▲ ▲ ▲ ▲ ▲ ▲ ▲ ▲ ▲ ▲ ▲ ▲ ▲ ▲ ▲ ▲ ▲ ▲ ▲ ▲▲ ▲ ▲ ▲ ▲ ▲ ▲ INSIDE ▲ TAKING THIS ISSUE STOCK by Jeff Metzger Food Trade Amazon Apparently Ready To Put On Big-Boy Pants For Bricks & Mortar Grocery Retailing

Big Crowd At Key Food You knew Amazon wasn’t going to end its quest into bricks and mortar food Spring/Summer Show retailing with only Whole Foods natural and organic stores and Amazon Go c-stores In Uniondale, NY in its tote sack. 10 According to the Wall Street Journal, Godzilla is poised to expand its physical store presence by planning to build and open “dozens” of grocery stores, beginning perhaps as soon as the end of this year. The story notes that the Seattle-based monolith has already signed two leases in Los Angeles and is negotiating for sites in DC, Philadelphia, Seattle, Chicago and San Francisco. Amazon is also considering acquiring several regional grocery chains with 12 stores or less, as a vehicle to ‘Feeding America’ A PUBLICATION OF BEST-MET PUBLISHING, INC. expand its physical presence as well. Theme Highlights C&S’ Robesonia Spring Show NVol. 75 No. 3 ewsSEAFOOD ISSUE March 2019 See TAKING STOCK on page 6 26 Other Key Executives Depart; Beleaguered Firm Seeks Reverse Stock Split Rite Aid Purge: Standley To Exit, Drug Chain To Cut 400 Top Jobs Difficult times sometimes call each of which is effective imme- committed to more closely align- for difficult moves and ensuing diately. Bryan Everett, chief op- ing the structure and leadership change. That’s what happened on erating officer of Rite Aid Stores, of the company with our present March 12, when Rite Aid Corp.’s has been promoted to chief oper- scale and today’s announcement board of directors ousted CEO ating officer of the company, suc- is an important step in position- John Stanley. Also departing from ceeding Kermit Crawford who is ing Rite Aid for future success,” the Camp Hill, PA drug chain will leaving. Matt Schroeder, chief ac- said Bruce Bodaken, chairman of be chief operating officer Kermit counting officer and treasurer, has Rite Aid’s board, who was elevat- BOZZUTO’S HELD ITS 2019 INDEPENDENT RETAILER CONFERENCE Crawford, CFO Darren Karst and been promoted to chief financial ed to that position last fall after earlier this month at Foxwoods Resort in Ledyard, CT. Bozzuto’s Michael Derek Griffith, executive VP-store officer. Schroeder is succeeding Standley was stripped of those Bozzuto (c) welcomes Spencer An (l) of Bogopa and Joseph Romeo of operations. Darren Karst who is leaving the duties. “These are difficult deci- Romeo’s IGA of Australia. More pictures are on pages 18-19. Standley won’t be exiting until company this spring after sup- sions and we recognize the impli- a new chief executive is named porting a brief transition. Brian cations they have for individuals New Law To Go Into Effect July 1 – the Rite Aid board said it has Hoover, group VP and controller, across our organization. However, begun a search. The beleaguered has been promoted to chief ac- it is imperative we take action to Philly OKs Ban On Cashless Stores; drug merchant also announced counting officer. Jocelyn Konrad, reduce the cost of current oper- additional management changes, executive VP-pharmacy, has been ations and become a more effi- Some See Statute As Anti-Amazon promoted to executive vice pres- cient and profitable company. The The 1.5 cents per ounce bev- nicipality in the nation when ident, pharmacy and retail oper- board believes that now is the right erage tax was tough enough for Mayor Jim Kenney signed into ations. Derek Griffith, executive time to undertake a leadership most food retailers in Philadel- law an ordinance that would ban VP-store operations, is also leav- transition. We will be focused on phia to absorb. Now the city has cashless stores. Philadelphia thus ing the organization. See RITE AID added to its reputation as argu- See PHILLY CASHLESS “Rite Aid’s board of directors is on page 2 ably the most anti-business mu- on page 42 Bake Locall, Wante Everywher

Available For Your Stores Now! Contact 866.498.2253 John Standley Out As Chief Executive, 400 Exec Posts Riffed As Rite Aid Continues Freefall

From page 1 through an extremely challeng- idate additional senior leader- field organization. expected reduction in income ing environment. In addition, ship roles resulting in the elim- Approximately two-thirds of associated with its diminishing recruiting a leader that will best we are confident that Bryan, ination of certain positions. In the reductions will take place obligations under the Transi- position Rite Aid to create long- tion Services Agreement (TSA) term value for shareholders. As Matt and our senior leadership addition, the retailer announced immediately with the balance with Walgreens, which related we conduct the search process, team have the capabilities and actions that will reduce man- by the end of fiscal 2020. As a to the prior sale of stores. John has agreed to stay until we experience necessary to effec- agerial layers and consolidate result of the restructuring, Rite The last three years have been appoint his successor. We thank tively guide Rite Aid forward. roles across the organization, Aid said it expects to achieve nightmarish for Rite Aid. After John for his outstanding lead- On behalf of the board, I want resulting in the elimination of annual cost savings of approxi- Standley, who joined Rite Aid ership in guiding the company to thank Kermit, Darren, and all approximately 400 full-time mately $55 million, of which ap- in 2008, became CEO in 2010 over the past several years. His the other departing associates positions, or more than 20 per- proximately $42 million will be and added the chairman title leadership and expertise has for their service and contribu- cent of the corporate positions realized within fiscal year 2020. in 2012, he helped nourish the been critical to ensuring the tions to the company.” located at the firm’s Camp Hill These cost savings, the retail- company back to profitability company’s stability and success Rite Aid also said will consol- headquarters and across the er noted, will serve to offset an after a long dry spell that was partly created by financial mis- management dating back to Martin Grass in the early 2000s. Rite Aid and rival Walgreens announced a merger agreement in October 2015, a marriage that would have created a 4,600 national network of drug stores. That deal was ultimately re- jected by the Federal Trade Commission which said a union between the two com- panies would create too much overlap, even after both parties agreed to divest themselves of more than 1,000 stores. The deal was partially resur- rected early last year when Rite Aid sold 1,932 stores to Wal- greens. Shortly after that trans- action was completed, Rite Aid said it would seek to merge with grocery giant Albertsons, a pri- vately-held company. Howev- er, when Rite Aid shareholders openly voiced their objection to the proposal, the deal was can- celled even before a shareholder vote that had been scheduled for August 2018 was held. Since then, Rite Aid has been left out on a proverbial island. In early January, the company was put on “delisting” notice by the New York Stock Exchange (for its shares trading under $1 for 30 consecutive days). On March 12, its shares were trading at 68 cents. Shareholders will vote on a reverse stock split on March 21 to regain compliance. Moreover, Rite Aid’s fiscal year, which ended on March 2 (results won’t be announced for several more weeks) looks dis- mal. The company has lost more than half of its value over the past 12 months with its market cap is now estimated at $733 million.

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www.best-met.com March 2019 FOOD TRADE NEWS | 3 Amelia. JJ is now eight years ities and its footprint will span Powers has landed a job with team and all of the Key Food old, and through the work of the North America, Europe and Pintail Coffee as director of sales. HQ staff really did a terrific job Foundation Fighting Blindness Asia. “Joining Lineage will bring Rich was the longtime sales of meeting those expectations and the staff of medical experts Preferred to the next level of manager with Wise Snacks in once again. Needless to say, and researchers, has witnessed customer service by broaden- the New York area, but when the this recent show was “out of the significant improvement with ing our global reach while also company went through an own- world” (just look at some of the the ability to interact with his significantly expanding ourership change, he was unfortu- pictures from the show in this peers and handle everyday situ- innovation capabilities,” John nately left without a position. issue of Food Trade News). For ations. Another highlight of the Galiher, CEO of Preferred, said. He worked with Bickel’s Snacks any vendor who hasn’t experi- dinner this year was the “dining “I am tremendously proud of before bringing his expertise to enced a Key Food show, I would in the dark” component. the company we have built and Pintail Coffee. In his new posi- strongly recommend that you Everyone was given a special longstanding customer rela- tion he will be responsible for have to go at least once!!! light-blocking mask to wear tionships we have fostered since new business development and It was almost five years ago during the dinner portion of the founding Preferred Freezer Ser- manage current customers for to the day that we wrote in this Metro Beat event. The mask gave everyone vices in 1989. We have found the the Long Island based manufac- space that “a familiar site came a sensory awareness and a first- ideal partner in Lineage, and I turer of branded, private label back to the northern New Jer- By Kevin Gallagher hand glimpse of what it is like look forward to working closely and co-packed coffee products. sey landscape when the Marcal for those who are completely with Greg, as well as the Lineage Good luck Richie!!! Paper sign was lit up again after blind and really took the event and Bay Grove teams, to offer Way to go to everyone in- being dark for many years. Mar- Greetings everyone! It looks to another level. If you haven’t our expanded customer base the volved at Bozzuto’s for once cal’s current owner, Soundview like we survived the winter sea- attended the dinner in the past, best services and capabilities in again putting together one of Paper Co., turned on the lights son. Spring is just a week away you should definitely mark it the industry.” The deal is expect- the best selling shows on the on top of the factory right off and I cannot wait for the warm- down to attend next year. Well ed to close in the second quarter East Coast. Michael Bozzuto I-80 in early February prior to er weather to kick in and see done to everyone involved!! of this year. and his entire team do not miss the region’s hosting of the Su- more and more of you out and Lineage Logistics, a Mich- Congratulations to the team a detail in ensuring that their per Bowl at MetLife Stadium. A about. igan based provider of tem- at RDD Associates on being customers, vendors and all at- crowd of local dignitaries, Mar- One of the more terrific in- perature-controlled logistics appointed to represent Steiner’s tendees are treated like digni- cal customers and even mem- dustry events, as well as tug at solutions, has acquired Perth Coffee Cake of New York in the taries while at the event which bers of the Marcalus founding your heart-strings events, took Amboy, NJ based Preferred metro New York/New Jersey was held at the Foxwoods Re- family, were on hand to witness place recently at Terrace on the Freezer Services’ network of market. Steiner’s Coffee Cake sort & Casino. A centerpiece of the lighting.” Well for those who Park in Flushing, NY. The eighth temperature-controlled ware- is a certified women-owned the event is the annual Bozzuto hadn’t heard, the venerable old annual Vision for the Future Vi- houses. Financial terms of the business making gluten free, Retailer Excellence awards show building burned to the ground sionary Award dinner continued transaction were not disclosed. non-GTMO and nut-free baked and over the last few years the in a nine-alarm fire in the bit- to show significant growth since “We are thrilled to welcome goods that taste great! I had the much anticipated video intro ter cold at the end of January. its inception, primarily due to Preferred into the Lineage fam- opportunity to meet company “mini-movie”. I really think that And this time, it doesn’t look the efforts of Jason and Jennifer ily of companies,” Greg Lehm- president Jen Steiner Pool and this year’s “mini-movie” was the like the old Marcal sign will rise Ferreira of Ferreira Foodtown, kuhl, CEO and president of her amazing mom (and direc- best one yet and suffice to say, again over Route 80. Company and the food industry at large. Lineage, said. “Bringing their tor of R&D) Nancy Steiner at if there ever is a sequel to “Bo- officials (and inside sources we The dinner recognized Rudy first-class management team, the recent Marcum LLP Food hemian Rapsody” that just won have spoken to) have not stated Fuertes of Fine Fare, and past deep industry experience and & Beverage summit in NYC. Academy awards, we have the any concrete plans on rebuild- NSA president, with its Vision- network of strategically located Their line of outstanding prod- perfect stand-ins for the mem- ing and instead have let rampant ary Award and raised $260,000 facilities into our organization ucts was voted the winner of bers of Queen in Steve Heggel- conversations continue about a to bring the eight-year total to will enable us to provide best- the emerging companies contest ke, George Motel, Dan Brock relocation to other areas. We’ll more than $2.5 million dollars in-class service offerings for at the event by the hundreds of and Steve Traun! Well done all!! let you know as we hear. in the fight to cure blindness. customers worldwide. Lineage attendees, and it was truly war- And we would be remiss if we Here’s hoping I’ll see you out Jason and Jennifer’s son JJ was is now better positioned than ranted. They have come up with didn’t also shout out to the Key at some of the many events diagnosed with Leber congeni- ever to meet the needs — and a formula that doesn’t sacrifice Food staff who once again put coming up over the next few tal amaurosis or LCA, and early exceed the expectations — of taste, texture or ingredients and together a stellar selling show at weeks. Take a peek at out trade onset retinitis pigmentosa (RP). food customers on a truly global it truly is a game breaker in glu- the Nassau Veterans Memorial calendar (starting on page 12 of For those who have attended scale.” Once the deal has closed, ten free products. Emily Korn Coliseum on Long Island. Show this issue or online at www.best- the event annually, it was tru- the new company will have will be handling the account for coordinator Wayne Kovacs al- met.com) for more information ly touching to finally “meet JJ” more than 1.3 billion cubic feet RDD. Congratulations to both ways seems to be up to the task and, as always, you can reach me through a video thank you from of temperature-controlled ca- parties. of “raising the bar” a little bit at 201.250.2217 or kgallagher@ JJ with help from his little sister pacity at more than 200 facil- It was nice to hear that Rich higher with each show and his best-met.com.

