Tag - Food

Do you own gold and silver?

Do you have investments in the stock market that give you the potential to profit from higher priced oil, natural gas and coal?

What about agriculture: do you have access to the inevitable sustained interest that people seem to have in eating food?

I hope you do. If you don't, it looks like you'll have an opportunity to buy some of these assets at sale prices during this broad-market down turn.

According to culinary lore, it was 1964 when Teressa Bellissimo, first lady of Buffalo’s Anchor Bar on Main Street, took delivery of what was supposed to be the chicken backs and necks for her signature spaghetti sauce. By mistake, she got the least useful part of the chicken: wings. Instead of tossing them, she split them in two, dropped them in the deep fryer, and gave them away at the bar with celery and blue-cheese dressing left over from her antipasto.

Had Teressa simply discarded those unwanted wings, there would never have been a Buffalo Wild Wings, Inc. (Nasdaq:BWLD), one of the top 10 fastest growing restaurant chains in the country. Founded in 1982 by two hungry guys near The Ohio State University campus, the company went public in 2003 with its successful combination of wings, beer and sports, and hasn’t stopped growing since. The Minneapolis-based restaurant owner and franchiser finished the second quarter of 2008 with 515 restaurants in 37 states, and impressive year-over-year growth in revenue and earnings from both its company-owned and franchised units. Unlike its competitors in the casual-dining business, Buffalo Wild Wings has somehow found a way to convince diners that in spite of $4-per-gallon gas, declining home values and the shrinking roll of cash in their pockets, they should come out for a cold beer, a bucket of Buffalo wings with Blazin’ hot sauce and a game of Sauce N’ Slide.  

One of the biggest reasons for the attraction is the product itself. Each restaurant features 20 different domestic and international beers on tap, 14 sauces for the signature wings and extensive media centers, including projection screens and as many as 40 TVs. The food is good and the environment is fun and energetic. Diners not interested in what’s on TV can enjoy the piped in music while they play trivia or video games.

For those with children or an aversion to fried foods, menus have been expanded to include salads and sandwiches, and TV monitors are as likely to be showing . . .

Sonic Corp. (Nasdaq:SONC) CEO Cliff Hudson said the struggling restaurant operator is not providing a more conservative outlook to investors because the company is changing management, has a higher energy focus at the market level and a renewed focus on customer service and store-level performance. Hudson made the comments during a morning conference call with analysts and investors.

“With the personnel issues we’re talking about — the change — and the level of focus at the unit level, we should start seeing an impact at a relatively quick fashion in one degree or another,” Hudson said. “This is part of what gives us some optimism and there are signs already of a positive impact. We’ll continue to measure that and report on it over time but the fact is that we’re already seeing some positive impact.”

Sonic said late Tuesday that it expects 2008 earnings of between $1.00 and $1.02 per share, which is lower than Wall Street’s expectation of earning $1.05 per share.

“We are currently working through our annual business plan process and anticipate providing our fiscal year 2009 outlook in early September,” CFO Steve Vaughan said.

The Oklahoma City-based company also said it anticipates same-store sales, or sales at stores at least a year, to grow in a range of 2% to 4%.

After Tuesday’s close, Sonic posted third-quarter net income of $17.2 million, or $0.28 per share, down 17% from $20.6 million, or $0.31 per share, a year ago. The . . .

Zhongpin Inc. (Nasdaq: HOGS)
Changge City, People’s Republic of China
http://www.zpfood.com/
 
52-week low / high: $6.75 / $15.10
Shares Outstanding: 23.58 million
Market Capitalization: $315 million

If recent market jitters have had you sweating like a pig, than you may as well in invest in one . . . or 721 metric tons of some. Zhongpin Inc. (Nasdaq: HOGS), a meat and food-processor in the People’s Republic of China, has the potential to give investors a solid chance to reap what they sow. 

China has the highest pork consumption rate in the world. And with the U.S. Department of Agriculture estimating the hog market in China to be worth $32 billion annually, Zhongpin is cashing in on the chow. While the company operates in two business segments — pork and pork products, and vegetables and fruits — pork is its paramount pursuit.

