Milling & Baking News - January 20, 2015 - (Page 1)

THE NEWS WEEKLY OF GRAIN-BASED FOODS JANUARY 20, 2015 / WASHINGTON Stock Market Review Grain-based foods shares up in 2014, outperforming major market indexes Food as fashion Story on Page 28 LATE NEWS Cocoa grind down in fourth quarter KANSAS CITY - Fourth-quarter North American and European cocoa bean grind declined from the same quarter a year earlier, but full-year results were mixed. North American fourth-quarter grind was 122,886 tonnes, down 2,446 tonnes, or 2%, from the same quarter in 2013, the National Confectioners Association said, but grind for all of 2014 totaled 521,657 tonnes, up 10,615 tonnes, or 2%, from 2013 and the highest on record since the N.C.A. began reporting North American grind in 2009. European fourth-quarter grind of 323,061 tonnes fell 7% from a year earlier and was the lowest since Continued on Page 8 KANSAS CITY - Marking the sixth straight year of advances in the sector, share prices of grain-based foods companies were up sharply in 2014. The Grain-Based Foods Share Index, calculated by Milling & Baking News, ended the year at a record 20342.89, up 17%. While smaller than the 23% gain in 2013, grain-based shares in 2014 eclipsed advances of 16% in 2012, 8% in 2011, 9% in 2010 and 13% in 2009. From the end of 2008, the Grain-Based Foods Share Index has added 11,195 points, for a gain of 122%. A rarity for food stocks in a bull market, the G.B.F. index outperformed each of the other major market indices in 2014. The 16.8% gain bested the Standard and Poor's 500 Index - up 11.4%; the Dow Jones average of industrial shares, up 7.5%; and the Nasdaq composite index, up 13.4%. The Grain-Based Foods Share Index also outperformed global stock indexes. The 17% gain compared with an advance of 1.5% in the All Country World Index (ACWI). The MSCI Emerging Markets Index in 2014 was down 6% during the year. Additionally, grain-based shares were strong when measured against Continued on Page 20 Winter wheat seeded area 5% smaller than in 2014 WASHINGTON - The National Agricultural Statistics Service of the U.S. Department of Agriculture on Jan. 12 estimated the area seeded to winter wheat for harvest in 2015 at 40,452,000 acres, down 5% from 42,399,000 acres in 2014. It was the smallest winter wheat area since 36,576,000 acres in 2010 and compared with 41.8 million acres as the recent five-year average. The U.S.D.A. estimate fell well below the average of pre-report trade estimates at 42.7 million acres. In fact, the official estimate was below the lowest of pre-report trade estimates provided in a recent survey. The U.S.D.A. estimated hard red winter wheat plantings at 29.5 million acres, down 3% from 2014. It was the smallest hard winter wheat area since 28.5 million acres in 2011 and compared with 29.3 million acres as the recent five-year average. The U.S.D.A. said in commentary accompanying the report, "Acreage changes from last year are mixed across Continued on Page 33

Table of Contents for the Digital Edition of Milling & Baking News - January 20, 2015

Milling & Baking News - January 20, 2015
Stock Market Preview - Grain-based foods shares up in 2014, outperforming major market indexes
Winter wheat seeded area 5% smaller than in 2014
Late News - Cocoa grind down in fourth quarter
Table of Contents
News Comment - Two steps back for winter wheat plantings
Editorial - Inexplicable forces in flour trade
Late News
Business - New Krispy Kreme c.e.o. details range of expansion opportunities
Kellogg acquires controlling stake in major biscuit company in Egypt
Cosi attributes quarterly sales gain to rising consumer confidence
General Mills announces closing of plants in Ontario and Indiana
Michigan cupcake retail bakery closing company-owned stores
Research study links whole grains to reduced risk of death
Pizza Hut to launch gluten-free pizzas with crust made by Udi’s
Fast-food study finds little change in sodium, fat levels
Dunkin’ Donuts moving forward on expansion in China, Mexico
Honey Maid Go Bites hit market
Merchandising - Post Foods adds whole grains to Honey Bunches of Oats
Gluten-free choices in new varieties of Girl Scout cookies in new season
Flowers Foods introducing new Tastykake mini donuts
People - President of Smucker U.S. retail consumer foods unit resigns
Panera’s chief concept and innovation officer to step down
Price Cooper to Krispy Kreme as new chief financial officer, succeeding Doug Muir
Robin Galloway joins Schwan Food Co. as chief financial officer
Main Street Gourmet forms new leadership team
Gordon Smith named to lead K.S.U. Department of Grain Science and Industry
Financial results - Cargill earnings up 41% in second quarter, boosted by record crops
Dunkin’ completes ‘excellent year’ of restaurant development
While still strong, foreign grain-based foods performance slips some during 2014
Washington - Food as fashion
Weather Outlook - Southwest U.S. Plains drought hangs tough; El Niño not helping
Industry Activities - Pat Roberts of Kansas to helm of Senate agriculture committee
Ardent Mills research director addressing wheat quality groups
Wheat industry groups express support for Cuba trade thaw
Pulse Canada to receive more than C$3 million in funding
Dec. 1 wheat stocks up 3% from 2013; disappearance down 3%
Ingredient Market Trends - U.S.D.A. raises 2015 wheat carryover 33 million bus
Ingredient Week
Supplier Innovations
Marketplace Business Network
Ad Index

Milling & Baking News - January 20, 2015