Food Business News - September 10, 2013 - (Page 1)

September 10, 2013 FOODBUSINESS NEWS NEWS, MARKETS AND ANALYSIS FOR THE FOOD PROCESSING INDUSTRY Mondelez rebuilding from the ground up BOSTON — Over a five-year period ended in 2008, Kraft Foods Inc. spent $3 billion on a restructuring program the company said would optimize its capacity and leverage its global scale. Apparently, it wasn’t nearly enough. Even though the program was expected to generate $1.4 billion in annualized savings and included the closing of 35 production plants, a top Mondelez International Inc. executive on Sept. 3 described the company’s supply chain network in 2013 as “fragmented, complex and inefficient.” In a presentation at the Barclays Back-to-School Conference, Daniel P. Myers, executive vice-president, integrated Continued on Page 18 Spice safety in the spotlight Story on Page 34 PepsiCo mapping ‘bigger, better innovations’ BOSTON — PepsiCo, Inc. is driving “bigger, better innovations” throughout its 200 markets due to an approach that now more clearly captures unmet needs, said Zein Abdalla, president of PepsiCo, Inc., Purchase, N.Y. In a Sept. 4 presentation at the Barclays Back-to-School Conference in Boston Mr. Abdalla elaborated on how PepsiCo uses a proprietary way of defining the consumer opportunity to drive innovation. He described the opportunity as PepsiCo’s “consumer demand space framework.” “What we have taken is literally millions of consumption occasions and Continued on Page 11 Health halo hovers over M.&A., product innovation trends here has been an undeniable trend emerging as food and beverage companies look for acquisition opportunities that allow them greater access to the health and wellness space. In late August, the J.M. Smucker Co.’s acquisition of Enray, Inc., a Livermore, Calif.-based T manufacturer and marketer of organic, gluten-free grain products, was the latest transaction in a string that extends back to the beginning of the year. Enray’s products include sprouted and non-sprouted grains, pasta and cookies, most of which are sold under the truRoots brand, and Richard Smucker, chief executive officer of the company, said the acquisition of the truRoots brand and its organic quinoa and other ancient grain products provides an ontrend, compelling product platform across the rapidly growing gluten-free market. “On-trend” has been an oft used phrase by chief executives as more acquisitions are announced. Irwin Simon, president and chief executive officer of The Hain Celestial Group, Lake Success, N.Y., said Aug. 21 that Continued on Page 39 ®

Table of Contents for the Digital Edition of Food Business News - September 10, 2013

Food Business News - September 10, 2013
Mondelez rebuilding from the ground up
PepsiCo mapping ‘bigger, better innovations’
Health halo hovers over M.&A., product innovation trends
Table of Contents
Web Contents
Editorial - Transatlantic trade partnership may open business
Innovation transformation under way at Hillshire Brands
Campbell, Green Mountain Coffee partner for K-Cup soups
TreeHouse adjusting to changing consumer landscape
Starbucks’ Evolution continues
Unilever investing $152.5 million in spreads facility
Private equity firm buys American Roland Food
Quinoa: Something old, something new
Shareholder may raise bid for Smithfield Foods
Cott branching out into other categories
Hillshire beefs up portfolio with jerky acquisition
‘Mighty Wings’ set for takeoff at McDonald’s
F.D.A. seeks study into fortified snack foods, beverages
Smucker narrowing its focus
High prices, tight supply benefit Sanderson Farms
Baby food, baby carrots shake up Campbell’s portfolio
Washington - F.D.A. puts spices in the spotlight
Market Insight - Sugar forfeitures occur despite U.S.D.A.’s efforts
Ingredient Innovations - Rein in costs when reducing sodium
A listing of sodium levels and goals
Consider shelf life when reducing salt
Dairy Business News - The uncertain future of probiotics in the United States
New Food Products
Ingredient Market Trends - Farmers busy with the fall harvest and preparing to seed winter wheat
Ingredient Markets
Supplier Innovations and News
Ad Index
Food Business in the News

Food Business News - September 10, 2013