Cranberry  cranberry stressline Stressline
News and Opinion about the Cranberry Industry

Archives for March, 2002

It's official: Nantucket Nectars to be sold to Cadbury

Ocean Spray: Legal action on two fronts
FDA issues sealed warrant and DeMarco case moves ahead

Silence from FDA, US Attorneys on sealed warrant

Cranberry Growers Shake-up Industry
New Cooperative Forms
 

 

Forum

Archives

Author Index

Links Page

 Quote

Classified

Stress

Email Hal Brown, Ed.

Quotes

Taking Nectars to the next level

The alliance with Ocean Spray lets Nantucket Nectars "take it to the next level" and still remain private,  (Tom) Scott said. Boston Globe, 12/11/97

"I am excited that Cadbury wants to take Nantucket Nectars to the next level, and to be working with the innovative folks at the Snapple Beverage Group," said Tom First, one of the founders of Nantucket Nectars and one of the original "Juice Guys." "I know my grandmother would approve!" Snapple Press Release, 3/25/02

1997 Quotes from Tom Bullock on Nantucket Nectars purchase.


On the Forum

3/24/02 Swendrowski answers a harsh critic.


Silence from FDA, US Attorneys on sealed warrant

3/21/02 Stressline's voice messages to the U.S. Attorney's press offices in both Miami and Boston inquiring about the status of the sealed warrant served at the Ocean Spray plant, and any grand jury action, have gone unanswered. We also asked whether any warrant has been served at the Lakeville headquarters of Ocean Spray. Likewise, there has been no response to our voice mail message to the FDA's criminal investigation division.

It is possible that we will be unable to report on the nature of this investigation unless a grand jury hands down an indictment. The schedules of grand jury deliberations in Florida are not made public, so it isn't even possible to report on when to expect a ruling. If someone is issued a subpoena to appear before the grand jury, it's possible they will be under a gag order.

That facts as we know them can only cause speculation as to the nature of the investigation and what, if any, indictments may come out of it. One thing is certain. That is that sealed warrants are not routine. They are generally issued when there is a serious concern that evidence may not be forthcoming if those suspected of wrongdoing have notice as to what the government is looking for.


It's official: Nantucket Nectars to be sold to Cadbury

Part of Nantucket Nectars'  "fleet" at Ocean Spray headquarters in Lakeville, MA. Click to enlarge.

3/25/02 Cadbury Schweppes has issued a press release through their Snapple division announcing the purchase of Nantucket Nectars from Ocean Spray (Read Release) The Wall Street Journal writes:

A premium juice brand whose slogan is "we're juice guys," Nantucket Nectars would give Cadbury a strong position in an increasingly important premium-beverage category: drinks with real health benefits. John Sicher, editor and publisher of Beverage Digest, an industry publication, said Nantucket Nectars would complement, rather than compete with Snapple.

Read newspaper reports: New York Times, and from England: Telegraph
About Cadbury Schweppes. Ocean Spray may get $100 million, here's  what Cadbury may get: www.juiceguys.com

See also: Article in INC. [10/15/98] on sale of NN to OS (halfway down their web page)


3/21/02
Ocean Spray responds
to DeMarco

DEFENDANT'S REPLY BRIEF IN SUPPORT
OF THEIR MOTION TO DISMISS AND TO STRIKE

As the answering brief makes clear, DeMarco filed this lawsuit because it disagrees with the Board's business judgment. (CONTINUED)


Ocean Spray: Legal action on two fronts
FDA issues sealed warrant and DeMarco case moves ahead

3/17/02 On sealed search warrants: Stressline's experts who work in law enforcement have informed us that it is probably highly significant that government investigators utilized a sealed warrant in what we have learned was an after business hours search and seizure at the Ocean Spray Vero Beach plant.

