Milling & Baking News - November 13, 2012 - (Page 1)

THE NEWS WEEKLY OF GRAIN-BASED FOODS NOVEMBER 13, 2012 / FOOD INGREDIENT SOLUTIONS® Change agent at General Mills, NAMA chairman celebrates ‘noble’ industry ASHEVILLE, N.C. — In his 21 years at General Mills, Inc., Greg Schlafer has witnessed extraordinary change in the flour business that remains an important part of one of the world’s most admired consumer packaged goods companies. As the new chairman of the North American Millers’ Association, Mr. Schlafer said the need for and inevitability of change is not incompatible with a healthy respect for tradition in what he learned early in his career Schlafer is a “noble industry.” In an interview Oct. 27 with Milling & Baking News, Mr. Schlafer discussed how the place of flour within General Mills has changed in the company’s U.S. business to better complement the nationwide footprint of its markets and brands. The interview was held during the NAMA annual meeting at The Grove Park Inn in Asheville. As a representative of General Mills actively involved in NAMA, Mr. Schlafer is heir to a distinguished tradition. He is the first NAMA chairman from the company since James J. Feeney headed the Millers’ National Federation in 198284, while he led General Mills Sperry Division. Other M.N.F. leaders of the company, chairmen and honorary members, included James Ford Bell, Harry A. Bullis, Charles Bell and Gerald S. Kennedy. Including representatives of The Pillsbury Co. (acquired by General Mills in 2001) in this roster adds John S. Pillsbury, Howard Continued on Page 16 Indulge in extras White chocolate and Greek yogurt coatings are just two ways to innovate in premium baked foods Story on Page 31 LATE NEWS Flat Flowers earnings after one-time charge THOMASVILLE, GA. — In a quarter that featured the completion of one acquisition and ended just before another was announced, net income of Flowers Foods, Inc. in the 12 weeks ended Oct. 6 was $31,231,000, equal to 22c per share on the common stock. Earnings were nearly unchanged from $31,019,000, or 23c, during the third quarter of 2011. Sales were $717,282,000, up 6% from $675,369,000. Net income was adversely affected by a one-time acquisition-related charge of $4 million, net of tax. Excluding the charge, quarterly earnings would have been up about 14% from the year before. With one quarter remaining, Flowers tightened Continued on Page 8 Countering higher input costs, B.B.U. to raise prices in November MEXICO CITY — Reflecting disappointing “price realization,” Bimbo Bakeries USA has initiated price increases, effective in Nove mber. The price hike was discussed by Gary Prince, president of B.B.U., in an Oct. 26 conference call following the release of quarterly financial results by Grupo Bimbo S.A.B. de C.V. Elaborating on the price increase, Mr. Prince said it was aimed “particularly to cover the commodity increases we see coming.” In his prepared comments, Daniel Servitje, chief executive officer of Grupo Bimbo, identified the U.S. bread business as an area of concern. “We’re not seeing a true recovery in our bread business,” Mr. Servitje said. “Volumes are continuing to trend positively quarter to quarter, with sweet baked goods and breakfast categories outperforming this period.” Mr. Servitje commented on synergy realization from the Sara Lee Continued on Page 26 Marking nine decades in partnership with grain-based foods

Table of Contents for the Digital Edition of Milling & Baking News - November 13, 2012

Milling & Baking News - November 13, 2012
Change agent at General Mills, NAMA chairman celebrates ‘noble’ industry
Countering higher input costs, B.B.U. to raise prices in November
Late News - Flat Flowers earnings after one-time charge
Table of Contents
News/Comment - Lack of focus on farm issues likely to change
Editorial - Many milling positives in tough environment
Late News
Data - January-September flour output reaches new record high
Financial Results - Mondelez earnings down 29% in third quarter, sales fall 2%
Oreo, belVita buoy biscuit business at Mondelez
CSM B.S.N.A. unit performs well in tough market
Morning foods wake up at Kellogg
Industry Activities - Millers in ‘deep dive’ exploring possible vitamin D fortification
Meyer elected vice-chair of NAMA; two honorary memberships named
Merchandising - Winners in America’s Best Raisin Bread Contest crowned
Business - Bakers look to resume operations in wake of Hurricane Sandy
Flowers acquiring Bimbo assets in California, Oklahoma
With Wisconsin project, Horizon doubling whole wheat capacity
Baker’s Pride opens new donut plant
Wind farm built to supply power to Bimbo in Mexico begins operating
Strikes may be looming at Hostess Brands baking plants
Mondelez to close Mr. Christie cookie plant in Toronto
Red Star, Lesaffre to raise yeast prices
ADM opens sweetener transfer terminal in Chattanooga
Nutrition and Health - Whole Grain Stamp success spans participating companies of all sizes
Food Ingredient Solutions - Indulge in extras
Milling Technology - ADM Milling expanding Beech Grove flour mill
The Andersons agrees to major grain facility acquisition
Gavilon opens grain facility in South Dakota
POET-DSM buys equipment for cellulose production
Washington - Breaking Washington gridlock
Weather Outlook - In marked change, world weather pattern transitioning to ‘normal
Washington - Elections may bring little change to Senate ag committee
Farm bill fate uncertain in lame duck session of Congress
U.S.D.A. offers assistance to hurricane victims
People - With Cargill c.f.o. resignation, David MacLennan to fill in
Brad Pederson named supply chain manager at Caravan Ingredients
ADM taps two for management positions
Transportation and Distribution - N.G.F.A. seeks easier path to contest ‘unreasonable’ rail rates
Nutrition and Health - Initiative shows gains in nutrition content in children’s cereal
Ingredient Market Trends - U.S.D.A. raises forecasts for U.S. and world 2012-13 wheat ending stocks
Supplier Innovations
Marketplace Business Network
Ad Index

Milling & Baking News - November 13, 2012