Food Business News - February 12, 2013 - (Page 1)

February 12, 2013 FOODBUSINESS NEWS NEWS, MARKETS AND ANALYSIS FOR THE FOOD PROCESSING INDUSTRY China problems may challenge Yum! Brands in 2013 LOUISVILLE, KY. — Negative media attention in China regarding the use of antibiotics in chicken has embroiled Yum! Brands, Inc., and its KFC operations in the country. The issue came to the forefront in mid-December and only began to diminish on Jan. 25, according to the company. The controversy and its aftermath is expected to have a negative effect on Yum! Brands during fiscal 2013. “These events significantly impacted consumer confidence in KFC,” said David Novak, chairman and chief executive officer of Yum! Brands, in a Continued on Page 19 Tyson Foods sees chicken demand rising SPRINGDALE, ARK. — Executives with Tyson Foods Inc. often cite the company’s focus on beef, chicken and pork as the key to its success, but as the effects of last year’s drought on the beef and pork complexes becomes more apparent, it is clear they see greater promise in the company’s chicken business. “We are finding that food bought on value menus has been declining now for two years,” said Donnie Smith, president and chief executive officer, in a conference call with financial analysts on Feb. 1 to discuss the company’s first-quarter financial results. “Instead, operators have been attracting patrons with new Continued on Page 18 Story on Page 24 Kellogg frozen foods business on the fast track BATTLE CREEK, MICH. — Anchored by strong brands that are growing in attractive, on-trend categories, the Kellogg Co.’s frozen foods business in the United States is one of the company’s fastest growing segments, said Michael Allen, president of U.S. Frozen Foods at Kellogg. In a Feb. 5 conference call with analysts to discuss fiscal 2012 financial results, Mr. Allen highlighted a number of factors that contributed to full-year sales growth of nearly 11% in the company’s frozen foods business. Specifically, the company has experienced significant rates of growth in the three frozen food categories in which it operates: breakfast, vegetables, and natural and organic. In the frozen breakfast category, which includes waffles, pancakes, breakfast sandwiches and entrees, Kellogg posted consumption growth of 3.4% in fiscal 2012, Mr. Allen said. “These products provide convenience, and, in the case of our new Special K flatbread sandwiches, protein and relatively fewer calories,” he said. “Our flatbreads Continued on Page 16 ®

Table of Contents for the Digital Edition of Food Business News - February 12, 2013

Food Business News - February 12, 2013
China problems may challenge Yum! Brands in 2013
Tyson Foods sees chicken demand rising
Kellogg frozen foods business on the fast track
Table of Contents
Web Contents
Editorial - Starbucks is redefining brand loyalty
General Mills settles Yo-Plus lawsuit
Green Mountain Coffee sees single-serve pack sales rise 21% in first quarter
Soren Schroder named next c.e.o. of Bunge Ltd
New Mexico legislature blocks bioengineering labeling bill
Pork prices may be volatile in 2013
Kraft Foods fills newly-created marketing post
Hershey has big plans in nuts and fruits
American Licorice Co. to expand in Indiana
Unilever to close spreads plant in Atlanta
Greek yogurt may be going to school
Frito-Lay to launch Taco Bell-inspired Doritos
Kellogg income rises on cost-savings, Pringles acquisition
China problems may challenge Yum! Brands in 2013
Juice, baking business come into focus for Starbucks
New product pipelines pump up protein
Washington - 'Smart snack' guidelines get favorable reviews
Market Insight - Per capita calories rise on added fats
Beverage Trends - Oat beverages offer benefits beyond the bowl
Ingredient Innovations - Fiber boosts for whole grain items
Harvard’s approval of 10:1 ratio draws critiques
Beverage Business News - Nothing to see here
New Food Products
Ingredient Market Trends - Open outcry trading of hard red winter wheat futures to shift to Chicago
Ingredient Markets
Supplier Innovations and News
Ad Index
Food Business in the News

Food Business News - February 12, 2013