Milling & Baking News - December 15, 2020 - 16

Business

Hostess Brands files motion to
dismiss Donettes labeling suit
SAN FRANCISCO - Hostess Brands, Inc.
on Dec. 1 filed a motion with the US District Court Northern District of California
requesting the court dismiss a complaint
against the Kansas City-based company
related to labeling on carrot cake mini donuts sold under the Donettes brand.
Elena Lauchung-Nacarino, the plaintiff
in the case, has alleged that Hostess led
her to believe its carrot cake mini donuts
sold under the Donettes brand contain
" a substantial amount of real carrot, " not
simply artificial carrot flavoring. As a result, Ms. Lauchung-Nacarino said the labeling of the Donettes is misleading and
has accused Hostess of violating the California Consumers Legal Remedies Act
(CLRA), Unfair Competition Law (UCL),
and False Advertising Law (FAL), as well
as committing common-law fraud. She is

seeking compensatory and punitive damages as well as equitable relief.
In its Dec. 1 motion to dismiss, though,
Hostess pointed out several inconsistencies in Ms. LauchungNacarino's case.
" She does not allege that the
labels made any such claim or
even showed an image of a
real carrot, and in fact she concedes that the ingredient list
shows there is no real carrot
in the product, " Hostess noted
in its filing. " Her allegation HOSTESS BRANDS
that she bought the product because she 'prefers desserts that contain real
fruits or vegetables' is also undermined
by her concession that she first bought the
Donettes in 2019, when the front of the
labels read 'Naturally and Artificially

Richardson Pioneer to build high
throughput elevator in Alberta
WINNIPEG, MAN. - Richardson Pioneer Ltd. is building a new high throughput grain elevator in Huallen, Alta.
Construction is expected to be completed by fall 2021.
The new elevator will have a total storage capacity of 45,000 tonnes, capable of
loading 150 cars through a loop track design.
" The county of Grande Prairie is one of
the most productive regions in Western
Canada, " said Tom Hamilton, senior vice
president of agribusiness operations for
Richardson. " We look forward to building

strong partnerships with producers in the
area, providing grain marketing expertise
and efficient delivery options. "
Following completion of the grain elevator, a retail crop inputs facility will
be added to the site and is set to be operational in late 2022. It will host efficient,
modern assets, including a high-speed
fertilizer blender and 10,000-square foot
AWSA certified warehouse.
" The addition of the crop inputs site
will enable us to provide a full-service
option for both grain and agronomics, "
Mr. Hamilton said. " This will include

Flavored Carrot Cake mini donuts.'
" In short, a simple review of the objective
information on the front packaging, along
with the ingredient list, would have provided plaintiff with all the information she
needed to dispel any belief that the Donettes
contained 'a substantial amount of real carrot' and no artificial flavoring. "
Hostess added that Ms. Lauchung-Nacarino's case lacks standing because she " has not plausibly
alleged she suffered any injury in
reliance on the alleged misrepresentations or omissions. " In addition, her complaint is based on
labels that only appeared on the
Donettes for a short time in 2020,
when the " Naturally and Artificially Flavored " disclaimer was not
present, and doesn't take into account that
she first bought the Donettes in 2019 when
the disclaimer was present, Hostess said.
A hearing on the motion is scheduled
for Feb. 22, 2021. MBN
offering our customers leading seed,
fertilizer, and crop protection technologies in addition to year-round support
with CropWatch agronomic services and
CropMatrix digital services. "
A global company in agriculture and
food processing, Richardson is a worldwide handler and merchandiser of all
major Canadian-grown grains and oilseeds and is a vertically-integrated producer of food and ingredients. Richardson has more than 2,900 employees
across Canada, the United States and the
United Kingdom. According to Sosland
Publishing's 2020 Grain & Milling Annual,
the company has a total of 71 grain storage facilities with a total licensed storage
capacity of 95.7 million bus. MBN

Possible gluten contamination
prompts Canyon Bakehouse recall

Kellogg to halt RXBAR
production in UK

THOMASVILLE, GA. - Flowers Foods, Inc. on Dec. 2 announced the voluntary recall of Canyon Bakehouse products because of the potential presence of
gluten.
Flowers Foods said consumption of the products could cause " adverse
health effects or serious allergic reactions " among consumers with a wheat
allergy, celiac disease or gluten or wheat sensitivity.
The products affected by the recall are Canyon Bakehouse Mountain White
bread and Canyon Bakehouse Everything bagels.
Recalled products have been distributed in Arkansas, Colorado, Kansas,
Louisiana, Mississippi, Missouri, Montana, Nebraska, New Mexico, Oklahoma, South Dakota, Texas, Utah and Wyoming.
Flowers has owned Canyon Bakehouse, a Johnstown, Colo.-based baker of
gluten-free bread, since December 2018.
Flowers said no illnesses or incidents have been reported in connection
with the possible gluten contamination. The company said consumers with
lot number and UPC codes affected by the recall should discard the product or
return it to the place of purchase for a refund. MBN

LONDON - Kellogg Co. has announced plans
to cease production of its RXBAR brand in the
United Kingdom, a little more than two years
after entering the market. Kellogg said it still intends to market the product in the United States
and Canada.
" Kellogg is proposing to close its UK RXBAR
operation, " the company said. " We remain committed to the snacks category and to launching
future on-trend snacks innovation in the UK. "
Kellogg acquired the RXBAR brand as part of
its $600 million acquisition of Chicago Bar Co.,
LLC in late 2017. At that time, Kellogg said RXBAR would continue to operate independently as
a standalone business, leveraging Kellogg's scale
and resources for further growth. A year later,
Kellogg introduced RXBAR in the UK. MBN

16 / December 15, 2020

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Milling & Baking News - December 15, 2020

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