Milling & Baking News - July 5, 2016 - 11

Kellogg opens breakfast cereal
cafe in New York's Times Square
BATTLE CREEK, MICH. - Ready-toeat cereal maker Kellogg Co. is stepping into the all-day breakfast battle
with the upcoming debut of Kellogg's
NYC, a new cafe that was set to open
July 1 in Times Square in New York
City. The restaurant, Kellogg's first
permanent location, will feature dishes made entirely from its cereals.
"As Kellogg's turns 110 years old in
2016, we thought there would be no
better way to celebrate than by doing
something that the brand had never
done before," the company notes on
its web site for the cafe.
The cafe is not the first time Kellogg
has looked to break into the food service breakfast day part. In 2014, the
company opened a "Recharge Bar" in
New York where customers were able

to stop in and grab a bowl of milk and
cereal. The "Recharge Bar," or "popup store," was open for only a few
days in mid-June 2014.
With Kellogg's NYC, the cereal
maker again turned to
Christina Tosi, a
chef who helped
developed cereal
recipes for the
Recharge
Bar.
Ms. Tosi again
will help with recipes for the cafe. The
menu will feature 10 items priced between $6 and $8 made from such cereals as Froot Loops, Raisin Bran and
Special K.
"Our first step was finding a location that was accessible to the world
and also an appropriate home for the

Court partly okays Kraft dismissal
motion in market manipulation case
KANSAS CITY - The U.S. District
Court for the Northern District of Illinois Eastern Division on June 27
partially approved a motion by Kraft
Foods Group, Inc. and Mondelez
Global L.L.C. to dismiss complaints of
wheat market manipulation in 2011.
The case is being heard by Judge Edmond E. Chang. The court refers to the
plaintiff as Ploss and the defendant as
Kraft. The suit originally was brought
as an individual complaint by Mr. Ploss
in April 2015 and later was amended to
a Consolidated Class Action Complaint
adding seven other plaintiffs who
claim they lost money because of artificial prices caused by Kraft's alleged
manipulative actions as a result of its
December 2011 wheat futures position.
The court granted Kraft's motion to
dismiss without prejudice two claims
alleging manipulation under Section 9(a)(2) and Section 6(c)(1) of the

Commodity Exchange Act (C.E.A.) involving a "wash trading scheme."
But the court denied Kraft's motion
to dismiss five other claims alleging
manipulation under Section 9(a)(2) and
Section 6(c)(1) of the C.E.A., and alleging principal-agent liability under Section 2(a)(1)(B) of the C.E.A., both involving a "long wheat futures scheme," alleged violation of the Sherman Antitrust
Act and alleged unjust enrichment.
The suit alleges Kraft manipulated
the market by holding a large position
in Chicago Board of Trade wheat futures
in an attempt to influence prices and not
for any legitimate need for wheat. It
also alleges that Kraft manipulated the
market by engaging in unlawful wash
trades and reporting them to the public
as legitimate transactions to create an
impression of greater market activity.
Kraft moved to dismiss the entire
complaint, arguing that Mr. Ploss had

Ardent Mills raises $126,000 to benefit
Food Bank of the Rockies
DENVER - Ardent Mills set a new
single-day fundraising record, raising
$126,000 to benefit Food Bank of the
Rockies. The funds were raised as part
of Ardent's seventh annual charity golf
tournament, held at the Riverdale Golf
Courses in Brighton, Colo., in early June.
"We are humbled by both the participation and monetary support of our
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vendors, suppliers and carriers who
have made this annual event such a
huge success," said Dan Dye, chief executive officer of Ardent Mills.
Kevin Seggelke, president and c.e.o.
of the Food Bank of the Rockies, said the
fundraiser was important not only for the
revenues it raised, but also for the awareness it raised about poverty and hunger.

Business

Kellogg's brand," the company said.
"Times Square, with its infinite energy
and iconic status, fit the bill to a T. Next,
we needed to tap into the imagination
of a chef who could think outside the
box. Christina Tosi has been bringing
an authentic, fresh and wholesome
perspective to using everyday items
and could certainly make a great bowl
of cereal even better. Finally, we set
out
to create an experience that would
be just as familiar as enjoying
a bowl of cereal
in your own home,
but with added elements
that would surprise and delight just as
much as discovering that hidden toy
buried within."
Kellogg is a partner in the cafe with
Journee, a collaborative New York
space for people in the restaurant industry. MBN
not stated any viable claim.
The court denied Kraft's motion to
dismiss the five parts of the complaint
involving the C.E.A., Sherman Act
and unjust enrichment related to the
long wheat futures scheme.
The court said Kraft must answer the
complaint and the remaining counts by
July 18 and parties must issue their first
round of written discovery requests no
later than July 22. The court will set the
remainder of the discovery schedule at
a July 14 status hearing.
The court opinion issued June 27
noted that at about the same time as
Mr. Ploss filed suit against Kraft in April
2015, the Commodity Futures Trading
Commission (C.F.T.C.) filed a parallel
enforcement action against Kraft and
Mondelez "with substantially similar
allegations about Kraft's participation in
the wheat futures market," although the
C.F.T.C. action contained only C.E.A.
claims for the long futures scheme. The
court in C.F.T.C. v Kraft denied Kraft's
motion to dismiss late last year. MBN
Ardent Mills has raised more than
$600,000 since starting the annual
charity golf tournament in 2010.
"Each year, Ardent Mills team members volunteer to make this event a
success for the food bank," said Bill
Stoufer, chief operating officer of Ardent Mills. "Additionally, we are donating $500 each to a food bank in each
of the home cities for seven key businesses as a thank you for their valued
support in helping those in need." MBN
Milling & Baking News XJuly 5, 2016 / 11

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Milling & Baking News - July 5, 2016

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