business news in context, analysis with attitude

Bloomberg reports that “the ex-marketing chief of a former U.S. unit of Dutch grocer Royal Ahold NV pleaded guilty to conspiracy 13 months after his previous conviction for overstating earnings was overturned.

Former U.S. Foodservice Inc. executive Mark Kaiser, 54, admitted today in Manhattan federal court to participating in an $800 million securities fraud. At his sentencing Dec. 7, he could receive as much as five years in prison.

“Prosecutors alleged Kaiser made fraudulent representations about U.S. Foodservice’s financial condition in a bid to burnish his resume for a promotion at the Columbia, Maryland-based unit. He was convicted in 2006 of helping the subsidiary inflate profits from 2000 to 2003 by wrongly recording promotional rebates as income and sentenced to seven years in prison.”

• The Chicago Sun Times reports that the city’s legendary Moo & Oink chain, which sells things like chitlins, bacon, fried chicken wings, ribs and pork chops - primarily but not exclusively to minority customers - is in financial trouble and could be sold. Moo & Oink has four stores, plus a wholesale and online business.

The company’s owners are not commenting, but insiders say they are looking for a buyer.

• The Professional Recyclers of Pennsylvania (PROP) has recognized Weis Markets for its commitment to recycling and its program to recycle waxed cardboard used to ship and store fresh vegetables and meats.

In 2010, Weis Markets teamed up with Envirolog to recycle its waxed cardboard and produce Envirolog fireplace logs which are sold in Weis Markets stores. Typically, supermarkets send most of their waxed cardboard to landfills since it is difficult to recycle. Today, all 163 Weis Markets’ stores participate in this recycling program.
KC's View: