General Mills expanding in natural, organic segment with Annie's

56 Pages·2014·9.76 MB·English

THE NEWS WEEKLY OF GRAIN-BASED FOODS
SEPTEMBER 16, 2014
bakingbusiness.com / foodbusinessnews.net
WASHINGTON UPDATE
General Mills expanding in natural,
organic segment with Annie’s
MINNEAPOLIS — General Mills, Inc.
has entered into a defi nitive agreement
to acquire Annie’s, Inc., a producer of
branded organic and natural food prod-
ucts, for $46 per share in cash. The pro-
posed transaction has an aggregate val-
ue of approximately $820 million.
Berkeley, Calif.-based Annie’s is ex-
The role and results of
pected to join General Mills’ U.S. natural
economic sanctions and organic products portfolio, which
includes the Cascadian Farm, Muir
Glen, Larabar and Food Should Taste
Good brands. Net sales for these Gen-
eral Mills brands totaled approximately
Story on Page 35
$330 million in fi scal 2014 ended May 25.
“This acquisition will signifi cantly ex- U.S. Retail at General Mills. “Annie’s
LATE NEWS pand our presence in the U.S. branded competes in a number of attractive food
organic and natural foods industry, categories, with particular strength in
General Mills adds
where sales have been growing at a 12% convenient meals and snacks — two
chief creative offi cer compound rate over the last 10 years,” of General Mills’ priority platforms.
said Jeff Harmening, executive vice- Consumers know and trust Annie’s
MINNEAPOLIS — Michael Fanuele president and chief operating offi cer of Continued on Page 9
has been named to the newly-created
position of chief creative offi cer at Product Perspective: Bread
General Mills, Inc., effective Oct. 6.
Mr. Fanuele will oversee brand strat- Dynamic bread market shows bakers
egy, strategic planning and creative
development, and will report to Mark sharpening elbows for shelf space
Addicks, chief marketing offi cer. Prior
to joining General Mills, Mr. Fanuele In the wake of historic change in major moves to ensure their produc-
was chief strategy offi cer at the adver- the ownership structure of the U.S. tion base is competitive.
tising agency Fallon, where he worked baking industry, a period of quiet What’s at stake in the baking market
on such accounts as H&R Block and consolidation may have been expected was described in blunt terms in recent
Arby’s. Earlier, he was with Euro to follow in the U.S. bread market. The remarks by R. Steve Kinsey, executive
RSCG Worldwide, Walrus, J. Walter picture to emerge instead has been a vice-president and chief fi nancial offi cer
Thompson and Mad Dogs & English- very different one. The largest compa- of Flowers Foods, Inc., Thomasville, Ga.
men. He also is a guest lecturer at the nies in the baking industry have been “Each share point in the fresh pack-
Miami Ad School and The Virginia aggressively jockeying for position, aged bread category translates to
Continued on Page 8 battling for shelf space and making roughly $100 million in top-line sales
for Flowers,” Mr. Kinsey said Sept. 3
during the Barclays Back-to-School
Consumer Conference in Boston. He
said picking up a larger piece of the pie
is no small feat.
“Each share point of market share
will be hard-earned, but achieving
these goals will create tremendous
Continued on Page 25
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Contents  September 16, 2014 Vol. 93, No. 15
 PRODUCT PERSPECTIVE: BREAD  NEWS Comment
Story on Page 1
Dynamic bread
Plenty of carbs
market shows bakers in latest
sharpening elbows low-carbohydrate diet
Are low-carbohydrate diets more effective
for shelf space
at achieving weight loss than low-fat diets?
Major news outlets have trumpeted recently
published scientifi c research claiming exactly
12
Bimbo, General Mills make that. During the year-long study, subjects in
Forbes’ innovation rankings a low-carbohydrate diet group lost 7.7 lbs
more than those on a low-fat diet (see story
The magazine’s survey ranks Grupo Bimbo as
No. 83 and General Mills, Inc. as No. 91 among on Page 21).
its 100 most innovative companies. While these results rightly are cause for
14 concern by grain-based foods, a number
Bimbo to shutter Stroehmann
The role and of aspects of the study should have raised
plant in Pennsylvania
eyebrows among anyone looking at the
results of economic The production of buns at the plant will shift results. The study design called for low-
to other Bimbo Bakeries USA facilities. Earlier carbohydrate dieters to limit intake to 40
sanctions
this year B.B.U. ceased operations at four other
grams of carbohydrates per day, double the
facilities.
