Sticker shock key to antitrust approval for Sysco, US Foods deal

WASHINGTON, Jan 31 (Reuters) – The antitrust battle over whether food giant Sysco Corp will be allowed to buy rival US Foods Inc will likely focus on whether the merger will drive up costs for thousands of restaurants, hospitals and hotels that they supply on nationwide contracts.

The Federal Trade Commission will examine Sysco’s $3.5 billion deal to buy debt-ridden US Foods from private equity, which was announced in December and would combine the only two food suppliers with a nationwide reach.

While the review is in early stages, the mega-merger has already rattled customers who rely on the companies for everything from pre-scrambled eggs for school meals to truffle
mousse desserts for high-end restaurants.

Read more.

More From FoodService Director

Managing Your Business
Starbucks college campus

Noncommercial dining centers are often filled with their own Starbucks, Burger Kings, Panera Breads and dozens of other nationally recognized brands. Branded concepts, whether corporate brands or self-operated, offer diners familiar names, menu items, and a sense of place. This translates into more money spent and more diner loyalty for foodservice operators.

However, the success of branded concepts vary greatly. There can be significantly different results depending on whether noncommercial operators decide to franchise, lease or develop their own branded concepts. There’s no one-...

Menu Development
pizza oven

Wood-fired ovens take the biggest slice of the pie when it comes to pizza-cooking preference for consumers. Just fewer than half (45%) of consumers say they prefer a pizza cooked in a wood-fired oven compared to other oven cooking methods. Here are the styles of ovens pizza consumers prefer most.

Wood-fired oven 45% Gas oven 13% Electric oven 11% Grilled 4% Coal oven 4% No preference 23%

Source: Technomic 2018 Pizza Consumer Trend Report , powered by Ignite

Photo courtesy of Thinkstock

Industry News & Opinion
polystyrene takeout

New York City will immediately start phasing out foodservice operations’ use of polystyrene takeout containers after a judge ruled on Friday against an operator coalition that had sued to overturn such a regulation, Mayor Bill de Blasio said over the weekend.

Unless the measure is blocked again on appeal, the city will commence a public education campaign to smooth the way for the change to other sorts of containers. Operators will be given a six-month grace period to find alternatives before they’ll be subject to sanctions.

The measure was scheduled to take effect last...

Managing Your Business
uber driver

The freelance, independent-contractor labor market known as the gig economy is distinguished by working short-term contracts, or gigs, such as driving for Uber, Lyft or Instacart.

The majority of the U.S. workforce will be freelancers by 2027, according to a study called “Freelancing in America: 2017,” conducted by Edelman Intelligence. The annual study, commissioned in partnership by the Freelancers Union and Upwork Global, estimates that 36% of the U.S. workforce consists of freelancers who contribute approximately $1.4 trillion annually—an increase of almost 30% over the...

FSD Resources

Code for Asynchronous jQuery Munchkin Tracking Code