P&G Announces Yannis Skoufalos Global Product Supply Office

Fast Company released its annual list of the “The World's 50 Most Innovative Companies” for 2011 earlier this month. Not surprisingly, Apple, Inc. was crowned No. 1 for  dominating the business landscape with the iPhone 4, iPad and many more innovations. It was followed closely by social networking all stars Facebook and Twitter -- not surprising again. But what did surprise us was that, in the consumer goods industry where innovation is considered a core strategy for growth, only three CG companies by CGT’s definition made the Top 50: Burberry at No. 13, Nike at No. 23 and PepsiCo at No. 33. Fast Company did however create breakout lists by industry. Here is a look at which companies were deemed most innovative in the consumer products and food industries:

AB-InBev buys Goose Island Beer as Busch family relinquishes last board seat

Hunt Executive Search, welcomes Hagoort & Partners as a new member firm to the IRC Global Executive Search Network. The Amsterdam-based company, among the top executive search firms in The Netherlands, adds multinational recruitment experience to strengthen IRC’s commitment to serve client companies with an expanding global, multilingual recruitment platform.

Developing key partnerships
In line with announced plans to develop key partnerships to broaden and deepen its global capabilities, IRC Global Executive Search Partners is delighted to welcome Hagoort & Partners (Amsterdam) as a new member firm.

“We’re privileged this outstanding Dutch firm has joined IRC Global Executive Search Partners. We believe the company’s in-depth knowledge of both profit and non-profit markets, combined with a personal, local approach, to be key components in broadening our global capabilities.”
Sylvia MacArthur, President of the Executive Board

Hagoort & Partners delivers made-to-measure solutions for executive search for businesses, non-profits and government through abroad network that extends across a range of sectors. The company specialises in director level, senior management and specialist placements.

The Hagoort & Partners team: multidisciplinary and multilingual professionals with local and international experience in FMCG, retail, industry, government and NGOs. Cees Hagoort has spent his entire professional career in the executive search business. Initially with the Dutch multinational Vedior, he was later involved in the start up of YER (currently the largest mid-career executive search group in The Netherlands) and TMP Worldwide. Patrick Westerburger worked for a Dutch multinational, and as Director, Marketing and Business Development for an international NGO. He speaks six languages, and has travelled professionally in more than 30 countries.

“Our clients expect a local approach, and we believe the personal touch to be the most important part of our business. We ensure our clients connect with the best available candidates, but also and more importantly, the best candidates in the marketplace.” Patrick Westerburger, Hagoort & Partners

Hagoort & Partners’ consultants search for the best candidates in the market by making use of a broad professional network and their advanced search techniques. Our method involves a clear approach,
demonstrated in the agreements we make with clients and our ability to successfully meet targets
at every step of the way.

About Hunt Executive Search and IRC Global Executive Search Partners
Hunt Executive Search and IRC Global Executive Search Partners are market leaders in the global executive search industry with a track record of over 20,000 completed  assignments for 1,000+ clients. Our clients range from large multinationals to middle market companies that enjoy the advantage of working with leading local firms around the globe, providing them access to expert local market knowledge, the agility and commitment of owner operated firms and the global reach of a strong alliance.

With a growing roster of leading executive search partners across Europe, the Americas, Asia and Australia, Hunt Executive Search and IRC Global Executive Search Partners has over 250 accomplished executive search professionals. Ranked among the world’s 15 largest retained search firms, IRC Global Executive Search Partners has been providing consistent and high-performance executive search solutions to its clients for over fifteen years.

Colgate-Palmolive Co. agreed Wednesday to buy the Sanex brand from Unilever PLC for €672 million ($954 million), strengthening its personal-care business in Europe.

As part of the deal, the world's largest toothpaste maker by sales and market share also agreed to sell its laundry-detergent business in Colombia to Unilever for $215 million. Latin America is Colgate's biggest market by sales.

New York-based Colgate said the sale is in line with its focus on its higher-margin oral-care, personal-care and pet-nutrition businesses. The company is wrestling with a recent spike in commodity costs that is pressuring a number of industries. Consumer-product companies are raising prices to offset costs.