Jeffrey W. Metzger Karen Fernandez Food Trade News (USPS 562290) is President/Publisher Director of published­ monthly for $69 a year by PUBLISHED THE THIRD Terri Maloney Marketing/Digital Strategist Best-Met Publishing Co. Inc., 5537 MONDAY OF EACH MONTH VP/Editorial Director Beth Pripstein Twin Knolls Rd., Suite 438, Colum­bia, By Best-Met Publishing Co., Inc. Maria Maggio Circulation Manager Md. 21045. Periodicals Postage­ paid Publishers of VP/GM-Food Trade News Richard J. Bestany at Columbia, Maryland and additional Food World Kevin Gallagher Chairman Emeritus mailing offices. POSTMASTER:­ Send and Food Trade News Vice President address changes to Best-Met Pub- lishing Co. Inc., 5537 Twin Knolls Rd., Suite 438, Colum­bia, Md. 21045.

4 | FOOD TRADE NEWS March 2019 www.best-met.com Baltimore | Denver Portland | Los Angeles

www.best-met.com March 2019 FOOD TRADE NEWS | 5 ssssssssssssssssssssssssssssss TAKING STOCK From page 1 The new stores are not intended to compete with Whole Foods; the Journal notes that these stores would offer a different mix of products at more aggressive retail prices. Tactically, this is a needed move for Godzilla, which still dominates the e-com- merce world (even in food and related items), although walmart.com is catching up slowly. Walmart’s three-year resurgence is clearly evident in the digital world, but what might be less visible to some people (not food industry executives) is that the Behemoth has significantly upped its game on the bricks and mortar side, improving its stores on many levels – cleanliness, staffing, customer service, perishables, etc. – while using its click and collect ability to help both store sales and e-commerce revenue. Frankly, I’m a bit surprised Amazon hasn’t done more with Whole Foods in the 21 months since it acquired the Austin, TX-based merchant for $13.4 billion. Sure, they’ve created a powerful link to Prime members and mobilized the nearly 500 WFM stores as delivery hubs. That’s important but not game changing. As for the stores themselves, everyday retails haven’t come down appreciably and there seems to be slightly less labor in the stores than before the acquisition. And maybe that’s the entire point in a nutshell. Food retailing is hard – there’s no magic bullet that will create instant improvement. Could it be that, as mighty and powerful as Amazon and its dynamic CEO Jeff Bezos are, improving a business that’s so uniquely capital and labor intensive with too many stores operating in diverse styles is more difficult than the company thought? I’m assuming that Amazon’s new supermarket model will operate under an in- dependent infrastructure, just like many of the company’s other units. That’s still the case with WFM (although Amazon’s influence is obvious) and it’s also the case with Amazon Go, which now has 10 stores, but reportedly plans hundreds more. I visited my first “Go” store earlier this month in San Francisco (one of two it oper- VISIT ates in the city). Located in the busy downtown area of California and Battery Streets, US IN the store was clean, moderately busy and priced fairly. However, I wasn’t impressed by the store’s prepared foods quality (not terrible, but certainly no standout) and item BOSTON mix. Out-of-stocks were also too high. #2733 I also understand that I’m not the customer profile that the store is seeking. The

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6 | FOOD TRADE NEWS March 2019 www.best-met.com www.best-met.com March 2019 FOOD TRADE NEWS | 7 he won’t give the fans a reason to VA; Nikki Futer, Jamison, PA; and product donations to its lo- partners who joined us in mark- boo him off the field! Welcome to Jack Harris, Plymouth Meeting, cal communities in 2018. The ing this milestone through their Philly, Harp! PA; Jennifer Heiden, Blue Bell, overall donations, from custom- generous support of efforts to Earlier this month, Giant/Mar- PA; Linda Kemmerer, Allen- ers, associates, vendors, and the fight hunger and help kids in our tin’s celebrated the achievements town, PA; Christy Komorowski, company, included $10 million to local communities,” said Bertram. of its store teams and associates Quakertown, PA; Lora Spiker, fight hunger, $6.2 million to help Produce for Kids celebrated at its annual business meeting Shrewsbury, PA; Christina Pu- kids and more than $5 million to- with partners at the annual Pro- held in Lancaster, PA. More than laski, Reading, PA; and Bonnie wards building healthier commu- duce for Kids reception at the 30 awards were presented recog- Wilson, Eldersburg, MD. The nities. Highlights of the overall Southeast Produce Council’s nizing the recipients’ commit- President’s Award was presented $22 million in cash and product Southern Exposure earlier this ment to the company, dedication to Tim Santoro, district director donations include: $1 million to month asking the crowd of more to customer service, and driving of operations, Lancaster and York. Philabundance and $800,000 to than 200, “What’s Your Cause?” new initiatives. “It’s impossible to Support associate of the year was Central Pennsylvania Food Bank The “What’s Your Cause?” theme Soup to Nutz be more proud than I am of this presented to Chris Brand, direc- to help increase youth programs, for the evening stems from Pro- By Maria Maggio team, and this year’s award recip- tor, external communications and provide healthier food options, duce for Kid’s efforts to help the ients embody all the values that community relations. Merchant and improve logistics in all re- industry better understand the Giant stands for,” said Nicholas of the year was Brian Lorenz, gions served; more than 4 million need and value of cause market- March is supposed to come in Bertram, president of Giant/Mar- director of deli and bakery. Mar- pounds of food were given to re- ing campaigns. Trish James, vice like a lion and exit like a lamb tin’s. “I believe our team of 30,000 keter of the year was presented gional food banks, equaling more president of Produce for Kids, and and, so far, it is right on sched- associates is what makes Giant so to Dana Sherwood, design man- than 3.4 million meals through CMO Shuman Farms addressed ule. But it’s not the weather that special, and together we are inno- ager. Category team of the year, the company’s signature “Meat the crowd, “Today’s shoppers not people in the Delaware Valley are vating, adapting, bringing fami- awarded to a category team man- the Needs” program; 10,000 only gravitate towards brands that talking about. The main topic of lies around the table, and totally ager in each portfolio, included: Thanksgiving turkeys to help give back, they are starting to ex- conversation is a 26 year old base- laser-focused on our customers beer and wine - Chad Kyollen; families in need and $3.34 mil- pect and demand that brands do ball player from Las Vegas named and our communities.” The 2019 fruit - Rob Backer; frozen - Kar- lion to children’s health efforts, so.” James continued, “To reach Bryce Harper, aka, Harp. Since his awardd include top store associ- en Brassel; seafood - Bryan Beck; including $1.4 million from cus- these shoppers it is important for signing earlier this month more ate companywide, which went to and household and pet - Henry tomers through Children’s Mir- brands to define their cause in Phillies tickets and jerseys have Mark Howard, from the Kline Weber. Prepared foods, led by acle Network Hospitals in-store an age where consumers are ex- been sold than in, well, a very Village store in Harrisburg. Also, Rob Palmeri, was selected as the campaigns. pecting brands, companies and long time. The city is giddy with 10 other associates were recog- overall category team of the year. “Last year we celebrated our corporations to help make our thoughts of a pennant race and nized as store associates of the In addition to the awards pre- 95th anniversary and we want to even a World Series coming back year - Joe Babylon, West Chester, sentation, Giant/Martin’s also extend one Giant thanks to our See SOUP TO NUTZ to Philadelphia. And hopefully, PA; Gail Doherty, Stephens City, announced $22.5 million in cash customers, associates and vendor on page 30

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8 | FOOD TRADE NEWS March 2019 www.best-met.com www.best-met.com March 2019 FOOD TRADE NEWS | 9 Key Food Stores Holds Spring/Summer Show At Nassau Veterans Memorial Coliseum In Uniondale, Long Island

Key Food Stores held its spring/summer selling show late last month at the Nassau Veterans Memorial Coliseum in Union- dale, Long Island. Ready to get into the spirit of the “Welcome To Space” theme are Dean Janeway (l), CEO of Key Food, and Tony This group shot includes (l-r) Carlos Ruiz and Donato Metta, Pena of Aurora Gro- Nebraskaland; Sal Napolitano, Reddi Gourmet; Chris Rodri- Key Food’s Rachel Geissler (c) says hello to Rich French (l) cery Group. guez and Joanna Gonzalez, Nebraskaland. of Acosta and Drew AG Sanders of C&S.

Here we have (l-r) Si Lee and Nam Kim, Food Universe; Marc Taking care of business at the show for Tomra are (l-r) Si- Ceruto and Cathy Ward, CPG Brands Company; and Sang This Key Food trio features (l-r) Alana Sallamack, Terri Ben- mon Kim, Marisol Figueroa, Melody Viteri and John Scalfani. Lee, Food Universe. civenga and Dean Janeway.

This foursome includes (l-r) Melissa Kanasky, RDD Associ- Drew AG Sanders (l) of C&S poses for a photo with (2nd Making sure all systems were “go” were CBA Industries’ ates; Joe Kaszuba, House Foods; Jim Provost, IU Love Pro- from l-r) Todd Koehnke, Ralph Martucci and Angelo Tigri, all Rene De la Cruz (l)), Barry Schiro (c) and Mike Colella. duce; and Jim Regan, RDD Associates. with Prince Food.

This group includes (l-r) Bob Bollbach of RDD Associates These fine folks are (l-r) Jose Espinal and Sal Dupuy, Key and Key Foods’ George Harris, Jose Genao, Alex Perez, Al- Bill Leo (l) of Key Food chats with Rich Romanoff of Nebras- Food; Tony Rivas, Chiffles Plantain Chips; Dan Kupferberg, berto Guzman and Peter O’Keefe. kaland. Key Food; and Pat Quimby, Stars & Stripes Sales.

Included here are (l-r) Wilson Estupinan, NLM Marketing; Susan Guzman and Jafraysi, Mamita’s; Frank Miranda and These gentlemen from Aurora Grocery Group are Chris Awe Jackie Vargas-Donovan (l) of Ripple Foods is joined in this Christine Vega, NLM Marketing. (l), Tony Pena (c) and Franky Jorge. photo by Sharon Konzelman of Key Food.

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www.best-met.com March 2019 FOOD TRADE NEWS | 11 ssssssssssssssssssssssssssssssssssssssssssssssssssssssssssssssssssssssss TRADE CALENDAR March 17-19 tion, go to www.newonline.org. For more information, contact Ava will hold a “Discussion on Disrup- niagara.edu or 716.286.8050, or Stone at 518.434.1916 or ava@ Seafood Expo International will tion” at Liberty House in Jersey go to www.niagaraq.edu/innova- fiany.com. be held at the Boston Convention March 28 City, NJ. Panel, moderated by Kathy tion-summit. Center. For more information, or to Rusello of Ahold Delhaize USA, will The New Jersey Food Council feature: Donna Banks-Ficcio, Weis register, go to https://www.seafoo- April 23 May 3 will host its annual Night of Distinc- Markets; Lilian Lee, Unilever; and dexpo.com/north-america/. tion at The Palace at Somerset Park The Eastern Produce Council Chris Skyers, Wakefern. For more Los Rancheros Unidos will hold in Somerset, NJ beginning at 5:30 will host a dinner at Il Villaggio in information, go to www.newonline. its 7th annual Rancheros Unidos March 26-27 p.m. For more information, go to Carlstadt, NJ sponsored by South org. Foundation Banquet at Leonard’s of www.njfoodcouncil.com. Carolina Department of Agriculture. Great Neck in Great Neck, NY. For C&S Wholesale Grocers will Cocktails begin at 6:00 p.m. To more information, or to make a res hold its Northeast selling show at - register, go to www.easternproduce May 1 Mohegan Sun Resort & Casino in April 6 - ervation, contact George Knobloch The Imperial Dade Innovations Uncasville, CT. council.com. at Key Food - 718.697.8213 or kno- The Eastern Produce Council Expo will be held at the Meadow- [email protected]. will host the John J. McAleavey An- April 24 lands Expo Center in Secaucus, NJ. March 27 nual Gala and Casino Night at the For more information, contact jcar- Westmont Country Club in Wood The Greater Philadelphia chapter May 7-8 The Greater Philadelphia chap- - [email protected]. of the Network of Executive Women DPI Specialty Foods will hold its ter of the Network of Executive land, Park, NJ. Cocktail hour starts will host an event from 3:00-6:00 2019 holiday trade show at the Hil Women will host an event from at 7:00 p.m. To register, go to www. - p.m. at Saint Joseph’s University in May 1 3:00-6:00 p.m. at Giant/Martin’s easternproducecouncil.com. ton in Baltimore. Philadelphia. For more information, headquarters in Carlisle, PA. For Mazars USA Food & Beverage go to www.newonline.org. Forum will be held at Maplewood more information, go to www.newon- April 10 May 21 Country Club in Maplewood, NJ. For line.org. Golden Slipper Camp will host The Eastern Produce Council will April 29 information, contact Teresa Hansen its annual Angel’s cocktail party at at [email protected]. host a dinner at Demarest Farm at March 28 the Hilton Philadelphia City Avenue The MAFTO golf outing will be Hilldale, NJ sponsored by the New from 5:30-7:30 p.m. For more infor- held at Commonwealth Golf Club in Jersey Department of Agriculture. The Mid-Atlantic chapter of the May 2 Horsham, PA. Registration at 9:00 Cocktail hour starts at 6:00 p.m. Network of Executive Women will mation, or to RSVP, contact Nancy a.m., shotgun start at 11:00 a.m. Niagara University’s Food Mar followed by BBQ at 7:00 p.m. To host a networking event and wine Gilberg at 610.660.0520 ext. 101 - To register, go to www.mafto.org. register, go to www.easternproduce tasting with hors d’oeuvres at The or [email protected]. keting Center of Excellence will hold - Winery at Olney in Olney, MD. During the 2019 Food Innovation Summit council.com. the event, the organization will be April 11 April 30 at the Hyatt Regency in Buffalo, NY. Lunch is at noon, followed by the bottling a new vintage of NEW Mid-At- FIA will host its metro recep- The New York Metro Chapter of summit at 1:00. For more informa See TRADE CALENDAR lantic region wine. For more informa- - tion at Tappan Hill in Tarrytown, NY. the Network of Executive Women tion, contact Alan Stock at astock@ on page 36

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www.best-met.com March 2019 FOOD TRADE NEWS | 13 Fine Fare’s Rudy Fuertes Honored At 8th Annual Foundation Fighting Blindness Award Dinner March 7

Rudy Fuertes (c) of Fine Fare was the honoree at the Foun- dation Fighting Blindness (FFB) 8th annual A Vision for the Future Visionary Award dinner. He is seen here with industry Jim Ostling (2nd from r) of Bimbo Bakeries chats at the din- This foursome features (l-r) Bill Simmons, Domino Foods; vet Steve Bokser (l) and Jason Ferreira of Ferreira’s Family ner with Allegiance Retail Services’ (l-r) Joe Fantozzi, Mike AK Edojah, Acosta; Ed McKavanaugh, Allegiance Retail Ser- Foodtown, who is on the board of FFB. Vacar and John Aleksandrowicz. vices; and Stan Barrasso, Acosta.

