Our Chairman Reflects on the Year...... • 3

Small Market Does Big Wine Sales...... 4

Meet Senator Virgil Sm ith...... 6

An official publication of the Associated Food Dealers of Michigan Cadillac Coffee in the Driver's Seat...... 10 VOL 3, NO 12 and its affiliate. Package Liquor Dealers Association DECEMBER 1992 Handling Shoplifters...... 18

Food Stamp Fraud Bill Likely To Be Reintroduced Next Year Senator Mitch McConnell (R- BE PROUD OF YOUR INDUSTRY KY) introduced legislation, S. 3314, on Saturday, October 3, to identify and curtail fraud in the Food Stamp Program. According As 1992 comes to a close, we home, down from 9.1 percent in expenses. (Operating expenses to Senator McConnell, “For every ask you to reflect on your indus­ 1980. The extremely competitive are the costs of running the 1% of Food Stamp Program try and the impact it has on our nature of the industry is reflected businesses — everything but funds that are lost to fraud, there economy and the livelihood of all in its after-tax profits, which product cost.) could be $200 million to give as Americans. Because we all have frequently fall below a penny on benefits to the food stamp to eat, no other industry effects a dollar. For the fiscal year 1992 Food Price Increases recipients...More than 25 million U.S. citizens as much as the food ending March 1992, after-tax are Predicted to be the Americans are enrolled in this industry. profit for the industry was only Smallest in 25 Years. program, which hands out over 0.77 percent, well below a penny Based on the first 10 months of $20 billion in benefits a year.’’ The Supermarket Industry on the dollar. the year, U.S. Department of The 1990 Farm Bill required the is One of the Most Agriculture economists believe submission of identification competitive and Efficient Food Marketing is One of food prices will increase only numbers by retailers and beefed in the World. the Largest Employers in about one percent this year, the up the penalties to assist USDA Food retailers and wholesalers the Nation. smallest increase since 1967. in targeting and punishing the serve as the purchasing agents for Food retailers and wholesalers This is the second year in a row violators. His bill, the “Food our nation’s consumers and the employ more than three million of very modest food price in­ Stamp Anti-Fraud Act of 1992,” distribution agents for farmers skilled workers in grocery stores creases. The 1991 rise was the will increase penalties to retailers and grocery suppliers. Intense and warehouses, supermarket lowest in six years. In compari­ and recipients and expand the competition has led to innovative company offices and wholesale son, the overall Consumer Price use of the application information distribution techniques and food company facilities. From Index (CPI) for all consumer and identification numbers increased efficiencies that benefit 1981 to 1991, the number of products and services rose 4.2 provided by retailers to the Food, consumers. Today, Americans employees in grocery retailing percent in 1991. and Nutrition Service. spend a smaller amount of their increased by 33 percent, and the disposable income on food than industry may add an estimated AFD Supported Annual Meeting Notice do consumers in any other major 600,000 more jobs by the next Congressmen Win economy in the world. In 1991, century. Labor is the largest All AFD members are The AFD supported 40 candi­ consumers spent only 7.2 percent expense for supermarket compa­ invited to attend our dates for seats in the House of of disposable income on food-at- nies, about half of total operating annual meeting. A review Representatives in the November of the year will be 3rd general elections. Of these, presented, along with our 35 won their seats, which trans­ direction for the future. lates to an 88 percent success The meeting will be held rate. at the AFD offices on Monday, December 21, at Get Ready For Tobacco 6:30 p.m. Dinner will be Floor Stocks Tax served and we ask you to Many of the nation's retailers call in advance so we can and wholesalers must pay a one­ reserve a seat for you. time federal floor stocks tax on The AFD is located at cigarettes held for sale on January 18470 West 10 Mile Road, 1.1993. The Bureau of Alcohol. just west of Southfield Road in Southfield. Call Tobacco and Firearms (ATF) is (313) 557-9600. We hope the agency responsible for col­ to see you there. lecting the Federal tobacco taxes. See Tobacco Tax, Page 8 FOOD & BEVERAGF REPORT, DECEMBER 1992.....1

Frank Arcori Chairman Vegas Food Centers Amir Al-Naimi Year Review - A Time to Reflect Immediate Past Chairman Metro Grocery, Inc. By Frank Arcori, AFD Chairman associations, but for its value to encumbered with strangling tax N abby Y ono As we come to the close of First Vice Chairman the retailers they represent. Like levies or restrictive regulations XTRA Foods another year, it the family doctor and the cop on that mean the difference between Thomas Welch is a good time the beat, we look to our trade livelihood and bankruptcy. Vice Chairman to reflect on Hollywood Super Markets associations in times of emer­ As individuals, we are a voice M ark K arm o what has been gency. But all too often, we in the wilderness. Organized, we Vice Chairman accomplished ignore them and the day-to-day take on strength that grows in Royal Food Center and then look Richard George leadership they give to protect direct proportion to the numbers Secretary forward to our and further the interests of their our association represents. Wine Barrel plans for the Bill Viviano membership. The AFD has helped us Treasurer future. Every kind of business is through some tough legislation Marks Sales & Marketing We have stronger for the trade associations and has spoken well on our faced many problems over the that hold it together and fight for behalf. But when I look back on years, and battles are constantly Raad A yar its common aims. In every the year and all that has been Harvest Foods waged to further strengthen the industry they are important. In accomplished, I also see prob­ Sam Dallo retailer’s position. the retail food industry, the trade lems that have surfaced and In 'N‘ Out Foods Look at the legislatures and Fred Dally association is a necessity. future perils that we face. Medicine Chest the agencies that regulate the Almost alone in American Especially during difficult Terry Farida retail food and alcohol beverage Value Center Market business, we in the retail food economic times, the temptation is Jamal Garmo industries. Study our relations industry are constantly subject to there to make a little money Galaxy Foods with local governments and our Raad Kathawa public approval. Laws and “under the table.” Before you Ryan's Food inter-trade relationships. In so regulations define, limit and give in to the urge, stop and think Tony Munaco many ways, trade associations, about the damage you could be Mack-Bewick Super Market pleading the cause of their Thomas Simaan Every kind of doing to your business, your Lafayette Towers Supermarket membership, have contributed family and the food industry. J e rry Yono towards the establishment of a business is stronger D & L Market for the trade You have worked hard and you Sam Yono better industry, business and have a great deal to lose. Don’t Palace Plaza regulatory environment for their associations that hold IRECTORS SUPPLIER MEMBERS take chances. Make it a New membership. it together and fight Year’s resolution to review all Jerry Inman It seems to me that this power­ for its common aims. your store policies to be sure you Paul Inman & Associates ful story of achievement ought to Mel Larsen are complying with all of our Club Cars, Inc be told and retold, not nearly so restrict every phase of our opera­ laws and regulations. If you have Ron Paradoski much for the credit it earns the tion. We are at the mercy of Coca-Cola Bottlers of Michigan. Inc questions, call the AFD. Reme- Alan Stotsky legislative bodies. We are made ber, your association is here to Concord Drugs scapegoats for “evils” that are Barbara Weiss-Street help. The Paddington Corporation neither our responsibility nor our Chris Zebari Statement of Ownership doing. Overnight, we can be Pepsi Cola Company The Food & Beverage Report (USPS 082-970; ISSN 0894-3567) is Josep h D. Sarafa published monthly by the Associated Executive Director & Publisher Food Dealers at 18470 W 10 Mile, Judy Mansur Southfield, Ml 48075. Subscription Services pnee for one year is $3 for members. Sue Knapp $6 for non-members Material con­ Office Administration tained within The Food & Beverage Jim Larges Report may not be reproduced without Office Manager wntten permission from the AFD Mona Youhana Second Class postage paid at South- Receptionist field, Michigan V icky O ple Special Events POSTMASTER: Send address Phil Haddock changes to Food & Beverage Report. Sabah Brikho 18470W 10 Mile. Southfield. Ml 48075. Glenn Christian Membership ADVERTISERS: For information on If we can help you. please call the staff advertising rates and data, call AFD, members at (313) 557-9600 Ray Amyot. 18470 W 10 Mile. South- or 1-800-66-66-AFD.______field. Ml 48075. (313) 557-9600 or (517) 386-9666

AFD works closely with the following Harley Davis associations Coupons Karoub and Associates Legislative Consultant G adaleto & Ram sby Health Care James Bellanca. Jr. Betianca Beattie & Del isle Legal Counsel Jerry Urcheck CPA Ray A m yot Advertising Michele MacWllliams Metro Media Associates Inc Pubac Rotations AFD Food & Beverage Report Edit or

FOOD & BEVERAGE REPORT, DECEMBER 1992.....3 Big Business in Wine Helps Small Market Grow