Story on Page 35 amount in the Atkins diet. Showing how tough
16
Special K, Kashi look to it is to stick with such a diet, study participants
get back on their game consumed much more than targeted. By the
 DEPARTMENTS end, low-carbohydrate participants were
 Special K promotions will focus on nutrient
consuming 127 grams of carbs, equal to two
density. Kashi changes include the return of a
7 Editorial
former leader and a move back to La Jolla, Calif. slices of toast, a sandwich, an apple, and a
9 Business 18 bowl of cheese tortellini. While these subjects
17 People Campbell baking unit profi t failed to follow their dieting guidelines, the
climbs in fi scal year low-fat dieters held beneath the 30% of
18 Financial Results
Low administrative expenses, Pepperidge calories target throughout the year.
21 Nutrition and Health
Farm growth and the addition of the Kelsen What accounts for the difference in weight
23 Merchandising Group lift earnings 5% in the Global Baking and loss? Dieters in the low-carbohydrate cohort
35 Washington Update Snacking division. reported consuming 133 fewer calories
21
per day than the low-fat dieters, a fi gure
36 Washington Low-carb dieters lose more
nutritionists suggest would have led to a
38 International weight in year-long study
weight-loss differential exceeding 10 lbs.
40 Supplier Innovations Results also show a reduction in cardiovascular Were it generally adopted, Atkins dieting
risk factors, but questions arise over people’s
41 Ingredient Week Trends would be catastrophic for the grain-based
ability to maintain a low-carbohydrate diet.
54 Archive foods industry. From a grains perspective,
the so-called low-carbohydrate diet in this
most recent study would not.
MBN
 COMPANIES IN THIS ISSUE

5 Generation Bakers ...................10 Den Boer Baking Systems B.V. .....14 Hostess Brands, Inc. ....................25 PepsiCo, Inc. ...............................18
Annie’s, Inc. ..................................1 DuPont Nutrition & Health ..........40 Just Desserts ..............................17 Sara Lee Corp. ............................25
Barilla Group ..............................38 Einstein Noah Kellogg Co. ......................8, 10, 16 Sensient Flavors .........................40
Bimbo Bakeries USA ..10, 12, 14, 28 Restaurant Group, Inc. .............17 Kraft Foods ..................................7 Snyder’s-Lance Inc. .....................17
Cambridge Engineered Solutions 40 Flavorchem ................................40 Main Street Gourmet ..................17 Tromp-Pol Baking
Campbell Soup Co. .....................18 Flowers Foods, Inc. .......................1 Markel Bakery Group ..................14 Equipment B.V. .......................14
Chipotle Mexican Grill, Inc. .........12 General Mills, Inc. .............1, 12, 38 Mondelez International ................7 Unilever P.L.C. ..............................7
CHS, Inc. ....................................23 Hershey Co. ................................12 Monster Beverage Corp. .............12 Wal-Mart Stores, Inc. ....................9
CWB ..........................................10 Hillshire Brands ............................7 Novozymes ................................12
Dave’s Killer Bread .....................23 Hinds-Bock ................................40 Pepperidge Farm, Inc. ...........18, 25
4 / September 16, 2014 Milling & Baking News bakingbusiness.com / world-grain.com
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© 2012 Archer Daniels Midland Company
*Information is accurate as of October 2011, to the best of Archer Daniels Midland Company’s knowledge.
 Editorial
Forceful message in fortifi cation study
Among the challenges faced by those defending getting enough vitamins and minerals. Looking at thia-
the healthfulness of grain-based foods, none has min as an example, only 10.2% of females 14 to 18 are con-
proved more vexing than the absence of recent suming too little from food. Without fortifi cation, though,
scientifi c research examining the category’s importan ce the researchers estimated this fi gure would leap to 85.6%.
as a source of dietary nutrition. While the role of en- Sixty-four per cent of thiamin in the diet of children aged
richment in eliminating diseases associated with inad- 9-18 comes from grain-based foods. In the case of iron,
equate nutrition, including beri beri and pellagra, may 60% in the diets of children aged 9-18 comes from grain-
be thought of as long “settled science” by the industry, based foods. Intake is defi cient for only 11.5% of teenage
fortifi cation and enrichment recently have come under females but would be 51.8% without fortifi cation.
fi re by those worried micronutrient additions exceed The fi gures on iron are not just an abstract statisti-
current human needs. Even industry advocates in the cal exercise. Globally, 30.2% of non-pregnant women
scientifi c community, including members of the Grain and 41.8% of pregnant women are anemic, a condi-
Foods Foundation Scientifi c Advisory Board, have be- tion, related to inadequate iron intake, in which the
moaned an absence of studies looking at the healthful- body does not have enough healthy red blood cells.
ness of enriched grain products. With an incidence rate of 3.1%, the United States
Thus, the publication earlier this year of a study look- is the only country tracked in a 2008 World Health
ing directly at the role of fortifi cation/enrichment in mi- Organization study in which anemia incidence was
cronutrient intake adequacy rep- below 5%.