 "A search warrant substantially reduces the possibility that the target will move or destroy evidence before the government can obtain it. In addition, the use of a search warrant generally ensures that responsive documents will be obtained and thereafter controlled by the government. Moreover, the use of a search warrant also eliminates the possibility of any claim of Fifth Amendment privilege by business owners (Andresen v. Maryland, 427 U.S. 463, 470-77 (1976)" This is from the 1996 article Litigating Sealed Search Warrants: Recent Cases Limit Indefinite Seal in Pre-Indictment Investigations By James E. Phillips, David F. Axelrod & Kevin G. Matthews  The authors, writing in a publication of the National Association of Criminal Defense Lawyers, note that "the government's most recent innovation to frustrate challenge by defense counsel involves motions to seal search warrant affidavits." (Emphasis added) Indeed, since then there have been sealed search warrants issued in a number of high profile cases which led to considerable protest by both the legal and media communities. You can read about these by doing a web search for the phrase(s) "sealed search warrant(s)."

3/16/02 The story about the Federal warrant served by the Food and Drug Administration at the Ocean Spray plant in in Vero Beach, Florida, which broke first in Florida Today has been picked up by the Associated Press. The FDA not only enforces the laws regarding food safety, but a wide range of other laws. For example, they are empowered to enforce numerous laws, including those that are stipulated in the Federal Trade Commission Act. These include a range of domestic and foreign anti-trust violations, unfair methods of competition, and false advertising. The rules state that "the Commission shall not have any authority to conduct any study, investigation, or prosecution of any agricultural cooperative for any conduct which, because of the provisions of sections 291 and 292 of title 7, is not a violation of any of the antitrust Acts or this subchapter."

3/15/02 More information has been revealed about the allegations that Garfield DeMarco is leveling in his law suit against Ocean Spray et al with the brief filed last week. The brief has been published on Stressline (Click here). There will be another response from Ocean Spray's attorneys as this case slowly moves towards a decision by the Court of Chancery as to whether it should go to trial. If it does go to trial, Ocean Spray will have to defend itself against serious charges. Boiled down to their essence, the allegations say that management and Board acted counter to the grower-owner's best interest.

Now in an astounding development, Ocean Spray Cranberries has been served a warrant by the Food and Drug Administration in what has been, according to an FDA spokesperson "an ongoing investigation" of the Vero Beach grapefruit processing plant. Ocean Spray states that there are no problems with product safety at the plant, but they have given no hint as to what the investigation is about, or as to why the U.S. attorney's Office in Miami has sealed the warrant and refuses comment on its content. (See articles below.)

DeMarco Case documents

3/31/02 An interesting item about Tropicana's legal troubles

OLD  USDA Rural Cooperatives Magazine, with numerous quotes (HTML). This was their cover story (see image, scroll down to Pg. 6 for story in PDF format).

3/29/02 CCCGA asks USDA to declare weather disaster in Standard Times

3/28/02 Legislator wins CCCGA award Standard Times

3/26/02 ''Nantucket Nectars is a great addition to our premium beverage business,'' CEO of Cadbury's Snapple in Boston Globe article.. and  "Juice Guys becoming Juice Gents " on the A.P.

3/25/02 UMass Dartmouth: Study says promote health benefits of cranberry juice in marketing campaign tailored to consumer's age group. HERE

3/22/02 Major Tropicana ad campaign features OJ  TV show

3/21/02 Town gets $5.4m from state to buy Betty's Neck land (From Decas) in Middleboro Gazette, more on Betty Neck and Decas land here

3/19/02 The message board of Free Republic  on the FDA action. You can read them here.

Links related to Vero Beach plant and grapefruit

3/15/02 DNE rep. and Seald Sweet rep. accuse  FL. state ctte. of stonewalling on Indian River Citrus recomendations

Clements Citrus, O.S. in China

From 1998, the racial discrimination lawsuit

1999: FAA proposes fine (bottom of their page)

3/17/02 FL citrus squeezed by imports

3/15/02 Support Farm Bill specialty crop purchases

3/14/02 Minute Maid News Release

3/11/11Cranberries fueled Lakenham's growth Enterprise

3/10/02 Coke and Pepsi watch

3/7/02 Cranberry growers get financial aid, in Brockton Enterprise

3/6/02 Grower Dissent over CMC vote: Volume reduction for 2002 crop at the core of the problem From the 3/4/02  Tomah Journal and Monitor Herald

3/1/02 Deal spares cranberry land from developers - Standard Times


FDA issues warrant to Ocean Spray plant

3/15/02 Ocean Spray was served a warrant yesterday from the U.S. Food and Drug Administration in its investigation of the Vero Beach plant. Read Florida Today article here.


bumper crop hazard zone sign
Ocean Spray, confident they can handle
 a large crop in 2002, says that if USDA purchases
aren't enough to reduce inventory
or protect against another bumper
crop in 2003, they would consider
 a volume regulation of the 2003 crop.