The pork and pork products segment mainly processes live market hogs into fresh, frozen and processed pork products. The segment consists of over 200 meat products, including chilled pork, frozen pork, pig by-products and prepared meats that are sold on a wholesale basis and retail basis. Zhongpin markets the pork products in China to its branded stores, food retailers, foodservice distributors, restaurant operators and noncommercial foodservice establishments, including schools, hotel chains, health-care facilities and the military.

The company has eight processing plants in China and a total of 13 production lines with a combined processing capacity of about 721 metric tons per eight-hour working day, or about 259,560 metric tons on an annual basis, translating to a whole lot of hog.

In the third quarter of 2007, reported on Nov. 13, 2007, Zhongpin's revenues more than doubled year-over-year to a record $71.3 million, while gross profit increased 87.6% to $9.7 million and net income leapt 122%, reaching a record $5.9 million, or $0.25 per fully diluted share.

The small cap attributed the strong revenue growth to its market expansion and an increase in the price of pork products in China.

Going forward, Zhongpin is planning for an even bigger slice of the pie with acquisitions and the establishment of new facilities in China aiding its pork production capacity.

Brean Murray analyst Alex Xu initiated coverage on the stock in early January, with a “buy” rating and an $18 price target, which he reiterated later that month.

The firm said Zhongpin appears to be positioned to benefit from the "growing Chinese middle-class population that demands high-quality meat products," and its clean balance sheet will help it gain "significant market share through organic expansion and acquisitions in the highly fragmented meat market." The firm expects Zhongpin to grow earnings at about 25% until 2010.

Hungry investors should keep an eye on this stock, as it has the probability of pacifying many piggybanks.

Note: Zhongpin Inc. (Nasdaq: HOGS) is on the “Watch List” of Growth Report, a subscription investment newsletter from Business Financial Publishing, which also publishes SmallCapInvestor.com. As a Watch List company, Zhongpin displays many characteristics found in successful stock winners, and is being closely monitored for possible inclusion in the Growth Report portfolio at a later date.

John B. Sanfilippo & Son, Inc. (Nasdaq: JBSS) CEO Jeffrey Sanfilippo said the processor of tree nuts and peanuts’ business initiatives are paying off. In the second quarter, which ended Dec. 27, the company closed two Chicago-based facilities and cut its workforce. The chief executive made the comments during a morning conference call.

“The second quarter results are significant,” Sanfilippo said. “The company has made difficult but necessary changes to our business model and we will continue to execute our strategies to improve our financial performance and provide improved products and services to our valued customers.”

In an effort to improve profit margins, the Elk Grove Village, Ill.-based business also eliminated about 1,200 items from its product offerings.

“Items were evaluated based on sales volume, order frequency and profitability,” Sanfilippo said.

CFO Mike Valentine said the nuts processor ended its store-door distribution program, due to profitability problems.

AgFeed Industries, Inc. (Nasdaq: FEED)
Nanchang City, Jiangxi Province, PRC
http://www.agfeedinc.com/

52-week low / high: $4.10 / $16.36
Shares Outstanding: 27 million
Market Capitalization: $259 million

With China's animal feed market worth about $40 billion and growing, AgFeed Industries, Inc. (Nasdaq: FEED) is literally living high off the hog.

AgFeed manufactures, distributes, markets and sells two main product lines: additive premix fodder for use in all stages of a pig's life, and blended feeds designed specifically for infant pigs. The company operates through three Chinese subsidiaries: Nanchang Best Animal Husbandry Co., Ltd., Shanghai Best Animal Husbandry Co., Ltd. and Guangxi Huijie Sci. & Tech. Feed Co., Ltd.

According to the University of Southern California’s U.S.-China Institute, the Chinese consumed about 621,951,219 pigs in 2006. In contrast, Americans in 2006 ate 104,878,048 pigs. The United States Department of Agriculture stated in a 2007 report that the Chinese consumed 51 million metric tons of pork in 2006, roughly half of the world’s total pig consumption.
 
All good news for AgFeed, which has a nationwide product distribution network across key agricultural regions in China. The company successfully targets customers through direct distribution, wholesaler distribution and franchise store owners who exclusively market its products to end user customers.

The proof is in the pig feed: for the three months ended Sept. 30, 2007, AgFeed's revenues increased 488% to approximately $11.9 million and gross profit increased to about $3.24 million or 323% as compared to the same period in 2006. Net income increased to about $2.08 million or 185% compared to the same period in 2006, resulting in $0.08 per fully diluted share.