Enriched grain products were
resents a major step toward fi lling Beyond the data, three aspects
the leading source for the
this void. Titled “Fortifi ed Foods of the paper merit consideration.
micronutrients in the case of 8
are Major Contributors to Nutrient While funding for the research
of the 11 for which the authors
Intakes in Diets of U.S. Children came from the International Life
listed dietary sources.
and Adolescents,” the 22-page pa- Sciences Institute, a non-profi t
per was published in the Journal of the Academy of Nutrition research and education group sustained by the food
and Dietetics. Based on food and supplement consump- and agribusiness industries, the organization is not a
tion data gathered by the Centers for Disease Control and grain-based foods organization. Member companies in
Prevention in its National Health and Nutrition Exami- North America include Hillshire Brands, Kraft Foods,
nation Survey (NHANES) from 7,250 subjects aged 2-18 Mondelez and Unilever, companies with no particular
during the early 2000s, the researchers identifi ed which tilt toward the sector — grain-based foods — that fared
foods, beverages or supplements provide micronutrients most favorably.
for children, whether their nutrient intake is either insuf- Second, additional research on this important topic
fi cient or excessive and whether their intake would be in- is needed, and public health recommendations of di-
suffi cient if foods were not fortifi ed or enriched. etary intake changes should more carefully weigh the
For the most part, children in the United States are potential effects such guidance could have on the ad-
experiencing neither inadequate nor excessive intake equacy of micronutrient intake. Off-hand calls or more
of the 17 micronutrients they examined. deliberate recommendations for reductions in con-
Of greatest interest to grain-based foods is the source sumption of enriched grains must be recognized as ir-
of these micronutrients, and here the results represent responsible public health policy. Finally, the handful of
a breathtaking affi rmation for the industry. Enriched micronutrients for which dietary inadequacy remains
grain products were the leading source for the micronu- widespread in the United States, including vitamin D,
trients in the case of 8 of the 11 for which the authors should be vigorously but carefully explored as candi-
listed dietary sources (6 micronutrients were not broken dates for grains fortifi cation so that the grain-based
out by source). But for enrichment, large swaths of the foods industry is able to build further on its proud role
population of children in the United States would not be as a cornerstone of public health. MBN
L. JOSHUA SOSLAND, EDITOR
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EDITORIAL STAFF Senior editor, markets PUBLISHING STAFF Audience development director Director of design services
Editor-in-chief Ron Sterk Chairman Don Keating Sadowna Conarroe
Morton I. Sosland Associate editor Charles S. Sosland Director of e-business Circulation manager
Executive editor, markets Jeff Gelski Vice-chairman Jon Hall Judith Tinberg
Neil N. Sosland Assistant editor, markets L. Joshua Sosland Director of on-line Digital systems analyst
Editor Laura Lloyd President and publisher advertising and promotions Marj Potts
L. Joshua Sosland Internet editors Mark Sabo Carrie Fluegge Manager of advertising design
Senior editor, markets Monica Watrous Associate publisher Promotions manager Becky White
Jay S. Sjerven Maggie Young G. Michael Gude Lon Davis
Managing editor Graphic designer, market Vice-president, chief fi nancial offi cer Advertising manager
Eric J. Schroeder graphics, data Melanie Hepperly Nora Wages
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Late News 
WEEK OF SEPTEMBER 16
Continued from Page 1 an acre, up 1.2 bus from Au-
Commonwealth University gust and up 3.3 bus from 2013.
Brand Center. It is the second U.S.D.A. forecasts for corn and
major addition soybean production and aver-
to the marketing age yields all were record highs
department at and were above average trade
General Mills in expectations of 14,310 million
recent months. bus for corn and 3,882 million
In August, the bus for soybeans. Nearby corn
The U.S.D.A. lowered company hired and soybean futures fell to fresh
former Miller- Fanuele four-year lows after the report.