Unilever, meanwhile, was required to dispose of the deodorant and bath-care-products business to get European Commission clearance of its €1.28 billion purchase of Sara Lee Corp.'s personal-care unit.

Sanex, whose products include shower gels and deodorants, had net sales of €187 million in 2010, primarily in Western Europe.

Colgate said it expects the two deals to increase its earnings by about 4% this year, helped by a one-time gain on the detergent business. It expects the transactions to boost its profit about 1% in 2012 on growth and cost savings from Sanex.

"We are pleased to be divesting Sanex in what we consider to be a very attractive deal for Unilever," Michael Polk, Unilever's president of categories, said in a statement.

Mr. Polk said the simultaneous purchase of Colgate's laundry brands in Colombia, which include Fab, Lavomatic and Vel, will "significantly enhance our position in one of the larger detergents markets in Latin America, bringing critical mass to our Colombian business."

Both transactions are subject to regulatory approval.

Last month, Unilever posted a profit increase driven by sales gains in emerging markets but also warned that mature economies remain sluggish and escalating commodity prices are pressuring margins.

The Anglo-Dutch maker of Ben & Jerry's ice cream, Knorr soup and Bertolli olive-oil spreads and household products such as Dove, Lynx and Cif is stepping up its investment in the face of intensified competition to build its brands in developing economies. Unilever derives more than 50% of its revenue from countries such as Asia, Africa, Latin America and the Middle East. Wall Street Journal

Procter & Gamble Co. and Teva Pharmaceutical Industries Ltd. plan to form a joint venture that combines their over-the-counter drug businesses outside North America, as both companies seek to expand their consumer health-care businesses.

The venture merges P&G brands like Vicks, Metamucil and Pepto-Bismol, with Teva's over-the-counter pain medicines, cold/cough drugs and digestive treatments. Sales of those products totaled more than $1 billion in the markets included in the joint venture, and the two companies said they envision sales of up to $4 billion by the mid to later part of the decade.

The plan also brings together P&G's brand and retail strength with Teva's pharmacy, distribution, and manufacturing presence. It is designed to tap into the needs of an aging population, along with a coming wave of patent expirations across the branded pharmaceutical business.

Teva is the world's largest generic drug maker but hasn't focused on private-label branded products in the past. P&G has wanted to expand its health-care presence overseas. About 75% of the consumer products company's personal health business comes from the U.S.

The partnership will transfer several U.S. manufacturing operations to Israel-based Teva, which will supply all the new venture's markets and P&G's North American over-the-counter business. P&G will own 51% of the new venture and Teva 49%.

"It is a new business model, taking the best of two market leaders to create a new leader in consumer health care," P&G Chief Executive Bob McDonald said in an interview.

Mr. McDonald estimates the total over-the counter market is about $200 billion a year in sales.

The deal is expected to close in the fall, following required regulatory clearance. Mr. McDonald said he doesn't expect any antitrust issues because the market is so fragmented. The two companies have no intention of spinning off the venture into a separate company.

The companies highlighted the opportunity for the partnership in switching prescription drugs to become over-the-counter brands, something that P&G did with stomach-acid drug Prilosec years ago. Mr. McDonald declined to comment on specific drug targets for that strategy but said "we obviously know the drugs that are coming off of patent."

The venture's portfolio will include more than 1,500 pharmaceutical products from Teva's portfolio that could potentially be switched to over-the-counter and made into new brands. The companies said governments, in an attempt to lower their health-care spending, may provide over-the-counter access to more prescription drugs because it transfers the costs directly to the user.

Although P&G's existing brands in North America are excluded, any new businesses created in North America would be part of the joint venture. Mr. McDonald said the venture didn't include P&G's North American over-the-counter operations because that portfolio is "pretty well-developed" and doesn't have the "growth obstacles" that are seen overseas.

"We really do believe that this is an accelerant for us in all markets," Mr. McDonald said. He expects the venture to add $500 million to $600 million in sales for P&G in its first year of operations and will be neutral to net income.

