manage the company’s new growing operations management office in Salinas, CA.
Mark Munger, Vice President of Sales and Marketing, shared his excitement on Gabriel’s appointment to the team. “Gabe has a wealth of knowledge on a wide variety of crops, as well as having strong relationships with growers throughout California and Latin America,” he said. “We think his experience and management will make our expanding growing programs even stronger.”
Prior to joining 4Earth Farms, Gabriel worked for Driscoll’s as part of its Product Business management team, first managing the company’s blueberry business in North and South America. He later transitioned to Latin America Blueberry Business management. His accomplishments at Driscoll’s include expanding its distribution into emerging markets in the EU and Asia, including China, according to a press release.
“Having Gabe and an office centrally located to our California fields and working closely with our international grower partnerships, simply improves our ability to provide up to the minute crop reporting, as well as assisting with supply coordination for our customers,” said 4Earth Farms’ CEO David Lake. “These are all critical elements for maintaining the year-round programs we’ve built our company’s reputation on.”
AndNowUKnow congratulations Gabriel on his new position with 4Earth Farms!
CHESHUNT, ENGLAND – Addition by subtraction is the the name of the game at the UK's largest retailer.
Tesco has announced plans to close 43 underperforming stores across the United Kingdom, over half of which will come from the retailer's Tesco Express format. BBC reports that plans to open another 49 larger format stores have also been shelved as part of this consolidation effort. In all, over two million square feet of development space is expected to be scrapped.
“This is about recognizing the financial reality of where we are as Tesco,” CEO Davis Lewis explained in an interview with BBC. “The 43 stores which we will be closing were unprofitable and not stores which we can see a way of making profitable. We do this with a huge and heavy heart because of the impact it will have on colleagues and the communities in which those stores are located, but we had to make the difficult decision that it was the right to close them.”
“This is a step in the right direction,” Lewis elaborated. “We have shown ourselves that the expertise that exists within the team at Tesco is as good and strong as it's ever been. But we're not at all kidding ourselves that we've in any way turned the corner. There's an awful lot more that we need to do. We'll continue to invest in our business, but we also need to make some tough decisions. Obviously, we've announced some of these today.”
This announcement is expected to affect a variety of regions throughout the UK, including:
- Fort William, Aviemore
- Crieff, Scotland
- Carryduff, County Down
- Armagh, Northern Ireland
- Bridgwater, Somerset
- Mablethorpe, Lincolnshire
- Sleaford, Lincolnshire
In all, Tesco has £250 million of cost cuts measures planned, which include closing its staff pension scheme, selling its Dunnhumby operation, and closing its longtime headquarters in Cheshunt, Hertfordshire. Going forward, its main office will move to Welwyn Garden City.
Stay tuned to AndNowUKnow as we continue to track Tesco's future retail moves.
MORGAN HILL, CA - Long Shelf Life (LSL) is the latest hot produce trend to hit the growers of the San Joaquin Valley. Zach Wortiska, Assistant Western Product Manager for Melons, and Gattis Guffey, Sales Manager/Southeast Region and Watermelon and Melon Product Manager, sat down to explain how Sakata is leading the way with its new variety: Infinite Gold LSL.
“Infinite Gold melon is gaining a lot of attention due to the awesome combination of long shelf life holding ability and fantastic flavor,” Zach explained. “LSL melons provide benefits at all levels of the value chain. Growers are seeing the benefit from the holding ability. Plus, they are also saving harvest costs because they only harvest a LSL melon field two to three times, compared to a western shipper cantaloupe where a grower can be harvesting a field more than eight times. This is especially important due to labor shortages.”
“This characteristic gives the grower more flexibility as harvest time approaches,” Gattis elaborated. “With Infinite Gold’s longer holding ability in and out of the field, growers are able to ship high-quality fruit longer distances and retailers enjoy longer holding ability on the shelf...the consumer is receiving a high quality cantaloupe with excellent flavor. This means that the consumer will return for another purchase, which means the retailer is selling more!”
Going forward, Sakata is promoting awareness, education, and acceptance for this new product among retailers and growers alike. Previous attempts at a LSL melon by rival companies often lacked the strong flavor this new variety boasts, leaving a bad impression on the market for LSL melons, according to Zach and Gattis. Sakata shares, however, that it is up to the challenge of making the difference between its own offering and these failed varieties clear.
“One other thing to mention - Infinite Gold, like other LSL melons, looks a little different than traditional western shippers, not quite as tan colored,” Gattis added. “However, once retailers and growers understand that the difference is only skin deep and that the flavor and shelf life are really phenomenal – those issues just melt away.”
This awareness campaign includes the release of a new video, explaining to growers about the best time to harvest Infinite Gold melons. Check it out for yourself below:
In addition to Infinite Gold, Sakata is also working on other exciting new varieties such as Timeless Gold. Together with Infinite Gold, these varieties look like promising additions to the produce aisle and ones I will certainly be keeping my eyes on.
DENVER, CO – Chipotle is offering free food, but there’s a catch.
The restaurant chain is offering a free burrito, bowl, salad or order of tacos from January 27th through February 28th, 2015. It is not as simple as that, however. Customers have to order organic tofu Sofritas on Monday, January 26th at any Chipotle in the U.S. or Canada and then present the receipt on the next visit in the specified time for the free food.
Now, this is obviously great to hear if you are an avid Chipotle consumer like I am, but this is also good news for fresh produce consumption.
As we previously reported, Chipotle aimed to buy and serve more than 20 million pounds of locally grown produce in 2014, a 33% increase over the previous year. The chain increased purchases of locally grown bell peppers, cilantro, red onions, jalapeño peppers, oregano, romaine lettuce and tomatoes.
To increase the amount of locally sourced produce it sells, Chipotle has coordinated purchases with over 45 local farms across the United States so that none will be farther than 350 miles away from the location it is serving.
According to Chipotle, the company’s restaurants use 2 acres of organic cilantro every day as well as 7 million pounds of organic black beans and 1.2 million pounds of organic wheat every year.
This push for Sofritas could also provide a boost to the pepper industry. The dish is made with organic tofu from Hodo Soy that is braised with chipotle chilis and roasted poblanos.
It will certainly be interesting to see if Chipotle will continue the trend of increasing the amount of fresh produce that it buys from farmers and then serves in its restaurants.