Coors marketer
Bakers join chorus on
its forecast for the 2015 Jackie Woodward for the newly
rail service worries
created position of vice-presi-
dent of global media.
soft red winter wheat
WASHINGTON — A congres-
U.S. 2015 wheat
sional bill aimed at strength-
carryover to 191 million carryover up 5% ening the Surface Transporta-
tion Board’s ability to address
KANSAS CITY — Carryover of concerns about worsening rail
bus, down 5 million bus wheat in the United States on service (see story on Page 36)
June 1, 2015, was projected at has gained support from the
698 million bus, up 35 million American Bakers Association.
from the August outlook.
bus, or 5%, from the August In a Sept. 10 statement, the
projection and up 108 million A.B.A. said it was “highly con-
With no new production bus, or 18%, from 590 million cerned about the ongoing crisis
bus on June 1, 2014, the U.S. De- in the northern wheat states”
partment of Agriculture said in created by the severe lag in rail
data expected until Sept. its Sept. 11 World Agricultural shipments of grains, including
Supply and Demand Estimates. wheat. Robb MacKie, presi-
Corn carryover on Sept. 1, 2015, dent and chief executive offi cer
30, the adjustment
was projected at 2,002 million of the A.B.A., said some bakers
bus, up 194 million bus, or 11%, have been forced to curtail pro-
from August refl ected from August and up 821 million duction because of “massive
bus, or 70%, from 1,181 million shipping ineffi ciencies.” “The
bus estimated for the current entire grain chain is bearing
a 5-million-bu hike in
year. Carryover of soybeans on the brunt of this problem,” said
Sept. 1, 2015, was projected at Cory Martin, director of gov-
475 million bus, up 45 million ernment relations at the A.B.A.
forecast 2014-15 exports
bus, or 10%, from August and Mr. Martin emphasized the im-
up 345 million bus, or 265%, portance of ensuring adequate
to 145 million bus. from 130 million bus in 2014. fl our supplies for bakers, espe-
cially during the approaching
Corn crop seen up 3%
winter months.
from August
Kellogg investing
in Muncy, Pa.
KANSAS CITY — U.S. 2014
corn production was forecast at
14,395 million bus, up 3% from MUNCY, PA. — Kellogg Co.
both August and from a year announced it will invest $15
earlier, the U.S. Department of million at its site in Muncy
Agriculture said in its Sept. 11 to expand and add a robotic
Crop Production report. Aver- packing line to serve the com-
age corn yield based on Sept. 1 pany’s club store customers.
conditions was forecast at 171.7 The facility makes grain-based
[email protected]
bus an acre, up 4.3 bus from Au- convenience foods, including
www.mennel.com
gust and up 12.9 bus from 2013. Pop-Tarts. Kellogg received
The 2014 U.S. soybean crop was a funding proposal from the
forecast at 3,913 million bus, up Pennsylvania Department of
3% from August and up 19% Community and Economic De-
from last year. Average soybean velopment, including $140,000
yield was forecast at 46.6 bus in guaranteed free training. MBN
8 / September 16, 2014 Milling & Baking News bakingbusiness.com / world-grain.com
 Business
General Mills expanding in natural,
our position at the forefront of this
trend, enabling us to more rapidly
organic segment with Annie’s
and effi ciently expand into new
channels and product lines in a
Continued from Page 1 Annie’s 30-day average closing price rapidly evolving industry environ-
purpose-driven culture and authen- of $30.47 as of Sept. 5, 2014. Annie’s ment.”
tic brand. We believe that combin- headquarters will stay in Berkeley, Mr. Foraker said Annie’s will
ing the Annie’s product portfolio General Mills said. remain dedicated to its mission:
and go-to-market capabilities with “We are excited about this strategic “to cultivate a healthier and hap-
General Mills’ supply chain, sales combination, which will enable An- pier world by spreading goodness
and marketing resources will accel- nie’s to expand the reach and breadth through nourishing foods, honest
erate the growth of our organic and words and conduct that is consider-
natural foods business.” ate and forever kind to the planet.
In its fi scal year ended March 31, Authentic roots, great tasting prod-
2014, Annie’s had net income of ucts, high quality organic and natu-
$15,289,000 on sales of $204,104,000. ral ingredients, and sustainable busi-
As recently as fi scal 2010, the com- ness practices will continue to be the
pany’s annual sales were less than cornerstones of the Annie’s brand.”