During the nine month period ended Sept. 30, 2007, AgFeed's revenues increased 283% to about $23.8 million and gross profit increased to about $6.8 million or 189% compared to the same period in 2006. The company's net income increased to approximately $4.3 million, up about 246% compared to the same period in 2006, resulting in $0.17 per fully diluted share.

Due to rising popularity in the Chinese diet, higher disposable incomes, strong profitability in the pork sector and increased investment in swine and pork operations, AgFeed says that industry experts predict the pork and related feed market to experience double-digit growth through 2015.

In addition to their premix animal feed, the company is also exploring future opportunities in the commercial hog-raising business.

“This new business could become a natural vertical integration strategy and complement our current business as China raises over 500 million hogs annually and prices are at historical highs largely due to rising consumer income,” said Songyan Li, PhD, chairman of AgFeed, in a press release. “Management intends to enter this new business model through mergers and acquisitions as well as building new hog farms. We believe the commercial hog farm business could contribute significant revenues to our financial performance in 2008 and beyond.”

Tack that onto the fact that AgFeed benefits from an income tax-free environment, and investors may have a strong chance of bringing home the bacon.

Note: AgFeed Industries (OTCBB: FEED) is on the “Watch List” of Rising Star Stocks, a subscription investment newsletter from Business Financial Publishing, which also publishes SmallCapInvestor.com. As a Watch List company, AgFeed displays many characteristics found in successful stock winners, and is being closely monitored for possible inclusion in the Rising Star Stocks portfolio at a later date.

Global brand management company NexCen Brands, Inc. (Nasdaq: NEXC) said after Tuesday’s close that it has acquired the Great American Cookie Company from Mrs. Fields Famous Brands for $93.7 million and upwardly revised its earnings guidance due to the acquisition.

NexCen said it expects this transaction to be accretive beginning in 2008 and that forward 12-month revenues and operating income are expected to be $27 million and $14 million, respectively. Revenues and operating income for the Great American Cookie Company were approximately $26 million and $13 million, respectively for the 12 months ended Dec. 31, 2007. 

“Factoring in financing and deal costs, this transaction should add approximately $0.10 to EPS on an annualized basis,” Lazard Capital Markets analyst Todd Slater wrote in a research note today. Slater projects that Great American Cookie will add approximately $25 million to revenue and roughly $13 million to earnings before interest and taxes in 2008.

On account of the acquisition, the New York-based company said it now expects 2008 EPS to range from $0.27 to $0.30. Previously, the firm was expecting full-year EPS of $0.19 to $0.21 per share, assuming no additional acquisitions. The consensus of three analysts polled by Thomson Financial is for earnings of $0.21 per share for the full year.

“We believe the consensus 2008 EPS estimate is too low and will continue to rise
(approaching our Street-high estimate of $0.43) as NexCen continues to add properties to its portfolio over the course of the year,” wrote Slater. The analyst has a “buy” rating on the stock with a target price of $18 per share. 

Shares of SunOpta Inc. (Nasdaq: STKL) are in the doldrums on news after the close on Thursday that the natural, organic and specialty foods company has lowered its 2007 earnings guidance.

Canada-based SunOpta, which has three business segments focused on healthy products, announced that it expects 2007 net income in the range between $0.12 per share and $0.14 per share, well below its previous projections of earnings between $0.35 per share and $0.40 per share.

Five analysts polled by Thomson Financial were calling for a profit of $0.34 per share.

The company explained that it was forced to make write downs and provisions in the range of between $12 million and $14 million pre-tax due to “issues” within its fruit and bioprocess groups.

The updated earnings guidance includes a $3 million pre-tax provision related to difficulties in collecting for services and equipment provided by the bioprocess group.

SunOpta’s fruit group is a manufacturer, importer and exporter of natural and certified organic fruit and vegetable products, while the bioprocess group designs and builds biomass conversion equipment and facilities.

Beef may be king in the United States, but in the People's Republic of China pork, stands at the top of the food chain. The Chinese eat more pork than any other type of meat (70% of meat consumption, by some accounts) and more pork, in fact, than any other country.

