Milling & Baking News - May 14, 2013 - (Page 1)

THE NEWS WEEKLY OF GRAIN-BASED FOODS MAY 14 , 2013 / NEWS FEATURE B.B.U. calls baking competitive as ever, unveils Sara Lee snack cakes Reduced grain shipments reflect drought Story on Page 28 LATE NEWS Winter wheat crop down 10% KANSAS CITY — U.S. 2013 winter wheat production was forecast at 1,486 million bus, down 159 million bus, or 10%, from 1,645 million bus in 2012, the U.S. Department of Agriculture said in its first survey-based Crop Production report of the season on May 10. Harvested area was forecast at 32.7 million acres, down 6% from 2012. Average yield was forecast at 45.4 bus per acre, down 1.8 bus from 2012, based on conditions as of May 1. Hard red winter wheat production was forecast at 768 million bus, down 23% from 2012, soft red winter at 501 million bus, up 19%, and white winter at 217 million bus, down 2%, including Continued on Page 8 MEXICO CITY — Despite the exit of a major competitor and the related shutdown for several months of considerable production capacity, the U.S. bread market remains highly competitive, a fact unlikely to change any time soon, said Fred Penny, president of Bimbo Bakeries USA. Mr. Penny made the observations during an April 26 conference call with investment analysts. The call was conducted in connection with the release by Grupo Bimbo S.A.B. de C.V. of firstquarter financial results. Also during the call Guillermo Quiroz, chief financial officer of Grupo Bimbo, said Sara Lee snack cakes were among a number of new products introduced by B.B.U. during the first quarter. Mr. Penny was asked repeatedly during the call about the competitive landscape of the U.S. bread market. “I would say generally speaking the bread category in particular is as competitive now as it has been,” Mr. Penny said. “And as you likely know, bread in the U.S. is as much a regional business as a national business. And so you can go market to market and find very different Continued on Page 9 January-March flour output down 0.5% from quarterly high WASHINGTON — Flour output by U.S. mills in January-March proved to be the second largest on record for the quarter even though down 0.5% from the same quarter in 2012 — the quarterly record, according to data interpolated by Milling & Baking News based on statistics released by the North American Millers’ Association (NAMA). In fact, the small decrease may have reflected the fact that there was one less operating day in the first quarter during 2013 as compared to 2012 with the current quarterly grind slightly above a year ago. The change was calculated based on a NAMA estimate of flour output for January-March at 97,888,000 cwts by the mills it queries, compared with 98,703,000 in the first three months of 2012. NAMA and Veris Consulting, Inc. have been gathering data on U.S. flour production, as well as state and stategroupings, output of durum semolina and whole wheat flour, since July-September 2012 when the U.S. Census Bureau halted its compilations due to budgetary restraints. NAMA retains Veris Consulting to survey the 24 largest U.S. wheat, durum and rye milling companies as listed in the Grain and Milling Annual 2012 on Continued on Page 32

Table of Contents for the Digital Edition of Milling & Baking News - May 14, 2013

Milling & Baking News - May 14, 2013
B.B.U. calls baking competitive as ever, unveils Sara Lee snack cakes
January-March flour output down 0.5% from quarterly high
Late News - Winter wheat crop down 10%
News/Comment - Bright food service trends hold hope in baked foods
Editorial - Sole success in campaign for healthier eating
Late News
Sooner than planned, Penny is B.B.U. president
Post to acquire cereal, granola, snacks business of Hearthside
Richardson completes and details Viterra milling asset acquisition
Business - Boulder Brands eyes No. 1 position in gluten-free with U.K. acquisition
Snyder’s-Lance profits up sharply on strong core brand sales
Mondelez International profits down; U.S. cookies sales strong
Financial Results - Strong fresh bakery results boost Canada Bread earnings
Industry Activities - A.B.A. holds 2013 annual meeting in Aventura, Fla.
Bakers warned non-grain snacks making market share inroads
Former Campbell Soup executive tackles leadership issues
Education and Research - Oatmeal shows satiety advantages over cereal in study
Food Ingredient Solutions - Enzymes assist in simplifying labels
Enzymes may play roles in such areas as acrylamide, snack cakes and cost-savings
Transportation and Distribution - Reduced grain shipments refllect drought
Ag groups urge Senate to act to improve nation’s waterways
Ingredient Market Trends - Winter wheat crop forecast down 10% from 2012 outturn
Ingredient Week
Supplier Innovations
Marketplace Business Network
Ad Index

Milling & Baking News - May 14, 2013