A selection of quotes and insight from last week’s news.
“It’s tempting from a growth standpoint to look at something outside the core business but the reality of it is, the temptation is to do exactly like what we’re doing with Wishbone” – Pinnacle Foods CEO Bob Gamgort talks about the type of acquisitions it might make.
“If you compare and contrast with some of the businesses we got involved with in the past this is a company that’s doing extremely well as it is and has been doing extremely well for a number of years prior to our involvement” – 3G managing partner Alex Behring said it was too early to talk about cost cutting following the Heinz takeover.
“We are moving quickly and establishing key facts about what has happened and, as they emerge, we are taking appropriate action” – Fonterra chief executive Theo Spierings on his decision to place “two senior managers” on leave as it presses on with an internal investigation into the causes of the botulism contamination.
“There are some very attractive markets that we’re not currently serving today. And to do that adequately, at some point, we’ll need to reopen bakeries” – Flowers Foods CEO Allen Shiver says its approach to expansion will be “organised and methodical”.
“It certainly makes sense to get more business from the upmarket end of the US population” – James Richardson, SVP at Hartman Strategy, believes Campbell Soup’s acquisition of Plum Organics will increase its exposure to different demographics.
“If we hadn’t been doing the right things on NPD over the years, hadn’t been doing the right things on quality over a five- ten-year period and if we haven’t been investing consistently in the marketing of the brands, we should not be surprised that we do see some volume hurts when we start pressing on pricing” – Goodman Fielder CEO Chris Delaney claims years of under-investment in marketing, product quality and NPD meant when the firm upped prices on its bakery products, consumers turned away.
“If [we] can find the right thing that sort of fits the company and category and brand profile that we have as a business and that you can acquire from a multiple that makes sense, you’ll see as good M&A” – WhiteWave CEO Gregg Engles says the company was in “a great position” with a “fantastic” balance sheet.
“This cannot be the outcome Tesco had in mind when they entered the market” – an industry analyst who wished to remain anonymous comments on Tesco’s decision to scale back its presence in China.
“Gary has made a significant contribution during his time at Fonterra and we respect his decision” – Fonterra chief executive Theo Spierings on the departure of Gary Romano, the head of Fonterra’s domestic milk products business.