GRAND RAPIDS, MI - In coordination with a positive Q2 2016 financial report, retailer SpartanNash has revealed a few new notes on the company’s growing produce offerings. After recently unveiling new produce-centric remodels in several stores, President and Chief Executive Officer, Dennis Eidson, says the company is looking to further expand both organics and produce.

“We will continue to implement our initiatives to enhance our merchandising, pricing and promotional strategies, including expanding our organic and private brand product offerings, improving our produce offering, and driving greater customer engagement through our loyalty program,” Eidson revealed in the newly announced Q2 report. The company head also noted that SpartanNash will be rolling out Open Acres™, a private brand for fresh products.

The hope for the brand is to provide savings for fresh consumers in both company-owned and independent stores, Eidson says.

On the recent remodels, Eidson continued, “Additionally, we recently completed eight remodels and re-banners to Family Fare in Omaha, Nebraska, improving our offering to the customer while highlighting our variety and value, especially as it relates to produce and private brand, and have been encouraged by the initial customer response.” 

In addition to recently consolidating its Statesboro, Georgia, warehouse facility and “continuing to look for ways to optimize the supply chain,” Eidson says the company is proactively pursuing financially and strategically attractive acquisition opportunities.

Other highlights SpartanNash notes in its Q2 financial report are as follows:

• Consolidated Q2 net sales increased to $1.83 billion from $1.80 billion in Q2 2015
• Operating earnings were $32.6 million compared to $36.8 million in Q2 2015
• Adjusted operating earnings improved $2.1 million to $39.3 million from $37.2 million in Q2 2015
• Adjusted EBITDA was $58.7 million, or 3.2 percent of net sales, compared to $58.5 million, or 3.3 percent of net sales in Q2 2015
• Q2 reported earnings from continuing operations were $17.6 million, or $0.47 per diluted share, compared to $20.3 million, or $0.54 per diluted share, in Q2 2015
• Q2 adjusted earnings from continuing operations increased to $21.7 million, or $0.58 per diluted share, from $19.8 million, or $0.53 per diluted share, in Q2 2015

How will SpartanNash move to further grow its produce offerings in the quarters to come? Count on AndNowUKnow to follow the story.

SpartanNash

CALIFORNIA - Coming off an El Niño season that brought more rain than previous seasons but not as much as anticipated, we all have our eyes to the skies and rain dances ready. Now it looks as though another weather formula, one that’s been around since 1792, has given us another reason to hope for more help in California’s record drought.

The Old Farmer's Almanac, a practiced method of predictive meteorology, states that Northern California can expect more rain for 2016/17 despite whispers of a possible La Niña.

“Long-range predictions show weather trends in temperatures and precipitation. For example, will the winter be colder or warmer than average? Will there be more or less snow than what's typical for your area? Our famous predictions (traditionally 80% accurate) are made 18 months in advance, and meant to help you make more informed decisions for long-term planning,” it says on the Old Farmer's Almanac website.

So what does the pattern foresee? For Northern California:

• Winter temperatures and rainfall will be below normal, with below-normal mountain snows.
• The stormiest periods will be in late November, mid-December, and mid-January.
• The coldest temperatures will be in early and late December and mid-to-late January.
• April and May will be warmer and slightly rainier than normal.
• Summer will be hotter than normal, with above-normal rainfall.
• The hottest periods will be in early and mid-to-late July and mid-August.
• September and October will be cooler and rainier than normal.

Unfortunately, Southern California’s outlook is still a dry one. But how much can we trust the formula?

Devised in 1792 by Founder, Robert B. Thomas, SF Gate reports that his notes are kept locked up secret society-style in a black box at the Almanac headquarters in Dublin, N.H.

The website, while continuing to keep the actual formula under lock-and-key, assures visitors that "state-of-the-art technology and modern scientific calculations" have enhanced the process over the years, predicting weather trends and events by “comparing solar patterns and historical weather conditions with current solar activity."

But Mother Nature, as growers and fresh produce industry members well know, is hard to predict.

"It's difficult enough to do a five-day forecast," Senior Meteorologist at CNN, Dave Hennen, said. "We're really good at the day of and the next day, (and) we're better at temperature a ways out than precipitation. But to forecast out that far in advance... even the science behind our long-range forecasting is sometimes not that solid."

To see the almanac for yourself, click here.

Either way, stick with AndNowUKnow as we continue to keep you up to date on the latest weather and other influencers for fresh produce.

SALINAS, CA – New opportunities are on the horizon for produce industry families in Monterey. The California State University Monterey Bay has finalized an agreement with Mann Packing to establish the Mann Packing Scholarship for the school’s College of Business. Mann's will be committing $10,000 per year for the next five years to students with parents or guardians who work in agricultural or farming sectors.