Tony ’s legacy to his family is a entering the market. It seems track of the thriving grocery business which sometimes that every employee is enormous supports all the Luftys and their permanently attached to a phone. inventory of many employees. wine that reaches to the ceiling Cloverleaf is unique among and crowds the aisles on the small markets. Appearances can second story. The computer is in be deceiving, which is certainly his head. the case in regards to this store. In addition to keeping his Cloverleaf doesn’t have a distinc­ purchases and sales straight, tive building or entrance and the Jimmy is considered one of the interior appears crowded with foremost authorities on wine in produce cases spilling over into the area. Anthony Lufty has been welcoming the aisles and cereal boxes that When Jimmy was 17, his customers to Clover leaf Market since nearly brush the ceiling. The father was ill and he had to take 1961 store is packed into a comer Paul, Nancy, Jimmy and Tony Lufty responsibility for the wine. “I Anthony Lufty started between a gas station and bank stuck between stacks of wine was sinking, not swimming,” Cloverleaf Market on the south­ with a parking lot that is difficult Six family members work at Jimmy recalls. He scrambled to west comer of Telegraph and 12 to get into and frequently jammed Cloverleaf, each with his or her become knowledgeable and soon Mile Road in 1961. He had with delivery trucks and the cars own area of responsibility. Son wine was his passion. Ten years previously owned stores in of customers. Paul wasn’t bom when Clover­ ago, when Jimmy was 22, there Detroit and in Highland Park. In These factors might spell leaf first opened but he gener­ was only one employee in the 1961, when Cloverleaf opened. trouble for some stores but not to ously credits his father with its wine department, now there are Telegraph was a two lane road. Cloverleaf. In fact, due to success. “My Dad is the back­ 11. The wine is sold individually Since then the store, like the area, Cloverleaf’s highly specialized bone of the business,’’ says Paul, from shelves on the first floor, has undergone unprecedented wine business, much of its mer­ “he’s always here." Father from cases on the second floor growth. Thirty years later Clo­ chandise isn’t sold from a shelf or "Tony” is responsible for the and from a warehouse in Novi. verleaf is located at a major case in the store. The phone is meat and produce. He is con­ In the Detroit area, Cloverleaf intersection and the store is one ringing constantly, indicating that stantly on the go, picking up, Market frequently teams up with of the highest-volume wine high-volume wine sales are being sorting, stocking and greeting the exclusive restaurants, like the retailers in the Metro Detroit made without the customer ever customers, many of whom have Golden MusTiroom, to offer their area. become old friends. Sister Nancy wines for tastings in lovely works the longest hours and is settings, with fine cuisine. These responsible for the cash registers, dinners bring wine purveyors billings, and taking care of the together with wine aficionados. customers. His mother and Most come for the chance to try FOR another sister Lisa fill in when­ fine wines they would like to INSURANCE ever they are needed. taste before buying. Some order Paul is responsible for the wines in quantity for investment WE ARE beer, pop, nuts, juices and stays purposes. Over the years Clover­ THE busy cutting meat. leaf has compiled a mailing list of ONE It’s Jimmy Lufty, Tony’s more than 5,000 names. In their eldest son, who is credited with newsletter dates for the tastings the tremendous growth that has are given, along with specials on taken place at Cloverleaf and wines they want to move. Jimmy changed the store so completely. also shares wine discoveries with his customers. Jimmy tests the wines he recommends. During the day he tastes and spits. It is important One for him to stay sharp. Only in the qualified agency evening does he enjoy a glass or two. Even then he is experiment­ to serve all your ing and usually discards partial insurance needs. glasses. He travels to France two times a year. Including Assoc. Food Jimmy, like his dad and the Dealers Membership rest of the Luftys, is constantly on America One is the largest network ot independent the go. Work is their life blood. insurange agencies Representing America s Jimmy Lufty keeps track of wine deals leading Insurance companies. We provide Liquor Still, in spite of the sometimes Liability. Workers Compensation and Health without a computer. It's all in his head! Insurance Programs sponsored by Associated nearly frantic work load, the Food Dealers. In a tiny office at the top of a Luftys always manage a friendly narrow staircase, Jimmy directs For more information call: greeting for their customers and 1-800-688-9772 the wine sales. The walls are take the time to offer excellent covered with invoices, but there advice on wine purchases. is no computer system to keep

4.....FOOD & BEVERAGE REPORT. DECEMBER 1992

would address the disproportion­ Senator Virgil Clark Smith ate number of African-American males in jail. Smith is also concerned with Welcomes Change in Attitude the faltering economy and he is by Virginia Bennett, contributing editor improving education in his It is under the jurisdiction of confident that a Clinton presi­ dency will turn things around. Senator district and for the state because the Taxation & Finance Commit­ “A jump start for the economy is Virgil Clark he thinks many of the problems tee that Senator Smith has put necessary after cutbacks that have Smith faced by businesses stem from together a package of bills that, hurt us for three to four years,” understands the fact that urban residents don’t once passed, he feels will have a says the Senator. Under Clinton many of the always receive a quality educa­ major impact on the quality of he anticipates a new era where problems of tion. Without this, they are less education in Michigan. Smith’s division isn’t the watchword. He the small employable. school finance equity plan is is hopeful that unifying people business Smith represents Michigan’s under the Senate joint resolution will change attitudes. Senator owner in Second Senatorial District of G and Senate bills 180-195. Smith believes that the new Detroit. His Highland Park, Hamtramck and a He is especially concerned father has northeast portion of Detroit. He with tax equalization to refinance owned and was elected to the Senate in kindergarten through 12th grade run small businesses in Detroit March of 1988 and served on the public education. He thinks the Smith believes for forty-five years. Senator Finance, Local Government and present system is inequitable and education should Smith worked in his father’s gas Veterans’ Committees, the 21st feels that the state should elimi­ be financed by Century Commission on the station from the time he was ten, nate the funding of education by statewide which makes him sensitive to the Courts, and the Law Revision homeowners’ property taxes. problems of retailers. He under­ Commission. Currently Senator Smith believes education commercial stands the importance of keeping Smith serves on the Standing should be financed by statewide businesses and theft down, meeting payroll and committees on Finance; Reappor­ commercial businesses and industry. hiring and keeping good employ­ tionment; Judiciary; and Family industry. Under his plan, busi­ ees. Law, Criminal Law, and Correc­ nesses would receive tax cuts of These important issues are tions. He continues to serve on up to eight mills in his district government will recognize cities among the causes Virgil Smith the Law Revision Commission and some high millage areas, can’t continue to decline. He indirectly pursues in the Senate. and is a member of the African - such as Flint, would also receive looks forward to new solutions His current work focuses on American Legislative Caucus. reductions. Business taxes would for health-care delivery and go up in other areas but the programs to retrain workers who Senator insists that higher taxes have lost their jobs. are not a disincentive to business Regarding tensions between in the state if the educational racial groups in the city, Smith is system provides a better-prepared talking with Joanne Watson of employee. Smith's plan calls for; the NAACP about ways to • Equity by constitutional increase reciprocity between amendment: All 1,665,726 Arabs, Afro-Americans and other pupils in Michigan would have ethnic groups. He feels it is $5,000 appropriated to their important to break down barriers educations per year, regardless between cultures and form alli­ of where they live. ances. To lessen hostilities between • Property tax relief: Smith Arab and Chaldean businesses would like to relieve home and their clients, Smith suggests owners by levying school taxes that storeowners hire more on the value of land and not neighborhood young people and - their home. Land is approxi­ actively support church and mately 15 percent of the value community associations. of the property. Land will be Senator Smith is also very taxed at 35 mills for school sensitive to the level of contami­ operating. Many taxpayers nation, destruction and vandalism will see up to an 85 percent that he sees in the city. Eyesores savings on school operating he finds particularly distressing taxes. are abandoned old cars and • Income Tax Increase: Income mounds of old tires that pile up tax will increase by one half of illegally. He is committed to one percent. helping Detroit and its neighbor­ Smith correlates better educa­ hoods and believes that educa­ tion with the lowering of crime. tion, above all, is the key to the Educated people with saleable health and vitalty of urban areas. skills are employable and less likely to commit crimes. Less crime also attracts business. Smith thinks education reform

6.....FOOD & BEVERAGE REPORT, NOVEMBER 1992 FOOD & BEVERAGE REPORT. DECEMBER 1992....7 Dear AFD: knowledge has been passed on to jail right then! Now if that had take them a step further and After reading your Executive all employees. happened and would have been organize students and store Directors Report, Nov. ‘92 I have that employee’s signa­ included in the newspaper owners to an informal sting of (Liquor Sales to Minors Must Not ture on an employee handbook article, 1 bet a lot of retail their own. Then store owners Be Tolerated), 1 felt compelled to that explains store policy and clerks would be concerned and could terminate an employee write. M.L.C.C. rules for alcohol think twice about a doubtful without a liquor violation. I was one of the store owners purchases. sale. Then report the store and who was involved, I was one of I stress, among other things, 2. I think we agree here that the employee and any action taken 13. The employee who made the that you can't get into trouble for minors who attempt a purchase to the M.L.C.C. or local police, sale was fired the next day. refusing a sale; that when in and get caught have nothing to so that if they felt the need, There is no excuse for what doubt, no matter how slight, lose! What if their license to they could proceed with a happened. That employee knew politely refuse the sale, and that drive was suspended and formal sting. They could that he could refuse the sale. if you’re caught you’re fired. maybe the minors be forced to charge me for such a service Store policy states if they don’t With that said, I have some lecture to other minors about and I would be happy to pay, look 40. card them. thoughts to express: what happened to them. take the profit and use that for I have benefited from T.I.P. 1. That employee should have 3. M.A.D.D. and S.A.D.D. are education. and T.A.M. training and that been arrested and thrown in good organizations, why not I could go on forever. I’m a responsible store owner and I resent articles that only show one side. Let’s initiate some changes! Sincerely, Cliff Street Grocery