$100 million. The company oper- Founded in 1989, Annie’s prod-
ates in three categories: Meals (fi s- ucts are made without artifi cial
cal 2014 sales of $99 million); Snacks fl avors, synthetic colors and pre-
($79 million); and Dressings, Condi- servatives regularly used in many
ments and Others ($26 million). The conventional packaged foods. Addi-
company’s 145 different products in- tionally, Annie’s sources ingredients
clude many in grain-based foods, in- so as to avoid synthetic growth hor-
cluding macaroni and cheese, frozen mones and bioengineered food in-
pizza, cookies, crackers, pretzels, gredients. The company offers more
graham crackers and granola bars. than 145 products and may be found
General Mills said it intends to of our high quality, great tasting or- in more than 35,000 retail locations
fund the acquisition through available ganic and natural products, provide in the United States and Canada.
credit, and will launch a tender offer new opportunities for our employ- The company was established in
within 10 business days to purchase ees, realize greater effi ciencies in our Hampton, Conn., by Annie Withey
all outstanding shares of Annie’s. operations, and maximize value for with Andrew Martin and named
The board of directors of Annie’s our stockholders,” said John Forak- Annie’s Homegrown, Inc. with the
unanimously has recommended er, chief executive offi cer of Annie’s. goal of “making a healthy and deli-
that stockholders accept the Gener- “Powerful consumer shifts toward cious macaroni and cheese for fami-
al Mills offer, saying the acquisition products with simple, organic and lies.” In April 2012, the company
will enable Annie’s to enter a new natural ingredients from companies raised $11.1 million in an initial public
phase of growth and success while that share consumers’ core values offering. At the time, Solera Capital
maximizing value for stockhold- show no signs of letting up. Partner- L.L.C., a private equity group, sold an
ers. The transaction consideration ing with a company of General Mills’ additional 4.8 million shares at the of-
represents a 51% premium over scale and resources will strengthen fering price of $19 per share. MBN
Wal-Mart ramping up food
its Canadian food business by put-
ting grocery sections inside exist-
presence in Canada
ing stores rather than physically
expanding.
NEW YORK — At the Goldman One of the tactics that Wal-Mart “Quite a lot more stores where
Sachs Global Retailing Conference implemented was through the we’ll put food inside the existing box
Wal-Mart Stores, Inc. discussed its growth of food for the business, the rather than to go through the cost of
plan to strengthen its position in “second-biggest trend in Canada,” expanding,” Mr. Cheesewright said.
Canada. The move comes as Target said Mr. Cheesewright. Wal-Mart The opening of food stores by
Corp., a key competitor, ramps up has opened more than 260 food both Wal-Mart and Target has had
its presence north of the border after an impact in the market. Adding
entering Canada in 2013. about 370 new stores (about 260
“The best thing about their en- Wal-Mart, 120 Target) into a mar-
try was the notice that everybody ket where there is “a lot of food
got about them coming,” said Dave competition into the area anyway”
Cheesewright, president and chief stores over the last five years, and has that effect where some of the
executive officer of Wal-Mart Inter- they are not finished just yet. smallest retailers are squeezed out
national. “It has accelerated the per- “We’ve taken the vast majority of food because it gets close to the point of
formance particularly of assortment growth in that market over the last fi ve saturation. Mr. Cheesewright sees
management of the Canadian busi- years, and we have still got a few more this as a good thing and just an op-
ness because we knew someone else years to keep focusing on that,” he said. portunity for “everybody else to be
was coming into our marketplace.” Wal-Mart has been able to expand better.” MBN
bakingbusiness.com / world-grain.com Milling & Baking News September 16, 2014 / 9
Business 
Bimbo calls special shareholder
According to the Grupo Bimbo 2013
annual report, six businesses/invest-
meeting ahead of share offering
ment entities held about two thirds
of the company’s 4,703,200,000 shares
MEXICO CITY — Grupo Bimbo S.A.B. outstanding. Two of these — Nor-
Grupo Bimbo stock price
de C.V. is convening a general extraor- maciel S.A. de C.V. and Promociones
dinary meeting of shareholders Sept. (per share) Monser S.A. de C.V. — owned 2.3 bil-
$45
18 to consider a public offering of cap- lion shares, or 49% of the company’s
ital stock to investors in Mexico, the outstanding stock. The two are con-
$40
United States and other markets. trolled by the Servitje family. The re-
Notice of the meeting was an- $35 port said, “To Bimbo’s knowledge…
nounced by the company Aug. 29. In no person exercises control, signifi cant
addition to consideration of the stock $30 infl uence or command power (as such
Oct. Dec. Feb. April June Aug.
offering, shareholders will be asked to 2013 2014 concepts are defi ned in the Securities
approve a number of related actions, Market Law) in Bimbo, except for Mr.
including an approval of an increase $40.46 in trading on the Mexican Stock Daniel Servitje Montull, chairman of
in the fi xed portion of the capital stock Exchange. The price was still above the board of directors and chief execu-
of the company. the $38.85 closing price a year earlier tive offi cer.”
