LIVESTOCK HIGHLIGHTS: Top Stories of the Day
NPC's Canceled Auctions Pave Way for Sale Of Wendy's, Pizza Hut
Chains to Flynn
NPC International Inc., the nation's largest franchisee of Pizza
Hut and Wendy's restaurants, canceled auctions for all of its
assets last night, paving the way for a potential sale of the
entire company to the Flynn Restaurant Group LLC.
Wendy's Co. has opposed the sale to Flynn, the largest
restaurant franchisee in the U.S., and instead has made its own
offer with a consortium of regional franchisees.
Franchised Companies Need To Attract Strong Operators -- Market
12:29 ET - The relationship between corporate offices and store
operators at companies using a franchised business model is facing
fresh strains, in part due to the pandemic, according to a new WSJ
report. Companies that rely on franchisees include publicly traded
ones such as Choice Hotels International, restaurant chains
including Burger King parent Restaurant Brands International and
privately held companies, like those ultimately owned by
private-equity firms including Roark Capital Group. "Within any
company's franchised operation, if the economic model isn't
effective for franchisees over time it will be harder to attract
quality operators," James Keyes, a former chief executive of the
7-Eleven store chain, tells WSJ in an interview.
STORIES OF INTEREST
Chipotle Testing Smoked Brisket At 64 Restaurants --
Chipotle Mexican Grill Inc. (CMG) said Monday that it is testing
smoked brisket at 64 restaurants in Cincinnati and part of
Sacramento, Calif., for a limited time. The item is going through
the "stage-gate" process that brought items like queso blanco to
the menu. Carne asada was another successful menu addition that was
brought back this year
Chipotle stock has gained 55% for the year to date while the
S&P 500 index is up 12.6% for the period.
Metro Inc. Recalls Various Items in Ontario Due to Salmonella
Metro Inc. recalled several items from stores in Ontario due to
the possible presence of salmonella, according to the Canadian Food
Inspection Agency, which said no related illnesses were
Items on the recall list include Rainbow Trout Stuffed With
Vegetable & Cheese, Cod Vegetable Roast and Tropical Green
Juice, and several other items including meat, fish and spinach
salads. The CFIA said it is conducting a food safety investigation
that may lead to more recalls.
Livestock Futures Mixed as Dryness Looks to Hurt Pastures --
15:27 ET - Dryness in the US Plains is starting to become a
factor that may start to bite into the herd sizes of US livestock,
particularly cattle, says Karl Setzer of AgriVisor. "If conditions
do not improve in the near future, cattle producers may start to
rethink their herd sizes. This is especially the case if feed grain
values remain elevated," says Setzer. Livestock futures were mixed
to close trading Monday, with hogs closing up 2% to 68.575 cents
per pound, while live cattle futures finished down 0.3% to $1.12875
per pound. (email@example.com; @kirkmaltais)
Estimated U.S. Pork Packer Margin Index - Nov 30
Source: USDA, based on Wall Street Journal calculations.
All figures are on a per-head basis.
Date Standard Margin Estimated margin
Operating Index at vertically -
Nov 30 +$ 42.12 +$ 42.53
Nov 27 +$ 43.06 +$ 42.91
Nov 25 +$ 38.44 +$ 39.20
* Based on Iowa State University's latest estimated cost of production.
A positive number indicates a processing margin above the cost of
production of the animals.
This report compares the USDA's latest beef carcass composite
values as a percentage of their respective year-ago prices.
For Today Choice 105.0
(Percent of Year-Ago) Select 105.7
USDA Boxed Beef, Pork Reports
Wholesale choice-grade beef prices Monday rose 83 cents per
hundred pounds, to $243.68, according to the USDA. Select-grade
prices rose $1.75 per hundred pounds, to $222.43. The total load
count was 84. Wholesale pork prices fell 18 cents, to $78.85 a
hundred pounds, based on Omaha, Neb., price quotes.
(END) Dow Jones Newswires
November 30, 2020 17:28 ET (22:28 GMT)
Copyright (c) 2020 Dow Jones & Company, Inc.