Shlomo Yanai, Teva's president and chief executive, said it should add about 50% to last year's $650 million in sales from over-the-counter products for 2012. Part of those gains will come from Teva's manufacturing of the products that it will then sell back to the venture.

Morgan Stanley analyst David Risinger said the deal was positive for Teva because branded over-the-counter drugs are more attractive than generics, "particularly in emerging markets like Brazil and India with high economic growth and consumers who look favorably upon American brands."

The companies have signed a master agreement and are completing negotiations on a series of service agreements. Upon closing, P&G will transfer certain over-the-counter operations in North Carolina and Arizona to Teva.

The venture will be based in Geneva, Switzerland, and led by P&G's Briain Debuitleir as CEO. He will report to a board of directors overseeing the operation. Markus Xander from P&G will serve as chief financial officer, and Teva's Eli Shani will be chief operating officer.

Mr. Yanai declined to provide details on the profit margins for the business but said it generally ranged from 20% to 30% depending on the brand and market leadership.

Mr. McDonald and Mr. Yanai said there won't be any major costs to forming the partnership.

Teva Chief Financial Officer Eyal Desheh said the gains from the partnership are separate from the acquisitions needed to make its 2015 revenue goal of $31 billion.

"This will enable us to focus on our core business of generic and branded prescription products," he said.

Written by Thomas Gryta http://online.wsj.com/article/SB10001424052748704425804576220410099729714.html

Walgreen Co., the largest U.S. drugstore chain, agreed to buy Drugstore.com Inc. for about $429 million to add about 60,000 products available online.

Drugstore.com holders will receive $3.80 in cash for each of their shares, in a transaction with an enterprise value of $409 million, Deerfield, Illinois-based Walgreen said today in a statement. That’s a 112 percent premium to Drugstore.com’s closing share price of $1.79 yesterday.

Walgreen is making its largest acquisition in a year after the April 2010 purchase of Duane Reade made it the biggest drugstore chain in New York’s five boroughs. The Drugstore.com deal will add websites including Beauty.com and SkinStore.com.

Walgreen fell 3 cents to $39.80 at 9:57 a.m. in New York Stock Exchange composite trading, giving it a market valuation of about $36.7 billion. Drugstore.com, based in Bellevue, Washington, jumped to $3.79 in Nasdaq trading. The stock had slumped 52 percent in the past year before today.

The buyers of 85 U.S. online retailers paid an average premium of 21 percent over the past three years, compared with the target’s average price of 20 trading days before the announcement, according to Bloomberg data. On that basis, Walgreen agreed to pay a premium of 103 percent.

Walgreen is offering about 0.90 times Drugstore.com’s trailing annual revenue, according to Bloomberg data, similar to the median of five comparable deals over the past three years.

The chain agreed this month to sell its pharmacy-benefit management business for $525 million as it focuses on providing health care related goods and services directly to customers.  Bloomberg

The 20 Most Innovative Consumer Goods and Food Companies

Fast Company released its annual list of the “The World's 50 Most Innovative Companies” for 2011 earlier this month. Not surprisingly, Apple, Inc. was crowned No. 1 for  dominating the business landscape with the iPhone 4, iPad and many more innovations. It was followed closely by social networking all stars Facebook and Twitter -- not surprising again. But what did surprise us was that, in the consumer goods industry where innovation is considered a core strategy for growth, only three CG companies by CGT’s definition made the Top 50: Burberry at No. 13, Nike at No. 23 and PepsiCo at No. 33. Fast Company did however create breakout lists by industry. Here is a look at which companies were deemed most innovative in the consumer products and food industries:

The Sun Products Corporation, a leading North American fabric and household care products company, with well known brands such as all®, Wisk® and Snuggle®, today announced that Neil P. DeFeo, currently Chief Executive Officer, will retire effective May 20, 2011, consistent with his long-term goal of stepping back from day-to-day operations upon turning 65. The Company further announced that Mr. DeFeo has been elected Chairman of the Board of Directors of Sun Products, effective upon his retirement as CEO.