Tobacco Tax, From page 1

The cigarette floor stock tax GET YOUR SHARE OF THE 20 PIZZAS PER DAY was imposed by the Omnibus Budget Reconciliation Act of PIZZA MARKET! RETURNS AN INVESTMENT 1990, which increased the federal Pizza outsells all other types of fast IN JUST 6 MONTHS! food. If your customers are ordering Perky's is designed to be like a excise tax on tobacco products in a delivery pizza to eat with the franchise with everything included. two steps — January 1, 1991 and beverages they purchase at your But with Perky's there's no franchise January 1, 1993. The floor stocks store, why not sell them the pizza fee or continuing royalties , just profit! tax rate for cigarettes is the too! It's time to project a stronger bottom difference between the old tax Perky's offers a complete line and better serve your guests. rate and the new tax rate. In treshbaked pizza program that You've heard of us, so call Perkys order to comply with the law, delivers the quality your guests are today! wholesalers and retailers will hungering lor. Perky's patnemed Fresh Bakery Station, have to inventory their cigarettes shown with optional lighted canopy. as of January 1, 1993. The tax on their inventory must be paid by June 30, 1993. A wholesaler or retailer may not owe any floor stocks tax if they hold in inven­ tory not more than 30,000 ciga­ rettes. The floor stocks tax rates for cigarettes are: Small Ciga­ rettes (Class A) — $2.00 per thousand; Large Cigarettes (Class B) — $4.20 per thousand. A tax return must be filed by all cigarette wholesalers and retailers who hold tax-paid cigarettes in inventory for sale.

Don.t miss the AFD ANNUAL MEETING, Monday, December 21, 6:30 p.m. at the AFD offices. Call (313) 557-9600. See you there. From the first footbaII tailgater of the year through the dying strains 1 of Auld Lang Syne, your customers are in a festive mood. And when their holiday parties call for salty snacks, they’ll be stocking up on creamy, smooth chip dips from Berne'a Farms!

French Onion, French Onion Lite or Ranch Lite - w e’ve got the dips that score big points for taste, bringing your customers back again and again all season long.

Stock up soon and take advantage of the rush created by our seasonal promotion kickoff Sunday, November 1, in newspapers across Michigan.

Berne 'a Farms Dips. Your ticket to a winning food retailing season! ||^W holesal^Profil^^ A Century of Waking Up to Cadillac Coffee

Michigan’s first roaster of coffee company, but the road to the nies, and are supplied in whole beans. It produced such retail company's top position took bean and valve packs to specialty brands as “Cadillac,” Coronet,” many years. At the age of stores and retail establishments. "DeSoto” and "LaSalle," and was twelve, Jack earned one cent per Cadillac Coffee Co.’s renamed Cadillac Coffee Co. in bottle for washing coffee jars, warehouse facility, the first 1950, after one of its popular half of the two cent building in Fort Wayne’s Summit retail brands. deposit the cus­ Industrial Park, has allowed the The company was tomer received for company to “set the standard for originally located near returning them. development,” according to John the shores of the More importantly, R. Gehlert Jr. The 45,000 square- Ken Gehlerl V.P of marketing. Detroit River on he recalls his foot facility houses state-of-the- Jefferson Avenue, grandfather’s art equipment within a natural, For over 100 years and four in an impressive insistence on quality earthtone, low-profile building. generations, the Gehlert family six-story building, of product and honesty in The production area takes up a has enjoyed the aroma and taste which fell by the all business dealings. Jack 100 x 200 foot space. The 75 x of the coffee bean. wrecker's ball to make room for credits the company’s long 200 foot warehouse storage area It was Richard Steven Gehlert Detroit’s Cobo Hall Convention history on these founding poli­ is completely computer run. who first became interested in the Center in the late 1950s. cies. Computer communication sys­ coffee business. A salesman, Today, the executive offices The mantle of leadership fell tems tie Fort Wayne directly to Gehlert peddled coffee beans are located at 4740 E. Nevada on Jack’s shoulders in 1951 at the the Detroit home office, as well along with pots and pans from his Avenue, in Northeast Detroit, age of 28, when his father died. as the international coffee market. horse-drawn wagon on a route with its roasting plant and central Jack and son John R. Gehlert Ken Gehlert, vice president of from Port Huron to Saginaw in warehouse located in Fort Jr., who serves as vice president marketing in Detroit, stresses that the mid 1800s. Wayne, Indiana. of operations, personally taste or “quality makes the difference,” From the knowledge he Richard Steven Gehlert “cup” each batch of coffee which is the company’s slogan. gained. Gehlert soon became the brought his son. Richard Sher­ roasted at the plant. The coffee Ken believes that quality doesn’t local coffee expert and was asked man Gehlert, into the business, as “cupping” has a touch of family cost, it pays. He says that it only to head the coffee division of a each generation of Gehlert family ceremony and tradition. Third costs a couple of pennies more Detroit-based wholesale grocery has done since. and fourth generation Gehlerts sit for a premium cup of coffee and company. From 1951 to 1990, Richard around a 100-year-old wooden that is what keeps the customers Making use of his experience, Sherman Gehlert’s son, John table designed especially to hold coming back for more. Gehlert founded the R.S. Gehlert “Jack” Richard Gehlert, served as trays of roasted whole beans and Ken, who is brothers with John Co. in 1888, which became the third president of the coffee cups of brewed coffee. Experi­ R. Gehlert Jr., and Guy Thomas enced from a lifetime of testing, Gehlert, president, enjoys a the Gehlerts can tell which family business because he country and what area in that believes he talks to people who country the coffee is grown. genuinely care about what he has They sniff the aroma as they to say. slowly stir the rich brew with Ken says that Cadillac Coffee spoons bearing their Co. also treats their employees as grandfather’s and great extensive members of the family. grandfather’s initials. Tasting Ken adds, “We have really good, Health Benefits: The Group Life: merely confirms the first impres­ loyal and hard-working employ­ Af D offers group coverage underwritten by Coveroge Is under written by Fort Deorborn ees.” Blue Cross and Blue Shield of Michigon Life of Chicogo. o Dest "A" rated company sion. ( BCBSM) providing maximum coverage Fort Deorborn offers varied levels of The company supplies coffee The coffee company mainly for your Individual group needs benefits at very competitive rotes Guaran- in ground or whole bean to services the Ohio, Michigan, and AFD has three (3 ) options for you to teed Issue of up to $35,000 Is available to Indiana areas with five percent of select from. employees with two or more employee restaurants, hotels and institu­ 1 Blue Troditionol participants. tions, and has a complete in- its business servicing other areas 2 Dlue Preferred Plan (PPO) Severol plans ore available and the ex of the U.S. and Canada. 3 Blue Core Network (HMO) house service department for cellent rotes ore based on benefits chosen Although they are not publi- Each of these programs offer several dif clients’ coffee brewing system. In addition Sole Proprietors ore eligible for ferent choices of plans Quality “Cadillac” coffees are cally reported, sales approximate Group Life This Is on exclusive benefit avail- $23 million annually. In addition to these programs you con odd able only through AFD Certain restrictions also packaged under private additional benefits (depending on your may apply labels for office coffee service According to Ken, Cadillac group size) such os • dentol coverage companies, vending companies, Coffee Co. is financially secure • vision Group Short Term and wholesale grocery compa­ and ready for growth. • prescriptions etc The history of We ore able to service groups of all sizes Disability including one person groups Cadillac Coffee This Income plans provides for a percen Co. and the With ATD's group coveroge you hove. tage of salary to be pold to Insured • the most widely recognized ond oc Individuals who ore disabled os o result of quality of its cepted health core cord sustaining occidental bodily Injury or sick business has • claims that are handled locally ness • the privilege of group rotes resulted in • personal contact person In the AFD record sales and office and • the best combination-AFD ond Blue an exciting Cross ond Blue Shield of Michigon future for the firm.

Cadillac Coffee's main office in Detroit

10.....FOOD & BEVERAGE REPORT, DECEMBER 1992

12.....FOOD & BEVERAGE REPORT, DECEMBER 1992 a piece o f cake There's more to business than profits And sometimes, it's service that provides the edge At Monitor Sugar Company, we make sure working with us is a piece o f cake When you stock Big Chief brand products, you'll get outstanding service and support that can help cut through the dough • Monitor Service Specialists know sugar and care about your business We take the time to hear your concerns and then work with you to develop strategies to meet both your and your customers' needs Our goal is to help keep your Big Chief sugar sales on the rise ■ In-Store Support initiatives, including on-the-spot reimbursement for damages, reinforce our personal commitment to service With several layers o f service and support. Monitor Sugar Company makes it easier to satisfy your customers' appetites M onitor Sugar Com pany serves up a difference to your bottom line with quality Big Chief sugars

FOOD & BEVERAGE REPORT, DECEMBER 1992.....13 AFD On The Scene

Interesting events and important meetings attended by AFD members and staff Charitable activities committee, chaired by Mark Karmo, discusses Turkey Drive '92.