Old friends and associates gathered for this photo include Happy to be on hand to support a great cause are (l-r) Ken (l-r) industry vet Steve Bokser; Dennis Hickey, Krasdale Steve Hungerbuhler (c) of Allegiance Retail Services is Scher, Associated Supermarket Group; Debbie Pregiato, Ad- Foods; Joe Fantozzi, Allegiance Retail Services; and Harlan flanked in this photo by Rich Anderson (l) and Zac Roma- vantage Solutions; Bob Jordan, Cargill; and Rich Desimone, Levine, Levine Law. noff, both with Omni Food Sales. Alpha 1 Marketing.

Here we have (l-r) Rene De la Cruz, CBA Industries; Miguel Garcia, Big Deal Supermarket; Augusto Taveras, Los Ran- These industry vets are Bill Simmons (l) of Domino Foods, cheros; Genaro Diaz and Jason Ferreira, Ferreira Family Bob Hughes (c) of Porky Products and Dennis Wallin of Kras- All smiles for our camera are Allegiance Retail Services’ (l-r) Foodtown; and Frank Felix Zapata, C-Town. dale Foods. Mark McFadden, Mike Conese and Steve Grzelak.

Rick Glovier (c) of Bubba Burgers is joined here by (l-r) Doug Parker, Dan McKiernan, Rich Damon and Mike Kowgios, all Noah Katz (l) of PSK Foodtown says hello to Gabriel Estevez Donna Guy (l) of Allegiance Retail Services chats with Dave with JOH. of Estevez Family Foodtown. Williams of RDD Associates.

This group shot includes (l-r) Angelo Avena, A&J Foodtown; Michael Pak, Banco Popuar; Theresa Avena, A&J Foodtown; This trio features Frank Marcellino (l) of Acosta, Pablo Espi- Allegiance Retail Services is well represented at the event Kep Liang and Kenneth Mitchell, Banco Popuar; and Joe nal (c) of Met Food and Sam Collado of Key Food. by Donna Zambo (l) and Dean Holmquist. Fantozzi, Allegiance Retail Services.

14 | FOOD TRADE NEWS March 2019 www.best-met.com ® the Best

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www.best-met.com March 2019 FOOD TRADE NEWS | 15 ssssssssssssssssssssssssssssss TAKING STOCK From page 6 GenYers in the store were clearly comfortable with the store’s layout and cashless checkout system. Still, the store should have been busier at lunchtime on a Friday in the heart of one of America’s largest and most affluent cities. The not so dirty secret for those who’ve spent their careers in the industry is that food retailing is a beast. Bezos knows it, too. Certainly, it’s a tremendous advantage that a company can “test pilot” an idea and lose billions over several years and still continue to work to improve it (which Amazon is very good at) or cut and run if the rewards aren’t forthcoming (Amazon’s had a few of those examples, too). From a strategic perspective, this a good time to enter the overstored fray. There are dozens of existing retailers who are struggling, tired, frustrated and who may not have a firm succession plan in place. Some are destined for attrition, while a select few would certainly listen very hard if Amazon offers them a grande satchel of dinero. I’m certainly not betting against Amazon – he who has the gold rules – but this will be a challenging endeavor. Successful bricks and mortar food retailing isn’t about being smarter or savvier than the next guy. It’s about location, merchandising ability and operational execution. It’s also about tenacity and grit. Let’s see how Godzilla fares against a different breed of merchant that operates in a silo where Amazon isn’t yet all that dominant – physical spaces. 3G’s Failings At Kraft Heinz: You Reap What You Sow This is a story that admittedly I’ve wanted to write for several years. With a $15.4 billion write down (one of the largest in corporate history), a freefall of its stock price (more than 50 percent of its value lost over the past year) and an ongoing SEC investigation, Kraft Heinz has become the poster boy of how not to purchase and reorganize a company. Let’s go back a few years. In 2013, Brazilian private equity company 3G Capital combined with Warren Buffett’s Berkshire Hathaway group to acquire H.J. Heinz for $23 billion. Although Berkshire Hathaway was the bigger investor, it was clear from the outset that 3G’s ridiculous (at least when applied to the food industry) Zero Based Budgeting (ZBB) system would be the driver to reorganize the Pittsburgh-based con- diments icon. More on that later. In 2015, the two PE giants continued their tag-team strategy of acquiring estab- lished, mature food companies with well-known brands when it overpaid to purchase Kraft for $40 billion. That’s when it became obvious that the Boys from Brazil and the Oracle of Omaha were beginning to heavily deploy their version of AI (avarice and insensitivity). The whackin’ and hackin’ accelerated at furious levels. Hundreds of veteran em- ployees were riffed and manufacturing plants were shuttered, shifting a culture that used to be admired in the industry to one of dislike and distrust. This sea change wasn’t personal (although many former Kraft and Heinz asso- ciates would argue that point) - it was so highly impersonal that the zealousness and resulting toxicity of its ZBB methodology also managed to piss off many retail customers who watched in disbelief as Kraft Heinz reduced promotions and raised prices on many of its brands. Nearly as bad was the fact that it failed to nurture some of America’s most well- known products, even though 3G and Berkshire Hathaway knew those aging brands needed financial resuscitation. Or divestment. Word on the street is that Kraft Heinz is considering selling its Breakstone’s and Maxwell House brands. To be fair, most CPG companies are under siege. Whether their portfolios are filled with not so healthy brands - Oscar Mayer, Capri Sun, Kool Aid, Kraft Mac & Cheese, to name a few from the Kraft Heinz roster - or are being threatened by the growth of private label, we’ve seen virtually all manufacturers which have a significant presence in center store reduce staff and make other adjustments to become more efficient. And even though some other suppliers have tried to emulate parts of the 3G ZBB model, none has been as egregious as Kraft Heinz or suffered the dire consequences of the Chicago-based company whose annual sales last year were $26.3 billion. While the ZBB approach might be effective with 3G’s foodservice holdings - Burger King, Tim Horton’s and Popeye’s – the concept just isn’t workable in the retail grocery industry where relationships (and trust) still have some traction, especially when discussing budgets and promotions with retail customers.

TAKING STOCK continues on page 28

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www.best-met.com March 2019 FOOD TRADE NEWS | 17 Bozzuto’s Welcomes Retailers, Vendor Partners To Foxwoods Resort

Bozzuto’s held its 2019 In- dependent Retailer Confer- ence earlier this month at This foursome features (l-r) Foxwoods Resort in Ledyard, Rich Hayes, Bozzuto’s; Joe CT. These Bozzuto’s execu- Mazaika and Norma Mazaika, tives all set for the awards Mountain Fresh Market; and night are (l-r) Mike Hutchison, Steve Capanna, Bozzuto’s. Dan Brock, Bill Ainge, Steve Capanna, Michael Bozzuto, Steve Heggelke and George Motel.

These smiles belong to (l-r) Richard Schmidt, Elmer IGA; Mi- Tom Mega (2nd from l) of Anderson International Foods is chael Quinn and Elliott Simhon, Feltman’s of Coney Island; joined in this photo by (l-r) Ron Murphy, Ron Murphy Jr. and Taking care of business at the show for Stew Leonard’s are and Jeannette Schmidt, Elmer IGA. Tim Smith, all with Murphy’ Markets. Eddie Ottusch (l) and Rick Baker.

Travis Blauton (r) of Adam’s Hometown Market poses for Jim Creely (2nd from l) of Bozzuto’s says hello to (l-r) Chris a photo with Bill Emerson (l) of Advantage Solutions and Mentzer, Michelle Kee and Jon Klinshaw, all with Rastelli These folks from Bozzuto’s are Renee Delmotte (l) and Barry Cratty of Saputo. Market Fresh. Sean Desmond.

All smiles for our photographer are Mark Caraluzzi (l) of Arthur Ackels (c) of Roche Bros. is flanked in this photo by Jeremy Scrivener (l) of Ted’s IGA chats with Joe Moran of Caraluzzi’s Markets and George Motel of Bozzuto’s. Greg Veneziano (l) and Brian Conti, both with Bozzuto’s. Jake’s Grillin’.

This foursome features (l-r) Michelle Apple, Hillsdale Su- Here we have (l-r) Dominick Petrocelli, retired from Bozzu- permarket; Thomas DeLuca, 3D Sales & Marketing; Fred to’s; Jeff Hajjar, Bozzuto’s; Dan Tiberio and Allison Schanck, Making their way to Foxwoods from the Baltimore market Brescia, Chanatry’s Market; and Fred Hoefferle, BelGioioso Adam’s Hometown Markets; Greg Veneziano, Bozzuto’s; are Eddie’s of Roland Park’s (l-r) Jeff Macis, Gus Smith, An- Cheese. Mike D’Ottavio and Velton Koons III, M D’Ottavio Produce. drew Schaffer and Michael Schaffer.

18 | FOOD TRADE NEWS March 2019 www.best-met.com In Ledyard, CT For Its Annual Independent Retailer Conference

Imperial Distributors is well represented at the show by (l- This group shot includes (l-r) Sean Desmond and Steve r) Ken Trudeau, Brian MacWhorter, Robin Carpenter, Alisha Heggelke, Bozzuto’s; Edward Suh, Bogopa; Renee Delmotte, This photo features (l-r) Brian Conti, Bozzuto’s; Frank Vitale D’Ambrosio and Mark Eaton. Bozzuto’s; and Kevin Na, Bogopa. and Yolanda Vitale, Big Y; and Rob Thatford, Bozzuto’s.

All smiles for the camera are (l-r) Mike Jarvis and Rob Co- Taking a break from a busy show are Chris Meehan (l) of This family photo features Paul Timlin (l) of Allen Harrim hen of Bozzuto’s and RMG’s Joe Cunnane and Bill Gable. Northeast Food Marketing and Bill Glass of Bozzuto’s. Foods and Daisy Timlin of Muuna.

These fine folk are (l-r) Scott Richards and Jim Morrison, Bozzuto’s Mike Brackett (r) poses for a photo with (l-r) Jona- Crystal Geyser; Mike Atkinson, Douglas Sales; and Jim Dal- Maggie Vrabec (l) of MPS Enterprises says hello to Bozzu- than Schupper, Yvonne Culley and Craig MacDonald, all with ton, Royal Oak. to’s Mike Bellis. CMC Foods.

Fred Frazao (c) of FMF Consultants is joined here by Steve Tony Greco (l) of MPS Enterprises chats with Ava Stone of Kevin Glynn (l) of The Gourmet Factory poses for a photo Heggelke (l) and Jeff King, both with Bozzuto’s. FIA. with Pam Carstens of Bozzuto’s.

