Food Business News - November 17, 2015 - (Page 52)

New Menu Items McDonald's testing energy drink sales OAK BROOK, ILL. - Monster Beverage may have found a new revenue stream with the news that fast-food chain McDonald's is selling its energy drinks in about 20 U.S. restaurants in Florida, Georgia, Michigan and Ohio. "We're always gathering feedback from customers on the food and beverages they'd like to be served at McDonald's, and this is another example," said Lisa McComb, a spokeswoman for McDonald's. The news sent shares of Monster Beverage rising on Oct. 20. After closing at $132.70 on Oct. 19, the company's stock opened at $134 on Oct. 20 and moved as high as $142.49 before closing at $139.61. In an Oct. 20 research note, Robert Ottenstein, an analyst with Evercore ISI in New York, said Monster may have the potential to add as much as $1.5 billion of incremental revenue if it's able to break into the quickservice restaurant industry. Monster benefits from its partnership with The Coca-Cola Co., Atlanta, which earlier this year bought about a 17% stake in Corona, Calif.-based Monster. McDonald's also has a long-standing relationship with Coca-Cola. Mr. Ottenstein wrote that early results from the Monster test have been characterized as "good." He said most sales are part of a value meal, with consumers paying about $1.50 more to get the Monster drink. If not part of a value meal, the beverages - Original Monster Energy "Green" and Zero Ultra - are selling for $2.50 a can or $4 for two cans, he said. Mr. Ottenstein said the test is "generating incremental revenue and traffic for stores with some customers coming in just to purchase Monster." He added Monster sales have cannibalized some trademark Coca-Cola sales and strongest demand appears to be evenings and late night. The beverage will not be offered as a fountain drink, though, because of "portion control issues," Mr. Ottenstein said. In offering Monster beverages, McDonald's is continuing to search for ways to turn around a business that has struggled in the United States. The company earlier this month began offering all-day breakfast. FBN Premium chicken sandwich premieres at Sonic OKLAHOMA CITY - The Ultimate Chicken Sandwich is Sonic's new premium chicken handheld. Served on a brioche bun, the all-white meat crispy chicken breast may be topped with two topping combination offerings: Traditional, with mayonnaise and crinklecut pickles, or Classic, with mayonnaise, lettuce and tomatoes. "We've continued to successfully differentiate and innovate our sandwich offerings for guests seeking premium options when they come to Sonic and our chicken options are one-of-a-kind," said Todd Smith, chief marketing officer for Sonic. FBN Taco Bell releases two new wraps IRVINE, CALIF. - Taco Bell, a Yum! Brands business unit, is bringing Boss Wraps to its menu. The Fully Loaded Steak Boss Wrap features a double portion of steak, avocado ranch sauce, guacamole, reduced-fat sour cream, lettuce, a three cheese blend and pico de gallo in a Crunchwrapstyle folded flour tortilla. The steak and potato Boss Wrap includes a double portion of steak, crispy potatoes, bacon, a three cheese blend, chipotle sauce and reduced-fat sour cream in a folded flour tortilla. FBN 52 FOODBUSINESS NEWS ® November 17, 2015

Table of Contents for the Digital Edition of Food Business News - November 17, 2015

Food Business News - November 17, 2015
Starbucks becoming a ‘food destination’
Sugar, corn sweetener court battle under way
Beverage Business News - Redesigning fruit juice
Table of Contents
Web Contents
Editorial - Climate change takes center stage in Paris
Hain earnings surge; U.S. grocery sales disappoint
Local promotions set to sizzle as a menu trend
Smucker focuses on redefining the coffee experience
Kraft Heinz integration showing progress
Credit Suisse lowers Dean Foods’ stock to ‘underperform’
Dean Foods betting big on DairyPure brand
Food waste reduction 2.0
TreeHouse Foods to acquire ConAgra’s Private Brands business
Efficiency gains drive TreeHouse earnings
Seneca acquires largest maraschino cherries maker
Popchips names new c.e.o.
Amazon dips foot into food delivery in L.A.
Schwan simplifying ingredient list across entire product line
Washington - Producer groups begin to take sides on T.P.P.
Ingredient Innovations - High-oleic options
Health and Wellness - Targeting bone and joint health
New Menu Items
Ingredient Market Trends - U.S.D.A.’s Crop Production and WASDE reports bearish
Ingredient Markets
Supplier Innovations and News
Ad Index

Food Business News - November 17, 2015