DAG MR Chairman Ed Frost with AFD's Ray Amyot at the DAGMR annual Patrons enjoy the rec ent Harbortown Market Wine Collection night at the Whitney. dinner held at the Southfield Manor.

PEOPLE Seagram employee celebrates 25 years with company John Newman receives plaque for his years of service.

From left to right: Joe Fisch, V.P. Atlantic/Pacific Region, John Wittig, state manager; John Newman, retail account manager and plaque recipient; Jim Ellers, state manager; Frank Bodi, state general manager

14.....FOOD & BEVERAGE REPORT, DECEMBER 1992 AFD Executive Director Joe Sarafa visited numerous stores in October.

Here are some shots:

Imad Naimi of Thrifty Scott poses with his sister, Attour, and Fred Dally of Medicine Chest.

Kevin Larsen of I & K talks to Ricky Farida as he unloads a Spartan truck for Greenfield Supermarket

George Ahho of Fenkell Food Center

Barney Kassab of Barney's Shop Rite standing in his new storage area.

Majid Hanna of Mac's Drugs. Lindsay Food and Drugs on West Seven Mile. Frank Youkhanna stands in front of his newly painted store.

Jonm Kouza norks long hours behind the Sam Kammo of Tel Kaif Market on West Seven Mile. State Party Store on Puritan sells a lot of toys and counter at Grand River Community Market clothing to supplement their food and beverage line

FOOD & BEVERAGE REPORT. DECEMBER 1992.....15 taken to marketing instant games. their contribution to this year’s Our multiple-game marketing tremendous success of the Michi­ strategy has led to an increase in gan Lottery. Thank You Retailer!-You Did It! instant game sales by 50 percent. Michigan Lottery Gets Into Other initiatives taken during By Michigan Lottery Commissioner, Holiday Spirit With New Jerry Crandall the Lottery s 20th anniversary Instant Games year include: introduction of the The Michigan Lottery's 20th an all-time The Michigan Lottery gets new “cash 5” on-line game; players into the holiday spirit anniversary year was a huge sales record. implementation of a computer­ success. Thanks to the hard work It could not with two new instant games, ized validation system for instant “Win For Life” and “Slam and dedication of you — our have been game tickets; a more effective Dunk!,’’ this month. retailers — Lottery sales soared accomplished sales monitoring system; a new to nearly $1.22 billion in 1992 — without your Lottery players will get the C rand all plan for sales staff to meet with the best ever in the Lottery s 20- enthusiasm. chance of a lifetime with the new Lottery retailers more frequently; instant game “Win For Life.” year history! This impressive the excellent cooperation and and a fully operational retailer sales record means that retailers extra effort of our Lottery staff, The Lottery’s newest game, services and telemarketing which goes on sale December 2, made nearly $81 million in and the tremendous support of division. commissions (a 7.6 percent your customers — our players. offers players the chance to win All of these initiatives make $ 1,000-A-Month for Life. increase over last year)! As a result, net revenues of the Lottery run more efficiently Preliminary unaudited figures more than $474.3 million, 39 There are great cash prizes up and are designed to enhance the for grabs in the new game, from for fiscal year 1991/92 which percent of the Lottery’s gross Lottery 's relationship with its $2 to the top prize of $1,000-A- ended September 30, show total sales, will be transferred to the retailers. Month for Life. If players match Lottery sales at $1,218,611,897 state School Aid Fund this year to Overall in fiscal 1991, more three like dollar amounts, they — the highest ever in the help support K-12 public educa­ than 44 million prizes were won win that amount, or if they get Lottery s 20-year history. This tion. Prizes awarded to players by Lottery players, totaling three “LIFE” symbols, they win sales figure reflects a seven were also up almost nine percent $615.4 million. In the Lotto $1,000-A-Month for Life. percent increase over last year. at $615.4 million., game alone, there were 30 jack­ Michigan Lottery players will The previous record was set in We launched several new sales pot winners who shared more have a “ball” with the new instant fiscal 1987-88 with Lottery sales and marketing initiatives this year than $214.5 million in second- game “Slam Dunk!,” which goes at $ 1,201.082,404. Not only did which made a record sales year and third-tier prizes. Players won on sale December 15. If “your the Lottery set a new sales record, possible. At the same time, we approximately $263.5 million in score” beats “their score,” the but we did it during a slow implemented operational changes the Daily games, $140.5 million player wins the prize shown for economic period and following a that enabled the bureau to run in the instant games, $20.1 that game. There are three games year in which sales had declined. more efficiently on decreased million in “Cash 5," and $18.9 on each ticket, which means three I couldn't think of a better way budget resources. million in the KENO! game. to celebrate the Lottery's 20th Much of the increase in sales is All of the Lottery’s retailers See Lottery, page 19 anniversary than to top it off with due to the new approach we’ve should feel exceedingly proud of

Here Are Som e Traffic Tickets You W o n t M in d Ham n& The Michigan Lottery can increase your store traffic and increase your profits. For any business, nothing is s p e n d m o n e y o n th e o th e r p r o d ­ more important than creating ucts you sell. store traffic. And nothing can Store Name (Please Print) Plus, when you sell the games help you do that more easily of the Michigan Lottery, you re­ than carrying the games of the Address ceive a 6% commission on every Michigan Lottery ticket you sell, and a 2% com­ With thousands of people City/State Zip mission on every w inning ticket playing every day, the Michigan you redeem up to $600. Lottery can attract a lot of Phone Number Contact Person So carry the games of the people to your store — where For Information on how to become a M ichigan Lottery retailer, ploase return to: Michigan Lottery. They’re one Bureau of State Lottery. 101 East Hillsdale, Box 30023, Lansing. Ml 48909, Or Call kind of traffic ticket you’ll be they will not only play our dif­ (517) 335-5600 ferent games, but they will also glad to have.

16.....FOOD & BEVERAGE REPORT, DECEMBER 1992 However, female shoppers Q. I’m trying to understand rated almost every attribute what female customers want in a higher than did males. To attract Significant Differences, convenience store that male female customers, operators must customers don’t. Can you help? meet these expectations. Men and Women's Product Preferences A. Both male and female A study found that women had customers want “convenience of significantly different preference Men Prefer Women Prefer location” as the number one ratings on product categories. consideration when deciding Fresh produce, an item not Fast Food Type Items Milk whether to frequent a conve­ carried by many convenience nience store. In descending stores, may be a key to attracting Automotive Supplies B read order, the following attributes are more women. B eer Fresh Produce important to customers: If you have questions you • cleanliness would like AFD to answer in W ine Health & Beauty Aids • feeling of safety while this space, write to “Ask AFD," shopping Food & Beverage Report, 18470 Source: Consumer Attitude Study, 1992. employees' attitudes W. 10 Mile Rd.. Southfield. MI quality of merchandise 48075.

Election Results: Largest Freshman Mortgage Money Class Since 1948

When the 103rd Congress AVAILABLE convenes in January, 110 new House members will raise their • FINANCIAL PROBLEMS • hands and be sworn in, the largest class since 118 freshmen were elected in 1948. Of the new freshmen. 23 are women and 16 We Have Solutions are minorities. The freshman class includes 64 Democrats and 46 Republicans. Of the 110 RESIDENTIAL LOANS freshmen, just 19 defeated incum­ HERB SCHERVISH REFIN ANCING/CONSOLIDATION bents on Tuesday An additional PRESIDENT HOME PURCHASES 19 incumbents were beaten at the polls during the primary elec­ 35 YEARS EXPERIENCE tions. The primary defeats, along with redistricting, a post-war RESIDENTIAL LOANS FOR: PROVIDING FINANCIAL record number of retirements, two deaths, and five mcumbent- DEBT CONSOLIDATION ADVICE AND SERVICES, WITH FINANCIAL LEGAL & FINANCING SOLUTIONS FOR: vs.-incumbent matchups caused ACCOUNTING FEES by redistricting, created 91 open DIVORCE SETTLEMENTS PERSONS REJECTED BY TRADITIONAL districts heading into the elec­ HOME PURCHASES SOURCES tions. California will bring the HOME IMPROVEMENTS FORECLOSURE AND BANKRUPTCY PAY OFF: SELF EMPLOYED greatest number of freshmen to LAND CONTRACT(S) MONTHLY CASH FLOW INCREASE the Hill with 17 new members; SECOND MORTGAGES WE BUY LAND CONTRACTS Florida will have 10 freshmen, HOME EQUITY LOANS TAX LIENS LIMITED DOCUMENTATION making it the state delegation CHARGE CARDS PROGRAMS AVAILABLE with the most turnover. The PROPERTY TAXES Senate will have 11 brand new MEMBERSHIPS: faces and a handful of committee MORTGAGE BANKERS ASSOCIATION OF AMERICA • NATIONAL ASSOCIATION OF MORTGAGE BROKERS switches. MORTGAGE BANKERS ASSOCIATION OF MICHIGAN • MICHIGAN MORTGAGE BROKERS ASSOCIATION BETTER BUSINESS BUREAU GREENFIELD MORTGAGE COMPANY Available Anytime • Free of Charge to Review Your Financial Needs Give Me A Call: (313) 274-8555 • Fax (313) 274-1125______