Making sure all runs smoothly at the show are Bozzuto’s Here we have (l-r) Tony Greco, MPS Enterprises; Mike Jarvis, John Borzumato (l) of Alpha 1 Marketing is joined here by Steve Heggelke Jr. (l) and Rob Cohen. Bozzuto’s; Maggie Vrabec and Lisa Connelly, MPS Enterprises. Dan Brock of Bozzuto’s. www.best-met.com March 2019 FOOD TRADE NEWS | 19 Legislative Line Federal Spending Package Now that the government oversee our food industry – The budget also provides man- 22. That’s the date the Supreme has funding in place to keep it the Department of Agriculture datory funding for SNAP ($73.5 Court will hear arguments in a running through September 30, and the Food and Drug Ad- billion) and child nutrition pro- case I mentioned in my column 2019, you would think things ministration. Funding for the grams ($23.1 billion). last month that could deter- have calmed down a bit. Not so. USDA-FDA bill totals $23.04 In summary, Food Safety mine whether the Agriculture These days on Capitol Hill it’s billion in discretionary dollars, News reported that the budget Department must comply with like as soon as one problem is a slight increase of $32 million agreement provides $5 million a Freedom of Information Act resolved another one crops up. over the previous year. It boosts more to deal with food safety request to release SNAP retail So while we averted a second funding for agriculture research outbreaks; $2 million more for sales individual store data. The government shutdown, Con- and Farm Service Agency pro- Standard of Identity and Prod- case pits powerful grocery com- gress still has to raise the federal grams, while trimming spend- uct labeling; and $1.5 million panies including the Food Mar- borrowing limit by early fall as ing levels for the Natural Re- more for consumer education keting Institute against a small well as agree to a new budget by sources Conservation Service and biotechnology outreach. South Dakota newspaper that the end of September. So with and the Food Safety Inspection All these numbers may seem started the ball rolling by de- that said, how did the tempo- Service. The spending bill also confusing but they fund quite manding information be pub- a number of food safety issues lished about grocery retailers’ rary budget agreement impact earmarks about $15 million of Barry F. Scher and related policies and that will individual store SNAP sales. us foodies? the FDA funds to be used for Policy Solutions LLC Congressional lawmakers inspections of foreign seafood be important to you and your enacted a huge, $328 billion processors and imported sea- business. With more money of- Dietary Guidelines spending bill covering slightly food. And about $3 billion is ten comes new rules and regula- The new Dietary Guidelines, earmarked that the extra money more than a dozen agencies. In directed to the USDA’s Agricul- tions. Stay tuned. when finalized, will be extreme- go towards specific areas includ- the massive spending package, tural Research Service and the ing poultry, aquaculture, green- there are big demands placed National Institute of Food and Of Special Note See LEGISLATIVE LINE house technology and nutrition. on the two major agencies that Agriculture. Lawmakers have Mark your calendars for April on page 41 Food Marketing Center of Excellence

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20 | FOOD TRADE NEWS March 2019 www.best-met.com As we celebrate our 25th Anniversary, we’re proud to say that Liscio’s Bakery is still a family-run business. We strive every day for the same quality, consistency and enthusiasm that was used to bake the very first loaf of bread. “It all starts with the bread®,” but our business starts with our families, our friends, our employees, our distributors and our customers. We couldn’t have done it without them! – The Liscio and Vilotti Families

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www.best-met.com March 2019 FOOD TRADE NEWS | 21

1.866.LISCIOS • lisciosbakery.com Jet operation announced that it lease, “The convenience and qual- will start the fresh seafood deliv- ity is unmatched and the canned eries through a partnership with format allows for unique exper- FultonFishMarket.com, making it imentation, fostering the abili- currently the only major retailer ty for consumers to try rare and to provide same-day delivery of flavorful species from all over the fish from the Bronx, NY based world, regardless of season.” market, the country’s largest. Cur- rently, the market is supplying 24 hile it looks like the popu- fresh SKUs to Jet’s NYC custom- Wlarity of seafood will only ers as part of the online retailer’s continue to grow, there are some Jet City grocery program, which headwinds that could have an was launched in September 2018. impact on the industry. Leading Fresh seafood arrives at Fulton the way may be climate change. Fish Market daily between 10:00 A recent report by the U.S. Glob- p.m. and 2:00 a.m. and is deliv- al Change Research Program said ered to the Jet fulfillment center that increasing temperatures, in the Bronx by 8:00 a.m. Cus- ocean acidification and deoxy- tomers who order from Jet before genation are the outcomes from noon can get same-day delivery climate change that could cause between 6:00 and 9:00 p.m. the most damage to the world’s marine economy. e also took a look at some Congress mandated the federal Wof the latest seafood trends program that released the report Update on the Seafood Business as reported by SeafoodSource, an to coordinate federal research and international online business tool investments in understanding the veryone knows by now that ca in Boston this month. Customers are frustrated by not offering seafood industry pro- forces shaping the global environ- consuming fresh seafood is a The FMI survey found only 56 knowing enough about seafood, E fessionals an interactive package ment and the impacts they will healthy option they should con- percent of American consum- with 48 percent of seafood con- of resources including industry have. The report, which was com- sider. As more people add seafood ers eat seafood twice a month sumers saying there is not enough news, editorial commentary, mar- piled by top scientists at 13 U.S. to their diets, retailers must find – and that included canned and information available to them ket reports, product reviews and a agencies, paints a grim picture of ways of meeting their shopping pouched products. And just one about seafood. That lack of knowl- comprehensive directory of thou- the future of both U.S. and global needs at the seafood counter. At in five adults can be classified as edge – but also, a desire to learn sands of seafood industry suppli- fisheries as the effects of climate the same time, many factors im- a frequent seafood eater, meaning more – extended even to non-sea- ers and products of specialized change continue to advance. pact the industry, from the effects they eat seafood two times a week food consumers. Fifty percent of areas such as seafood processing The authors of the report stated of climate change to the growth or more. those shoppers said they wanted equipment, seafood industry or- that - “with very high confidence” of government regulation on the But, notably, the survey found more knowledge about different ganizations and fin fish suppliers, - the world could suffer “the loss industry. This month, we’ll take a that the average seafood eater methods for cooking seafood, and to name just a few. of iconic and highly valued” hab- look at some of these issues as we spends more on food at the super- 48 percent wanted to know more SeafoodSource identified the itats and predicted intensifying prepare to travel to Boston for the market than the average non-sea- about how to judge quality and top four food trends that it ex- disruption of the ecosystems as International Seafood Expo this food eater – $129 versus $116 per freshness. Forty-two percent said pects to impact retail seafood a result. These effects will re- month. week. And frequent seafood eat- they wanted more information sales in 2019. First up is the cur- sult in major changes in species ers spend even more – approxi- about different species of fish and rent popularity of high protein, composition and food web struc- hile almost half of all Amer- mately $143 per week, according shellfish. low carbohydrate diets. The glob- ture. And, the report says, these icans eat little to no seafood, to the survey. The survey found customers W al keto (low-carb, high fats - the changes are already under way many Americans are seafood Freshness and flavor have a ma- had high expectations but mixed good type) diet market will regis- and have caused significant shifts lovers – and are willing to spend jor impact on seafood purchases, reviews regarding the knowledge ter a compounded annual growth in how the marine environment more time shopping for it and but a discount or just “being in of seafood counter staff. While a rate of more than five percent by functions, most notably in the more money to buy it so they can the mood” can drive impulse pur- majority of consumers said they 2022 per Reportlinker. Earth’s warmest and coldest en- eat it regularly. chases. On the negative side for wanted counter staff to at least be Also expected to help boost vironments. The report also said, The Food Marketing Institute’s seafood sales, shoppers admitted able to know how to judge fresh- seafood sales is the growth of pre- again with very high confidence, first-ever Power of Seafood sur- they are turned off seafood by ness or quality, 45 percent said pared foods and meal kits, which that the transformative impacts vey of more than 2,000 U.S. shop- their lack of information about their seafood counter staff was are boosting sales of all proteins, on ocean ecosystems cannot be pers found numerous reasons as the product. Seafood consumers only somewhat knowledgeable including seafood. Grab and go avoided without significant re- to why more Americans aren’t do not feel very knowledgeable (though 45 percent said they were items like bento boxes, keto bowls ductions in carbon emissions. buying seafood, and discovered about seafood overall, though very knowledgeable). and sushi also fit in this category. The report said that, in the hurdles preventing even the most most want to become more To go along with the high pro- realm of fisheries, the impacts of ardent fans of seafood from buy- knowledgeable, the survey found. anking on the growing popu- tein trend is the growing popular- climate change are hard to pre- ing more. Just 29 percent of customers feel larity of seafood with U.S. con- B ity of seafood as a snackfood, in- dict with precision because the FMI surveyed 2,096 grocery very knowledgeable about how to sumers, retailers are working on cluding items like kelp jerky and effects of each aspect of climate shoppers representative of the buy seafood, and only 28 percent programs that can take advantage crispy salmon skin. The demand change are likely to compound general U.S. population in regard of those surveyed said they felt of potential new sales. In that vein, for convenient snacks should see others, causing cascading effects to geography, age and gender. confident in how to cook, pre- last month, Walmart launched a seaweed-based snacks and grab- across ecosystems. Also, differ- FMI also incorporated data from pare, or flavor seafood. Similarly, new initiative to bring same-day and-go tuna pouches continue to ences in how different species re- sources including IRI, Nielsen, 27 percent of grocery shoppers delivery of fresh seafood to cus- sell well. spond to the changing conditions Technomics, and Datassentials felt knowledgeable about the nu- tomers in New York City. Reports Another hot item right now could lead to drastic shifts in both into its results. The full results of tritional benefits of seafood, and say the company said it is looking is artisanal, high quality canned the survey will be released at the just 26 percent said they knew to eventually expand the delivery See SEAFOOD fish, says SeafoodSource. Retail- 2019 Seafood Expo North Ameri- how to judge freshness or quality. program nationwide. Walmart’s on page 24 er FreshDirect said in a press re-

22 | FOOD TRADE NEWS March 2019 www.best-met.com www.best-met.com March 2019 FOOD TRADE NEWS | 23 the North American continental In December 2015, reacting to not mandate that the U.S. return shelf, global warming will drive the mounting signs that climate to the agreement. many of North America’s fish spe- change will impact the lives of all cies hundreds of miles northward, the world’s populations, a land- s that issue winds its way potentially costing coastal fishing mark agreement to combat cli- Athrough Congress, another communities billions of dollars mate change and to accelerate and issue our government is looking over the next few decades. intensify the actions and invest- at is mandating labeling require- In New England, the centu- ments needed for a sustainable ments on genetically enhanced ries-old cod fishery is at risk, low carbon future brought to- salmon. with East Coast habitat for At- gether 200 nations in the cause to A bipartisan group of senators lantic cod expected to decline 90 undertake take ambitious efforts from the Pacific Northwest filed a percent by the year 2100. Off the the to combat climate change and bill January 30 that would require Pacific Northwest, rockfish that adapt to its effects. Thus the Paris any salmon produced through have been prized by Native Amer- Agreement was born. However, genetic engineering be clearly ican communities for centuries in June of 2017, President Trump labeled as such on its packaging. are moving toward Alaska as the announced that the U.S. would This bill follows the Department oceans warm. withdraw from the agreement, of Agriculture’s release of its final If heat-trapping greenhouse gas causing uncertainty about the fu- rules requiring that information emissions continue unchecked, ture of the battle against climate about bioengineered products several important species will change. Then, in February, newly be revealed. However, critics say disappear from their current empowered House Democrats - the measure didn’t go far enough habitat by the end of the century, along with one Republican - since companies would be al- according to the study of species introduced legislation meant to lowed to use digital QR codes that live in the relatively shallow demonstrate congressional sup- which would require a smart- waters along the North Ameri- port for the Paris climate agree- phone to scan or list a toll-free can continental shelf. The biggest ment. number for information. changes are expected along the The short, nonbinding resolu- Alaska Senator Lisa Murkowski don areas where conditions are no West Coast, where some econom- tion would declare that Congress has been championing the cause Seafood Business longer favorable to them and seek ically important species like rock- “reaffirms its commitment” to the of clear labeling on genetically From page 22 new areas in which to colonize. fish will move some 900 miles 2015 pact that every other nation engineered salmon for more than abundance of certain species and According to a 2018 PLOS One from their traditional grounds off in the world has signed onto, and three years and the bill put forth the locations where they may be study of 686 species that live in Washington and Canada to Alas- that the United States “should not See SEAFOOD found in the future as they aban- the relatively shallow waters along ka. withdraw.” The measure would on page 30

FROZEN GROCERY DELI SECTION A W A W A

24 | FOOD TRADE NEWS March 2019 www.best-met.com The #1 Recognized Brand in Value Added Seafood

Seafood America LLC, 645 Mearns Road Warminster PA 18974— Phone (215) 6722211 Fax (215) 6758324 www.docksideclassics.net www.best-met.com March 2019 FOOD TRADE NEWS | 25 Area Independent Retailers Head To York, PA Fairgrounds For C&S

The York Fairgrounds was In the Kunzler booth, we home to C&S Wholesale spotted (l-r): Chris Palmer, Grocers’ spring selling show, Dan Feathers and Darrell “Feeding America,” Febru- Ledford of Kunzler; and Mar- ary 19-20. Steve Bruno (l) ilyn Hocker and Brandon of Advantage is welcomed to Brown of Sandy Ridge Mar- the show by Joy Sgro (c) and ket. Frank Puleo of C&S.

Dan McShain (2nd from r) of Star Companies smiles for a Jim Kidwell (2nd from r) of Family Owned Markets is joined Ed McLaughlin (l) of C&S chats at the show with Bill deBrau- photo with (l-r) Jack Constantini, Kevin Constantini and Mike here by (l-r) Emilio Aritz, C&S; Randy Holland, Star Compa- were of Crossmark. Constantini, all with Jack’s Country Maid Deli. nies; and John Hamm, Acosta.

Ray Schobert (l) of The Bakery Connection is joined here by Taking care of business at the show for Clemens Food All smiles for our photographer are Lisa Anderson (l), Dwayne Gerry Gallagher of Amoroso Baking. Group are Kevin Vandegrift (l) and Joe Hanlon. Markle (c) and Dale Chelden, all with Hanover Foods.