Cliffstar plans to introduce white cranberry juice

3/5/02 Ocean Spray will be seeing some competition for its white cranberry juice. According to an article titled "Thirsting for market share: Strong growth in private label is driving the beverage category, and store-brand manufacturers are jumping on hot trends inspired by the nationals" in Progressive Grocer (2/15/02):

Cranberry is also growing in popularity in the juice aisle. "We're launching white cranberry items this year to match Ocean Spray's newest item," says Mike Mohart, product manager for Dunkirk, N.Y.-based Cliffstar Corp. He also sees growth coming from 100-percent juice blends modeled after Juicy Juice, like Cliffstar's new white grape/peach.

In the same article, John Graham, a sales V.P. at Clement Pappas is quoted as saying "in most categories our private label sales are outpacing the branded...that is a good trend for private label."


 

Brief of Plaintiff (DeMarco) in Opposition to Motion of Defendants ( Ocean Spray et al ) to Strike and Dismiss Complaint

3/16/02  Updated Garfield DeMarco's attorneys filed this brief on March 8th. It begins "Defendant's 'Enronic' brief twists and tortures the allegations in the Complaint to suit there arguments for dismissal."  We are in the process of scanning the rest of the sixty page document, and will be putting the entire brief online as soon as possible. Read Cover page, Contents 1Contents 2, pages 1-11, 12-20, 21-30, 31-40,and 41-50 .


Cranberry Growers Shake-up Industry
New Cooperative Forms
 

WARRENS WISCONSIN: A tidal wave of discontent is sweeping across the cranberry marshes of central Wisconsin.  Growers, who have endured three years of prices below the cost of production, have organized to save the industry and their individual farms.  CONTINUED  


Editorial

Innovation or Ironic Copy Cat

3/11/02 Guess who beat Ocean Spray to the juice aisle with a square bottle. Read Editorial


Press Release
Issued 2/21/02


Two years ago

Opinions about volume regulation

3/1/02 It is interesting, in view of the current debate over having a volume regulation, to read what people were saying two years ago:

Statement of Ocean Spray CEO Robert Hawthorne Re: Decision on Cranberry Surplus Regulation

The Case for Volume Regulation Prepared by Ocean Spray Grower Relations

Ocean Spray Board supports
U.S. restriction on cranberry volume

On why Northland could not support a marketing order

John Decas on the Marketing Order and Ocean Spray and Decas Grower Letter: Important News Regarding Cranberry Marketing Order

Cooperation can return grower prosperity quickly by Paul Jonjak


February Edition, 2002

including

Ocean Spray Annual Meeting

Report on Cranberry Marketing Committee Meeting: Ocean Spray prevails, tie vote means no order

Editorial: Ocean Spray management supporters gamble with their own future

John Swendrowski calls for dissolution of Cranberry Marketing Committee

DeMarco attorneys file response to Ocean Spray's Motion to Stay

An Independent Turn-around Plan. A Forum discussion initiated by Linda Rinta and Doanne Andresen

Drowning in a Sea of Red Ink, by Meg Mitchell Moore, Point South Magazine

Veneman names fruit, vegetable advisory members

 

 

DeMarco vs. Ocean Spray et al

Court grants Ocean Spray motion

Editorial: Is DeMarco vs. O.S. a strange strained convoluted conspiracy theory that trots out a mangled hodgepodge of allegations?

"While it is possible to  sympathize with someone who claims to be in financial distress, a board of directors need not manage a corporation on that basis." Ocean Spray opening brief in support of a motion to dismiss and strike


Remember Wimm-Bill-Dann?, Sunkist counters AP article with press release, Compare 2001 first quarter cranberry statistics with last year

February Edition, 2002 >>>

 

 

 

 

 

 

 

 

.

 


 

The ad below, is required for free use of a web statistics tracker.

.

1

1