FOOD & BEVERAGE REPORT, DECEMBER 1992.....17 CRIME ALERT

How to Handle a Shoplifter rational manner that you are To learn the reasons for their aware of the situation. Q As a district manager, person, employee or customer is actions, if possible covering eight stores, I am peri­ falsely accused of theft the When confronting the To take criminal and/or civil odically asked by my managers retailer may be held civilly liable suspect(s) be firm and positive. action what they should do when they for their actions. Identify yourself by name and as To remain profitable in today’s suspect a customer may be I recommend six steps to a store employee. If possible, retail atmosphere a retailer must shoplifting. Some of them have follow before you or your em­ take one or more employees with not only increase profits by already apprehended would-be ployees take action: you to make the stop. Avoid improved sales, but also by shoplifters while other refuse to See the customer approach the arguing with the suspect and protecting merchandise from become involved. What do you item in question. This elimi­ attempt to address him in a low- theft. Company policies and recommend we adopt as a com­ key, polite manner. nates a later claim that the item procedures should be planned in pany policy? belonged to him previously. You should consult with your advance and carried out routinely Protect Your Profits attorney on this point, but basi­ as a rule. Following reasonable • See the actual selection of the A. Unfortunately, this sce­ cally, a store employee may use guidelines and using the law to article. nario. or something similar, reasonable force to detain a your advantage can help reduce occurs all too frequently. There • See where the article is placed shoplifter or protect himself from and prevent the shrinkage that are several guidelines store or concealed. attack. Remember, no amount of affects your bottom line. employees can follow when they merchandise is worth risking • Keep the subject(s) under Pointers On Handling Shoplift­ witness a theft. serious injury. constant surveillance. If the When escorting the detainee ers: The first key is "witness a individual drops the item, back to the office, make sure he √ If possible, have more than theft." A basic rule of thumb don’t stop him. must be: If you didn’t see it, it doesn’t discard the stolen mer­ one person watching the didn’t happen. In order to take • Let the subject pass the last chandise. If possible, recover the potential shoplifter. article(s) before moving back to any action at all, a member of point of sale, without paying, √ Be able to pick this person out the office. management or a trained loss- before stopping him. This in a crowd — make a mental The purpose of any detention prevention specialist should have eliminates the claim “I in­ note of appearance. tended to pay for it.” is four-fold. personally observed the actual √ Don't let the potential shop­ • To recover stolen merchandise theft. In the 1990s every retailer • Know where the articles are lifter out of your sight — wears a large bull’s eye on their concealed when making the • To identify the suspect(s) for back. In other words, if any stop. Tell the person in a calm future reference See Shoplifter, page 21

18. FOOD & BEVERAGE REPORT, DECEMBER 1992 U.S. to Count Millions of Business Firms in the 1992 Economic Census More than 3.5 million Ameri­ Many very small businesses will can businesses will receive 1992 not receive a census form. Economic Census questionnaires The information provided in from the U.S. Census Bureau in the census is absolutely confiden­ December. tial. By law, only sworn Census The due date for returning the Bureau employees may see completed forms is February 15. individual responses, which are Firms receiving census forms are also exempt from the Freedom of required by law to respond. Information Act. This is the most comprehen­ Statistics from the 1992 Eco­ sive Economic Census ever nomic Census will be published undertaken. For the first time, in more than 500 printed reports activity in finance, insurance, real and in formats for computers, estate, communications and including compact discs (CD- utilities will be measured, in ROMs). Both printed reports and addition to sectors traditionally CD-ROMs will be available in covered: retail and wholesale hundreds of libraries across the trade, service industries, transpor­ nation, or may be purchased tation, manufacturers, mining and inexpensively from the Govern­ construction industries. Censuses ment Printing Office. now measure nearly 98 percent of all economic activity in the nation. Taken every five years, Lottery the Economic Census identifies From Page 16 trends in business activity that are ways to win up to $300 in cash vital to measuring and encourag­ prizes. ing growth in the American Michigan Lottery players economy. could have their holiday shopping The Federal Government relies paid for if they win playing “Win on census data to develop impor­ for Life.” Lottery instant tickets tant measures of economic also make great gifts for the A Trade Show change, such as monthly retail mailperson, friends, family and sales and the gross domestic co-workers. They also make product. State and local agencies great stocking stuffers and pack­ for the use the Economic Census in age tags. regional planning, economic Food and Beverage development, and in efforts to Lottery Offers New “ Holiday attract and keep business activity Gift Giving Wrap” in their areas. I’d like to “wrap up" this Industry. While Economic Census data column by mentioning the are used extensively by govern­ Be a part of this Product and Service Round-Up. The Lottery s new “Holiday Gift ments, associations, and news Wrap” item designed to make gift AFD 1993 trade show will showcase our state's finest media, businesses receiving giving a little bit easier this year. companies at the two-day exposition. The show will be census forms should be aware New as part of the Holiday Gift held at the Hyatt Regency Dearborn and over 2,000 that they too can benefit. Busi­ Giving Program is the "Ticket nesses use the data to develop retailers are expected to attend this event. Wrap," a simple device to make it business plans, calculate market easy for retailers to sell instant share, and compare themselves to tickets in multiple groups to be industry averages. The Economic given away as gifts. April 12, 1993 • 6 p.m. 9 p.m. Census also is important for The “wrap" is designed so that business-to-business marketing; April 13, 1993 • noon - 8 p.m. if a customer purchases 5, 10, 15 the locations of retail outlets and or 20 tickets, they just stack the Hyatt Regency Dearborn the design of distribution systems tickets, put the ticket wrap around frequently are influenced by the them, then address and present results. the "package" to its lucky recipi­ Information requested in the ent. It’s the perfect gift wrap for Economic census includes num­ instant tickets. FOR MORE INFORMATION ber of employees, annual payroll, On behalf of everyone at the and the value of goods and Michigan Lottery, I'd like to wish or to obtain a contract and exhibitor's manual, call: services provided during calendar everyone a safe and happy holi­ year 1992. (313) 557-9600 or 1-800-66-66-AFD day season. To simplify reporting, the Census Bureau has designed over 500 versions of the basic census questionnaire, each tailored to a particular industry or size of firm