Rising demand and mounting production costs in 2007 helped fuel already-soaring pork prices, which pushed up the inflation rate to an 11-year high, left the domestic pork industry reeling and prompted the Ministry of Commerce to adopt a series of measures, including providing subsidies to pig breeders, in an effort to keep prices in check.

The pork crisis and China's problems with food safety issues have not put a damper on the growth and profits of one Chinese company in the pork business: Zhongpin, Inc. (Nasdaq: HOGS). Zhongpin is a meat and food processor whose product line consists of more than 200 meat products (largely pork, pig by-products and prepared meats) that are sold through wholesale and retail stores and supermarkets under the Zhongpin brand name. The company also processes fresh fruits and vegetables.

The pork and pork products business segment markets Zhongpin products in China to its branded stores, food retailers and distributors, restaurants, other food processors and noncommercial establishments, such as schools, hotels, hospitals and the Chinese military. Zhongpin’s fruit and vegetables segment has contracts with over 120 Chinese farms to grow more than 20 types of produce, including strawberries, sweet corn, broccoli, mushrooms, asparagus and lima beans. In addition to supplying the domestic market, it also exports to Europe, Japan, South Korea, Hong Kong and Russia.

In the third-quarter of 2007, reported in November, Zhongpin's revenues more than doubled year-over-year to a record $71.3 million, while gross profit increased 87.6% to $9.7 million and net income reached a record $5.9 million, a 122% leap. The company added 39 new retail outlets (they now operate over 2,900). And, it opened two new processing plants, bringing the total number to eight.

Some things are in the kitchen with Dinah, and they’re scary. A mycotoxin here, bacteria there, listeria, salmonella, and is that E. Coli playing around with the frying pan? Not to worry. Neogen Corporation (Nasdaq: NEOG) has test kits to smoke out everything from sulfites in shrimp to allergens in almonds.

Nothing stirs Neogen’s sales like contamination concerns and a few food recalls. Fiscal 2008 second-quarter revenue, released earlier this month, rose 23% to $27.2 million from the same period in fiscal 2007, with the food safety division up 24% to $14.5 million and animal safety up 21% to $12.7 million.

Sales of AccuPoint and related accessories, used to test food preparation surfaces, grew almost 20% in the second quarter through November. Sales of Soleris, an optical system used to detect microbial contamination, grew more than 40%. Soleris is used to uncover poor food quality and spoilage. And revenue from tests for microorganisms, such as E. Coli and friends, and demand to detect mycotoxins, which occur naturally in field crops such as corn, also grew.

Clean living makes for happier, healthier animals, too. Neogen’s animal safety division markets a line of diagnostics, veterinary instruments and drugs, nutritional supplements, disinfectants and rodenticides. Reducing stress on food animals such as cows by killing off pathogens and rodent barn mates, and improving the methods of administering vaccines and drugs, have a big impact on the safety and quality of meat and milk.

Sales of veterinary instruments and products rose 55% in the second quarter, while life sciences and vaccine sales dropped 10% on order timing issues and rodenticide sales were down 4% because of mild U.S. weather.

With a revenue boost from nearly each sales category, earnings for the 25-year-old Lansing, Mich.-based company rose 34% to $0.22 per share in the second quarter from a year-ago. Net income in the second quarter was a record — the 59th consecutive profitable quarter from operations for Neogen.

Rocky Mountain Chocolate Factory, Inc. (Nasdaq: RMCF) shares are turning sour after the chocolate and candy store franchiser posted third-quarter earnings of $1.27 million, or $0.19 per share, from $1.33 million, or $0.20 per share, a year earlier.

Quarterly sales weren’t sweet either, with revenue falling to $8.77 million, from $9.09 million during the same period of 2006.

The Durango, Colo.-based company’s same-store sales at franchised retail outlets declined about 205% during the recent quarter, compared to the year-ago quarter.

Going forward, Rocky Mountain said it an 8% to 12% increase in fiscal 2008 earnings compared to fiscal 2007.

"The modest decline in third-quarter revenues and earnings was not entirely unexpected and was primarily due to the shifting of specialty market sales to a warehouse club customer from the third quarter of last fiscal year into the second quarter in the current fiscal year, along with a decrease in same-store pounds of product purchased from our factory relative to the prior-year period," CFO Bryan Merryman said in a statement.

