Food Business News - May 3, 2016 - (Page 23)

pleased with how we've progressed there. "We really see an immediate opportunity in this area of 'snackfection' for the company. And then, as you look at how consumer's relationship with food has changed, we recognize that the snacking continuum has grown. And so, products like Krave, which we're learning a lot from, and are very pleased, will always be part of our test and learn and grow strategies. But it doesn't take away from our core focus." Hershey's North America net sales were $1,633.5 million in the first quarter of 2016, a decline of 4.3% versus the same period last year. Volume was off by approximately 3.7 points due primarily to a shorter Easter season, according to the company. First-quarter net sales for Hershey's International and Other segment declined 15.4% to $195.3 million, due primarily to lower net sales in China and the discontinuation of edible oil products in India. FBN Nestle, R&R to create world's third largest ice cream company From left, Luis Cantarell, executive vice-president for Europe, Middle East and North Africa, Nestle S.A.; Ibrahim Najafi, chief executive officer, R&R Ice Cream; and Frédéric Stévenin, partner at PAI Partners. VEVEY, SWITZERLAND - Nestle S.A. and R&R, a United Kingdom-based ice cream company, have agreed to set up Froneri, a joint venture with sales of around 2.7 billion Swiss francs ($2.8 billion) in more than 20 countries employing about 15,000 people. Froneri will be headquartered in the U.K. and will operate primarily in Europe, the Middle East (excluding Israel), Argentina, Australia, Brazil, the Philippines and South Africa. The new company will combine Nestle and R&R's ice cream businesses in the relevant countries and will include Nestle's European frozen food business (excluding pizza and retail frozen food in Italy), as well as its chilled dairy business in the Philippines. Financial terms of the transaction were not disclosed. "This is an exciting growth opportunity in a dynamic category," said Paul Bulcke, chief executive officer of Nestle. "Froneri will capitalize on complementary strengths and innovation expertise, combining Nestle's strong and successful brands and experience in 'out-of-home' distribution with R&R's competitive manufacturing model and significant presence in retail." Ibrahim Najafi, c.e.o. of R&R Ice Cream, added, "I am thrilled about the potential of May 3, 2016 Froneri and the opportunity for R&R to combine with the biggest and best food business in the world. R&R has gone from strength to strength in the last few years and the blend of people from the two organizations will create a leading team, ideally suited to drive future growth." Founded in 1985 in North Yorkshire, England, R&R Ice Cream is owned by privateequity firm PAI Partners. R&R is the world's third-largest ice cream manufacturer, behind Unilever and Nestle. The company previously acquired Nestle's ice cream units in the U.K. and South Africa. "Froneri, through the combination of Nestle's and R&R's expertise, and the backing of PAI Partners, is a unique and exciting opportunity for further strong growth," said Frédéric Stévenin, partner at PAI Partners. "We look forward to further leveraging our industrial approach to ownership and strong consumer expertise to support R&R in this new venture." Luis Cantarell, Nestle executive vice-president for Europe, Middle East and North Africa, will chair Froneri's board of directors, which will be composed of three senior Nestle executives and three senior executives appointed by private equity firm PAI Partners. Mr. Najafi will be c.e.o. of Froneri. FBN ASK US HOW GNT CAN HELP. More and more food manufacturers count on EXBERRY®, the no. 1 natural color brand. EXBERRY® is not an additive, but simply a concentrate of edible and fully traceable fruits and vegetables. Which makes it the perfect match for your cleanlabel consumer strategy. Learn more about colors from fruit and vegetables. GO TO GROWING COLOURS FOODBUSINESS NEWS ® 23

Table of Contents for the Digital Edition of Food Business News - May 3, 2016

Food Business News - May 3, 2016
Dr Pepper pivoting with the consumer
New front opens in the battle over sodium
Beverage Business News - Beverage makers capitalizing on dairy
Table of Contents
Web Contents
Editorial - Vermont’s immediate impact is becoming clearer
Three meals a day still the American way
Mondelez battling weakness in biscuit market
Pinnacle picks Mondelez exec as new c.e.o.
Chipotle Mexican Grill in the midst of a slow recovery
Hormel sells Diamond Crystal Brands
Starbucks sets forth single-serve strategy
PepsiCo initiating transformational innovation agenda
McCormick acquires Australian herbs company
Costco eyes Nebraska for new poultry plant
Hershey still seeking answers to slow growth
Nestle, R&R to create world’s third largest ice cream company
Saputo details succession plan for presidency
Papa John’s removes HFCS from menu
Danone building strength in yogurt
Dannon to go non-G.M.O.
Taco Bell to limit antibiotics in chicken
Dr. Praeger’s focused on keeping brand fresh
PepsiCo appoints new global food service leader
NatureBox moves from snail mail to retail
Market Insight - The good and bad of El Nino, La Nina
Ingredient Trends - Clean label gains momentum
Food packaging and clean label
Ingredient Innovations - Red means go in color innovation
Specialty dairy ingredients used in beverages
New Food Products
Ingredient Market Trends - I.G.C. forecasts world wheat stocks at new record in 2016-17
Ingredient Markets
Supplier Innovations and News
Ad Index
Food Business in the News

Food Business News - May 3, 2016