Martinne's Feed
Aug 7, 2013

Mead Johnson, Biostime settle with China over baby formula probe

NEW YORK/HONG KONG (Reuters) – Mead Johnson Nutrition Co and Hong Kong-listed Biostime International Holdings said they would pay fines in relation to a Chinese probe into possible price fixing and anti-competitive practices by foreign baby formula makers.

The fines are the first to be publicly announced in the wake of the antitrust review by the National Development and Reform Commission (NDRC) and coincide with separate pricing investigations into the pharmaceutical sector as well as gold trading.

Aug 1, 2013

Kellogg trims sales view on weaker U.S. demand

By Martinne Geller

(Reuters) – Food company Kellogg Co (K.N: Quote, Profile, Research, Stock Buzz) trimmed its 2013 sales forecast on Thursday, citing weaker demand in the United States and the stronger dollar.

The maker of Corn Flakes cereal, Eggo waffles and Keebler cookies stood by its full-year earnings outlook, excluding the impact of currency and one-time items, despite reporting stronger-than-expected results for the second quarter.

Jul 31, 2013

Diageo close to reclaiming tequila position – executive

NEW YORK (Reuters) – Diageo Plc (DGE.L: Quote, Profile, Research) may be close to a deal that would help it reclaim its dominant position in the global tequila market, according to a senior executive.

The world’s biggest spirits group lost its right to distribute Jose Cuervo tequila outside Mexico last month after failing to reach a deal with the brand’s owners regarding an equity stake. It is now left only with the smaller, more upscale Don Julio brand.

Jul 25, 2013

Mead Johnson keeps outlook despite lower China prices

By Martinne Geller

(Reuters) – Mead Johnson Nutrition Co (MJN.N: Quote, Profile, Research, Stock Buzz), maker of Enfamil baby formula, stood by its full-year forecast on Thursday despite having to lower prices in China amid a government probe.

Its shares jumped percent 8 percent to $76.41.

Mead Johnson and rival formula makers including Abbott Laboratories (ABT.N: Quote, Profile, Research, Stock Buzz), Danone SA (DANO.PA: Quote, Profile, Research, Stock Buzz) and Nestle SA (NESN.VX: Quote, Profile, Research, Stock Buzz), have cut prices of their products in China in recent weeks due to an investigation by the government into possible price-fixing and anti-competitive behavior.

Jul 24, 2013

PepsiCo defends strategy as profit tops forecast

By Martinne Geller

(Reuters) – PepsiCo Inc (PEP.N: Quote, Profile, Research, Stock Buzz) reported higher-than-expected quarterly earnings on Wednesday, as sales of Frito-Lay snacks, Quaker Oats and other food products grew at a faster pace than its beverage business.

Even so, the company said it is staying with its full-year profit outlook, reaffirming an earlier forecast for 7 percent growth. It said it was taking a conservative view because of the potential impact of global volatility and possible increases in spending on advertising and research and development.

Jul 23, 2013

Starbucks and Danone team up to take on growing U.S. yogurt market

July 23 (Reuters) – Starbucks Corp and Danone SA
said on Tuesday they will sell a co-branded yogurt
through Starbucks cafes and in grocery stores as yogurt makers
and food companies battle for market share in the $7 billion
U.S. market.

The partnership comes as Starbucks pushes into the “health
and wellness” category and as Danone, owner of the Dannon brand,
and other yogurt makers seek to conquer the U.S. market, where
yogurt consumption per capita lags Europe.

Jul 23, 2013

Starbucks, Danone to sell co-branded yogurt starting in 2014

By Lisa Baertlein and Martinne Geller

(Reuters) – Starbucks Corp (SBUX.O: Quote, Profile, Research, Stock Buzz) and Danone SA (DANO.PA: Quote, Profile, Research, Stock Buzz) said on Tuesday they agreed to sell a co-branded yogurt through Starbucks cafes and in grocery stores as yogurt makers battle for dominance in the $7 billion U.S. market.

The partnership comes as Starbucks pushes into the “health and wellness” category and as Danone, owner of the Dannon brand, and other yogurt makers seek to conquer the U.S. market, where yogurt consumption lags Europe.

Jul 18, 2013

BlackRock support for PepsiCo may stymie Peltz call for Mondelez merger

NEW YORK (Reuters) – BlackRock Inc (BLK.N: Quote, Profile, Research, Stock Buzz) said on Thursday it opposes Nelson Peltz’s proposal that PepsiCo Inc (PEP.N: Quote, Profile, Research, Stock Buzz) buy Mondelez International (MDLZ.O: Quote, Profile, Research, Stock Buzz) and shed its beverage business, signaling that the activist investor’s proposal could fall flat with fellow investors.

“At the moment, I would disagree with him,” Larry Fink, chief executive of BlackRock, the world’s largest money manager, said in an interview on CNBC. “I question how it would add long-term value.”

Jul 18, 2013

Trian’s Peltz says PepsiCo should buy Mondelez

NEW YORK (Reuters) – Activist shareholder Nelson Peltz dialed up pressure on PepsiCo Inc (PEP.N: Quote, Profile, Research, Stock Buzz), saying it should buy Mondelez International Inc (MDLZ.O: Quote, Profile, Research, Stock Buzz) for more than $62 billion and spin off its soft drink business.

Peltz, a force behind some of the global food industry’s biggest deals, finally laid out his vision for what would be a snack food powerhouse on Wednesday, three months after reporting ownership stakes in each company that sparked rampant Wall Street speculation.

Jul 17, 2013

Trian’s Peltz wants PepsiCo to buy Mondelez

NEW YORK (Reuters) – Activist shareholder Trian Fund Management said on Wednesday it wants PepsiCo Inc to buy Oreo cookie maker Mondelez International Inc for $35 to $38 a share, or separate its snacks and beverage business.

Officials from both companies were not immediately available for comment, but Trian said in a statement that PepsiCo had indicated it was not inclined to pursue the acquisition.