Making the trip to York, PA for the C&S show are Bill Helm- This foursome features (l-r) Don Kiess, Fitzwater; Dan Ston- stetter (l) of Sugardale, Krystal Schmidt (c) of Godshall’s er, Mama Mancini’s; Mike Serio and Mary Sakers, Santoni’s These folks from Utz are (l-r) Matt Schessler, Bob Ernst, and Nick Buchanan of Brandywine Brokerage. Marketplace. Gary Little and Dan Magaro.

26 | FOOD TRADE NEWS March 2019 www.best-met.com Wholesale Grocers’ ‘Feeding America’ Spring Trade Show February 19-20

This group shot includes (l-r): Here we have (l-r) Brent Muss- Sandi Muller, JOH; Joe Daley, er, Musser’s Markets; Tom Plymouth Hometown Market; Laraia, C&S; Cheryl Eicke, Michael Larkin, JOH; Steve Acosta; and Brian Musser, Kressler, Organic Girl; and Musser’s Markets. Lou Rotell, C&S.

This duo comprises Gary Bishop (l) and Colin Carlock, both Therese Rakus (c) of Mrs. T’s is flanked here by Paul McGee Randy Holland (l) of Star Companies chats with Ken Markov- with Herr Foods. (l) and Stu Siberski, both with JOH. ich (c) and Kerry Martin, both with Martin’s Country Market.

Taking a break from a busy show are (l-r) Kirk Donovan, Ary- These fine folks are Ralph Nagle (l) of Koch’s Turkey, Mike zta Bakery; Nancy Rodgers-Fluharty, Pace Target Brokerage; Hawes (c) of IQ Products and Dave Olson of Murray’s Chick- These gentlemen from Bimbo Bakeries are Bob Miller (l) Frank Puleo and Emilio Aritz, C&S. en. and Matt Balliet.

Crossmark is well represented at the show by (l-r) Bob Making sure all runs smoothly at the show are Kevin Ruddy This C&S duo includes Michael Tarloff (l) and Dennis Camp- Groves, Bill deBrauwere, Gina Kelly, David Waruszewski and (l), Clint Roderick (c)) and Amy Crawford, all with C&S. bell. Terri Perry. www.best-met.com March 2019 FOOD TRADE NEWS | 27 ssssssssssssssssssssssssssssss “I know what my family eats, I just need to get in TAKING STOCK and out of the store with From page 16 A snapshot of how ZBB works makes it obvious why this should have been a what works for them.” non-starter from the beginning, even excluding the human and cultural collateral damage that occurred. When 3G buys a company it analyzes all expenses, even including office supplies. Appointed managers oversee specific areas of costs and budgets, which are assigned a financial ceiling every year. Managers are evaluated on how they’ve supervised their areas of responsibility and are rewarded for meeting the targets established under the ZBB model. The constraints of the system would make it seem much more difficult to sell large customers such as Walmart, Kroger and Albertsons, whose other vendors utilize a more flexible selling model. For medium-sized and smaller merchants it would seem even worse when they are potentially told there’s not much money left in the kitty for you. Perhaps the best current job at Kraft Heinz is VP-paper clips and staples. Bargaining with Office Depot would seem a lot easier (and potentially more produc- tive) than negotiating with Walmart. Kraft Heinz officials have been quoted as saying they’ve made the adjustments necessary to become more competitive, including expanding their sales force, ramp- ing up promotions and utilizing analytics more effectively. I’m not impressed. What I see is a company whose stock is trading at $32 per share (down from nearly $68 per share a year ago), an organization that just slashed the value of its portfolio by a whopping $15.4 billion and is currently under SEC investigation for its accounting practices. The perception of Kraft Heinz in the food industry and in the public markets isn’t good, because in this case, the facts are directly proportional to that perception. This is private equity at its worst. Remember the old Wall Street adage about bulls, bears and pigs: “Bulls make money, bears make money and pigs get slaughtered.” IS RELEVANT Dollar Tree To Close 390 Family Dollar Units As 2015 Acquisition Turns Sour While not a total failure, Dollar Tree’s 2015 purchase of Family Dollar stores has REPORTING, ONLINE proven a disappointment. That fact was affirmed earlier this month when the Chesa- IDDBA peake, VA- based dollar store merchant (second to Dollar General in that channel of TECHNOLOGY TECHNOLOGY has become one of trade) announced plans to shutter 390 of its Family Dollar Stores and rebrand 200 COMPETITION the key diff erentiators for many retailers others to its core Dollar Tree brand. The chain revealed those plans March 6 as part including those in our own industry. of its fourth quarter and fiscal year financials for the period ended February 2, 2019. COMMUNITY Dollar Tree purchased Mathews, NC based Family Dollar in 2015 for nearly $9 Convenience with the accessibility of billion as an effort to become more competitive against discount rivals like Dollar FOOD SAFETY product information continues to evolve. General and Walmart. However, sales at Family Dollar lagged and served to negatively CONSOLIDATION The IDDBA is providing these trends impact performance at Dollar Tree. and more, and it’s all available online in In January, activist investor (translation: greed monger; for reference see Third PEOPLE Point, Blackwells and the aforementioned 3G) Starboard Value LP acquired a 1.7 What’s in Store 2019 - Digital. percent a stake in Dollar Tree for approximately $370 million and nominated its own seven-member board to replace existing Dollar Tree directors. It also recommended Industry Research Reports that management sell Family Dollar, even if it had to take a loss. Dollar Tree has E-BOOK ACCESS rejected those recommendations. New Products News Instead, Dollar Tree has said it will renovate at least 1,000 Family Dollar Stores this year and will pursue an accelerated renovation schedule in future years. It has Merchandising Trends rolled out a new model for both new and renovated Family Dollar stores internally known as H2. The company said the new H2 model has significantly improved mer- What’s in Store - DIGITAL! chandise offerings, including Dollar Tree $1.00 merchandise, throughout the store. It added that H2 has produced increased traffic and provided an average comparable store sales lift in excess of 10 percent over control stores. H2 performs well in a variety of locations, and especially in locations where Family Dollar has in the past been the most challenged. Additionally, the company plans to install adult beverages in approximately 1,000 stores and expand freezers and coolers in about 400 stores. The company reported it also plans to open 350 new Dollar Tree and 200 new Family Dollar stores in fiscal 2019. The chain operated about 8,200 Family Dollar stores and 7,000 Dollar Tree stores at the end of fourth quarter. The draining effect of its Family Dollar investment can be clearly seen in its Q3 results. MEMBERSHIP IN THE LEADING TRADE ASSOCIATION The company reported a quarterly loss of $2.31 billion, or $9.66 a share, com- FOR DAIRY, DELI AND BAKERY BUYERS AND SELLERS IDDBA.ORG pared with a profit of $1.04 billion or $4.37 a share a year earlier on a $2.73 billion goodwill impairment charge related to the Family Dollar business. IS ONLY A CLICK AWAY. TAKING STOCK continues on page 34

2019 IDDBA 4/C • “LAURA” • 6" x 10.5"FOOD TRADE NEWS AD 28 | BELTRAME FOOD TRADE LEFFLER NEWS ADVERTISINGMarch 2019 • 317-916-9930 • 02-18-19 • S2 020719 www.best-met.com It takes a good partner. With a loyal partner by your side, the possibilities are endless. For over 70 years, Bozzuto’s has been the trusted wholesaler for hundreds of family-owned and operated retailers throughout the Northeast and the one-stop shop for:

• Deli & Bakery • Meat & Seafood For more information, contact Dan Brock, • Produce & Floral Vice President of Sales, at 203-250-5372. • Specialty & Organic • Grocery, Frozen & Dairy • Store Brands • Seasonal • And More! We exceed our partners’ expectations. Every time. www.bozzutos.com I Follow us for updates:

boz_39525_04_foodworld_2019_10x10p5_m.indd 1 2/27/19 2:53 PM www.best-met.com March 2019 FOOD TRADE NEWS | 29 fishing or fraud. ments Oceana visited sold mis- An investigation tested 449 labeled seafood and that seafood samples of seafood, all of which was more frequently mislabeled at Update on the Seafood Business were not included under an ex- restaurants than at chain grocery isting federal program to mon- stores. Additionally, sea bass and itor the sources of seafood. The snapper were the two fish with the samples came from 24 states and highest rates of mislabeling. Washington, DC, between March “After testing nearly 2,000 sam- and August 2018. ples from more than 30 states The government in 2018 estab- since we began our investigations lished the Seafood Import Moni- into seafood fraud, it never ceas- toring Program, but the program es to astonish me that we contin- only applies to 13 seafood types, ue to uncover troubling levels of tracing them from the boat, or deception in the seafood we feed farm, to the U.S. border. our families,” Kimberly Warner, “It’s clear that seafood fraud report author and senior scientist continues to be a problem in the at Oceana, said in the release. “For U.S., and our government needs the sake of ours and the ocean’s to do more to tackle this once health, more needs to be done to and for all,” Beth Lowell, Ocea- tackle this problem.” na’s deputy vice president of U.S. “If you order red snapper at campaigns, said in a press release a restaurant, you should get red earlier this month. snapper. If you found out it was “Seafood fraud ultimately de- something else, you would right- ceives consumers who fall victim ly be angry. But what if you also to a bait and switch, disguises found out that the fish you ate conservation and health risks, may have been caught illegally, and hurts honest fishermen and or had been imported when you From page 24 WA) and Jeff Merkley (D-OR). calling on the government to ex- seafood businesses,” she added. thought it was caught locally?” earlier this year - the Genetical- Traceability is also an issue that pand rules to track the source of “Seafood traceability — from boat Warner, Lowell and the other au- affects the seafood industry and seafood. to plate — is critical to ensure that thors wrote in the report. ly Engineered Salmon Labeling that the government may get in- The group is using a new fraud all seafood sold in the U.S. is safe, “Seafood mislabeling can also Act - is the third one she has volved with. Oceana, an ocean investigation to draw attention to legally caught and honestly la- cover up fish caught or raised helped put forth. She is joined by conservation and advocacy or- the issue of boat-to-plate seafood b e l e d .” with fishing or farming methods co-sponsors Senators Dan Sulli- ganization, says one out of every traceability, which advocates say The investigation also found that can harm the environment,” van (R-AK), Maria Cantwell (D- five fish tested is mislabeled and is is essential to preventing illegal that one of every three establish- the report says.

generous partners this evening.” November 8-10, 2019. 1971 to 1979. He started work- Large checks were presented for Congratulations to the Saint ing for Acme in 1979 and never each 2018 retail and Power Your Joseph’s University (SJU) Food looked back, holding multiple Who Lunchbox campaign which in- Marketing student team as they positions such as floral manager, Soup to Nutz cluded Associated Wholesale beat out a field of 14 universities customer service rep, co-man- ager, store director and grocery knows? From page 8 Grocers (AWG) Springfield Divi- at the NGA Case Challenge Com- sion, Associated Wholesale Gro- petition during the recent NGA specialist. Enjoy your retirement, world a better place by support- cers (AWG) Gulf Coast Division, show in San Diego. Their final op- Terry! We’ll miss seeing your ing a cause.” Guests were encour- Associated Wholesale Grocers ponent was rival Western Michi- smiling face at Acme events! aged to use the #WhatsYourCause (AWG) Oklahoma Division, Mili- gan. The challenge was how can Birthday shout outs for the Is your next event listed hashtag throughout the reception tary Produce Group, Meijer Food Stepherson’s (a Memphis, TN In- windy month of March go to: Stores and Publix Super Markets. dependent) attract and retain di- Dan Croce, Sprouts Farmers in the Mid-Atlantic and remainder of Southern Expo- The 2019 Produce for Kids re- verse millennial talent (especially Market; Bill Sumas, Village Super food market’s sure coordinating with the chalk tail partners include Allegiance Hispanics). The team consisted Market; Jeff Brown and Sandy art, created by renowned 3-D number one Retail Services, C&S Wholesale of four senior food marketing Brown, Brown’s ShopRites; Ed chalk artist Shawn McCann, to calendar of events? Grocers, Giant, Military Produce students: Cat Geruson and Cat- Burda, Utz Snacks; Bill Carter, be displayed at the Produce for Group, Publix Super Markets. In ie Hoffman, who have accepted Knauss Foods; Dave Andrews, Let us know, we’ll let Kids booth on Saturday during addition, Mission for Nutrition positions with Mars; Sarah Hoff- Kreider Farms; and Bob Unanue, the show. For each photo taken and the sixth annual Power Your man, who has accepted a position Goya Foods. Buon compleanno our readers know. at the Produce for Kids booth Lunchbox program will launch in with Wegmans; and Alex Mar- a tutti! And just to make you all with the #WhatsYourCause art, August 2019 to kick-off the school cantonio, who will be joining E&J feel like time is really flying, the We’ll publish your Produce for Kids donated one year. Gallo upon graduation. Job well world wide web celebrates its 30th special event listing in meal to Feeding America. An The cat is out of the bag. The done, ladies! THWND! birthday this month. I can’t imag- the Trade Calendar of additional meal was donated by Mid Atlantic Food Trade Organi- Taking a walk into the sunset ine the world without it. posting the photo to social media zation (MAFTO) is honoring Jim is Terry Spaulding, a lifer in the Events. using the hashtag. “Through our Perkins of Acme Markets at its supermarket industry. In his 48- Quote of the month: “When a cause marketing campaigns at 15th annual Signature Gala. Once year career Terry has only worked good woman stops being afraid, Contact Produce for Kids, we have raised again, the gala weekend will be for two companies: Pantry Pride the devil turns and runs.” Patricia Terri Maloney, Editor $6.7 million for families in need held in Atlantic City at a location and Acme Markets. On February V. D av i s since 2002 and $278,000 in 2018 to be determined very soon. So, 22, he retired from Acme Markets 410-730-5013 or alone,” continued James. “We are mark your calendars for the food as a center store ops manager. He Maria can be reached at mmag- [email protected] extremely excited to celebrate our industry’s best weekend getaway, worked for Pantry Pride from [email protected]

30 | FOOD TRADE NEWS March 2019 www.best-met.com QUALITY SEAFOOD DESERVES THE VERY BEST.

