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Kroger Stock Plunges After CEO Discloses Recovery "Slower And Weaker"; Americans "Cautious" In Buying Food
Another day passes, proving that you have economic propaganda (is the Dow at 36,000 yet, solely on ponzi hot potato passing between 3 computers and 2 primary dealer), and then you have reality. A quick look at KR stock indicates that not all is good with the largest US supermarket chain. Sure enough, earlier today, the company announced it was lowering the top end of its full-year profit forecast. Kroger projected per-share earnings of $1.65 to $1.78, compared with its previous forecast of $1.60 to $1.80, according to a statement today by the Cincinnati-based retailer. The consensus is $1.78. It was, however, the commentary from the conference call is most telling: The slow economic recovery is hurting grocery sales and consumers are “cautious in their spending,” Chief Executive Officer David Dillon told analysts on a conference call. The recovery is slower and weaker than Kroger had expected and competition remains “intense,” he said. Hear that: the economy is "slower and weaker"...Although that only pertains to such irrelevant items as food and drink. And who needs those when you have Kindles to keep you fed and warm at night.
America is now officially insane.
And here are some tidbits from the conference call on what inflation is doing to margins (and passed through prices):
- Now I will move on to food costs. We are seeing inflation in some of our perishable departments as Dave mentioned, particularly meat and produce. Deflation is persisting in our grocery department largely due to increased promotional spending by national brand suppliers. This promotional spending masks some of the list price increases we have received. The level of deflation is about 50 basis points if you exclude milk. Grocery represents about half of our supermarket business, so this level of deflation has a meaningful impact on our total company results. Inflation in grocery has been slow to develop, but we still believe it's coming.
- Many of you ask about Kroger's ability to pass along product cost increases to customers, particularly at a time when shoppers are spending cautiously. We believe it depends on the product. We are passing on product cost increases from national brand suppliers in the grocery department today, and we will continue to do so. Inflation in the perishable departments affects our business differently. In these areas, product costs are typically driven by short-term factors such as seasonality and product supplies. So product costs can vary from quarter to quarter.
Q: And then last question for you is back on this inflation topic. I think there's a lot of debate in the market about whether supermarkets can or cannot pass it through and I think what investors are doing is looking at the last year or so and saying we saw inflation in some categories and you had trouble passing it through. But I think what I heard from you today was that, that was in the perishable section where there is volatility and maybe it is more difficult to pass prices through versus dry grocery center of the store where it's a little bit easier to pass it through, and if we think about 2011 it's really about re-inflation in dry grocery. So should we feel more comfortable with your ability to pass through prices next year than where we've been?
A. I think that you've correctly identified the two thought processes. If the categories you're talking about are perishable categories, and in that I would include fluid milk, you're talking about something that varies regularly, sometimes daily, on prices, highly competitive, changes the tonnage rather quickly when you change your retail prices, and those get balanced out however they get balanced out through the year. Sometimes you end up worse off because of competitive pressures, sometimes you end up better off. But whatever it is, that ends up being how it works out. The other category are the dry grocery or the branded products. On those products I think you should think of that as a category almost unto itself. And the reason I describe it differently is because when you're talking about being able to pass through prices, generally you're really talking about or should be talking about I think about when a vendor is giving us a cost increase that they've chosen to make, sometimes it's driven by underlying commodity costs, sometimes not. And in those cases I think it behaves very predictably. That's the inflation we were referring at the beginning of the year that we thought we'd see a little bit of as opposed to not seeing inflation.
I actually separate the perishables and - well, I don't ignore it. For purposes of whether we passed it through or not, I do. So I think you've got to look at it that way. And I think that picture will roll out the same way next year. We don't know whether we'll see the inflation or not. That's a high variable for next year. But we definitely think that that's question that has to be answered as we go through the year.
And for another very good look at how not only domestic, but international megastores are passing on costs, take a look at Carrefour.
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Lesson to draw from this:
We're already in a depression. We haven't rebounded from a "recession." We've just gotten a few, modest YoY data bumps and noise because of government flooding.
If Americans can cut back on food, which is an absolute necessity, just imagine what else and how much more of it they can cut back on.