FOOD & BEVERAGE REPORT, DECEMBER.....19 "just lending his name” to the “This is a totally different ketchup ounce limited edition box is promotion of a product. “I love ice packaging concept,” says Rory $2.29. Isiah Thomas Creates cream” he said, “and always wanted O’Connor, marketing analyst. The to try to make flavors that would ✓ Mini Oreo with Holiday Red His Own Stroh’s Ice new size, which replaced the 64- excite both kids and adults like me. ounce product, is targeted to food- Creme — The tiny sibling of Cream Flavors I was elated when Stroh’s gave me service customers and heavy ketchup America’s favorite cookie takes Michigan’s own "Ice Cream the opportunity to formulate my very users. on a festive look for the holidays Dream Team,” Detroit Piston’s Isiah own flavors.” The Heinz syrup is sold in 1.5- with red (vanilla flavor) creme Thomas and Stroh’s Ice Cream, have Isiah's new flavors available in ounce cups and boxed 100 to a case; filling. Each Mini Oreo is one teamed up to create and market a quart size are: Chocolate Chill & the single-serve honey is packed 200 inch in diameter and weighs a line of unique ice cream flavors. Chips; Honey Vanilla Twist; Double to a case. mere one-tenth of an ounce. The Clutch Vanilla/Chocolate Twist; and Full-size caramel, mini white- product will be sold in seven- Twist & Shout Tropical Twist. The cheddar, and mini butter-flavored ounce boxes, containing about 70 suggested retail price is $2.99. are the newest varieties of Chico- cookies, at the suggested retail price of $ 1.99. His “Finest Flavors" available in San popcorn cakes and represent the the collectible, plastic pint contain­ top three popcorn flavors preferred Value Packed ers are: Champion Chill Caramel by consumers. Vanilla; Rim Rattlin’ Blue Moon Promotions & Sellers The Peanut Factory celebrates Twist; Double Dare Raspberry Happy Holidays Five Twist; and Orange Vanilla Twist. holiday gift giving and entertaining From the left. Chairman Stuart W Giller of Ways From Nabisco The suggested retail price is $1.89. with these stylish and seasonal Stroh’s Ice Cream Company; Detroit Pistons' The Nabisco Biscuit Company star. Isiah Thomas; and Phillip J Roselli, packs. Handsome holiday graphics is introducing a record lineup for president of Stroh's Ice Cream Company. Heinz U.S.A. Introduces showcase PET jars of Cashews, holiday-themed versions of its Mixed Nuts, Pistachios and Macad- Ice cream-lover Thomas said it Ketchup Jug, Syrup, most popular brands for the ‘92 amia Nuts in 14 oz. - 22 oz. sizes. was a natural match with Stroh’s, Honey, Popcorn Cakes season. And the three-can custom assortment and that the two have worked closely The company rolled out five Gift pack is a together to create “Isiah’s Favorite holiday items, for a limited "tasteful" way for flavors.’ The eight, new Kosher- engagement. They include: your customers to approved flavors, formulated to share the holiday “tickle kids’ (and adults’) palates,” White Fudge Covered Oreo spirit. are available in durable, plastic, pint- — Back by popular demand, size collectible containers and Oreo cookies covered in white This series of conventional, round quart cartons. Heinz U.S.A. is behind three new fudge have sold out each year on seasonal and They are identified by the picture of products: - 78-ounce plastic jug for the market. The product comes in special event neck Isiah on the package. ketchup; single-serve syrup and a 14-ounce package at the sug­ ringers not only Although this marks the first time honey; and three Chico-San popcorn gested retail price of $3.29. add sales excite­ a sports celebrity has created and cake varieties. ment to your nut section, they are promoted a line of ice cream flavors, The ketchup pack features a mail- an excellent vehicle to heighten Isiah said he wasn’t interested in in offer for a dispensing pump. promotion awareness, deliver coupons or any message. They fit 16 oz. and 24 oz. PET jars and are available for Father’s Day, The poster that offers you all seven Valentine’s, Football season and the Holidays, or any chain spe­ government postings! •1992 Commemorative Oreo cific promotional event. Holiday Tins — Two different The dilemma of the nutritious Protect yourself from litigation and stop bulletin board clutter tins depict how Santa and Oreo lunch snack is finally solved! The with the ORIGINAL LABOR LAW POSTER. “Unlock the Magic” of Christmas. Lunch Box Express holds 20 one- Contains ALL REQUIRED government postings, including: Both tins contain a Christmas ounce individual servings to pop in story for children to read. De­ any lunch for any age group. Bright, •NEW Minimum Wage • Handicapped Workers’ Rights signed as a keepsake, the tins fun graphics are a •Polygraph Testing • Child Labor which contain a 16-ounce pack­ real attention •Equal Employment Opportunity • Job Safety and age of Oreo cookies, will be sold getter for kids. •Age Discrimination Health Protection at the suggested retail price of And the single $3.99. snack convenience POSTER PRICES: will make this a hit the year around. • Holiday Sprinkled Chips Ahoy! $5.00 each— Members; $8.00 each— Non-Members — Chips Ahoy!, America’s Printed in full color on heavy-duty gloss stock, each poster measures 22-3/4“ x 34” leading chocolate chip cookie, Attention Food Brokers Please send me______posters at______each. gets sprinkled red, green and & Representatives white for the holidays. These I f you have new products or colorful cookies are available in Name______changes in current products, 14.5-ounce packages at the please let us know. Our readers Company ______suggested retail price of $2.99. are interested in learning what Teddy Grahams Holiday Bears you have to offer and we reserve Street Address ______— “Beary merry” cookies, in space fo r new products in each chocolate and vanilla flavors, will issue. Send information, along City, State, Z ip ______with photos or ad slicks to: come in six seasonal shapes Michele MacWilliams; AFD Telephone______including Santa Bear, Little Food b Beverage Report; 18470 Return form and check to; Associated Food Dealers, 18470 W. Ten Mile Road, Drummer Bear, Bear-in-a- West 10 M ile Road; Southfield, Southfield, Michigan 48075. Phone (313) 557-9600. Stocking and Sleigh Bear. Sug­ M I 48075. gested retail price for the 10- 20.....FOOD & BEVERAGE REPORT. DECEMBER 1992 Shoplifter $27,500 in fines were proposed United States. Locked Exit Doors From Page 18 Lead To $3 Million for seven alleged serious viola­ Under current guidelines, you tions, including failure to provide have a lot of flexibility in how seeing him conceal items is Fine by OSHA emergency illumination, failure you provide customers with important for apprehension. to maintain fire alarm systems, nutrition information for perish­ A fire that claimed the lives of √ Know where the items are failure to identify a door as “not ables. As long as you visibly two workers led OSHA to pro­ concealed. an exit” and failure to guard live post the necessary nutrition pose fines totaling $3 million electrical parts. information, you are in compli­ √ Let potential shoplifters pass against the McCrory Corp. The In a recent statement, OSHA ance with the regulations. the point of sale before stop­ fatal fire occurred on May 16, Administrator Gerard F. Scanned If FDA determines that not ping them. 1991 at a Huntington Station, NY said the agency, “cannot stress enough retailers are voluntarily store. According to OSHA six of √ Handle the potential shoplifter often enough the need for em­ posting nutrition information, eight exit doors were locked in a calm and rational manner ployers to take the threat of fire they will enact mandatory regula­ when employees evacuated the — never act rudely or seriously. Locked exits and tions. store during the fire. OSHA viciously. inadequate emergency procedures Failure to comply with the proposed a fine of $49,000 per are absolutely unconscionable — mandatory regulations would √ Know the offender’s rights — locked exit door for a total of clearly they lead to mindless result in steep fines and criminal accusing or detaining someone $294,000. deaths.” penalties. wrongfully can be costly to The locked exit doors were Avoid mandatory regulations you and the company you considered alleged willful viola­ Post nutrition information work for. tions. Other alleged willful today. violations were failure to train the Are You Ready for If you need more information, 58 employees at the Huntington Nutrition Labeling call the AFD at (313) 557-9600. BUSINESS FOR SALE facility in emergency evacuation Inspections? We will send you an order form Liquor store with grocery and lottery procedures, including failure to for Nutritional Guideline Posters. for sale. In good location with building conduct periodic fire drills. In November, FDA began included, also three adjacent stores. These citations carried proposed making unannounced inspections For additional information call Louis penalties of $49,000 per em­ of Produce and Seafood Depart­ (313) 863-4620. ments across the country. ployee for a total of $2.8 million. Mini-market with meat, produce, OSHA also cited McCrory for They are looking for visible pharmacy, and frozen foods. The storing material in the basement posting of nutrition information building and business for sale. For of the store which blocked sprin­ for the top 20 fresh fruit, 20 fresh additional information call Louis (313) kler heads. The agency proposed vegetables and 20 raw seafood 863-4620. fines of $24,500. An additional items consumed around the

Driver License and I.D. Guide Booklets

Order yours now.

This comprehensive booklet shows a picture of a valid drivers license from each and every state. All retail operators should have this booklet as a reference guide, near the cash register. You can Many thanks for your accept out-of-state licenses for the purchase of generous support for the last alcohol. Using this guide will help you in making a positive identification. Order your booklets today. 74 years. Don't serve a minor with a tampered license. Check it out with the We're l o o k i n g f o r w a r d Driver License Guide Booklet to a prosperous 1993. when AFD is offering these 1992 booklets at substantial we will be celebrating our 75th savings. The guide is only $10. Send checks to: Associated Food Dealers, 18470 W. Ten Mile Road, anniversary. Southfield, MI 48075 or call (313) 557-9600.