“At CSUMB, over 50 percent of students are first-generation undergraduates. We are pleased and proud to provide this assistance to local students who have contributed positively to this community and intend to stay here and contribute more in the future,” said Lorri Koster, Mann's Chairman & CEO, according to a press release.

Koster is a member of CSUMB’s College of Business Advisory Council, where she learned about the need for scholarships. She continued, “We are blessed to have a California State University in our backyard, yet financially a college degree can still be out of reach for many. It is our hope this scholarship will make a difference in the lives of many students in the College of Business.”

Students must meet the following criteria to be considered for the scholarship:

• Financial need
• Minimum GPA of 3.0
• One page essay submission
• Major in any College of Business program
• A student from Monterey County
• A student with a parent or guardian who worked or works in the farming or agricultural sectors
• A student who plans to work in Monterey County upon graduating from CSUMB

Shyam Kamath, Dean of the CSUMB College of Business, thanked Lorri Koster and Mann Packing for its support. He commented, “This significant scholarship gift enables our most needy students from the Salinas Valley and other farming sector related communities to get a huge leg-up in pursuing the American Dream and contributing to our community and the larger society we live in.”

The Mann Packing Scholarship promotion and selection will be handled by a CSUMB selection committee, and will start being awarded in Fall of 2017.

Mann Packing

MEXICO CITY, MX - Mexico’s largest volcano, Popocatépetl, has erupted several times over the last few days, Mexico's National Center for Disaster Prevention reports. The volcano, which is less-than-affectionately known as El Popo, spewed both ash and burning rocks into the air in an area near Mexico City. 

CENAPRED, Mexico’s natural disaster center, stated that since this past Sunday afternoon, Popocatépetl had erupted four times. The center said the explosions were prompted by two small tectonic earthquakes, magnitudes 1.2 and 1.6, respectively. The result was 73 volcanic plumes of ash and rock, according to news source UPI.com.

Espectacular explosión del Volcán @Popocatepetl_MX esta mañana empezando la semana en #HardMode #DeColección pic.twitter.com/oRQUp6GbVO

— Webcams de México (@webcamsdemexico) August 16, 2016

"The CENAPRED urges you not to approach the volcano, especially the crater, due to the danger of falling ballistic fragments," the disaster center warned in its statement. 

Popocatépetl resides about 43 miles southeast of Mexico City, and has been fraught with activity over the past year.

This past March, CENAPRED raised the environmental alert level for the volcano to the second degree out of three, meaning residents should be prepared to evacuate at any time. As we reported earlier this year, April saw a huge eruption for El Popo. Ash was shot up three kilometres into the sky at such a volume that the nearby Puebla airport was shut down entirely. 

Will we see any effect on the produce industry due to the week’s eruptions? As more information comes to light, AndNowUKnow will bring you updates.

OXNARD, CA - Pickling is a trend and flavor profile continuing to heat up on restaurant menus across North America. While the preparation method has been around for years, Gills Onions is reinvigorating the category in the mainstream, with the launch of its pickled red onions for foodservice operators.

With the tagline “Perk it Up,” with Gills Pickled Onions, Teri Trost, Midwest/West Regional Manager, joins me to dish on the versatile new product and how pickling can enhance dishes and help to diversify the menu spread.

“Pickling is truly finding a place on mainstream restaurant and foodservice menus. The great thing about this item is that it can be in utilized in a host of different ways, whether a chef is looking to create more upscale subs, burgers, or Paninis, or they are looking to give gyros, tacos, or Middle Eastern dishes a new twist,” Teri tells me.

Enhance smoked salmon dishes or make those hot dogs gourmet, this list goes on. I love onions in just about everything from fresh seafood dishes to charcuterie plates, and of course salads. So, you can be sure I’d try this addition in any foodservice lineup.

Teri came to Gills from Fresh Connect in 2013, bringing over 30 years of experience in foodservice sales management, customer service and marketing. With her focus on helping Gills’ customers build their fresh-cut onion category sales and profits, Teri sees this product as a great opportunity for growth.

“We are going to pack the pickled onions in a one gallon bucket, which is approximately 5 lbs.,” she adds. “Pricing is available now for distributors with additional pack size options as well. With a 30-day shelf life, rest assured that the pickled onions will bring the same flavor throughout their lifetime.”

Gills’ pickled onions join the company’s full-line of value-added onion products for foodservice, including slivered, diced, sliced, and whole-peeled product options. The company’s passion for all-things-onion continues to drive Gills growth and its product innovation.

