Food Business News - February 14, 2012 - (Page 1)

February 14, 2012 FOODBUSINESS NEWS NEWS, MARKETS AND ANALYSIS FOR THE FOOD PROCESSING INDUSTRY ® Diamond ousts leaders, to restate earnings SAN FRANCISCO — Diamond Foods, Inc. is removing its chief executive officer and chief financial officer in the wake of an internal investigation. The company said Feb. 8 that the audit committee of its board of directors has substantially completed its investigation of its accounting for certain crop payments to walnut growers, determining that Diamond will need to restate its financials for fiscal 2010 and 2011. As part of its investigation, the audit committee concluded that a “continuity” payment made to growers in August Continued on Page 10 WHERE’S THE BEEF? Meat prices rise as cattle herd declines to lowest level since 1952 Story on Page 28 Post Foods seeks new path to profitability ST. LOUIS — Four years after becoming part of Ralcorp Holdings Inc., Post Holdings, Inc. has become an independent company, intent on finding a path to growth that proved elusive to managers at Ralcorp. In its first day of trading Feb. 6 on the New York Stock Exchange, Post shares closed at a price of $26.89. With 34.5 million shares outstanding (of which 6.9 million, or 20%, are still owned by Ralcorp), the share price gave Post a market capitalization of $928 million. The value represents a sharp discount to the $1.7 billion price tag of the 2008 acquisition of Post from Kraft Foods ($2.6 billion, including debt). In Continued on Page 24 Whole grains in the spotlight Whole grain-rich foods secure significant role in new school lunch and breakfast nutrition programs chools will be required to offer only whole grain-rich products by the 2014-15 school year as part of the new nutrition standards for school meals set forth late last month by the U.S. Department of Agriculture. In the meantime, beginning this fall whole grainrich products must make up half of all S grain products offered to students, and refined grain foods that are enriched still may be included in the school menu. For the most part, the final rule set forth by the U.S.D.A. regarding grains was in line with the department’s earlier proposed rule. The new rule requires that after the first two years of implementation, all grains offered to students must contain at least 51% whole grains with the remaining grain content enriched. Until the whole grain content of food products is required on a product label by the Food and Drug Administration, schools must evaluate a grain product according to forthcoming Food and Nutrition Service guidance. The guidance states that the serving of the food item must meet portion size requirements for the grains/bread Continued on Page 33

Table of Contents for the Digital Edition of Food Business News - February 14, 2012

Food Business News - February 14, 2012
Diamond ousts leaders, to restate earnings
Post Foods seeks new path to profitability
Whole grains in the spotlight
Table of Contents
Web Contents
Editorial - The graying of the farm sector
PepsiCo to reduce global workforce by 3%
C.D.C.: 9 in 10 U.S. adults get too much sodium
Wal-Mart unveils ‘Great For You’ seal
Nestle moving ‘Pockets’ business to Ohio
Hispanic culture affecting breakfast, dinner trends
Restaurant Performance Index gains momentum
Challenging beef market hinders Tyson results
Bel Brands to build cheese plant in South Dakota
Kellogg adding heart healthy logo to certain cereals
Pinnacle Foods expands canned meat facility
Defining the scope of food fraud
Post Foods seeks new path to profitability
Hershey income up 23% during year
Starbucks, Tata enter into India joint venture
Market Insight - Where's the beef?
Washington - Food industry grades school meal nutrition standards
Ingredient Innovations - Boosting gluten-free nutrition
New Food Products
Ingredient Market Trends
Ingredient Markets
Supplier Innovations and News
Ad Index
Food Business in the News

Food Business News - February 14, 2012