Latest news with #DelMonte
Forbes
14-07-2025
- Business
- Forbes
Del Monte Bankruptcy A Harbinger As Consumers Flock To Store Brands
Del Monte Bankruptcy A Harbinger As Consumers Flock To Store Brands The store brand juggernaut triggered by pandemic-era inflation and economic uncertainty has passed a tipping point with consumers and may have claimed its first national brand victim. A recent First Insight survey finds that 37% of shoppers now trust the quality of cheaper (and more profitable) private label goods ABOVE national brands. Another 47% consider store brand products to be AS GOOD AS the legacy brand versions. To paraphrase Shakespeare, ketchup by any other name is still ketchup. Retailers have gotten smart; consumers have gotten wise. As we reported here last year, cash-strapped Gen Z-ers have been leading this trend—more than half choose where to shop based on store brands. Many younger shoppers have no problem buying knockoffs of fashion brands. Now the latest survey finds the shift has extended to high-income consumers—61% said they trust store brands over national brands. Ominously, for the traditional consumer packaged goods (CPG) industry is the recent First Insight finding that more than 70% of those surveyed were unable to recognize a private label when comparing side-by-side images of store and national brand products. Shoppers are buying store brands even if they don't realize it. As trust in store brands has increased, national brands have been losing it. According to a recent food and beverage survey by Ernst & Young, more than 40% of respondents believe 'product innovations' by national brands are 'merely disguised cost-reduction measures,' such as shrinking package sizes. Put it all together and it becomes clear that traditional brand awareness is becoming murky, brand loyalty is fading, and brand equity is shrinking. According to the Private Label Manufacturers Association, private label sales rose by nearly 4% last year to a record $271 billion. Although store brand unit sales grew modestly (2%) since 2021, during the same period national brand unit sales fell by almost 7%. National brands—those household names that have dominated grocery shelves for so long—face a daunting challenge, especially when the price spread is as large as it is on many items. How much longer can a box of famous-name cereal retail for $4 when the identical product and package size of store brand is $3? The gap apparently proved to be too much for Del Monte Foods, whose products include venerable brands like College Inn broths and Contadina canned tomatoes. The 138-year-old company filed for bankruptcy last week citing declining demand. The private label insurgency extends far beyond groceries and other consumables. Amazon was early and aggressive with its extensive line of essentials under the Amazon Basics brands. Walmart has apparel brands like George (men's shoes and clothing), and Athletic Works (activewear for men, women, and children). The latest wrinkle in this developing conflict is the allegation by Lululemon that Costco is poaching off its reputation and intellectual property with a knockoff line sold under its Kirkland private label. According to a recent report in The Wall Street Journal, 'some Lululemon shoppers say that they now want bargains, not brand names.' If there is a limit to the store brand movement, we are unlikely to reach it anytime soon. In fact, the retail industry's leaders are rewriting the rules of engagement. Large global chains have become much more aggressive about controlling the supply side. For example, Walmart purchased Vizio, a maker of flat-screen televisions (a commodity product in every discount department store); and Home Depot recently purchased SRS Distribution, a building products distributor. This all leads to a need for companies of all types (Retailers, Brands, Manufacturer's, Auto, Tech, etc) to understand what consumers are willing to do to switch, their optimal costs and how they feel about private brands versus branded. Super exciting times for some.