It's depression time. If the numbers were reported accurately, and if government transfer payments to Wall Street/Banks, the poor and other beneficiaries and bastions of gov't largesse were all computed properly and viewed in proper context, there's no other conclusion to draw.
Exactly. Fact is its a depression, buried under Mt Everest of fake money.
Forget food, buy retailers... They go up 4% daily, you can eat after the crash.
http://stockcharts.com/h-sc/ui?s=FOSL&p=W&yr=2&mn=0&dy=0&id=p02095501140
No. It's not a depression. Not even close.
You idiots throw around that word, and you have no idea what a depression truly is.
You guys think America is in a depression because you're in a depression. Of course, if you're burying canned hams in your backyard and hoarding ammo, I wouldn't expect you to think any differently.
Freaks!
Tyler, all I want for Christmas is the ability to block seeing posts from idiots like this redneck clown.
I know who you are! I told you I saw your mask slipping. You are a troll! How many avatars do you have? 5? 10?! You are trying to get a point across? Are you doing god's work? Enough! Enough HarryWanger enough! Akak told us. Do you wear a different hat for each one of your characters? 'Today, I am Jimmy Pumperknickle.' Enough!!!
@unibomber-one
Of course that's what you want - block my posts so that you can live in your bunker-world of gloom and doom uninterruptedly. Anything that runs counter to your world of cynicism and bitterness must not be allowed!
lol.
That's exactly the sort of response I'd expect from a bunker-dwelling, deranged lunatic with apocaplyse dreams of urban warfare and 9/11 fantasies (you remember your post about wishing for another 9/11 attack, don't you?)
You live in a dirt hole - literally, figuratively and pathetically.
One word: Zoloft
Oh...and go fuck youself.
Yes! Free Speech for Julian Assange, but censorship of anyone who is able to summon a smile!
...not all rednecks are clowns, some, like me, are renaissance rednecks...
RNR, I've held my tongue... but...
Why are you here? When something frustrates me to the point of popping off as you regularly do, I generally try to avoid that thing. I'm reading your fury and unreasoned hatred for this forum, and I can't help but wonder if maybe YOUR Zoloft scrip is a bit on the low side.
Why are you here? What, in fact, is the POINT of trolling? Does it help you when you jerk off? I'm actually being serious... Do you have some weird, rare, freakish disease that compels you to ridicule and mock people you have never, and will never, meet?
Seriously: I'm not judging you, I'm just trying to understand what makes you go. Brother: Go get a couple fingers of 15 year-old single and relax in front of a nice, glowing fire with maybe a furry, sleepy puppy in your lap.
You really DO need some sort of therapy. Very, very soon.
Hope this has helped.
Kroger will be fine as long as food stamps are still around. That's like 80% of their consumer base. I'd be more worried about the higher end chains.
I hate it when I get in line at the check out, behind some Mexican who can't even speak English, with her cart full of meat products, which I can't afford, and then she whips out her trusty food stamp card and pays for it. Isn't life grand?
I am curious, how do you know they are Mexican? They could be from El Salvador, Guatemala, Honduras etc?
I think the point might be that they were buying FN NY Strip with food stamps and that they couldn't even speak English. Who give a rat's ass where they're from, it's obviously from somewhere outside the tax base that funds those stamps.
How do you know they can't speak English? Because a person speaks Spanish or French or German doesn't mean they can't speak English.
Also because someone speaks Spanish doesn't mean they aren't living and contributing to this tax base.
Now if you want to have a discussion about Food Stamps... have at it, and you will probably find me agreeing with you, i just don't like stereotyping people. junk away
"How do you know they can't speak English?" It's pretty obvious when the checker
and customer can't communicate. Troll
I think you are getting junked too much here. I offer all I have: one (1) official unjunk from the mtomato2.
The standing order in Los Angeles from El Eme is to kill all blacks. There is a race war going on there right now. Of course we don't hear much about it. Mark my words. As time goes by and resources become more and more scarce, there will be a shuffling of the deck chairs on the Titanic.
You are right, only people who can speak English and are able to pay in cash should be allowed to buy meat.