ASSOCIATED FOOD DEALERS OF MICHIGAN

FOOD & BEVERAGE REPORT, DECEMBER.....21 Grocery Stores No Longer the Only Game In Town engineer their organization. To “EDI must be implemented. redefine their business, distribu­ The system must be error free. "The wholesale distributor dynamics, quality process, tech­ tors must be an information There will be less tolerance industry is going through tremen­ nology, and mergers and acquisi­ developer, provider and marketer. among the partners and the dous change,” according to Dan tions. They must get closer to their system for errors — quality will Doherty of Arthur Andersen, market. To re-engineer their prevail. Technology will help Chicago. "There is tremendous Channel Dynamics organization, distributors should reduce paperwork, eliminate According to the study, chan­ pressure and in-fighting in the conduct in-store demonstrations, errors and encourage partnering. nel conflict exists. “The industry industry between suppliers, arrange ad and promotional “Information/technology is a market-share game. Every­ distributors and retailers. Dis­ programs for customers, coordi­ improvements will continue to one is trying to grab niches,” tributors must look at their nate with media on promotions multiply geometrically. Point-of- Doherty said. “There is a debate operations long term and change and create excitement in the sale data will be available. It over who will improve the market the way they do business.” customer’s location. must be shared and there must be share, the manufacturer or the Based on an Arthur Andersen a trust factor in the sharing distributor, and who is the power Quality Process study conducted this year for the between manufacturing/supplier in the customer s eye. Value- "Distributors must get back to National Association of Whole­ and distributor and retailer/ basics — emphasize quality, saler-Distributors (NAW), “Fac­ added services must be continu­ customer. Where it is feasible ally emphasized. Information track customer service and ing the Forces of Change - The and economical for the product to develop growth through better Year 2000,” partnership will sharing will increase across the go direct, it must do so. The penetration of existing custom­ define the future of the wholesale channel.” distributor must learn to benefit ers,” said Doherty. “The distribu­ distributor industry. “Distribu­ Doherty pointed out that new from marketing services to tor must become the local/re- tors, suppliers and retailers must segmentation is being driven by supplier or customer, information gional marketing expert. What's work together to improve cost the fight for market share in a services, and market uniqueness delivered on the truck will be less structures,” said Doherty. “Part­ relatively flat market. Grocery information. There must be just- important than the other market­ nership will help reach the cus- stores are no longer the only in-time inventory at all levels in ing services distributors can tomer/consumer through alterna­ game in town. New segments the channel,” said Doherty. provide. Distributors must learn tive channels of distribution— include traditionalists, progres­ how to sell again, by marketing that which is most direct, most sive marketers, warehouse clubs Mergers & Acquisitions services and their products. They efficient, most economical.” and c-stores. Emerging trends From 1990 to 2000 there will must eliminate damage, out-of­ Doherty identifies four key require distributors to redefine be an aggressive period of re­ stocks, delays and non-value developing issues: channel customers and business, and re­ structuring, stated Doherty. added activities, while simplify­ Larger companies will greatly ing value added activities. expand market share by 33 “Success in the ‘90s requires a percent. The study also predicts a new management philosophy. 20 percent decline in wholesale Ask customers what they want, firms. listen and satisfy it,” added Globalization is also affecting Doherty. our industry. Wholesale distribu­ Technology tors are looking beyond the U.S. Regarding technology, borders for products, services and Doherty pointed out that the customers. Key areas include wholesale distributors industry is Canada, Mexico, Eastern Europe, historically low in expenditure the Common Market—ECC and and applications. “Distributors Asia. must upgrade,” he said. “Outside “Define who your customers pressures from customers (50%), are. Look one step ahead,” said suppliers (25%), and retailers Doherty. “Get out of the middle. (25%) will call for implementa­ Help serve and rethink the tion. customer's mindset.” We Cover Michigan

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22. FOOD & BEVERAGE REPORT, DECEMBER 1992 SUPPORT THESE AFD SUPPLIER MEMBERS