Miami Herald
10-07-2025
- Business
- Miami Herald
Iconic grocery staple faces Chapter 11 bankruptcy, liquidation
Some products have been around forever, but don't resonate in the way they used to. Children of the '80s grew up eating canned food. We thought nothing of opening and heating up a can of Chef Boyardee. Related: Adults-only retail chain closes half its stores, no bankruptcy This was not a punishment. It was actually considered a treat. We ate canned food because we did not have many options. There were frozen TV dinners that were both delicious and horrifying. You heated these up in the toaster oven, because you probably weren't old enough to be allowed to use the actual oven. The most popular ones were fried chicken and a sort of meatball. Until the microwave was invented, choice was just fairly limited. And even when the microwave did come about, options were more plentiful, but not necessarily better. Anyone of a certain age has probably eaten a microwave lasagna that was molten hot in some places and disturbingly cold in others. Canned food still exists, but in many cases, it's just easier to cook fresh. That's not true in all parts of the country, but in many places, the need for a brand like the recently bankrupt Del Monte has simply diminished. Image source: Bloomberg/Getty Images Creditsafe Head of Brand Ragini Bhalla and her team examined Del Monte's financials and shared what happened before its Chapter 11 bankruptcy filing. "Del Monte Foods' Days Beyond Terms (DBT) payment history from the last 12 months reveals a pattern of mounting financial stress that culminated in its recent Chapter 11 bankruptcy filing," according to the data. The canned goods company maintained a relatively stable DBT for most of 2024 – hovering between 9 and 14. (For context, DBT indicates how late a company pays its bills.) "But that stability didn't last. A notable shift occurred at the start of 2025, with DBT rising again to 14 in January 2025 and 15 in February 2025, signaling emerging cash flow pressures," Creditsafe reported. While March 2025 saw its DBT drop to 4, potentially due to short-term payment prioritization or cash influx, this improvement was short-lived. By April 2025, the company's DBT spiked to 17 and then rose further to 21 in May 2025, placing it well above the industry average DBT of 11. This indicates that Del Monte increasingly struggled to meet its financial obligations. Bankruptcy news: Iconic auto repair chain franchise files Chapter 11 bankruptcyPopular beer brand closes down and files Chapter 7 bankruptcyPopular vodka and gin brand files for Chapter 11 bankruptcy "This late-stage spike in DBT is especially concerning, because sharp DBT increases just months before a bankruptcy filing often reflect worsening liquidity, supplier strain, and triaging of payables," Bhalla shared. Creditsafe data reveals that 18.62% of Del Monte's bills were 61-90 days overdue in July 2024, an early sign of cash flow issues. By August 2024, late payments shifted into both early and severe delinquency buckets, with 23.82% of its bills falling 1-30 days late and 8.48% extending beyond 91+ days, suggesting the company was starting to juggle obligations. "The most telling data point comes in May 2025, when 4.83% were 31-60 days late and 21.00% of Del Monte's bills were 61-90 days late. The steady migration of outstanding bills into older aging brackets over this 10-month period suggests worsening liquidity and limited ability to manage working capital, classic signs of distress that mirror pre-bankruptcy patterns," Bhalla shared. Del Monte Foods, the 139-year-old canned food giant, filed for Chapter 11 bankruptcy in July 2025, citing mounting macroeconomic pressures, shifting consumer preferences and unsustainable debt as key drivers, according to Creditsafe. "The company has struggled to adapt as shoppers moved away from preservative-heavy canned goods toward fresher, private-label options, leading to surplus inventory and costly warehousing," Bhalla added. Tariffs on steel and aluminum further squeezed margins, while interest payments tied to its debt-laden acquisition by DMPL outpaced earnings. Related: Walmart makes shocking claim, shares scary warning "Despite recent closures of processing plants and warehouses in a bid to cut costs, Del Monte was left with liabilities estimated between $1 billion and $10 billion and as many as 25,000 creditors. The company secured $912.5 million in financing to maintain operations during the sale process," Creditsafe shared. The company plans to sell a majority of its assets as part of an agreement with its major lenders. It has secured $165 million in financing to fund ongoing operations until a sale takes place. The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
Straits Times
09-07-2025
- Business
- Straits Times
Del Monte Pacific says business in Singapore not affected by US unit's bankruptcy filing
