Milling & Baking News - April 1, 2014 - (Page 1)

THE NEWS WEEKLY OF GRAIN-BASED FOODS APRIL 1, 2014 / BAKING HALL OF FAME 2014 Baking Goldman Sachs, Vestar to acquire Hearthside Food Solutions Hall of Fame G BAALKFINME H L O FA 2014 Milling & Baking com bakingbusiness. News April 1, 2014 / 37 / Story on Page 37 LATE NEWS B.B.U. to shutter Bay Shore bakery HORSHAM, PA. - Bimbo Bakeries USA (B.B.U.) said it will cease production at its bakery in Bay Shore, N.Y., by July. The bakery makes Entenmann's products and employs approximately 265 associates, 178 of whom will be affected when the company shifts production to other bakeries in its manufacturing network. "This was a difficult decision because of the highly engaged team of associates at this bakery," said Rod Cunha, B.B.U. vice-president of operations for the metro area. "However, after a critical assessment, it was apparent that the facility, first opened in 1961, cannot operate efficiently on a Continued on Page 8 NEW YORK - Goldman Sachs & Co. and Vestar Capital Partners, a private equity firm, have signed a definitive agreement to acquire Hearthside Food Solutions from Wind Point Partners, a Chicago-based private equity firm. Financial terms were not disclosed. Based in Downers Grove, Ill., Hearthside Food Solutions is a contract manufacturer of grain-based food and snack products. Hearthside offers a diverse product portfolio focused on four main platform categories: bars, cookies/crackers, granola/cereals, and snacks. The company manufactures more than 150 brands and 1,400 stockkeeping units for its top customers. Hearthside operates 20 food-manufacturing facilities in eight states. "When we launched Hearthside in 2009, we envisioned a company that could transform the contract manufacturing industry," said Richard G. Scalise, chairman and chief executive officer of Hearthside. "We have achieved that goal, building an industry leader and a highly successful business in the last five years based on the principles of being fast, flexible and adding more value. Going forward, by leveraging the experience and relationships of both Goldman and Vestar, we are confident we can take the company to the next level of growth in the contract manufacturing industry. We look forward to working with our new partners." Nicole Agnew, a managing director in Continued on Page 10 AIB exploring partnership with K.S.U. on Grain Science Complex SCOTTSDALE, ARIZ. - A grand vision for a far closer relationship between AIB International and Kansas State University has been unveiled by leaders of both institutions. The exploratory plans include a proposed $60 million Global Center for Grain-Based Foods that would be located on the Kansas State campus but would involve both of the Manhattan, Kas.-based institutions. The plans were unveiled March 16 during the board meeting of the American Bakers Association at the Phoenician hotel in Scottsdale. Speaking with Milling & Baking News after the presentations, representatives of the institutions said the initiative was still in a planning phase, and the presentation was intended to elicit industry feedback. Andre Biane, president and chief executive of AIB International, said the complementary activities of AIB and the Department of Grain Science and Industry at K.S.U. were a key driver behind the idea. "We are looking at our expertise in Continued on Page 26

Table of Contents for the Digital Edition of Milling & Baking News - April 1, 2014

Milling & Baking News - April 1, 2014
Goldman Sachs, Vestar to acquire Hearthside Food Solutions
AIB exploring partnership with K.S.U. on Grain Science Complex
Late News - B.B.U. to shutter Bay Shore bakery
Table of Contents
News/Comment - Food use of wheat registers pickup in growth pace
Editorial - Crucial focus for bakers amid dizzying change
Late News
Business - Greencore to build sandwich facility in Rhode Island
Flowers offers long-term plans for acquired Hostess plants
Aryzta completes acquisition of Cloverhill Bakery
General Mills’ baking unit ‘on trend’ with consumers
ConAgra to close Carriage House plants
Cargill, Copersucar to combine global sugar activities
Gluten-free baking not in Pinnacle Foods plans
Bimbo/Canada Bread transaction moves closer to completion
ConAgra Foods facing fine for violations at Ohio flour mill
Scoular to lease Washington grain facility
People - Brian Stevenson joins Kerry in bakery business development role
Bunge makes international management appointments
AMF Bakery Systems expands international sales team
Mediterranean foods maker names new chief executive officer
Industry Activities - A.B.A. chairman bringing quiet baking sector to forefront
Alton warns bakers on continued bread consumption weakness
Even with economy growing again, bakers face tough environment
Gen Y, not boomers, influence buying habits most
Millers gather on Marco Island
Millers consider the future of wheat at meeting
Food Ingredient Solutions - Origin opportunity
The use of common cheese names in peril
Nutrition and Health - F.D.A. upholds final rule on vitamin D yeast
Baking Hall of Fame 2014
Hall members had effect on current news
Gary Brodsky stepping down from committee
2014 Baking Hall of Fame - Donald R. Shaffer - Shaffer Manufacturing Corp.
2014 Baking Hall of Fame - Mariano, Eugenio, Renato, Umberto and Giancarlo Turano - Turano Baking Co.
2014 Baking Hall of Fame - John Watson - Watson, Inc.
Baking Hall of Fame Members
Weather Outlook - April should bring timely rain to some dry regions
Washington - ‘Dead on arrival’ legislation
Ingredient Market Trends - I.G.C. projects world grain production to fall 1% in 2014-15
Ingredient Week
Supplier Innovations
A.S.B. Photo Highlights
Marketplace Business Network
Ad Index

Milling & Baking News - April 1, 2014