The Sun Products Corporation also announced the appointment of Jeffrey Ansell as President and CEO to replace Mr. DeFeo upon his retirement. Mr. DeFeo led the search that resulted in the selection of Mr. Ansell. Mr. Ansell most recently served as Chief Executive Officer and member of the Board of Directors of Pinnacle Foods Group, a $2 billion Company of iconic packaged foods brands. Prior to this, Mr. Ansell was a Corporate Officer at Procter and Gamble, where he worked for 25 years, with the last 7 years as President of the Iams Pet Care subsidiary. Under his leadership, P&G Pet Care sales increased nearly $1.0 billion and the Iams brand in North America grew from the #5 pet food brand to #1.

Mr. Ansell was honored by Fast Company magazine in 2005 as one of "The Fast Fifty," which recognizes peak performance achieved through innovation. In 1997, he was named a "Top 100 Marketer of the Year" by Advertising Age Magazine. Mr. Ansell also served on the Board of Directors of the Grocery Manufacturers Association (GMA) in 2008 and 2009. He is a graduate of the Indiana University Kelley School of Business, where in 2010 he was appointed to the Dean's Council Advisory Board of that school.

"I am honored and delighted to have the opportunity to work with the people at Sun Products Corporation and Vestar Capital Partners," said Mr. Ansell, incoming CEO. "Neil DeFeo and his team have done an outstanding job creating this new company from the former Huish Corporation and the North American Fabric Care division of Unilever. Fueled by a strong product portfolio of iconic national brands such as all®, Wisk® and Snuggle®, as well as leading retailer brands, I look forward to working closely with the people of Sun Products and our retail partners to build on the current progress of the Company and take the business to the next level," commented Mr. Ansell.

"Jeff Ansell is an outstanding choice to succeed me as President and CEO of Sun Products," Mr. DeFeo said. "He has all the requisite skills and leadership to continue our Company's development into a major player in the fabric and household care industry. I look forward to the move to Chairman of Sun Products, and to supporting Jeff's success in any way I can."

Dan O'Connell, current Chairman of Sun Products and CEO of majority shareholder Vestar Capital said, "Neil partnered with us in the formation of Sun Products and he has done a tremendous job in establishing Sun Products as a successful and important player in the fabric and household care market. We will continue to benefit from Neil's experience as Chairman of the Board and as an advisor to Jeff and the Company." Mr. O'Connell continued, "Jeff is a proven CEO, effective leader and innovative marketer who brings significant relevant experience to our Company. We are delighted to have Jeff join Sun Products as President and CEO, and as a member of the Board."

 General Mills to buy Yoplait

General Mills Inc. has entered into exclusive negotiations to buy a majority stake in French yogurt company Yoplait, the company said Friday.

Yoplait is the world's second-largest yogurt maker and is owned by French investment firm PAI partners and French cooperative dairy group Sodiaal. If successful, General Mills would acquire the roughly 50 percent stake held by PAI partners and work with Sodiaal, which is retaining its stake.

General Mills did not disclose the value of the offer but the Wall Street Journal, citing a personal familiar with the situation, has placed it at $2.2 billion.

The acquisition would build on General Mills' aim to increase its health and wellness product portfolio and expand operations in France, where it already produces several products.

General Mills, based in Minneapolis, already has a partnership with the company. It has licensed the Yoplait brand for more than 30 years, helping it build into a top yogurt brand in the U.S., one Yoplait's largest markets.

The company said discussions are in progress and that it is also initiating talks with French works councils.

Yoplait officials in France said they won't comment on the negotiations until they are finished talking to the works council and other concerned parties, which they predicted would be the middle of next week.

At $2.2 billion, the offer would beat out reported competitor's bids including Bright Foods of China, Nestle SA of Switzerland, Mexico's Grupo Lala Axa Private Equity and French dairy company Groupe Lactalis.

Shares of General Mills, one of the world's largest food companies, rose 59 cents to $36.72 in midmorning trading.