Tesco finally drew a line under its failure in the US with a deal to offload its Fresh & Easy business to investment fund Yucaipa. The detail of the agreement, however, was a rather apt way to end the venture. UK rival Morrisons announced lower half-year sales and profits but a capex cut cheered the City. Elsewhere, we analysed New Zealand’s attempt to restore the reputation of its dairy industry after the Fonterra botulism saga, while we interviewed the CEO of US gluten-free firm Boulder Brands.
Comment: Tesco’s US misadventure has apt final chapter
After six years of losses, there will be a sense of relief that Tesco has secured a deal to exit the US. However, the agreement with Yucaipa provides a suitable closing chapter for the failed foray.
On the money: Morrisons CEO says space race “over”
Morrisons chief Dalton Philips today (12 September) insisted the “space race” among major UK grocers is “well and truly over” after the UK’s number four food retailer cut its capex budget for new supermarkets.
Analysis: China key as NZ looks to rebuild dairy reputation
The New Zealand government has provided details of how it plans to work hand-in-hand with industry help rebuild the reputation of the country’s dairy exporters in the wake of the recent high-profile Fonterra recall. While much can be done to rebuild trust, the scandal comes as competition to build a safe raw milk supply is heating up in one key market – China. Katy Askew reports.
AUS: Bega Cheese bids for rival Warrnambool Cheese and Butter Factory
Australian dairy processor Bega Cheese has launched a takeover bid for rival Warrnambool Cheese and Butter Factory, in which it already holds an 18% stake.
UPDATE: UK: Sainsbury’s tests yet to link watercress with e.coli outbreak
Tests conducted by Sainsbury’s have – as yet – found “no indication” of e.coli in its watercress salad products.
Interview: Boulder Brands CEO Stephen Hughes – part one
Boulder Brands is a business under a decade old but one now approaching annual sales of over US$450m. CEO Stephen Hughes set up an investment vehicle in 2005 that became Smart Balance in 2007 when it acquired GFA Brands, the owner of the Smart Balance brand. However, in the last two years, with the spreads sector under pressure, Hughes has brought balance to the business with moves into gluten free – and changed its name to reflect its wider portfolio. In part one of a two-part interview, Hughes discusses Boulder Brands’ buoyant gluten-free business.
TURKEY: PepsiCo fined for competition breaches in Turkey
Turkey’s competition watchdog has fined PepsiCo for breaking competition rules in the country.
TURKEY: Ferrero opens plant for Kinder, Nutella
Ferrero has opened a plant in Turkey to produce Kinder and Nutella products.
US: Albertson’s snaps up United Supermarkets
US supermarket group Albertson’s LLC has struck a deal to acquire family-owned Texan supermarket chain United Supermarkets.
GERMANY: Buying alliance Coopernic collapses
European buying partnership Coopernic has come to an end after “irreconcilable differences” between four members and a fifth, the French retail giant E. Leclerc.