Food Business News - June 3, 2014 - (Page 1)

June 3, 2014 FOODBUSINESS NEWS NEWS, MARKETS AND ANALYSIS FOR THE FOOD PROCESSING INDUSTRY Hillshire Brands at the center of a bidding war CHICAGO - First, it was the poultry processor Pilgrim's Pride Corp., which is majority owned by JBS S.A., Sao Paulo, Brazil, that submitted an all-cash offer of $45 per share to acquire the Hillshire Brands Co. Two days later, on May 29, Tyson Foods entered the fray with a $50 per share all cash offer valued at $6.8 billion. In a matter of days Hillshire Brands went from a company in the midst of its own major transformation as it worked to complete its announced acquisition of the Pinnacle Foods Group, Parsippany, N.J., to one of the hottest assets in the food and beverage industry. Both Tyson Foods and Pilgrim's Pride have Continued on Page 12 Story on Page 32 A clean label approach to coloring beverages he Healthy Beverage Expo took place at the end of May in Long Beach, Calif. Beverage industry professionals came together to explore the booming category of betterfor-you beverages in an effort to get a grasp on just what "healthy" means to the consumer. Unlike the term "natural," which the Food and Drug Administration has yet to define, the agency is very precise about foods and beverages that may be described as healthy. Simply, the product Continued on Page 50 T PepsiCo makes its case or several months, PepsiCo, Inc. and its chairman and chief executive officer Indra K. Nooyi have been put on the defensive by some shareholders agitating for the separation of PepsiCo's large beverage business from its even larger snack foods business. Looking to go on the offensive, Ms. Nooyi at the company's annual meeting and in its annual report F had no trouble highlighting successes in PepsiCo's track record and great promise in the company's future. "Last year we met or exceeded each and every one of the financial goals we announced to you, our shareholders, at the beginning of the year," she said May 7. "Our organic revenue grew 4%, core constant currency earnings per share grew 9%, core gross margins improved by 90 basis points and core operating margins improved by 40 basis points, even while we increased investment in the company." Looking at efficiencies, Ms. Nooyi said the company exceeded its target by "capturing more than $900 million in productivity" and was on track toward a $3 billion productivity program established for 2012 to 2014. The company has extended its productivity program for five years with Continued on Page 35 ®

Table of Contents for the Digital Edition of Food Business News - June 3, 2014

Food Business News - June 3, 2014
Hillshire Brands at the center of a bidding war
PepsiCo makes its case
Beverage Business News - A clean label approach to coloring beverages
Table of Contents
Web Contents
Editorial - Guidance on forces driving futures
TreeHouse ready to go shopping
Private equity firms to purchase TGI Fridays
Hillshire Brands at the center of a bidding war
Innovation leads to sweet surprises for Nestle
Study finds consumer food safety focus, confidence falls
Protein trend, piglet virus both impacting Tyson Foods’ strategy
Mizkan Group to acquire Ragu, Bertolli from Unilever
Naturex to acquire Vegetable Juices Inc.
Hormel cuts pork slaughter operation due to PEDv
Private equity firm hauls in Red Lobster
Three keys to standout innovation
This year’s top sweets and snacks
Campbell’s soup rescue efforts fall flat
The vegetable paradox
McDonald’s adding yogurt to children’s meals
United Natural to acquire Tony’s Fine Foods for $195 million
Market Insight - Weather makes for uneven year in agriculture
Washington - Too many cooks in the school kitchen?
Health and Wellness - Definition of ‘healthy’ still linked to calories
Diet soda may aid in weight loss, study suggests
Ingredient Innovations - Vinegar as a preservative
Removing calcium propionate: Cost versus consumer awareness
I.F.T. Preview - Welcome to New Orleans
New Food Products
Ingredient Market Trends - I.G.C. lowers 2014-15 wheat crop projection, raises corn
Ingredient Markets
Supplier Innovations and News
Ad Index
Food Business in the News

Food Business News - June 3, 2014