Milling & Baking News - October 4, 2005 - 9

L AT E N E W S

the

FLOUR

FEED

GRAIN

* QUALITY
* UNIFORMITY
SERVICE

Mennel
MILLING COMPANY

Wheat futures
prices rallied Friday
in response to
revised U.S.D.A.
2005 wheat production
estimates that fell well
below trade ideas. In
an unexpected move,
the U.S.D.A. reduced
its soft red winter
wheat estimate by 12
million bus, or 4%, from
its August forecast, to
308 million bus.

the
Mennel
MILLING COMPANY

"Since 1886"

+300.688-8151
FAX: (419) 436 515O
sales@mennel .com
www.mennet.com

Flour Mill Locations

Fostoria , Ohio

Dowagiac , Michigan
Roanoke , Wginia
Mt . Olive , Illinois

10 / Milling & Baking News, October 4, 2005

Continued from Page 1
performance improvement." Mr. Fogarty joined Alvarez & Marsal in 1994 and currently is a managing director. As of Sept. 28, AIPC's total debt was $281.5 million,
including $276.7 million under its bank credit agreement. Total debt, less cash, stood at $273.4 million.
THOMASVILLE, GA. - Flowers Foods
Inc. on Sept. 29 revised its long-term sales
goal to a range of 5% to 8% from the current range of 3% to 5%. At the same time,
the company reiterated previous guidance for fiscal 2005 of $1.65 billion to $1.7
billion in sales and net income of 3.75%
to 4% of sales. The company's executive team, which
spoke at analysts meetings in New York and Boston,
said its sales growth requires the company to build
new highly efficient production capacity in strategic
locations earlier than had previously been planned.
Earlier this year, new capacity was brought on line in
Denton, Texas; Crossville, Tenn.; and Miami. In 2006,
new capacity is expected to open in Georgia.

Flowers ups
long-term
sales goal

WASHINGTON - The sodium requirements for products labeled as "healthy"
will remain at the first-tier levels of 600
mg of sodium for meal and main dish
products and 480 mg for individual
food products, the U.S. Food and Drug
Administration said Sept. 29 in a Federal
Register final rule. The F.D.A eliminated a second-tier
sodium requirement of 480 mg for meal and main dish
products and 360 mg for individual food products
that was to go into effect Jan. 1, 2006. After reviewing
comments from the food industry and consumer advocates, the F.D.A. concluded the second-tier requirements would eliminate existing "healthy" products
that either would not hit the second tier or would have
undesirable and unmarketable flavor profiles.

F.D.A. drops
stricter
sodium level

WASHINGTON - The National Agricultural Statistics Service of the U.S. Department of Agriculture estimated U.S. allwheat production in 2005 at 2,098,270,000
bus, down 68,908,000 bus, or 3%, from its
August forecast, and down 59,975,000 bus,
or 3%, from 2,158,245,000 bus in 2004. The
revised wheat estimate was contained in the "Small
Grains 2005 Summary" issued Friday. The all-wheat
estimate was below the range of pre-report trade estimates. Winter wheat production was estimated at
1,493,769,000 bus, down 2% from the August forecast
and compared with 1,499,434,000 bus as the 2004 outturn. Other-spring wheat production was estimated
at 504,456,000 bus, down 9% from the August forecast
and compared with 568,918,000 bus a year ago.

Wheat cut
larger than
expected

SYDNEY, AUSTRALIA - Burns, Philp
& Co., Australia's biggest baker, said
last week it plans to establish a new Australasian food company under the name
Goodman Fielder. "The Goodman Fielder businesses will comprise Burns Philp's
existing baking division together with its
existing spreads and oils division," the company said.
The company's snack food division, including Uncle
Tobys, Le Snak and Bluebird in New Zealand, will not
be included. MBN

Burns Philp
to spin off
baking unit

bakingbusiness.com / world-grain.com

http://www.mennet.com http://www.bakingbusiness.com http://www.world-grain.com

Milling & Baking News - October 4, 2005

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