Sign up now: Get ST's newsletters delivered to your inbox Del Monte Asia, which is not affiliated with the Del Monte Pacific group, holds the trademarks for the Asia-Pacific region, including Singapore. SINGAPORE - The sale of Del Monte-branded products here will remain unaffected despite a bankruptcy filing by its US unit, according to its Singapore-listed parent company Del Monte Pacific. Saddled with US$1.2 billion (S$1.5 billion) in secured debt, Del Monte Foods filed for Chapter 11 bankruptcy protection on July 1 to support a planned sale of the business and restructuring of its finances. The company has secured US$912.5 million (S$1.17 billion) in emergency funding to maintain operations during the process. Certain companies of the Del Monte Pacific group have the exclusive rights to use the Del Monte trademark in the United States, South America, the Philippines, Indian subcontinent and Myanmar. Subsidiary Del Monte Foods sells processed food products such as canned fruits, vegetables and juices mainly in the US. But Del Monte also licenses its Del Monte trademarks to unaffiliated companies, as is the case with Singapore. Del Monte Asia, wholly-owned by Japan's Kikkoman Group, distributes processed food products under the Del Monte brand in the Asia-Pacific region - including Singapore but excluding the Philippines. Del Monte Asia distributes a wide range of Del Monte-branded products in Singapore - canned foods like sardines, sweet corn, tomatoes and pineapple, as well as dried fruits, juices and ketchups. It also runs its own factories in Asia. As a result, disruptions to sales here are unlikely. Top stories Swipe. Select. Stay informed. Singapore Singapore to hire 1,000 new educators annually in the next few years, up from 700 Singapore COE prices rise for all categories Business Temasek reports $45 billion rise in net portfolio value to $434 billion Business Singapore finance employers pledge 300 places for trainees and interns from polytechnics Singapore $43k fine for undischarged bankrupt doctor who failed to disclose assets worth over $4m Singapore Female primary school teacher allegedly committed sex acts with underage male student Singapore Goodbye fraudsters? Dating app Coffee Meets Bagel rolls out identity verification Singapore Pritam's appeal against conviction, sentence over lying to Parliament set for Nov 4 Singapore shareholders of Del Monte Pacific though will be affected by Del Monte Food's bankruptcy filing as its restructuring will result in a deconsolidation of the subsidiary from its parent. Del Monte Pacific also disclosed in an exchange filing on July 7 that it expects to book a capital deficit on its balance sheet from write-offs in relation to Del Monte Foods. Its equity investment in Del Monte Foods and certain receivables due from the US subsidiary are also expected to be subject to impairment. As at Jan 31, Del Monte Pacific's net investment value in Del Monte Foods was US$579 million. It also has US$169 million in net receivables from Del Monte Foods and its subsidiaries. In 2024, the US company accounted for 70 per cent of Del Monte Pacific's 2024 sales. Del Monte Foods' net loss position also caused the group to slip into the red. On July 7, Del Monte Philippines, another subsidiary of Del Monte Pacific, said operating profit for the year ended May 31 surged 40 per cent year on year to 8.6 billion pesos (S$194.8 million) . Total sales grew 14 per cent to 44.2 billion pesos. Del Monte Pacific will issue its year-end results by July 31, and address how Del Monte Foods' Chapter 11 filing in the US will impact the group's financials, the company said. Any impact will be reflected in Del Monte Pacific's first-quarter results for the 2026 financial year. Shares of Del Monte Pacific, which had fallen by 11 per cent to 5.6 cents at the close of last week, have since rebounded. On July 9, they closed up 4.5 per cent at 7 cents, making for a 25 per cent gain since last Friday (July 4).
Yahoo
06-07-2025
- General
- Yahoo
The $1 Canned Vegetable This Famous Chef Always Has in Her Pantry (Yes, Even in Summer)
My grandpa, who had a wee farm in North Carolina, was a prolific summertime canner. He sort of had to be; my grandma had three sets of twins (basically Irish sextuplets!) and two more kids prior to that. This meant their fridge and cupboards were always a veritable library of gem-toned jars of tomatoes, pickled okra, and plump lima beans. While my grandpa's green thumb did not necessarily make it into my genetic makeup (hey, my basil plant is still mostly alive), keeping a stockpile of canned and jarred vegetables is absolutely in my nature. Not only convenient, canned vegetables are infinitely adaptable and often just as tasty as their fresh counterparts. As I've found, plenty of professional chefs swear by these canned goods to perk up salads, pasta dishes, summery BBQ sides, and more. Here are five of their favorites. Chef Lisa Steele always keeps a couple cans of Del Monte beets (as well as its pickled jars) on hand, dicing them up for a bit of earthiness in greens-based salads, including one with goat cheese and pine nuts. Be sure to grab two cans, so you can make Steele's other favorite: an alternative caprese combo with sliced beets, fresh mozzarella, and dill or tarragon. Buy: Del Monte Sliced Beets, $1.04 (on sale!) for 14.5 ounces at Walmart Corn season feels like a blink, doesn't it? But there's no need to feel too much corn-related FOMO if you have a can of Del Monte corn on hand, according to chef Robert Irvine. 