Gill's Onions

LOS ANGELES, CA - Coming out of its third quarter for fiscal year 2016, Unified Grocers reported just under the bar in sales, but an overall positive outlook after phasing out Haggen Pacific Southwest.

“I’m pleased about our performance to date in 2016,” Bob Ling, President and Chief Executive Officer of Unified Grocers, commented in the financial report. “The goal for this year was to get on track as we wound down the Haggen Pacific Southwest business, and the year-to-date results show we’re doing that. With borrowing availability under our revolving loan agreement of $127 million we have the liquidity we need to execute the strategies we have in place to further improve our operations and grow sales.”

Details from the quarter included: 

• Gross billings for the 39 weeks ended July 2, 2016 of $2.914 billion, compared to $2.996 billion for the same period last year.
• Operating income of $5.2 million for the 2016 period compared to $2.1 million in the same period last year.
• Gross billings for the 13 weeks ended July 2, 2016 (the “2016 quarter”) of $974 million compared to $1.070 billion for the same period last year.

“We are particularly pleased that we were able to maintain a similar operating income performance to last year’s third quarter in light of the loss of sales from the Haggen Pacific Southwest business,” Ling continued. The retailer attributed the majority of its decline in sales to the loss of business from Haggen’s Pacific Southwest division, which filed for Chapter 11 bankruptcy in September of 2015.

Now, Unified looks to focus on expense control and warehouse efficiencies, remaining positive that it will phase out those losses.

“Looking at the bigger picture, there are many success stories around the organization,” Ling added. “Our Market Centre division continues to find new ways to help our members differentiate themselves in the fast-growing specialty and natural business. We have also successfully transitioned our Southern California dairy business through a preferred supplier arrangement with Dean Foods, and our Members now have access to a wider range of general merchandise and health, beauty, and wellness products through our membership in Topco.”

As for what’s to come, Ling expressed excitement for all the new products the company will be showcasing to customers and members at its annual Expo, which kicked off today, August 17th.

“Unified’s annual Expo is the largest, best-attended grocery trade show in the western U.S. and I’m confident that this year’s event will be valuable for all participants,” the President and CEO concluded.

The Expo takes place in Long Beach, CA, at the Long Beach Convention Center until 5:00 p.m. today, and resumes for one more day tomorrow, from 8:00 a.m. to 4:00 p.m.

Unified Grocers

CINCINNATTI, OH - Networking, golf, and a cause worth fighting for will join together once again at the Tip Murphy Legacy Golf Tournament. Coming up Monday August 29, 2016, the United Fresh Start Foundation will host the event at Cincinnati’s beautiful Oasis Golf Club, to honor Tip’s service to the produce industry as well as support the United Fresh Start Foundation's Let’s Move Salad Bars to Schools initiative. The deadline to register is tomorrow, August 18.

"I’m looking forward to attending this year’s Tip Murphy Legacy Golf Tournament, supporting the United Fresh Start Foundation, and bringing salad bars to more schools," Greg Corrigan, Senior Director of Produce and Floral for Raley’s Family of Fine Stores, shares. "I have seen the impact of this beneficial program in schools in the California communities we serve. When children choose their fruits and veggies from the salad bars, it encourages trial of new produce and reinforces the nutrition messages. At Raley’s, we have seen that when you increase children’s access to fresh produce, they are more likely to make better choices long-term."

Register Here

By supporting this event, industry members can help make fresh produce the “want to” choice for kids nationwide, increasing their access to fresh produce at school. Over the past two years, the Tip Murphy Legacy Golf Tournament has supported salad bars for 10 schools, with this year's event slated to add to that total.

"We appreciate the opportunity to once again work with the Tip Murphy Advisory Committee to host this event. This great summertime event always helps us place a few additional salad bars, right before 'back to school' season, as well as supports the Foundation's other programs and activities," according to Andrew Marshall, United Fresh Produce Association’s Director of Foundation Programs and Partnerships. "The United Fresh Start Foundation and Let’s Move Salad Bars to Schools partners will have placed salad bars in 4,800 schools by the start of the 2016-17 school year, benefitting 3 million children nationwide."

With that fantastic accomplishment in mind, we ask, have you registered yet? Registration for the 2016 Tip Murphy Legacy Golf Tournament is still open until tomorrow, August 18. Registration includes your tournament fee, lunch, 18 holes with cart, awards reception with raffle and auction prizes, and contest holes including closest-to-the-pin and longest drive. Attendees can register as an individual or foursome.

You can register here, or you can contact Andrew Marshall for more details, (202) 303-3407.

Tip Murphy Legacy Golf Tournament

GRANITE BAY, CA – There’s a new Joe in town. More specifically, the Joe Family of Companies is welcoming Joe Food Safety to its repertoire of recruiting and job marketing divisions. Utilizing the same expertise which helped Joe Produce become a go-to for produce recruiting, the organization is now expanding its offer to food safety companies.