In today’s trading, RMCF shares were down 13.74%, or $2.11, at $13.25. Over the last 52 weeks, shares have ranged from $12.59 to $18.04.
 

Key Technology, Inc. (Nasdaq: KTEC) cleans your plate before you get the chance. It dehusks nuts, picks nits out of green beans, combs through lettuce, pits peaches, slices and dices potatoes, and prepares poultry. The company does everything to make sure your chicken dinner is processed to perfection.

Founded 60 years ago as a maker of vegetable processing equipment, Key has morphed into a global supplier to the food industry. It melds electro-optical automated inspection and sorting systems with processing systems that include conveyors and preparation equipment to pinpoint and eject unacceptable matter in the food flow. Its systems improve product yield and quality over manual sorting and defect removal, saving on labor costs.

The biggest markets for Key are processors of potatoes (mostly French fries), vegetables, fruit and snack foods. The French fry is king, representing 90% of the more than eight billion pounds of frozen potato products processed annually in the United States. The expansion of American-style fast food chains in other countries is fast turning others into French fry fanatics and opening avenues for Key. The company also cleans and processes tobacco, and is successfully selling into the emerging pharmaceutical and nutraceutical industries. Indeed, Key believes there are many additional applications for its systems in both food and non-food markets.

Mastering the food chain has its rewards. Key closed fiscal 2007 on Sept. 30 with annual sales of $107.5 million, up 27% from the previous year. Earnings were $1.37 per diluted share, turning around a loss of $0.15 in fiscal 2006. Key topped the year with a first-rate fourth quarter, exceeding the expectations of the one analyst who covers the company. Earnings were $0.42 per share versus a loss of $0.11 in the year-ago quarter. Revenues were $31.7 million, up 31%.

Krispy Kreme Doughnuts (NYSE: KKD) shares are climbing higher after the doughnut maker announced that CEO Daryl Brewster resigned for personal reasons. The Winston-Salem, N.C.-based company’s board elected James Morgan, its chairman, to replace Brewster.

Brewster was named CEO in March 2006 but failed to turn the struggling former Wall Street darling around. Krispy Kreme sold its first glazed doughnut in 1937 but didn’t go public until over 60 years later in 2001. Sales have been negatively impacted by healthier eating trends, stiff competition from its larger rival Dunkin’ Donuts, bankruptcy filings by several of Krispy Kreme’s franchisees, financial restatements and misconduct accusations by former executives. In December, the company said it expects to close a significant number of stores in the foreseeable future.

Also Monday morning, the doughnut maker announced that all items on its U.S. menu now have zero grams of trans fat. Competitor Dunkin’ Donuts cut trans fat from its menu last August.

The firm’s stock, which once traded at more than $50, has been trading below $5 since mid September. In afternoon trading, KKD shares are up 10.24%, or $0.29, at $3.12. Over the last 52 weeks, shares have ranged from $2.50 to $13.93.

Neogen Corp. (Nasdaq: NEOG) COO Lon Bohannon said during a midday conference call that skyrocketing grain and petroleum prices are keeping him awake at night.

“We do have some challenges to keep life interesting and, I guess in some cases, to provide job security for some of us here at Neogen,” Bohannon said. “The increases definitely have an impact on our cost.”

The commodity price increases put pressure on Neogen’s customers, who rely on grain for food and animal production. Soaring petroleum prices increase Neogen’s costs for acquiring packaging, plastics and film, which are used to produce products. Neogen makes food safety testing products used to detect dangerous substances in human food and animal feed.

Soaring prices can have unintended positive aspects however, Bohannon said. He said the company has sold more toxin-detecting kits to ethanol producers during the first six months of fiscal 2008 than during the entire fiscal 2007.

“I believe we have also identified additional new prospects as more of these ethanol plants come online and we can further expand our sales to this industry in the quarters and years ahead with some new products and some new formats of existing products,” Bohannon said.

Bohannon said he believes Neogen will be able to raise prices on its products without a serious risk of losing business because of the firm’s quality and customer service offerings.

Cal-Maine Foods, Inc. (Nasdaq: CALM) shares are rising after the egg producer reported a 528% jump in second-quarter profits due to record egg prices during the three-month period.

