Del Monte, the canned food aisle staple, files for bankruptcy
(www.fox29.com)
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Chapter 11 is reorganization. They are probably restructuring some of their debt and selling off bad assets. Chapter 7 would be when they shut their doors for good.
Foreign owned and owes 25,000 creditors. Could these be American Farms screwed out of their honest productivity?
You might have something there. Times have changed. We used to have canned foods daily, Beans, corn, peas, peaches, etc. Now there is always fresh produce in the supermarket and my can opener is rarely used.
Yes, fresh 90%. of the time, frozen the remainder...praying they recover and reorganize 🙏
I think it's more likely related to the rash of poorly managed PE lending. I'd have to find more information on how Del Monte was operating. But, as an example, the PE that bought red lobster separated the property from the restaurants and then made the restaurant LLC pay the landowning LLC current market rates for rent when that was a long term strategy for the chain to keep food costs low. This skyrocketed pricing and they started a death spiral. They are still barely hanging on, but they will probably file for chapter 11 and sell off everything on the restaurant LLC in the next five years or so and the PE will get to sell of extremely valuable properties, so they win big while the average worker gets the shaft.
It's the service industry version of what investment firms did in the 90s to factories - buy them up and cut them apart to the highest bidders for profit.
Yes, and majorly influenced/owned by the suppliers, which is why they forced them to do the endless stuff.
Could it be because illegals did a lot of their fruit-picking work?
With maybe a little Biden-nomics in the mix?
Farms are trending towards automation in many areas. The auction market has softened for used equipment
Subsidies drying up? Business model can’t work without them? Or is it the typical story of modern MBA’s driving a company into the ground with short term gains and long term destruction that was done to make them look healthier to investors?
They are more than double priced over store brands without any real difference. I have a feeling they lost massive market share
You don't find a difference between del Monte and generic brands? Granted, I haven't eaten canned veggies in quite some years now, but I only buy green giant or del Monte - definite difference imo in quality between them and generic brands, especially in green beans
You find more stems in the generic brands, but I don't find it worth the increase in cost. Del Monte definitely has better quality control, but it's price point is a lot higher. $1.25 a can for Del Monte vs. $.50 for generic when they are on sale
I buy a fair amount of their asparagus (can't remember which - Del Monte or Green Giant). Whichever one it is, it says on the nutrition label if the juice is drained the carb level is lower. In fact it is so low the fiber is more than the carbs, so for keto/atkins purposes the carbs are sub-zero - like -1 or -2. I drain them and add real butter. They are my go-to vegetable if I don't have time to grill raw veggies. The Wal-Mart brand has 3 or 4 more carbs. Green Beans are good too, but I can't eat the WM stuff because of the stems they leave on - way more than other brands.
Generics tend to use cheaper ingredients in many cases (not all) so I always check the labels. Saving money is great, but you have to be careful.
Yeah, I do need to pick out stems from the Walmart brand, but my food budget isn't that great so I'm left with less choices. I try to watch for GMO foods and avoid them as well.
I know the feeling fren. I'm currently unemployed thanks to layoffs in the tech industry. I'm in the green-bean phase right now. Fortunately I had a good "bench stock" of canned goods I can pull from. I just have to remember to restock when things get better.
I'm a little anal with my "prepping" for food shortages so I had a spreadsheet that kept track of supplies with protein, calories, and servings so I can just do an inventory and restock based on what isn't there anymore. I won't touch anything other than canned goods because they have to rotate anyway. MRE-type stuff lasts 25 yrs. Eventually I'll get a freeze-drier and make my own since the commercial stuff is pretty expensive.
Oh man, great minds think alike. I have a spreadsheet so I can scale for number of people. I've also included water and salt. Water from a rain collection system (such as a roof) and storm totals to calculate potential gallons collected. I have weather data for areas that I could likely be in. I've factored in monthly averages as well as annual.
I've had spare food, including canned food, stashed for a few decades now, and rotate it. I'm hoping when the Patriots win, this will no longer be as necessary.
I always end up throwing out half a can, so I just spend the money on one can lol
I put a cheap fold top sandwich bag over the can and put it in the fridge. Dollar tree has 100 bags for $1.25.
It's actually not supposed to be good to do that. Something about the metal cans leaching.
Edit: googled it - I'm wrong
I do remember something about the liner in the cans at one time, but I think enough people caused a stink and that changed. Who knows when it comes to a product from China though. I don't buy foreign food
Amen! Like I said, it's been many years since I really ate canned veggies. Fresh veggies weren't as available or affordable as now. Canned veggies were a staple when I was a kid.
Agreed Shali!
Every other can company lost out when Goya went Maga!
I do make a point to buy Goya when available.
Not sure if you have noticed, but some of the groceries have Goya sections
Dollar tree
Yeah, I dont think anything to see here. They have been killed on the margins by their usual customers switching to private label bc cheaper. All the national brands are having this problem. Smart decision to save the ~140 yr old brand and bring in new ownership.
How can this company go bankrupt?
Low profit-margins, higher labor costs (without illegals), higher interest rates, inflation the last 3-4 years under Biden, and plain-old competition probably. They'll likely just do the Ch. 11 reorg, sell some stuff off, lay off some people, negotiate and restructure debt, and operate as a leaner company for a while - and at some point in the future do a few acquisitions to replace what they sold off (if the Ch. 11 succeeds). There were over 6500 Ch. 11s filed in 2023 alone. They are fairly common.