“Customer service, focus, deep understanding, and making the experience easy is our formula with Joe Produce, and we are now extending those same elements to food safety,” stated Rex Lawrence, Founder and President of Joe Produce, according to a press release.

Joe Food Safety will provide companies with crafted food safety job descriptions along with listings on websites, newsletters, social media, and other outlets. To kick off the Grand Opening of this new division, Joe Food Safety is currently marketing jobs for free.

“We are hyper-focused on food safety, with ‘an inch wide and a mile deep’ mentality. If companies have any jobs in food safety or quality, all we need is their job description and logo, and we will take care of the rest. And it’s free right now!” expressed Lawrence.

Contact the Joe Food Safety team for a free ad by emailing [email protected], or calling (855)JOE-4JOBS.

Later in the year, Joe Food Safety will offer its marketing services at a reasonable price for a full campaign. At $349, employers will receive the complete “Joe Pro” package for 90 days. Resumes received through Joe Food Safety are directly sent to the employer.

Joe Food Safety already hosts a notable selection of industry names such as Dole, SCS Global, Grimmway Farms, Sanitation Specialists, Blue Ribbon Frozen Foods, Taylor Farms, Robinson Fresh, and more.

Joe Produce

DINWIDDIE COUNTY, VA - Aldi has announced plans to build a divisional headquarters and a 500,000-square-foot distribution center in Virginia’s Richmond-area Dinwiddie County. The project will reportedly cost around $57 million and employ 400.

“The access to qualified and capable employees and transportation options first attracted us to this location, but it was the integrity and positive attitude of the Dinwiddie County leaders that truly won us over,” shared Aldi CEO, Jason Hart, in a statement.

Aldi is not the first retailer who has set its eyes on the Richmond, Virgina area. Lidl, also based in Germany, announced last year that it will put its American headquarters in Arlington County and open a distribution center in Spotsylvania County. Retailers Amazon.com, Supervalu, Walmart, and Food Lion all currently have distribution centers nearby, with Harris Teeter announcing plans to build one soon.

As reported by the Richmond-Times Dispatch, Aldi currently has 32 stores in Virginia, with plans to open up to 60 more in the next five years.

Construction is expected to begin in 2017 on the first phase of the center that is expected to employ 400 people, with Tammie J. Collins, Dinwiddie's Deputy County Administrator for Planning and Community Development commenting that Aldi has plans to open before that year is out.

How else will Virginia’s thriving retail distribution hub develop in the coming months? AndNowUKnow will keep bringing you all the latest updates.

Aldi US

DAVIS, CA - Despite the fact that I still feel a measure of guilt any time I want to use water, and driving down roads I can still expect to see “we are in a drought” signs flashing concerns for conservation, El Niño looks to have done us a solid.

Latest reports are showing significant reprieves thanks to the rains California received this year, cutting losses greatly in comparison to 2015.

"This year we still have a drought but it's not nearly as bad as 2014 or 2015 for agriculture," said Jay Lund, Director of UC Davis’ Center for Watershed Sciences and an author of the latest drought analysis, according to CNBC.

Though we are still definitely in a drought for the fifth year running, the numbers back-to-back show marked improvement:

• About 78,800 acres of farmland projected to be idled this year, compared with an estimated 540,000 acres of fallowed land in 2015.
• Water shortages in 2016 projected to cost the ag industry a total of $550 million in direct costs, according to UC Davis researchers, compared to an estimated $1.8 billion in direct costs in 2015.
• Total impact of losses, including from businesses supporting farming and the loss of household this year are forecast to top $600 million and 4,700 jobs statewide, compared to last year’s roughly $2.7 billion and 21,000 jobs lost statewide.
• Recent numbers show 59 percent of California in a drought (as of Thursday, August 11) as opposed to 88 percent last year at this time.

Costs for water, too, should see some improvement, according to Lund. "Water costs are coming down from the highs farmers paid a year ago," he commented. The report noted that pre-drought, farmers paid about $120 per acre-foot of water, but during the dryspell the cost has been as high as 1,000 per acre-foot or more.

The analysis stated that almost all fallowed land due to drought this year is projected to be on the west side of the San Joaquin Basin, "which relies heavily on water imports."

While this is all an improvement, especially coming to the end of the West Coast’s summer season, Lund’s report comes with a word of caution.

"The state isn't out of the woods as a lack of rain in 2017 could put California back in bad shape," he said, according to the report.

With 59 percent of California still in a drought, AndNowUKnow won’t be hanging our rain-dancing shoes just yet.