Check out our specialty sauces, horseradish, marinades and mustard at the 2019 Seafood Expo in Boston. Visit us in booth #2710 kelchnerfoods.com

www.best-met.com March 2019 FOOD TRADE NEWS | 31 EMD Sales Welcomes Retailers, Vendors To 2019 Spring To Summer Selling Show At Baltimore HQ

Last month, EMD Sales held its Spring to Summer selling show at its Baltimore headquarters. Among those braving the snowy roads to be on hand were (l-r) EMD Sales’ presi- Ramon Pagan (c) of EMD Sales is flanked in this photo by dent and CEO Elda Devarie; Jose Escalante, Iberia; Osvaldo Shelton Rose (l) of Grace-La Fe and Alfredo Raymundo of Bill May (l) of Market at Highlandtown is joined here by EMD Guerrero, EMD Sales; and David Bennett, Giant/Martin’s. Foodway. Sales’ Jorge Cruz (c) and Jose Rosa.

All smiles for our photographer are Rodrigo Beltran (l) of This photo includes (l-r): Elda Devarie, EMD Sales; Valaya This foursome features (l-r) Ralph Hill and Aaron Harvey, Belmart Food, EMD Sales’ Roberto Devarie (c) and Jorge Dipongam and Kevin Ariyanothaka, Vasinee; Chris Kraw- EMD Sales; Betty Melendez, Cabal Sausages; and Nelson Langrave of Mexilink, Inc. chuk, Safeway; and Ralph Hill, EMD Sales. Rincan, EMD Sales.

These fine folks are (l-r) Jesus Mendez, Ole Mexican; Kim Taking a break to pose for a photo are (l-r) Carlos Miranda, Here we have (l-r) Lorenzo Patio, EMD Sales; Omar Trivino, Baldasaro, JOH; Juan Castaneda, Savemart; Virgilio Gonza- Tikal Foods; Mariam Gandour and Luisa Velez, Mira Interna- EDT USA Corp.; Veronica Martinez and Miguel A. Martinez, lez, EMD Sales; and Kevin Vasquez, Savemart. tional; and Nelson Rincan, EMD Sales. Milagrito Market & Bakery.

Among those on hand for the show are (l-r) Fredi Agui- These smiles belong to (l-r) Richard Lee, Jim Tae Kim and This quartet comprises (l-r) Angel Cruz, Vilore; Juver Lemus lar, Tienda Latina; Ramon Pagan, EMD Sales; and Sonia Inmar Marroquin of Supermax; Eldinaldo Matos of Bauduc- and Elvis Lemus, La Mart Baltimore; and Juan Pablo Barre- Figueroa and Carolina Henriquez, Masas USA. co Foods; and Cesar Arias of EMD Sales. no, EMD Sales.

These folks at the show are (l-r) Victor Moreno, Lotte Plaza Jorge Cruz (r) of EMD Sales is joined here by (l-r) Jacob Ga- Silver Spring; Griselda Chavarria and Elio Monzon, Malher briel and Gianfranco Campos, Campos Convenience Store; EMD Sales’ Elda Devarie (c) chats at the show with Conti- Inc.; and Han Song, Lotte Plaza Silver Spring. Kevin Castaneda and Karen Mayorga, Mi Sabor. nental Foods’ Julio Coen (c) and Elizabeth Berman.

32 | FOOD TRADE NEWS March 2019 www.best-met.com During Women’s History Month, we are proud to honor the remarkable women of Krasdale and all of their achievements over the last 110 years. When you rise, we rise.

#WeAreKrasdale

krasdale @KrasdaleFoods Contact Dennis Wallin • EVP, Business Development • 800.248.5727 x5301 krasdalefoods.com

www.best-met.com March 2019 FOOD TRADE NEWS | 33 C&S Wholesale Grocers Hosts NGA Cocktail Reception ssssssssssssssssssssssssssssss

At last month’s NGA show in San Diego, C&S Wholesale TAKING STOCK Grocers held a cocktail recep- tion for customers and friends From page 28 at The Rustic Root in the city’s Adjusted earnings for the quarter were $9.38 per share, up from $1.89 a year Gaslight District. Among those ago. Sales for the quarter were $6.21 billion versus $6.36 billion in the prior year’s on hand were (l-r) Joe Bivo- fourth quarter. Overall, same store sales grew 2.4 percent during the fourth quarter - na, Saint Joseph’s University at Family Dollar they rose 1.4 percent and at Dollar Tree they increased 3.2 percent. Academy of Food Marketing; Full year sales grew 2.6 percent to $22.82 billion versus $22.25 billion in the Joe Cavalieri and Frank Puleo, C&S; and George Latella, Saint prior year. Dollar Tree’s same store sales for the year were up 3.3 percent while Family Joseph’s University. Dollar’s grew by just 0.1 percent. ‘Round The Trade Wegmans has agreed to build its first store in the First State. The Rochester, NY- based uber-retailer will be the prime tenant in the new Barley Mill Plaza in affluent Greenville, DE. The new store won’t open until 2022 and is part of a 56-acre mixed use project on the site of a former DuPont office complex. The new Wegmans will spell trouble for Janssen’s Market, the nifty single store upscale merchant whose store is These C&S execs are Tony less than two miles away from the Wegmans site. Also challenged will be Acme which Chicarelli (l), Eric Pearlman (c) has three very productive stores within Wegmans’ potential shopping radius. More and Christine Collins. Wegmans news: while the family-owned company has yet to open its first store in the Research Triangle of North Carolina (it will debut in the area next year with a store in Raleigh), the high-volume merchant has signed its sixth lease in the area, this one in suburban Holly Springs. The next Wegmans ribbon cutting will be on April 28 in Virgin- ia Beach… Giant Food Stores/Martin’s has been granted FTC approval to complete the acquisition of five corporately-owned Shop ‘n Save stores from Supervalu, now a subsidiary of United Natural Foods (UNFI). The deal was first announced on Novem- ber 6, 2018 and is part of Supervalu/UNFI’s plan to shed all of its corporately-owned supermarkets nationally. The Carlisle, PA unit of Ahold Delhaize USA plans to convert the Shop ‘n Save stores into Martin’s Food Markets units. The following stores are part of the sale: 22401 Jefferson Boulevard, Smithsburg, MD; 500 North Antrim Way, Greencastle, PA; 409 North McNeil Road, Berryville, VA; 147 Roaring Lion Drive, All smiles for our photographer Hedgesville, WV; and 1317 Old Courthouse Square, Martinsburg, WV. The five stores are Corey Quiring (l) and Melin- will temporarily close on March 27 at 6 p.m. to begin the conversion. All five stores da Mabile, both with C&S. will receive extensive remodels and reopen to customers on April 5 at 8 a.m....earlier this month, online grocer FreshDirect launched a same-day delivery service in Man- hattan that will shortly be expanded into Brooklyn and Westchester County. This is the TAKING STOCK continues on page 40

Dante Franceschelli (c) of C&S is flanked in this photo by Tim Parks (l) and Bob Graybill, both with FMS. SEEKING DISTRIBUTORS to sell our Natural Items, Insecticides & Home Cleaning Products NY • NJ • CT • PA • DE From Saint’s Joseph’s Univer- sity’s Academy of Food Mar- keting we found (l-r) Dr. John Stanton, Catherine Geruson, Katie Hoffman, George Latella, Alexandra Marcantonio, Sara Hoffman and Carol Stanton.

Contact Bruce Sohn, VP • 800-536-3170 • [email protected]

34 | FOOD TRADE NEWS March 2019 www.best-met.com Chex Finer Foods Welcomes Customers, Vendors To CHEXPO ’19 At Twin River Casino In Lincoln, RI

Chex Finer Foods held CHEX- PO ’19, its annual summer selling show, at Twin Rivers Taking a break from the Casino in Lincoln, RI late show floor are (l-r) Linda last month. Smiling for our Garrity and Carla Newman photographer are Arthur Gon- of Haribo; Kerry Ann O’Con- calves (l) and Mitch Cohen, nor of Chex Finer Foods; and both with Kings Food Mar- Bob Godwin of Star Market. kets/Balducci’s.

This foursome features (l-r) Tony Germano and Michael Is- Brooke Carroll (r) of Lark Fine Foods is joined here by Mike Making sure all runs smoothly at the show are Tony Germa- enberg, Chex Finer Foods; Ernest May and Paul Hoffman, Marini (l) and Robert Marshall, both with Marshall’s Farm no (l) and Suzanne Loughlin of Chex Finer Foods. Healthy Living Saratoga. Stand.

All smiles for our photographer are James Leahy (l) of Rivi- Rick Lawson (l) of Chex Finer Foods chats with Michael ana Specialty Foods and Amanda Isenberg (l) and Bethany Lindsay Domaas (l) of JOH says hello to Ken Banalewicz of Chamberlin (c) and John Coles of Euro American Brand. Sutton of Chex Finer Foods. Dave’s Marketplace.

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Make sure your subscription to Food Trade News follows you to your new office or home by sending us your new address to: 5537 Twin Knolls Road, Suite 438, Columbia, MD 21045 email: [email protected] • phone: 800-860-1510

www.best-met.com March 2019 FOOD TRADE NEWS | 35 Bozzuto’s Hosts Customers To Dinner At The Water Grill Restaurant In San Diego During NGA Show

The Water Grill in San Diego was home to a dinner hosted by Bozzuto’s during the NGA show last month. Steve Heg- These smiles belong to Franchesca Ortiz (l) of Bogopa, gelke (l) of Bozzuto’s welcome Bob Rybick of Geissler’s to George Ferris (c) of FKQ Marketing and Suzanne Kuczun of This Bogopa trio includes Justin Shan (l), Edward Suh (c) the evening. Bogopa. and Kevin Kim.

These gentlemen are (l-r) Don Anthony, Mike Bellis and Mike Brackett of Bozzuto’s and Russ Greenlaw of Adam’s Home- Rob Thatford (c) of Bozzuto’s is flanked in this photo by Mor- This trio features (l-r) Olga Franco, Scott Cameron and Dan- town Market. gan Spencer (l) and John Schnepp, both with Big Y. iel Corrales, JJ Martin Group. ssssssssssssssssssssssssssssssssssssssssssssssssssssssssssssssssssssssss TRADE CALENDAR

From page 12 June 1 June 11 July 8 July 22 May 22 The Eastern Produce Council The annual NSA golf outing The 26th annual Key Food in- Krasdale Foods’ inaugural golf will hold its 44th annual golf outing will be held at Montclair Golf Club vitational golf outing benefiting tournament celebrating the com- The New Jersey Food Council at Royce Brook Golf Club in Hills- in West Orange, NJ. For more in- the Morris Levine Key Food Stores pany’s 111th anniversary will be will host its annual trade relations borough, NJ. To register, go to www. formation, contact the NSA at Foundation will be held at Pine Hol- held at Glen Head Golf Club in Glen conference at Harrah’s Resort in At- easternproducecouncil.com. 718.747.2860. low Country Club in East Norwich, Head, NY with proceeds benefiting lantic City, NJ from 3:00-6:00 p.m. NY; Mill River Club in Oyster Bay, multiple charities. For more infor- For more information, go to www. June 2-4 June 20 NY; and Muttowtown Club in East mation, contact Rich DeSimone at njfoodcouncil.com. Norwich, NY. 914.697.5352. IDDBA’s 2019 Dairy-Deli-Bakery Allegiance Retail Services will Expo will be held in Orlando, FL. hold its annual selling show at the May 23 July 8-9 August 21 Registration opens in January at Meadowlands Expo Center in Se- The New Jersey Food Council https://www.iddba.org. caucus, NJ. For more information, Weis Markets will hold its annu- Key Food will hold its fall selling will host its annual golf outing at contact Steve Hungerbuhler at al golf outing. More details to follow show at Nassau Veterans Memorial Suburban Golf Club in Union, NJ [email protected]. at a later date. Coliseum in Uniondale, NY. with shotgun starts beginning at June 10 8:00 a.m. and 1:00 p.m. For more Boyer’s Markets will hold its June 23-25 July 15 September 10 information, go to www.njfoodcoun- annual golf outing. More details to cil.com. follow at a later date. The Summer Fancy Food Show Ahold Delhaize USA Family Foun- Marcum Food & Beverage Sum- will be held at the Javits Center in dation will hold its annual golf out- mit will be held at Convene Confer- May 24-27 June 10 New York City. For more informa- ing. More detail to follow at a later ence Center in New York City. For tion, go to www.specialtyfood.com/ date. more information, contact Flo Fed- Massachusetts Food Asso- Family Owned Markets will host shows-events/summer-fancy-food- erman at 631.414.4299 or flo.fed- ciation will host its 38th annu- its Heather “Kappesser” Diguar- show. July 15 [email protected]. al Family Reunion Convention at di Memorial Charity golf outing at Omni Mount Washington Resort Foxchase Golf Club in Stevens, PA. The annual FUPAC golf outing June 24 in Bretton Woods, NH. This year’s Registration starts at 11:15 a.m. will be held at St. Andrew’s Golf September 11-14 theme is “Out of This World” and followed by shotgun start at 12:45 The FIA Jack Duffy Golf Clas- Club in Hastings-on-Hudson, NY. For Natural Products Expo East will the category focus will be on meat, p.m. For more information, contact sic will be held at Scarsdale Golf more information, contact Rich DeS- be held at the Baltimore Convention seafood and deli. For more informa- Jim Kidwell at jim.kidwell@family- Club in Scarsdale, NY. For more imone at 914.697.5352. tion, go to www.mafood.com or call ownedmarkets.com. information, contact Ava Stone at See TRADE CALENDAR 617.542.3085. 518.434.1916 or [email protected]. on page 40

