Food Business News - September 13, 2011 - (Page 30)

Sanderson Farms swings to loss in quarter LAUREL, MISS. — Lower market prices for poultry and declining food service demand contributed to a loss during the third quarter for Sanderson Farms, Inc. For the quarter ended July 31, the company suffered a loss of $55,683,000, which compared with income of $36,116,000, equal to $1.55 per share on the common stock, during the same quarter of the previous year. Sales for the quarter were $511,169,000, up 5% from $489,096,000. “Sanderson Farms’ financial results for the third quarter of fiscal 2011 reflect difficult market conditions,” said Joe F. Sanderson Jr., chairman and chief executive officer. “Market prices for poultry products were significantly lower than last year’s third quarter. While retail grocery store demand has remained steady, food service demand remains sluggish and will likely remain that way until the employment market gains traction and consumers regain their confidence and return to restaurants. We also incurred significantly higher costs for corn and soybean meal, our primary food ingredients, compared with the same period a year ago.” For the nine months ended July 31, the company sustained a loss of $105,515,000, which compared with income of $87,020,000, or $3.96 per share, during the same period of the previous year. Sales for the period were $1,418,243,000, up 2% from $1,396,320,000 during the same period of the previous year. “Despite current market conditions, we remain confident in the long-term success of the company,” Mr. Sanderson said. “We continue to operate well and are comfortable with our growth strategy. We are on schedule at our new Kinston, North Carolina, complex and look forward to the new opportunities this plant will provide Sanderson Farms, our employees, customers and shareholders.” FBN Nestle completes production unit for nutrition factory VEVEY, SWITZERLAND — Nestle has completed a new $250 million production unit at its nutrition factory complex in Konolfingen, Switzerland. “Our investment in Konolfingen reflects our confidence in not only the quality but also the creativity of Swiss industry,” said Paul Bulcke, chief executive officer. The new unit will produce probiotic infant formulas that will be exported to more than 80 countries as well as health care nutrition products for the recently established Nestle Health Science business. “Nestle has been present in both developed and emerging markets for many decades and we continue to invest in our innovation and research and development capabilities across these different countries,” Mr. Bulcke said. FBN 30 FOODBUSINESS NEWS ® September 13, 2011

Table of Contents for the Digital Edition of Food Business News - September 13, 2011

Food Business News - September 13, 2011
Kraft’s split on schedule
Nonfat dry milk prices drop as milk output rises
Shining a light on sugary drinks
Web Contents
Editorial - Preparing for the rising cost of fresh water
Private label products make gains in salad, sugar categories
Seaboard’s Rod Brenneman to lead Butterball
Limited avocado supply hurts Calavo earnings
PepsiCo outlines path for global snacks growth
F.D.A. initiates projects to trace foodborne illnesses
U.S.D.A. study shows food insecurity down from 2009
McCormick completes acquisition of Kamis
Leadership team set for Sara Lee’s CoffeeCo spin-off
Seneca, Allens terminate merger negotiations
Human milk components the focus of partnership
JBS shifting operations in Brazil
Dannon opens new innovation center
July red meat production down 4% from year ago
Aramark to acquire Filterfresh from G.M.C.R.
Tyson Foods to ramp up prepared foods output
McDonald’s investing $1 billion in Canada
Rowland Coffee integration on track at Smucker
Food trucks transitioning from fad to trend
Kraft’s split on schedule
Restructuring charges weigh on Campbell earnings
Starbucks K-Cup Portion Packs going to grocery stores
Sanderson Farms swings to loss in quarter
Nestle completes production unit for nutrition factory
Restaurant Performance Index falls beneath 100 to 11-month low in July
Washington - Shining a light on sugary drinks
Market Insight - Nonfat dry milk prices drop as milk output rises
Health and Wellness - School lunches get slimmer
Ingredient Innovations - Possible opportunity in immunity
Flavor Trends - Fire and flavor
New Product Trends - Expanding flavors and protein sources in jerky
New Food Products - Dannon introduces Activia Selects yogurt
New Food Products - Balance Bar launches nimble bar for women
New Food Products - Nestle introducing Nescafe LiquiFresh Gourmet Blend
New Food Products - New jerky from Jack Link’s uses Cholula Hot Sauce
New Food Products - Odwalla adds Super Protein Mango smoothie
New Food Products - Frito-Lay introduces Doritos and Cheetos Fiery Fusion
New Food Products - Burger King adds Quaker oatmeal to breakfast menu
New Food Products - Lifestyle Foods launching G2 snack line
INGREDIENT MARKET TRENDS - Winter wheat planting under way except in dry Southwest
Ingredient Markets
Supplier Innovations and News - Soy blend has texture characteristics of meat
Supplier Innovations and News - Sustainable palm oil certifi cation reaches Brazil
Supplier Innovations and News - Grain Processing Corp. promotes scientist
Supplier Innovations and News - Starches offer retort, freeze/thaw benefits
Supplier Innovations and News - Red Arrow launches pot roast fl avor
Supplier Innovations and News - Takasago names v.p. of consumer insight
Supplier Innovations and News - Honey, fig flavors join balsamic vinegar line
Ad Index
Food Business in the News

Food Business News - September 13, 2011