Milling & Baking News - December 10, 2013 - (Page 1)

THE NEWS WEEKLY OF GRAIN-BASED FOODS DECEMBER 10, 2013 / READY-TO-EAT CEREAL UPDATE Texas-based C.H. Guenther expands its McDonald's bun supply business Ready to eat cereal? Cereal makers look for ways to draw consumers back to category Story on Page 22 LATE NEWS Three injured in fire at Corbion Caravan facility LENEXA, KAS. - An early morning fire on Dec. 6 injured three employees at a Corbion Caravan manufacturing facility in Kansas City, Kas. The explosion occurred about 1:30 a.m. on the fourth floor of the seven-story facility, which produces dry blend ingredients for sale to the bakery, food and beverage industries. Two of the three injured employees were receiving treatment at a local hospital as of mid-morning on Dec. 6. The third employee had been released. "The safety and well being of our employees is the top priority for us," Corbion Caravan said. "A full investigation is under way into the cause of the Continued on Page 8 SAN ANTONIO - C.H. Guenther & Son, Inc., a food ingredient company with flour milling roots dating to 1851, has acquired three baking companies based in Canada. Two of the companies are suppliers of McDonald's buns and/or English muffins in Canada. Guenther announced it has acquired Golden West Baking Co., Gizella Pastry Ltd. and Les Boulangeries Rene, Inc. The first two companies are based in Vancouver, B.C. and the third in Montreal. Golden West and Les Boulangeries Rene bake buns, rolls and English muffins for the quick-serve, food service and retail grocery channels. Gizella bakes frozen desserts such as cheesecake, layer cake, brownies and bars. Rene Fluri was the majority owner of the businesses. Until the last several years, Guenther principally was involved in the sale of flour and other flour-based ingredients. Under the Pioneer, White Wings and Morrison's brands, the company manufactures a wide range of mixes. Under the SunBird brand, Guenther sells seasonings, soup mixes, liquid marinades and meal kits. Its Williams business makes spice-based mixes. More recently, Guenther has expanded into baking and other retail food products, including frozen biscuits and rolls in the Southeast. In 2005 the company acquired three baking plants in the United Kingdom and Belgium from Golden West & Trousdale, establishing Continued on Page 9 Kansas City hard red winter wheat basis at heady levels KANSAS CITY - Premiums on hard red winter wheat in Kansas City this autumn reached the highest levels for the season in records extending back to 1980; indeed, at 176c over the Kansas City March wheat future, the basis on 12%-protein hard red winter wheat may have set a record high for the month of November. It should be noted hard red winter wheat premiums have yet to reach all-time highs and may not do so. In February 2008, when U.S. hard red winter wheat and all-wheat stocks were declining to the lowest levels since shortly after World War II, the basis on 12%-protein hard red winter wheat was quoted up to 240c over the K.C. March 2008 future even as that contract traded at around $11.40 a bu on the Kansas City Board of Trade. The March 2014 contract last week traded around $7 a bu. Grain merchants pointed to what they asserted was the poor performance of railroads, particularly the Burlington Northern Santa Fe, and near record rail car values confronting those who required freight to load wheat into the spot market, as principal supports Continued on Page 11

Table of Contents for the Digital Edition of Milling & Baking News - December 10, 2013

Milling & Baking News - December 10, 2013
Texas-based C.H. Guenther expands its McDonald’s bun supply business
Kansas City hard red winter wheat basis at heady levels
Late News - Three injured in fire at Corbion Caravan facility
Table of Contents
Emerging markets losing luster for food makers
Editorial - New age for commodities on horizon
Late News
Smucker sees opportunities in Uncrustables business
Corn refiners’ on-line campaign stresses caloric balance
Business - Dollar General offering Hostess snack cake multi-packs
MGP Ingredients chief executive terminated after long board battle
Ebro finalizes acquisition of Olivieri fresh pasta business
Donut companies expanding in the United States
ADM’s A$3.6 billion bid to acquire GrainCorp rejected by Australia
GrainCorp c.e.o. resigns
People - University of Washington honors Roman Meal chairman
Former Kraft c.e.o. dies
Washington - Bakers urge F.D.A. to keep food safety G.M.P. regulations simple
Hagen steps downs as head of food safety
Ready-to-eat Cereal Update - Ready to eat cereal?
Regulatory Affairs - Standards standardization
KrFinancial Results - ispy Kreme relying on ‘relentless focus’ to unlock earnings and sales gains
Cosi rethinks direction in face of declining sales and earnings
Aryzta North American food group sales slip in quarter
Export and Trade Issues - Flour output rises in developing nations
Industrial use of grains, mainly to make biofuels, resumes upward course
Internartional - Canada and Australia raise wheat crop estimates
C.W.B. to acquire grain-handling assets
Ingredient Market Trends - U.S.D.A. raises forecast value of fiscal 2014 ag exports
Ingredient Week
Supplier Innovations
Marketplace Business Network
Ad Index

Milling & Baking News - December 10, 2013