4 5 8 - 9 5 3 0 SPICES & EXTRACTS: Taste Buds...... (517) *>46-8522 Sm ith M eat Packing. Inc ...... BAKERIES: 4 5 8 - 9 5 3 0 Thomas Manor Catering...... "171-3330 R a f a l S p ic e C o m p a n y ...... 2 5 9 - 6 3 7 3 Ackroyd's Scotch Bakery A Sausage...... 532-1181 149-2280 5 5 2 - 0 7 0 0 Archway Cookies...... (616) 962-6205 Vassel's Banquet Hall & Catering ...... :154-0121 W inter Sausage M fg. Inc ...... 7 7 7 - 9 0 8 0 W o lv e r in e P a c k in g C o m p a n y ...... 5 6 8 - 1 9 0 0 STORE SUPPLIES/EQUIPM ENT: 967-2020 ...... 4 9 1 - 6 5 5 0 S & M Buscuit Distributing...... 893-4747 DAIRY PRODUCTS: Belmont Paper & Bag Company . ..(800)882-5104 352-4343 American Dairy Assoc...... (517).349-8923 MEDIA: Brehm Broaster Sales ...... (517)427-5858 476-0201 588-9478 Arab & Chaldean TV-62 Show ...... 3 5 2 - 1 3 4 3 Bemea Food Serv ice...... (800) ( ...... 3 6 9 - 1 6 6 6 571-1900 C & G P u b lis h in g . I n c ...... 7 5 6 - 8 8 0 0 Borden Ice Cream 1 ...... 6 9 7 - 7 0 6 0 >52-9666 5 5 2 - 1 9 8 9 BANKS: ...... 5 8 2 - 4 4 0 0 552-9347 5 4 1 - 3 0 0 0 McDonald Dairy Co...... (517) ( ...... 6 8 0 - 0 5 8 0 274-8555 2 2 2 - 6 4 0 0 M a r k e t M e c h a n ic a l S e r v i c e s ...... Melody Farms Dairy Company...... 1>25-4000 548-2900 M idwest Butcher & Deli Supply ...... 6 8 9 - 2 2 5 5 Milk-O-Mat ...... !364-0550 2 2 2 - 2 0 0 0 Refrigeration Engineering, Inc. ..(616)453-2441 489-9100 568-5106 Detroit New spaper Agency ...... 2 2 2 - 2 5 1 2 Statewide Food Equipment D tst...... 3 9 3 - 8 1 4 4 Tom Davis & Sons Dairy...... i399-6300 G a n n e tt N a tio n a l N e w s p a p e r s ...... 3 5 7 - 7 9 1 0 TRM Copy Centers ...... (503) 231-0230 Macomb Daily ...... 2 9 6 - 0 8 0 0 BEVERAGES: 9 6 3 - 5 5 2 2 Absopure Water Company...... 358-1460 EGGS & POULTRY: 4 5 4 - 4 5 4 0 American Brokers Association...... 544-1550 524-9550 2 2 2 - 0 6 4 3 W H0LESALERS/F00D 354-1860 W J B K - T V 2 ...... 5 5 7 - 9 0 0 0 DISTRIBUTORS: Bellino Quality Beverages. Inc...... 946-6300 W L T I - L ite - F M ...... 3 5 4 - 9 3 0 0 Bremer Sugar ...... (616) 772-9100 Brooks Beverage Mgt, Inc...... (616) 393-5800 FISH & SEAFOOD: W W J - A M /W J O I - F M ...... 2 2 2 - 2 6 3 6 . 8 3 4 - 0 8 0 0 369-9020 .341-5887 ..(517)699-3605 Canandaigua Wine Co...... 379-3644 962-7622 Waterfront Seafood Company...... (616)1 .3 6 9 - 2 1 3 7 946-6250 N0N-F00D DISTRIBUTORS: Coca-Cola Bottlers of Mich 478-2212 ...... 9 3 3 - 2 6 0 0 Albion Vending...... ( 5 1 7 ) 6 2 9 - 3 2 0 4 Coors Brewing Company...... 451-1499 FRESH PRODUCE: Detroit W arehouse Co ...... 4 9 1 - 1 5 0 0 Erica’s Import H aus ...... ( 6 1 6 ) 9 4 2 - 1 4 5 0 Don Lee Distributing. Inc...... 584-7100 EBY-Brown Co ...... (800)532-9276 843-0840 Gibralter National Corporation ...... 4 9 1 - 3 5 0 0 E & J Gallo Winery...... 643-0611 ...... 8 5 7 - 4 0 4 0 Detroit Produce Terminal...... 841-8700 Ludington News Company. Inc 9 2 5 - 7 6 0 0 867-69(X) Family Packing D istributors ...... 6 4 4 - 5 3 5 3 843-4120 .851-5774 ...... 5 2 3 - 2 1 0 0 Faygo Beverages. Inc...... 925-1600 ...... 5 8 4 - 2 8 0 0 Frankcnmulh Brewery...... (517 652-6183 ICE PRODUCTS: POTATO CHIPS/NUTS/SNACKS: G o u r m e t I n te r n a tio n a l, I n c ...... (800) 875-5557 .868-5100 F n to - L a y . I n c ...... • 2 8 7 - 9 4 7 7 Great Lakes Home Food Service . ..(517)835-6785 Great Lakes Ice ...... 774-9200 .867-0521 G o in ' N u t s ...... 4 3 7 - 9 8 3 1 ...... 4 9 .3 -0 0 1 1 Midwest Ice...... 868-8800 5 4 1 - 7 8 7 0 ...... 4 9 1 - 5 9 3 0 Hiram Walker & Sons. Inc .626-0575 537-0600 Kar-Nut Products Company ...... 262-1375 Nikhlas Distributors (C abana) ...... 5 7 1 - 2 4 4 7 J A J W holesale Dist ...... 7 9 5 - 4 7 7 0 .858-2340 5 2 5 - 4 0 0 0 J.F W alker ...... (517)787-9880 J Lewis Cooper Co .835-6400 INSECT CONTROL: 2 6 8 - 4 9 0 0 ...... 5 9 5 - 8 5 0 5 Miller Brewing Company (414 259-9444 3 6 8 - 2 4 4 7 Kehe Food Distributors ...... (800) 888-4681 Pest Elimination Products...... 296-2427 379-3000 Kramer Food Company ...... 5 8 5 - 8 1 4 1 Rose Extermination (Bio-Serv) 588-1005 380-3640 4 6 9 - 0 1 3 1 Oak Distributing Company .674-3171 PR0M 0TI0N/ADVERTISING: Louren Kachigian Distributing ...... 8 4 3 - 2 8 9 8 .887-2087 ...... 9 2 3 - 9 0 0 0 INSURANCE: 4 2 5 - 8 1 9 0 Paddington Corp...... 345-5250 M dncmey-M iller Bros ...... 8 3 3 - 8 6 6 0 Amcnca One ...... (517) 349-1988 Insignia System s ...... ( 6 1 2 ) 5 5 3 - 3 2 0 0 Pepsi Cola Bottling Group 641 7888 Metropolitan G rocery ...... 8 7 1 - 4 0 0 0 Blue Cross/Blue Shield ...... (800) 486-2365 Intro-M arketing ...... 5 4 0 - 5 0 0 0 682-2010 Midwest W holesale Foods ...... 7 4 4 2 2 0 0 Capital Insurance Group...... 354-6110 2 9 6 - 2 2 4 6 R M (iilligan. Inc ..553-9440 M ie s e l/S y s c o F o o d S e r v i c e ...... 3 9 7 - 7 9 9 0 Creative Risk Management Corp 792-6355 3 4 9 - 6 1 3 0 Royal Crown Cola (616) 392-2468 Mucky Duck Mustard Co ...... 6 8 .3 -5 7 5 0 Gadalcio, Ramsby & Assoc...... (517) 351-7375 5 3 5 - 6 4 0 0 Scrv-U Malic Corporation .528-0694 Norquick Distributing C o ...... 5 2 2 -1 (XX) Jardine Insurance Agency ...... 641 -0900 P o in t o f S a le D e m o S e r v i c e ...... 8 8 7 - 2 5 1 0 937-^500 Northwest Food Co. of Michigan 3 6 8 2 5 0 0 K A Tappan A Assoc. Lid... 473-0011 Safeguard Business Systems 5 4 8 - 0 2 6 0 Spirits of Michigan .521-8847 Rich Plan of M ichigan ...... 2 9 3 (88X1 Macalawa Ent (616) 335-9551 S ta n le y s A d v tg . & D ts t ...... 9 6 1 - 7 1 7 7 Slroh Brewery Company 446-2000 .(517)762-5049 Marketplace Insurance ...... 553-2280 Stephen s N li AD. Inc ...... 7 7 7 - 6 8 2 3 ) 331-4062 Scot Lad Foods. Inc ...... (419)228-3141 lcik \ reaCo (2I( 776-0851 5 4 7 - 7 4 7 4 Viviano Wine Importers. Inc .883-1600 ...... 3 6 6 - 3 1 0 0 Mitzel Agency 773-8600 .. .. 5 6 7 - 7 6 5 4 Monroe-Gcorge Agency 489 9480 Stephenson A S t e p h e n s o n ...... (906)293-3851 BROKERS/REPRESENTATIVES: 831-6562 SERVICES: .358-1171 ...... 4 5 5 1 4 0 0 968-0300 Akram Namou CPA ...... 5 5 7 - 9 0 3 0 Super Food Services ...... (517)777-1891 Acme Food Brokerage Rocky Husaynu & Associates 557-6259 478-8840 8 4 2 4(XX) ...... 2 9 6 - 7 1 1 8 Amen-Con. Inc ...... Traverse Bay Insurance (616) .347-6695 776-1610 B c lla n c a . B e a ttie . D e L is le ...... 9 6 4 - 4 2 0 0 ..(800) 247-1533 ...624-5133 Central Alarm Signal. Inc ...... K 6 4 -8 9 0 0 ...... 8 6 2 - 6 9 0 0 Hanson Faso Assoc 354-5339 MANUFACTURERS: ...... 7 2 7 - 3 5 3 5 4 7 8 - 3 3 3 6 ...752-6453 Closed Circuit Communications ...... YpsilanU Food C o-op ...... 4 8 3 - 1 5 2 0 JB Novak & Associates 584-3800 Detroit Edison Company . .. 3 2 3 - 7 7 8 6 James K Tamakian Company 424 8500 467 7609 296 3(XX) Edward A Shuttle, P C ...... 2 8 8 - 2 0 8 0 874-3250 ...354-1600 Follmcr. Rudzewicz A C o . CPA 3 5 5 - 1 0 4 0 Marls A Gocrgans...... Jacggi Hillsdale Country Cheese ....(517) 368-5990 ASSOCIATES: 477 7182 Goh's Inventory Service ...... 3 5 3 - 5 0 3 3 .527-7240 ...... 4 2 7 - 4 4 4 4 ...353-0222 5 7 3 - 8 1 1 8 Northland Marketing ...... 261-2800 ...... 8 3 1 - 4 4 3 8 .626-8300 Great Lakes Data System s ...... 3 5 6 - 4 1 0 0 Michigan (Pioneer) Sugar ...... (517) 799-7300 B u re a u o f S ta te L o t t e r y ...... (517) 335-5600 591 1900 4 8 2 - 5 0 0 0 Monitor (Big Chief) Sugar...... (517) 686-0161 Business Dining Serv. .. . 4 8 9 - 1 9 0 0 851-5700 M cnczer A lire heck PC .. C PA ...... 3 5 6 - 1 6 2 0 478 1400 4 5 9 - 8 3 9 0 VIP Food Brokers International .885-2335 6 5 6 - 4 3 2 0 380-3670 Herman Rubin Sales Co ...... 3 5 4 - 6 4 3 3 Metro M edia Associates ...... 6 2 5 - 0 0 7 0 489 9494 I i v e m o it- D a v ia o n F l o r i s t ...... 3 5 2 -0 0 8 1 2 2 1 7 3 1 0 Pnncc Macaroni of Michigan 772-0900 Minnich's Boats A M otors ...... 7 4 8 - 3 4 0 0 CANDY a TOBACCO: National Exposition Service ...... 8 6 5 1 0 0 0 921 2500 8 6 5 - 0 1 1 1 MAM Mars ...363-9231 Nona A Company P.C. C PA ...... 3 5 1 1 7 6 0 Roll Rite Corp ...... (517)i 345 3434 W ile d e n A A s s o c ...... 5 8 8 - 2 3 5 8 7)756-3691 Oakland Really ...... 5 5 7 - 3 3 3 2 Shemi s Candies Singer Extract Laboratory ...... 345 5880 554-2033 Pappas C utlery G rinding ...... 9 6 5 3 8 7 2 The area code is 313 for above listings unless Wol venue Cigar Company 6340606 Paul Meyer Real Estate O ne ...... 3 4 1 -4 5 2 2 otherwise indicated. PDK Labs Inc (516) 2 7 3 - 2 6 3 0 If you are not listed or need to change your listing, CATERING/HALLS: R o s s m a n M a rtin A A s s o c ...... ( 5 1 7 ) 4 8 7 9 3 2 0 MEAT PRODUCES/PACKERS: contact Jim Larges at AFD at 557-9600 7)627 2244 Sarafa Realty 851 5 7 0 4 Countn House Catcnng...... (51 832-2080 546 2700 5 6 9 8 0 8 0 778-3276 ...771-0300 Supermarket Development 464 2400 ...855-8777 In v e n to ry S e r v ic e s ...... 5 7 3 8 2 8 0 Karen s Kafr at North Valles Kowalski Sausage Company 873-8200 7)782 7244 T e le c h e c k M ic h ig a n . In c ...... 3 5 4 - 5 0 0 0 833 1590 ... 978 3880 Travelers Express Co ...... ( 8 0 0 ) 3 2 8 - 5 6 7 8 Prnni s .>( Sterling 8944369 352 9020 Vend A Malic 5 8 5 - 7 7 0 0 Southfield Manor Oscar Meyer A Company ...... 488 3000 335 8869 W h iie y 's C o n c e s s io n s ...... 2 7 8 5 2 0 7 St George Cultural Center Pelkic Meal Processing (906 1 353-7479 FOOD & BEVERAGE REPORT, DECEMBER 1992.....23 TEAMING UP FOR AND TOMORROW'S SUCCESSES !! WE PROUDLY WELCOME THESE FINE PRODUCTS TO OUR PFEISTER FAMILY: BEGINNING DEC 1, 1992

AFTA PRODUCTS BABY MAGIC PRODUCTS CASHMERE BOUQUET BODY POWDER COLGATE SHAVING CREAMS MENNEN SKIN BRACER PROTEIN 29 PRODUCTS QUINZANA SESAME STREET SKIN BRACER PRE-ELECTRIC VILLA GE PRIVA TE MOMENTS WILDROOT BEGINNING IAN / . 1993

CASHMERE BOUQUET BAR SOAP HANDI-WIPES/HEA VY WIPES IRISH SPRING PALMOLIVE GOLD/GREEN SOFTSOAP/WORK SOAP VEL WASH'N DRI

DETROIT SAGINAW 36300 SCHOOLCRAFT 3159 CHRISTY WAY 3663 BROADMOOR SE LIVONIA, Ml 48150 SAGINAW, Ml 48603 GRAND RAPIDS Ml 49512 (313) 591-1900 (517) 793-8100 (616) 949-7210 CINCINNATI COLUMBUS TOLEDO 3660 HAUCK RD 6264 SUNBURY RD 6433 MONROE STREET CINCINNATI, OH 45251 COLUMBUS, OH 43081 TOLEDO, OH 43560 (573) 563-4444 (614) 899-1331 (419) 882-1616

24.....FOOD & BEVERAGE REPORT, DECEMBER 1992