DANNON PLEDGES TO IMPROVE NUTRITION PROFILE OF YOGURT

Published March 14, 2014 in Food Product Design

Posted in News, Nutrition, Diet, Obesity, Weight Management, Vitamins / Minerals, Vitamin D, Calcium,Healthy, Healthy Foods, Children, Dairy, Yogurt, Frozen / Refrigerated Foods, Refrigerated Foods,Fats/Oils, Low Fat, Sweeteners, Sugar, Sucrose, Calorie, Calorie Reduction, Fat Reduction

WASHINGTON—The Dannon Company today announced a four-part commitment to further improve the nutrition profile of its yogurt products by 2016 through a combination of introducing new innovations and reformulating existing products.

The announcement was made in conjunction with the Partnership for a Healthier America (PHA) at the 2014 Building a Healthier Future Summit. PHA works with the private sector and PHA Honorary Chair First Lady Michelle Obama to help end the childhood obesity crisis.

Specifically, the company pledged to improve the nutrient density by 10% of the Dannon product portfolio overall by increasing nutrients that are encouraged in the diet, like vitamin D, and decreasing total sugar and fat; reduce the amount of total sugar in Dannon products to 23 grams or less (per 6-ounce serving) in 100% of products for children and 70% of the company's products overall; reduce the amount of fat in Dannon products so 75% of products will be low-fat or fat-free; and invest $3 million in nutrition education and research focused on healthy eating habits.

Dannon’s commitment goals are based on the latest nutrition science and authoritative guidance from the Institute of Medicine (IOM) and the 2010 Dietary Guidelines for Americans (DGA) that recommend Americans consume more nutrient dense foods, like yogurt.

“We applaud Mrs. Obama and Partnership for a Healthier America for their commitment to the health and future of our children and adults," said Dannon’s President and CEO Mariano Lozano. “As the largest maker of yogurt in the United States today, it’s a privilege and a responsibility to continually improve the cultured dairy foods we carefully prepare every day for the millions of families who enjoy our products. Dannon’s commitment to Partnership for a Healthier America represents another big step in our journey to help address the issue of obesity in America."

To achieve the 2016 goal, recipe developers and other experts at Dannon will build on their achievements from last year's reformulation of the company's children’s product, Danimals® smoothies, in which the company reduced sugar by 25% while maintaining great taste, texture and convenience. Dannon’s new introduction of a Greek yogurt, Danimals SuperStars, specifically designed for the preferences and nutritional needs of kids, already meets the strict criteria announced today.

Sources:

• Dannon: The Dannon Company Commits To Further Improve Nutrition Profile Of Its Yogurt With Partnership for a Healthier America

DANONE INVESTS €325M TO SPEED DEVELOPMENT OF DAIRY SECTOR IN CHINA

Published May 24, 2013 in Food Product Design

PARIS—Danone announced it will invest approximately €325 million in partnerships to strengthen and accelerated the development of fresh dairy products in China.

Danone signed a joint venture agreement with COFCO, the state-owned largest food company in China. COFCO will sell 148,014,022 shares in China Mengniu Dairy Company to the joint venture—COFCO and Danone will own 51% and 49% respectively in the newly formed company. Danone will become a strategic shareholder in Mengniu, owning an indirect interest of approximately 4% at the initial stage, with the goal to increase the interest in Mengniu based on market conditions in the future.

Danone and Mengniu also signed a framework agreement to establish a joint venture for the production and sales of chilled yogurt products in China, combining their respective assets in this category for a total 2012 pro forma net sales of about €500 million, with an estimate market share around 21% and 13 factories across China.

Danone will own 20% and Mengniu 80% of the new joint venture in China. The partnership will achieve synergies by introducing Danone’s expertise in quality and product innovation, while leveraging Mengniu’s leadership and distribution capability in China’s yogurt category.

Danone will invest approximately €325 million as a result of the two projects. The cooperation will help Mengniu to leverage Danone’s leading product innovation and management capability in the Fresh Dairy category. Danone’s BIO (Activia) brand will put the new fresh dairy business in a solid position to build its strong leadership in the active health sector.

“Joining the strengths of Danone, COFCO and Mengniu will create the winning combination to unlock the potential of the fresh dairy products category in China," said Franck Riboud, Danone Chairman and CEO. “Backed by COFCO’s extensive expertise in the Chinese food industry and by Mengniu’s nationwide leading platform in the dairy sector, our brands will benefit from significantly wider reach to the largest number of Chinese consumers."

Mengniu recently signed a international partnership with Arla Foods; however, this partnership is unaffected by the agreement. COFCO’s and Mengniu’s strategic partnership with Arla Foods is unaffected by the agreement.

“Arla welcomes Danone as Mengniu’s partner in the locally produced chilled yogurt category. Together with our ongoing initiatives in the Arla/Mengniu milk technology center in Beijing, we are confident that Danone’s engagement in Mengniu will increase consumers’ trust in locally produced dairy products - for the benefit of all players in the Chinese dairy market," said Finn S. Hansen, executive vice president of Arla Foods and member of Mengniu’s board of directors.

Earlier this month, Danone signed an agreement to acquire more than 90% equity interest in New York-based Happy Family, the fourth largest maker of baby food in the United States. The strategic alliance will raise the bar for children’s nutrition in the United States by combining both companies shared commitment to social responsibility and innovation.

Sources:

• Danone: COFCO, Mengniu and Danone Join Forces to Accelerate the Development of Fresh Dairy Products in China

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