'If corn isn't in season where you live, then the 'fresh' corn in the produce section isn't really fresh at all,' he says. '[It] traveled hundreds or thousands of miles to get to you.' Irvine opts for Del Monte canned corn in summery salsas and salads. '[Corn] that was canned the moment the ear was ripe is going to have more flavor and that satisfying burst when you bite into it.'Douglas Keane, chef and partner of restaurant Cyrus, also keeps Del Monte's Mexican Street Corn around for filling quesadillas, especially when it feels like summer corn season is far from view. 'I also like to make creamed corn with it,' says Keane, who punches up canned corn with chopped cilantro, butter, and a drizzle of sriracha. Just be sure to grab no-salt added cans so you can adjust the salt levels to your liking. Buy: Del Monte No-Salt Added Canned Corn, $1.59 for 15.25 ounces at Target I could probably make a modestly sized igloo out of my jarred artichoke collection alone (I like to use them in a pancetta-artichoke pasta dish). And it would seem that I am in good company, with many chefs grabbing a few cans of Cento artichokes at the grocery store. 'These bring incredible texture and flavor, especially in antipasti or tossed with house-made cavatelli and lemon butter,' says chef Davide D'Andrea of Rosebud Restaurants. 'I also love blending them into a spread for grilled bread. It's the kind of ingredient that feels luxurious, but is so easy to work with.' Joshua Cox, executive chef of The Foundry Rooftop, is also a fan of how a quick crisp in the oven transforms the Cento artichoke hearts into an earthy, balanced addition to flatbreads and frittatas. '[The artichokes] balance creamy ingredients like goat cheese or hollandaise. Plus, they feel a little fancy without being fussy,' he adds. Buy: Cento Quartered Artichoke Hearts, $3.75 for 14 ounces at Cento While fresh is king to Chef Robert Irvine, he still swears by keeping plenty of cans of Cento tomatoes in the pantry. 'Unless you're a vegetable gardener who does an annual harvest project of jarring your own tomatoes,' he says, 'then canned crushed tomatoes and tomato paste are going to be the base ingredients any time you make tomato sauce.' Buy: Cento Canned Crushed Tomatoes, $2.97 for 28 ounces at Walmart 'They're a workhorse,' chef Amando Auleley, culinary director for The Smith, says of Eden Foods' canned garbanzo beans. He's certainly right about just how much you can do with these versatile legumes. 'Roast them until crispy and toss into a warm grain bowl, mash them into a garlicky hummus, or simmer them with harissa and tomatoes for a saucy, spoon-it-over-anything situation,' he adds. 'Chickpeas are like the quiet friend who always shows up and delivers.' Can you really ask for more? I think not. Buy: Eden Foods Organic Canned Chickpeas, $3.69 for 15 ounces at InstacartWhat canned vegetables are you stocking up on this summer? Tell us about it in the comments below. Sign up for The Weekly Checkout to get the most up-to-date grocery news, tips, and highlights. Subscribe to The Kitchn! We Used Our New 'Room Plan' Tool to Give This Living Room 3 Distinct Styles — See How, Then Try It Yourself The Design Changemakers to Know in 2025 Create Your Own 3D Room Plan with Our New Tool
Toronto Sun
05-07-2025
- Business
- Toronto Sun
CHARLEBOIS: Canned and bankrupt: Why Del Monte lost the shelf war
Del Monte didn't fail because people stopped eating canned food — it failed because it stopped evolving while the market moved on. FILE - In this June 22, 2006 file photo, Del Monte canned vegetables are seen for sale in Berkeley, Calif. Photo by Ben Margot / AP Del Monte's bankruptcy this week stunned many who grew up with its canned fruit cocktail, peas, and corn lining their family pantry. After 139 years, the company has filed for Chapter 11 protection in the United States. But this isn't a canary-in-the-coalmine moment for the entire sector — it's more a case study in how legacy brands can fall out of sync with modern market dynamics. This advertisement has not loaded yet, but your article continues below. THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLY Subscribe now to read the latest news in your city and across Canada. Unlimited online access to articles from across Canada with one account. Get exclusive access to the Toronto Sun ePaper, an electronic replica of the print edition that you can share, download and comment on. Enjoy