Bimbo’s share price fell after the and was about double the $20 price The Sept. 18 meeting will be held at
planned stock offering was an- (adjusted for splits) where Bimbo was 12:30 p.m. at the company’s headquar-
nounced. After closing at $42.84 per trading before announcing plans in ters, located at Prologacion Paseo de la
share on Aug. 28, the company’s stock November 2010 to acquire the fresh Reforma No. 10000, Col. Pena Blanca
price fell 5.6% to a Sept. 1 close of bakery business of Sara Lee Corp. Santa Fe, Distrito Federal. MBN
Fire breaks out at Kellogg cookie
On Sept. 2, Kellogg said it would be-
gin layoffs at the Charlotte bakery in
plant; shutdown of plant planned
November as it edges closer to shutting
down the operation. The company is ex-
CHARLOTTE, N.C. — A fi re broke out roof, prompting a call for a second crew. pected to lay off 161 employees in four
in an oven at a Kellogg Co. cookie plant The second group of fi refi ghters arrived phases ending in January, according to a
in Charlotte during a routine mainte- and contained the outburst in 42 minutes. Worker Adjustment and Retraining Noti-
nance inspection on Sept. 6. Firefi ghters Investigators are looking into what fi cation (WARN) fi led with the N.C. De-
responded to the fi re at around 6:30 p.m. sparked the fi re but do not think foul play partment of Commerce.
E.S.T. on Sept. 6. The plant was evacuated. was involved. Kellogg fi rst announced its intent to
After the fi rst crew of fi refi ghters ar- “No injuries have been reported,” said close the Charlotte plant in February.
rived at the facility, Captain Jackie Gilmore Kris Charles, Kellogg Co. spokesperson. The plant produces Famous Amos, Aus-
of the Charlotte Fire Department said they “The damage is being assessed and op- tin Sandwich Cremes and Iced Animals
found smoke and fl ames spreading to the erations will resume as soon as possible.” cookies. MBN
CWB planning construction of grain
area and with the ability to ship grain both
elevator in Saskatchewan East and West as well as to the South.”
With the construction of the new eleva-
WINNIPEG — CWB announced it will again strategically expanded CWB’s foot- tor, CWB expanded its construction to
open a new grain elevator near Pasqua, print on the Prairies,” said Ian White, presi- three grain elevator projects and has be-
Sask., by January 2016. The elevator will dent and chief executive offi cer of CWB. gun hiring for the facilities.
have 42,000 tonnes of storage capacity ”Pasqua’s central location and easy road ac- ”CWB is on an exciting path of growth,
and will feature a car-loading rate of up cess combined with CWB’s friendly custom- and now it’s time to further expand our
to 1,600 tonnes per hour, a 134-car loop er service will make it a great option for local staffi ng on the grain handling side to ac-
track and cleaning facilities. farmers. It’s also a prime location for CWB, commodate our growth trajectory,” Mr.
”Today’s Pasqua announcement has once right in the middle of a high production White said. MBN
5 Generation Bakers recognized
bakery staff, without which this growth
for rapid revenue growth could not have happened,” Mr. Baker
said. “We were equally lucky to have
ZELIENOPLE, PA. — 5 Generation Bakers, ago by Scott Baker, literally a fi fth genera- hired a very effective group of brokers to
a commercial manufacturer of fro- tion baker. 5 Generation Bakers, get our product out into the trade.”
zen wholesale products, posted a known for manufacturing Jen- Mr. Baker’s original goal was to dou-
242% revenue increase for the pe- ny Lee Cinnamon Swirl Breads, ble revenue and production each year
riod January 2011 through Decem- was founded by Mr. Baker after of operation. This goal has easily been
ber 2013, earning the company the a 14-year tenure at Jenny Lee met and has sparked the designing and
No. 6 spot in the Pittsburgh Business Times list until it closed down in 2008. planning for a new plant. The company
of the 100 fastest-growing area companies. “We’ve been very fortunate to have expects to move production there in early
The company was founded four years found and retained a very dedicated 2016. MBN
10 / September 16, 2014 Milling & Baking News bakingbusiness.com / world-grain.com