retail news in context, analysis with attitude

...with occasional, italicized and sometimes gratuitous commentary...

Reuters reports that Frito-Lay is being sued by a New York man who claims that “the company misleads consumers with the claim its popular Tostitos and SunChips products are made with ‘all-natural ingredients’.” The complaint says that despite the “all-natural” claims, independent testing revealed the presence of corn and oils made from genetically modified plants.

Lawyers for the plaintiff are hoping to turn the suit into a class action.

The story says that “a spokeswoman for Frito-Lay, Aurora Gonzalez, said the company was confident the labeling on its packaging ‘complies with all regulatory requirements’.”

A gentle suggestion to my friends at Frito-Lay. Be a little careful with the “complies with all regulatory requirements” defense. Because it sounds like you’re almost saying that the chips “are as all-natural as they legally have to be,” as opposed to being “all-natural.”

Dow Jones reports that Coca-Cola plans to invest more than $1 billion in Mexico this year, which the company says is part of a $5 billion, five-year investment program there.

According to the story, “As part of the investment, Coca-Cola plans to increase the number of people it employs in Mexico to more than 100,000 from 90,000 currently. An estimated 800,000 additional jobs are generated via the company's supply and distribution channels.”

• The Associated Press reports that Walgreen is acquiring prescription files and inventory from 33 Kmart pharmacies in 16 states. The deal is scheduled to close later this month, and customers will get letters of explanation from Walgreen.

Bloomberg reports that Australia’s largest retailer, Woolworths Ltd., wants to sell its Dick Smith electronics store chain, bailing out of a business where it sees that tougher competition and lower prices is taking a toll on earnings.

• Starbucks reportedly is about to enter yet another European country - Finland, where it will open its first cafe in the Helsinki-Vantaa Airport this April. If the store there works, Starbucks will consider a broader rollout across Finland.
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