insights and behind-the-scenes analysis from our award-winning journalists. Support local journalists and the next generation of journalists. Daily puzzles including the New York Times Crossword. SUBSCRIBE TO UNLOCK MORE ARTICLES Subscribe now to read the latest news in your city and across Canada. Unlimited online access to articles from across Canada with one account. Get exclusive access to the Toronto Sun ePaper, an electronic replica of the print edition that you can share, download and comment on. Enjoy insights and behind-the-scenes analysis from our award-winning journalists. Support local journalists and the next generation of journalists. Daily puzzles including the New York Times Crossword. REGISTER / SIGN IN TO UNLOCK MORE ARTICLES Create an account or sign in to continue with your reading experience. Access articles from across Canada with one account. Share your thoughts and join the conversation in the comments. Enjoy additional articles per month. Get email updates from your favourite authors. THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK. Create an account or sign in to continue with your reading experience. Access articles from across Canada with one account Share your thoughts and join the conversation in the comments Enjoy additional articles per month Get email updates from your favourite authors Don't have an account? Create Account In Canada, the Del Monte brand hasn't truly been 'Del Monte' for some time. In 2018, French multinational Bonduelle acquired the rights to use the Del Monte label for canned fruits and vegetables in Canada, merging it with its existing Arctic Gardens portfolio. While the branding remained familiar, the operational footprint and supply chains became distinctly European. Most Canadians never noticed. The irony is that, despite the growing cultural emphasis on fresh and frozen foods, canned goods are enjoying a quiet resurgence. In Canada, sales in the 'meals and soups' canned category have grown by more than 40% since 2018. In an era of persistent food inflation and rising food insecurity, shelf-stable, affordable, and convenient products like canned foods continue to offer real value. But for Del Monte, perception lagged behind this reality. Your noon-hour look at what's happening in Toronto and beyond. By signing up you consent to receive the above newsletter from Postmedia Network Inc. Please try again This advertisement has not loaded yet, but your article continues below. Over the past half-century, Canadian consumers have shifted decisively toward frozen and fresh alternatives. The quality gap has narrowed substantially as advances in flash-freezing have preserved nutrient content in ways canned products cannot match. Retail prices for frozen goods have also stabilized, giving consumers more choices and undermining the traditional value proposition of canned staples. Del Monte's problems, however, run much deeper than evolving consumer preferences. The company is facing over a billion dollars in debt and has failed to adapt its product lines and branding to meet modern tastes. It was also blindsided by geopolitical shocks. Steel and aluminum tariffs imposed during the Trump administration inflated packaging costs, which eroded already-thin margins. Few companies in this space were as exposed to those pressures as Del Monte. This advertisement has not loaded yet, but your article continues below. Still, the brand isn't going away. It will likely re-emerge under new ownership, streamlined and repositioned. But to thrive, it will need to diversify its SKUs, expand its footprint across more grocery categories, and find ways to compete in a center-of-store battlefield now dominated by agile private labels offering lower prices and faster innovation cycles. This restructuring opens the door for smaller Canadian brands to grow — especially those producing fresh or locally-sourced options. For years, these companies have struggled to scale under the shadow of legacy incumbents like Del Monte. A realignment in the canned food aisle could finally give them the shelf space and leverage they need with major retailers. This advertisement has not loaded yet, but your article continues below. Read More One overlooked player in this shakeup is the food bank sector. Traditionally reliant on canned donations, food banks are also evolving. As societal understanding of nutrition deepens, they are shifting toward more diverse, fresh, and culturally relevant offerings. Canned goods still have a role, but no longer the central one they once held. In the end, Del Monte's bankruptcy is not a symptom of an industry in crisis. It's a cautionary tale about brand inertia, trade exposure, and the failure to modernize in a volatile, value-driven food economy. — Dr. Sylvain Charlebois is the Director of the Agri-Food Analytics Lab at Dalhousie University and co-host of The Food Professor Podcast RECOMMENDED VIDEO Crime Canada Ontario Canada Other Sports