36 | FOOD TRADE NEWS March 2019 www.best-met.com 15th ANNUAL

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MAFTO_Golf_Ad_2019.indd 1 2/1/19 9:34 AM www.best-met.com March 2019 FOOD TRADE NEWS | 37 MAFTO Hosts ‘Thank You’ Dinner For Sponsors Of 2018 Annual Gala At Spasso Italian Grill In Philadelphia

Last month, MAFTO sponsored a thank you dinner at Spas- so Italian Grill in Philadelphia to thank the sponsors of the 2018 annual gala honoring Giant/Martin’s. Among those on Here we have (l-r) Laura Chupka, Daymon; Jenifer Bergman hand were (l-r) Chet Dudzinski of ALL Holdings, this year’s of Advantage Marketing, the presenting sponsor for the gala; MAFTO president; Scott Vicari of PromoPoint Marketing, the Joe Gardyan (l) of Utz is joined here by Jeff Sobotta (c) and Ramon Santos, Daymon; Glenn Beidler, Advantage Market- MAFTO chairman; and the 2018 gala’s honorees Nick Ber- Mike Mackin of Schmidt Baking. ing; Lara Tothman and Scott Vicari, PromoPoint Marketing. tram and John Ruane of Giant/Martin’s.

These smiles belong to (l-r) Steve Allison and Deb Kreider of Giant/Martin’s Brian Lorenz (c) is flanked in this photo by These fine folks are (l-r) Kent Laurent, Coca-Cola NA; The- Giant/Martin’s and Clemens Food Group’s Doug and Becky Nancy Rogers-Fluharty (l) and Joe Pace III, both with Pace resa Lowden and Allan Perkins, JOH; and Brendan Brazel, Clemens. Target Brokerage. Coca-Cola NA.

New Exciting Changes - Stay Tuned! #bestmetisgettingevenbetter

38 | FOOD TRADE NEWS March 2019 www.best-met.com Northeast Trade Treks To New NGA Show Venue - San Diego Convention Center - February 23-26

The 2019 NGA Show was held in a new venue - the San Diego Convention Center. Dennis Campbell (2nd from l) of C&S Wholesale Grocers is joined here by (l-r) Curvin Hurst, Handling business at the show for Redner’s Markets are From the Baltimore market, our camera spotted Wanda and Brent Hurst and Jon Hurst, all with Oregon Dairy Market. Ryan Redner (l) and Gary Michael Redner. Jim Streett from Harvest Fare

This photo features (l-r) Bethany Matthews and Craig Rosen- blum, Inmar; John Baxter, Phillips; Brian and Maria Haley, Tom McKay (l) of McKay’s Markets is joined here by Jona- Bozzuto’s is well represented at NGA by Dan Brock (l) and Burris Retail Logistics. than Bolt of Merchant Distributors Inc. Bill Ainge.

NGA president Peter Larkin (c) is flanked in this photo by George Latella (l) of Saint Joseph’s University and Joe Bi- vona of Saint Joseph’s University’s Academy of Food Mar- On the show floor, we spotted John Baxter (l) of Phillips and Scott Oshel (l) of Ascentium Capital says hello to Farrell keting. Anthony Barbieri of PMA. McKenna of LOC Software.

Craig Rosenblum (l) of Inmar is joined here by David Gold- John Saidnawey (l) of JOH smiles for a photo with Jack Sha- This duo from L&L Specialty Foods comprises Jeff Lands- farb (l) and Joseph Bistirtzky of Seasons Kosher Supermar- koor of Jack’s Super Foodtown. man (l) and Ken Demchick. ket.

Here we have (l-r) Greg Ferrera, NGA; Ellie Taylor, Alabama Grocers Association; Brandon Scholz, Wisconsin Grocers This group shot includes (l-r) Brian Nemainville, Retail Feed- Association; Linda Doherty, New Jersey Food Council; Chris Manning the Phillips booth at NGA are John Baxter (l) and back Group; Dante Franceschelli, C&S; Corinne Routhier, Flynn, Massachusetts Grocers Association; and Matthew John Knorr. NGA; and Christopher Brown, CB LLC. Ott, NGA. www.best-met.com March 2019 FOOD TRADE NEWS | 39 New Jersey Preparing For Another Bruising Budget Battle ssssssssssssssssssssssssssssss In early March before a joint proposed the creation of the session of the state legislature, Local Assistance Bureau in the TAKING STOCK New Jersey Governor Phil Department of Community From page 34 Murphy introduced his 2020 Affairs, which would provide fiscal year budget which he expert guidance to municipal- first major move by the 20-year old e-commerce merchant since it opened its new notes expands his vision for a ities and counties to facilitate Bronx distribution center last summer. The company has also expanded its conven- tional delivery services further into Connecticut and in Washington, DC. Also from middle class blueprint for the shared services. Manhattan comes word (via the NY Post) that Trader Joe’s will be opening its largest state. His proposed $38.6 bil- The governor continues to location in the five boroughs with the leasing of a new store at Broadway and West lion state budget is $1.2 billion call for the legalization of mar- 55th Street, not far from Whole Foods’ largest NYC store in the Time Warner Center at higher than the current $37.4 ijuana and has earmarked $60 Columbus Circle. The Post claims that the new store will occupy the space at the site billion state fiscal spending million as projected income of a former seven-story garage. TJ’s currently operates seven stores in Manhattan, two plan. from anticipated tax revenue. in Brooklyn and one each in Queens and Staten Island…in news from adjacent mar- By Linda Doherty, President The governor opened his The New Jersey Food Coun- keting areas, members of five New England UFCW Locals (1459, 919, 328, 1445 address by lauding the recent cil will continue to analyze and 371) have voted to authorize a strike against Stop & Shop concerning labor passage of the minimum wage this proposal over the coming agreements that expired on February 23. Health care and retirement benefits are two and paid family leave legislation rate responsibility fee of $150 for months. As the general assembly issues that are being negotiated in contracts that affect 31,000 Stoppie clerks and into law as well as the imple- every employee in order to allevi- is up for election this November, meatcutters. A strike authorization vote allows union leadership to approve a strike at mentation of paid sick leave and ate Medicaid costs. This proposal the assembly speaker will attempt any time during the bargaining process. As I write this, discussions between all sides the expansion of school funding. could have a significant impact on to hold the line on any new finan- is continuing. Further south, a tip of the hat to both Giant Food (Ahold Delhaize USA) The governor’s proposed budget members so we are reviewing this cial burdens to taxpayers. By state and Safeway (Albertsons) for hosting informative vendor meetings during the past initiative. month. It’s nice to see the old stalwarts from the B-W market with some spring in their includes an increase in the mil- constitution, the proposed budget step, and it certainly doesn’t hurt that both chains operate from a decentralized Governor Murphy also spoke lionaire’s tax to 10.75 percent for needs to be approved by the state platform, which certainly improves vendor engagement. Also helping both retailers is those whose income is more than about his vision for public educa- legislature and signed into law by the continued erosion of Shoppers’ business. I feel badly for the associates of the $1 million per year, which would tion, transportation, and shared 11:59 p.m. on June 30, the end of company, now owned by UNFI. The stores have been on the selling block for months increase the threshold from last services. These proposals in- the fiscal year. However, Trenton with little announced activity, while the clerks and meatcutters are forced to wait out year’s budget deal which only in- cluded increased investments in insiders are already suggesting the clock in lame duck hell. And speaking of UNFI, it posted a $341.7 million loss in cluded those making $5 million public education and pre-K, with this could be a bruising budget Q2 ended January 26, much of that deficit related to the integration of its Supervalu or more per year. This comes as $206 million in new K-12 formu- battle for legislative leaders as business. The Providence, RI-based distributor is still sticking with its prediction that Senate President Stephen Swee- la aid, and $68 million to main- the governor insists on raising it will save $185 million in year four of the deal, but I’m not making that bet. And ney (D-3) and Assembly Speak- tain and further expand access to taxes over spending cuts. While after talking to many of UNFI’s independent customers in the Mid-Atlantic, it’s clear er Craig Coughlin (D-19) have high-quality pre-K programs. On many agree Sweeney had the up- UNFI is not currently exuding a high level of confidence about the postscript of the pledged not to raise any new transportation and infrastructure, per hand over Murphy in his first Supervalu acquisition. UNFI’s operating loss aside, the past quarter saw almost every broad based taxes. his Budget calls for $407.5 mil- budget cycle last year, the latest other retailer post some of the best numbers in recent years. Without providing you with the agate type of financial reports, here’s a summary of same-store sales (ex- Another point of concern and lion in general fund support for budget debate is a toss-up. We can NJ Transit’s operating subsidy, gas) of some of the biggest retailers in the country in their most recently completed need for greater clarification is his only hope common sense and de- quarters: Ahold Delhaize USA, +2.7 percent; Kroger, +1.9 percent; Walmart, +4.2 proposal that employers with 50 replacing $75 million in previous cisions to get New Jersey back on percent; Target, +5.3 percent; Costco, +7.2 percent; BJ’s, +2.8 percent; and Publix, or more employees who may have diversions and adding $25 million sound economic footing prevails. +1.1 percent (with a record profit of $2.4 billion for the year)…just before presstime workers on Medicaid pay a corpo- in new direct funding. He also Weis Markets reported it achieved record company sales of more than $3.5 billion for the 52-week period ended December 29, 2018, up 1.2 percent compared to the ernment breakfast at Forsgate October 24 same period a year ago, while annual comparable store sales increased 0.7 percent. TRADE CALENDAR Country Club in Monroe Twp., NJ Income from operations rose $7.2 million, or 9.4 percent to $83.6 million compared From page 36 The annual FIA Red Carpet beginning at 8:30 a.m. For more banquet will be held at Glen Island to $76.4 million for the same period in 2017. The Sunbury, PA-based merchant’s information, go to www.njfood- Center. For more information, go Harbour Club in New Rochelle, NY. annual and fourth quarter net income comparisons were impacted by the federal council.com. to https://www.expoeast.com. For more information, contact Ava government’s implementation of the Tax Cuts and Jobs Act (tax reform) in 2017. Weis Stone at 518.434.1916 or ava@ said it realized a $49.3 million decrease in its deferred income tax due to this legis- October 2 fiany.com. lation, which improved net income in both its 2017 and fourth quarter results. The September 17 current annual results contain no such benefit. Annual net income totaled $62.7 The Eastern Produce Coun- The Tri-State Italian-American million (-36.3 percent) compared to $98.4 million in 2017. Annual earnings per cil will host a dinner at Met Life November 14 Congress will host its annual golf share totaled $2.33 compared to $3.66 per share in 2017. “We made significant Stadium in New York, sponsored outing at Engineers Country Club FIA’s Albany trade dinner will forward progress in 2018 by driving sales, investing in our store base and information by Idaho Potato Commission and in Roslyn, NY and Glen Head Golf be held at Glen Sanders Mansion technology and by improving store-level efficiencies,” said Weis Markets chairman Avocados from Mexico. Cocktail Club in Glen Head, NY. For more in Schenectady, NY. For more in- and CEO Jonathan Weis. “The result was a 9.4 percent increase in annual operating hour begins at 6:00 p.m. followed information, go to www.trisiac.org. formation, contact Ava Stone at by dinner at 7:00 p.m. To register, income and increased comparable store sales in 2018. During the year, we also ex- 518.434.1916 or [email protected]. go to www.easternproducecoun- panded online ordering with in-store pickup and home delivery to 173 stores which September 24-25 cil.com. resulted in more than 100,000 orders and a 33.2 percent increase in online sales.” If you would like to publish an During the 13-week period, the closely-controlled regional chain’s sales increased The 2019 Latino Food & Bev- event in our trade calendar, please 1.0 percent to $892.9 million compared to the same period in 2017, while fourth erage Show will be held at the October 17-19 send entries to Terri Maloney at quarter comparable store sales increased 0.9 percent. Income from operations in the Meadowlands Expo Center in Se- PMA’s Fresh Summit will be [email protected]. Include fourth quarter totaled $17.2 million compared to $22.3 million in the same period caucus, NJ. For more information, held in Anaheim, CA. For more a contact name and phone num- in 2017 and Weis’ Q4 net income declined 79.2 percent to $13.2 million compared call 848.258.2144 or email lati- information, go to https://www. ber, email address or web address to $63.7 million in 2017, while earnings per share totaled $0.49 compared to $2.37 [email protected]. freshfrommexico.com/event/ for reservations or additional infor- per share for the same period in 2017…according to The Philadelphia Inquirer, strug- pma-fresh-summit-2019/. mation. gling discount retailer Lidl is seeking a combined $9.5 million in state redevelopment October 2 grants for six stores in the Keystone State. Three of those stores would be in Philadel- The New Jersey Food Council will host its annual Good Gov- TAKING STOCK continues on page 42