“These results reflect the favorable market conditions, with egg prices reaching record levels during the quarter,” CEO Fred Adams, Jr. said in a statement. “All of our operations performed well during the period. The egg industry has received positive reports from both the medical and nutritional communities, and eggs continue to represent a good value compared with other food products.”

Cal-Maine earned $40.2 million, or $1.69 per share, up from $6.4 million, or $0.27 per share, during the same period of 2006.  The Jackson, Miss.-based company’s quarterly sales climbed 62.5% to $223.7 million, from $137.7 million a year earlier.

Adams said he expects feed costs to remain high with ethanol demand pushing up corn expenses and adding to price pressures.

On the year to date, Cal-Maine’s stock price has more than tripled. In morning trading, CALM shares are up 16.6%, or $4.30 at $30.15. Over the last 52 weeks, shares have ranged from $8.30 to $31.45.

Jamba, Inc. (Nasdaq: JMBA), a retailer of blended-to-order fruit smoothies, is teaming up with Nestlé USA, part of Nestlé, SA (VTX: NESN), for an exclusive worldwide licensing agreement to produce and distribute a line of healthy ready-to-drink beverages under Jamba’s brand name.

The products include smoothies, real fruit blended with low-fat milk, and juicies, a lighter blend of fruit with non-fat milk.

These products, which will also incorporate Jamba’s healthy vitamin and mineral boosts, are expected to roll out in the United States during the second quarter of 2008.

Shares of Jamba (JMBA) rocketed 30.68%, or $1.04, to $4.43 out of the gate. Shares of Jamba Juice have been trading in the range of $2.99 to $11.25 for the past 52 weeks.

J&J Snack Foods Corp. (Nasdaq: JJSF) shares are down after the snack maker recorded fourth-quarter earnings of $10.5 million, or $0.55 per share, missing analyst estimates of $0.59 per share and down 9% from $11.5 million, or $0.61 per share, a year earlier.

The Pennsauken, N.J.-based company’s quarterly revenue totaled $162.2 million, below Wall Street projections of $171.4 million and compared with $154.1 million a year earlier.

“Although our ICEE and Frozen Beverages group did contribute to both increased sales and earnings in the quarter, our other business’ segments were impacted by sharply increasing raw material and packaging costs,” CEO Gerald B. Shreiber said in a statement.

In morning trading, JJSF shares are down 9.36%, or $3.24, at $31.38. Over the last 52 weeks, shares have ranged from $31.33 to $43.51.

If there was ever a situation that fits the Chinese saying “crisis brings opportunity,” the current eruption of safety concerns for China’s food industry may be it. With the problem as widespread as it is, there is a huge demand for products that are safe, and investing in those companies that can meet the demand will likely bring nice returns.

For the past few months, it seems that not a day goes by without scary news concerning China’s food. One day it is Chinese catfish, bass, eel and shrimp containing high levels of cancer-causing toxins. Another day it is toothpaste made from diethylene glycol—the poisonous chemical found in antifreeze. Even Chinese-made pet-food could not escape the wrath, with some animal feed containing melanie—an industrial chemical used to make plastics and fertilizer. 

Considering that China feeds 1.3 billion people every day, the incidents are still uncommon in the grand scheme of things. However, the problem is still a major one. China’s Health Ministry reported around 34,000 food-related illnesses in 2005, with at least 235 deaths—half of which were caused by poisonous chemicals in the food. The rest were from bacterial contamination and other causes. Total average daily caloric supply has jumped from 2,000 kcal per person in the 1970s, to around 3,000 kcal today, with the inclusion of more meats in the diet. The result is a booming food processing industry whose annual revenues rose 17% to $248 billion in 2005.

The obvious trend is that as Chinese consumers become wealthier, they will demand not only more food, but also safer food. This for sure will drive the development of a food safety infrastructure with big money to be spent. The Chinese State Food and Drug Administration announced in early August that China will step up its enforcement and spend 8.8 billion yuan (US$1.16 billion) to improve food and drug supervision by 2010.  

Jones Soda Co. (Nasdaq: JSDA) will soon be offering drinks that taste like dirt and perspiration, the Seattle-based beverage company said on Thursday.