40 | FOOD TRADE NEWS March 2019 www.best-met.com Legislative Line

From page 20 Times recently reported that livestock producers and their ly important to food retailers, farm allies have convinced leg- manufacturers and processors islators in more than a dozen for marketing purposes. Now states to introduce legislation to Congress, as part of the new ban the use of the word “meat” spending package, has asked in the labeling and advertis- USDA to formally report on ing of plant-based substitutes. how the agency will modify its If enacted, many of these state approach to drafting the new laws will be challenged in court, Dietary Guidelines that are as the livestock industry is de- changed and published every termined to prevent what hap- five years. According to Politi- pened to the dairy industry to co, the report must be published happen to them. Remember the within six months. Lawmakers debate over soy milk versus the gave USDA more than $12 mil- lion to develop the all-import- real stuff? Interesting dichoto- ant guidelines. my. One of the more important And the beat goes on as Meat- Dietary Guidelines issues puts ingplace News reports that the at different ends of the healthy National Cattlemen’s Beef As- food spectrum an intensive sociation has launched a cam- fight between those who favor a paign called “Fake Meat Facts.” EARLIER THIS MONTH, EQUITY RETAIL BROKERS SPONSORED A PARTY AT THE CADILLAC RANCH plant-based diet and those who Additionally, Politico reports in National Harbor, MD during the Mid-Atlantic International Council of Shopping Centers (ICSC) Confer- that the National Milk Produc- ence. Welcoming guests to the outing were (l-r) David Goodman, Ed Ginn, Keith Seymour, Ken Yanni, Shane support low-carb, high protein Dolan, all with Equity Retail Brokers. diets in the debate over the focus ers Federation has asked FDA of the 2020 Dietary Guidelines. to immediately enforce an ex- institute procedures to com- cally grown produce from being products in reusable containers. A loose knit group including the isting labeling regulation that municate to consumers con- certified as organic will contin- Nutrition Coalition, Atkins Nu- requires the word “imitation” to “The world’s biggest makers of cerns about certain supplements ue, if in spirit only. The opposi- tritionals and livestock interests, be clearly displayed on products shampoo, detergent and pack- and establish a new regulatory lobbied Congress and urged that resemble or are a substitute tion of the organic industry to aged food will test selling their USDA and the Department of for a traditional food if the alter- framework to evaluate product certifying hydroponic produce products in reusable containers, Health and Human Services to native contains fewer nutrients. safety, while still encouraging has been going on since 1995. It adopting a milkman-style mod- appoint members to the Dietary The Plant-Based Food Associ- innovation. (Note - just before appeared to end last year when el to address concerns about Guidelines advisory commit- ation membership fired back presstime it was announced that Agriculture Marketing Service plastic waste,” headlined the Gottleib has submitted his resig- (AMS) backed the National tee who have a broader dietary in response and said “requiring WSJ article. We believe you will nation.) Organic Board’s close decision viewpoint than the supporters such a disparaging word as ‘im- see more recycling and more itation’ on labels would indeed to allow certification. But last of plant-based diets, who dom- products sold in environmental- violate the First Amendment.” Produce/Organics month a coalition of diehard or- inated the last advisory commit- ly friendly packaging coming on Stay tuned as meat and dairy in- ganic related organizations, led tee. It appears as if their words Nearly 50 bipartisan mem- tap. It’s another trend that we at were heard as the USDA and terests continue to protect their bers of Congress have written by the Center for Food Safety, Policy Solutions see as gathering HHS secretaries just recently turf! to Commerce Secretary Wil- Food and Water Watch and the more and more support from announced the appointment of bur Ross urging him to scrap Cornucopia Institute, filed a pe- 20 nationally recognized scien- Dietary Supplements the current U.S.-Mexico Toma- tition with AMS asking it to re- retailers who want to attract, as tists to serve on the all-import- Dietary supplements contin- to Suspension Agreement and verse its ruling. AMS responded the story said, “green, virtuous ant committee. ue to grow in popularity and reopen the anti-dumping case that it will not do so. We will shoppers!” So far, French su- FYI - the guidelines serve as take up more space in food store against Mexican tomato grow- continue to monitor this issue. permarket giant Carrefour SA the cornerstone of federal nu- aisles these days than ever be- ers with the argument that it has signed on to participate in trition programs and policies, fore. The Washington Post re- will lead to a better agreement Recycling a test of handling products that providing food-based recom- cently reported on a new, major for American growers. The Or- In case you missed it, the customers can buy and then mendations to help prevent di- announcement by FDA Com- ganic Trade Association orga- January 25 edition of the Wall return the empty containers to et-related chronic diseases and missioner Scott Gottlieb on an nized a fly-in lobbying event of Street Journal included two their stores. I’ve been around promote overall health. agency initiative to protect con- organic farmers last month to major food industry stories of long enough to tell you what sumers from new dietary sup- educate and lobby new mem- interest. One story highlight- goes around comes around! We Update On ‘Fake’ Meat/Milk plements spiked with unlisted bers of Congress about the or- ed the efforts under way in our shall see. The battle between traditional drug ingredients and from false ganic industry and the need to industry to promote and use livestock interests and the plant- and misleading health claims. quickly implement and fund the compostable bags, cups and cut- Barry Scher is associated with the based food industry over how The commissioner announced anti-fraud measures in the re- lery and the mounting backlash public policy firm of Policy Solu- the latter’s products are labeled that FDA will beef up its regu- cently passed Farm Bill. It looks against plastic waste. The other tions LLC and may be reached at is intensifying. The New York latory oversight of the industry, like the fight to ban hydroponi- story was about marketing more [email protected]

www.best-met.com food news you can use www.best-met.com March 2019 FOOD TRADE NEWS | 41 Adding To Its Anti-Business Agenda, Philly To Ban Cashless Stores ssssssssssssssssssssssssssssss From page 1 shoppers without bank accounts how this legislation might impact becomes the first U.S. city to enact from discrimination. innovation in our retail sector. such legislation. While there are “With a 26-percent poverty We will continue to monitor this, TAKING STOCK rate in Philadelphia, the mayor as we face the ongoing challenge a few businesses exempted, the From page 40 ordinance will not prohibit most believes in equal opportunity for of growing our economy while all,’’ city spokesman Mike Dunn ensuring that growth is inclusive, phia. Currently, Lidl only has one unit open in Pennsylvania, a 35,000 square foot retail locations from refusing to unit in Folsom, which opened last year ...kudos to Peter Larkin, CEO of the National take cash or charging cash-paying said in a statement. “Until we can spokesman Dunn stated. resolve the hurdles facing the un- Some businesses are exempt Grocers Assocciation (NGA), whose recent trade show was once again successful. The customers a higher price. The law venue move to San Diego (vs. Las Vegas) was a big plus and the presentations and will take effect on July 1 and vio- banked, we need to remove any from the law including BJ’s obstacles that could prevent them Wholesale Club, which operates meetings continue to be relevant for the independent retailers and regional chains lators would face fines of as much that attend. Larkin will be retiring at the end of this year after a long and distinguished as $2,000. from enjoying all amenities of two stores in the city. Also exempt career in the industry, the last nine spent helping to reshape what is now one of the Many observers see the law as this city, amenities that are read- are garages/parking lots, rental best trade shows in the industry…we have several obituaries to report this month. being distinctly anti-Amazon, ily available to those fortunate companies and retailers that ac- From the world of music passing on was Peter Tork, whose halcyon days were in the which has stated it would look enough to have a debit or credit cept mobile payments through late 60s as the bass player for The Monkees. Actually, Tork was a very good musician, to Philadelphia as one of the cit- c ard .” membership clubs. but often didn’t play on the group’s recording sessions because the band’s producers ies in which it would potentially According to the Federal De- In neighboring New Jersey, leg- and managers Bob Rafelson and Bert Schneider created the group as a made-for-TV open Amazon Go stores. Amazon posit Insurance Corporation islators recently approved a sim- entity. When it came time to record albums, Rafelson and Schneider chose to use a Go stores debuted last year and (FDIC), almost 6 percent of res- ilar bill banning cashless stores. group of extremely talented Los Angeles studio musicians known as The Wrecking its current lineup of 10 stores are idents in the Philadelphia area do That bill now sits on Governor Crew (which, by the way, is also the name of a great documentary flick about those based in Seattle, San Francisco not have access to credit or bank Phil Murphy’s desk for approv- studio musicians) to actually play the Monkees songs. Tork was 77 when he passed…. and one of the seminal members of The Wrecking Crew has also left us. Hal Blaine, and Chicago with the promise of accounts in 2017 and roughly 22 al or veto. Other municipalities percent were considered “under- where legislation has been intro- one of the greatest drummers in pop and rock history who played on 35,000 records hundreds more to come in other (that’s not a typo) mainly in the 60s and 70s (including 40 number one hits and 150 large cities. banked,” according to the federal duced (but no action has been de- agency. cided to date) include New York top 10 songs), was 90. He was closely associated with Beach Boys leader Brian Mayor Kenney and his advo- Wilson - listen to his subtle work on the song “Good Vibrations” – and was a vital part “This decision comes despite City, San Francisco, Chicago and cates said the new law said was of that group’s success in the 1960s. And here’s a piece of trivia that will never be needed to protect low-income our continued concerns about Washington, D.C. equaled. Blaine was the only drummer to ever back Elvis Presley, Frank Sinatra and John Lennon…pianist, composer and conductor Andre Previn has died at the age of 89. A Holocaust survivor whose family fled Nazi Germany, Previn was a child prodigy who began working in Hollywood as a teenager. He won four Academy Awards for his orchestrations and, in 1967, left the movie scene to become a classical music con- ductor. He led such renowned orchestras as the Los Angeles Philharmonic and Lon- don’s Royal Philharmonic. The genius of Previn, who was trained as a classical musi- cian, was his unique ability to cross over into other musical genres, recording pop and jazz albums. He was married five times including once to actress Mia Farrow. Together they had six children, three of whom were adopted. One of those adopted children was Soon-Yi, who had an affair with Farrow’s next husband, Woody Allen (Allen would eventually marry her). Asked what he thought of Allen, Previn said, “I would a cheer- fully run him over with a steamroller.”…I am sad to report the death of former Dodg- er’s pitching great Don Newcombe. Newcombe’s story is a heroic one. Beginning his career in the Negro Leagues before becoming one of the first African-American play- ROUTES AVAILABLE ers to play in the majors when he joined the Dodgers in 1949, Newcombe was named National League Rookie of the Year. “Newk” also won the Cy Young Award in 1956 SEEKING INDEPENDENT DISTRIBUTORS (when only one pitcher for both leagues was recognized), when he posted a 27-7 record with a 3.06 ERA over 268 innings. However, the most courageous part of For Direct Store Delivery to Grocery Stores Newcombe’s life came after his career ended in 1960. During his career, he began drinking and his alcoholic problems only got worse after he retired. He finally quit Routes Available in: Boston, MA • Albany, NY • Northern VA • Maryland drinking in 1967 and for the next 50 years helped countless others with substance abuse problems, while also serving as a community service ambassador for the Call Paulo Lopez 301-573-9683 Dodgers. Newcombe was 92…I also want to recognize the passing of Peter Magowan, 76, former CEO of Safeway (now owned by Albertsons). After leaving the big chain in 1993, where he started as a teenager (his father, Robert, was also chief executive of the company), Magowan acquired the San Francisco Giants baseball team. From the late 1970s until the early 90s, I met with Peter dozens of times and always enjoyed his intellect and his curiosity. He was actually one of the first of a new breed of su- permarket industry executives – analytical, smart and somewhat low key. Even though No Puppies. he came off as a bit shy, he really wasn’t. I can recall several Safeway annual meet- ings which were often held in Charm City (usually at the somewhat seedy Lord Balti- No celebrity gossip. No selfies. No recipes. more Hotel) where Peter displayed leadership, resolve and passion….hard to believe that my friend Andy Klein is dead. Klein, 65, president and CEO of nine-store Klein’s ShopRite group, was tragically killed earlier this month when a ShopRite truck, on the way to make a delivery at one of Klein’s stores in Bel Air, MD, lost control of the vehi- cle and collided with 12 other cars, including Klein’s. Klein’s car was pinned under We only tweet about the important stuff. the truck, which caught fire. A seven-year old boy was also killed. This is a real trage- dy for the Klein family who have been in the food retailing business in Harford Coun- ty since 1925. I’ve known the family for more than 40 years, including Andy’s late parents Ralph and Shirley Klein and his brothers, Howard and Michael. Andy Klein Breaking news covering the industry from New England to the Carolinas. also leaves his wonderful wife Jayne and three great children Marshall, Rachel and Sarah. Fourth generation siblings Marshall and Sarah remain active in the business. Follow us on Twitter @FoodWorldFTN A man with a big heart with a great sense of family and community, I’ll miss Andy Klein.

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