“Now, you can enjoy all the sweat and dirt an NFL player experiences, along with the ultimate taste of Sweet Victory,” CEO and president Peter van Stolk said in a statement introducing five new football-inspired flavors. The new drinks, part of a limited edition collector pack in honor of the Seahawks football team, includes the following drinks: Dirt Soda, Sports Cream Soda, Perspiration Soda, Natural Field Turf Soda and Sweet Victory Soda.

The sodas are available online and in a limited number of stores. Jones Soda is also offering a 12-pack in cans that feature pictures of Seahawks players and come in more common flavors such as lemon lime.

“This is certainly unique in the NFL,” said Seahawks CEO Tod Leiweke. “The flavors are distinct and pay tribute to the hard work and determination of our players.”

Jones Soda claims that the unusual selection of drink flavors will help fans experience what it is like to be a professional football player.

At 3:36 p.m. ET, Jones Soda (JSDA) shares were up $0.65, or 6%, to $12.09.

Susser Holdings Corp. (Nasdaq: SUSS) reported this morning that it is acquiring the parent company of Town & Country Food Stores in an all-cash transaction for approximately $361 million.

Susser said the acquisition expands and diversifies its geographic footprint into West
Texas and Eastern New Mexico, and increases its retail store count by 50%.

San Angelo, Texas-based Town & Country is a privately owned convenience store operator with 140 locations serving Central and West Texas and the Texas Panhandle, and 28 locations serving Eastern New Mexico. Town & Country had total reported sales of $842 million. The company owns approximately 80% of its stores, along with a land bank of 14 undeveloped locations for future development.

Shares of Susser (SUSS) were halted in pre-market trading.

NutraCea (OTC: NTRZ), a maker of stabilized rice bran, announced before the opening that it received a purchase order from Cosway Corp., a 27-year-old network marketing company based in southeast Asia.

“They will be introducing Stabilized Rice Bran Plus in October 2007 and intend to develop and launch more products based on NutraCea's proprietary stabilized rice bran and value-added derivatives for the Southeast Asian market," Margie Adelman, NutraCea’s senior vice president of strategic business development, said in a press release. “They are gearing up to educate their vast network of distributors, which spans throughout many Southeast Asian countries, on the health benefits of stabilized rice bran.”

Cosway says it has 700,000 independent business owners in Malaysia, Indonesia, Singapore, Thailand, Taiwan and Hong Kong. It plans to open soon in India, Japan, Korea and Australia.

The order’s financial details were not disclosed.

Phoenix-based NutraCea also said before the bell that it is launching Dr. Vetz FlexBoost, a stabilized rice bran product that helps alleviate the pain and inflammation associated with arthritis, and helps to support and maintain optimal joint health in pets.

The launch includes a nationwide media campaign of 60 and 120 second television ads and an opening order from PetCo. Animal Supplies, Inc.

In morning trading, NTRZ shares are up 2.11%, or $0.03, at $1.45. Over the last 52 weeks, shares have ranged from $1.15 to $5.04.

Lifeway Foods, Inc. (Nasdaq:LWAY), maker of a nutritious, probiotic dairy beverage called kefir, said Thursday that second quarter sales increased 53% and beat the sole analyst’s estimate surveyed by Thomson Financial.

For the three months ended June 30, 2007, total consolidated sales increased 53% to approximately $9.7 million, compared with $6.4 million for the second quarter of 2006. The sole analyst surveyed by Thomson Financial had estimated sales at $9.4 million.

The Illinois-based company said the increase in sales was driven by a 30% sales increase of Lifeway's kefir line and that the remainder of the sales’ increase was generated by the company’s Helios kefir line and Pride of Main Street's milk line. The Helios Brand Kefir line generated second quarter revenue of $1.2 million, while the Pride of Main Street fluid milk line generated revenues of approximately $0.24 million.

“The second quarter 2007 was another outstanding quarter for Lifeway Foods,” Lifeway's CEO Julie Smolyansky said.  “Both of our main brands, the Lifeway and Helios kefir lines, had their best quarters in terms of revenues ever.”

The company reported that their Helios brand Kefir line, had the highest quarterly revenues for the Helios line ever, increasing roughly 10% compared with the first quarter in 2006.