You are right, only people who can speak English and are able to pay in cash should be allowed to buy meat.
You are right, only people who can speak English and are able to pay in cash should be allowed to buy meat.
F'ing A-either get the ADD under control or wait for the f'ing post to appear
I junked the last one to make it a nice and even "8-9-10"
I couldn't agree more.
"Economic-Depression"
Is it 'creative destruction', as in Schumpter? Is the insanity the historical normal, consensus trace?
Trying to create 'meaning' out of the ink blots of "History"
I'd call it 'reorganization under bankruptcy' no pay to creditors for the moment, and a momentary 'judicial'/pretended rationality applied
the financial system structural skeleton seems to being rebuilt, strong enough to allow the next stage of Growth, MASSIVE = 3 billion of the 'other humans' the 2nd/3rd world becoming the New Consumer + New Wage Slaves=contributors to production at a scale where ALL peoples live a decent life, except for the inherent slavery...nobody is allowed to live the 'hunter-gatherer, nor the solitary farmer agrarian stage, Everyone forced by the sheer economic violence ALL forced to find an 'economic niche' .....slavery of living in one place, working at one hierarchal level...ALL forced to Believe in the current dominant culture...RomanLaw, conceptually structuralized violence as in the Roman Empire...in many ways...
In other words, the creative destruction is leading to a one world culture, whose history will be rewritten, as inevitable progress...the Best of All Worlds, because it came into Existence, and all the other possiblities never came to be, or died out Darwinian...
As sure as WE survived and thrived after the massive physical destructions of men, money, materials of WW1/WW2....THIS mere fiat-paper disaster is survivable..
.no end of the world...HERE....in 1970-1980 THAT was a maybe Nuclear Disaster, War of TOTAL ANILATION, with, THEN some 60,000 enabled and deliverable nuclear weapons, most all of which were EACH over Hiroshima size....
The ONLY final problem, is the essential limits to growth of population/economic activity...that is the pile of garbage involved, and the attitude of socializing the responsibility for the waste products...CO2, other dumps into the atmosphere, sewage and other dumps into the ocean..and ....'ecology' and 'enviroment'.....
the current legal fiction of 'corporate multinational persons, avoiding taxation and responsibilities for the external world, pensions, disasters...etc...
the most important 'creative destruction' is that of a permanent upgrade in concepts of respoonsibily...stopping the 'socialization of risk/damage'...by various entities...
the concept of 'economic crime' needs to be implemented...both
You and Soros should go bowling together.
"Cautious in their spending".. indeed. Store brand items at all times when available. Looks like they may be eating some of the cost increase to keep prices down and people shopping because food is outrageously expensive. Next stop.. soup kitchens...
He will amend this statement through his secretary. Freudian slips with the truth are not allowed.
LOL
Mr. Dillon, the Kool-Aid is located on aisle 6.
Bibendum!
Uhm...I don't get it.
Who is cheaper than KR? I would have guessed they are doing better than anyone else.
Ironically, Sorosmart has pretty low prices.
The local Super Target and Walmart here provide everything from fresh fruit to a bakery and their prices are noticeably lower.
Walmart and Costco are eating their lunch. Then on the other end many Kroger stores have attempted to go up scale but are now beaten by Whole foods and Trader Joes. They look like Kmart before the bankrupacy, poor managment and no true commitment to a business model. Stuck in the middle. Do they own any real estate?
Don't forget Aldi's. Really cheap shit there but shit with bizarre name brands, nevertheless, the shit is selling like hotcakes.
H.E.B here in Teaxs smokes ' em all, & I've been to all 57 States....
Got pics of your commemorative spoon collection?
I do the Walmart run about once a month, with coupons because I know the price won't be padded as much. They also have a wide selection, which means more of my coupons are good. I hear about Twittering Christmas sales, that the coupon shopper is obsolete, but do they twitter grocery coupons? Walmart also has a decent bargain wine, which is comparable to Trader Joes Two Buck Chuck. I keep plenty of Chuck on hand for barter in case the systems shuts down. I'll be trading their Cabernet for gold coins.
Costco, Sam's Club, Supertarget, Walmarts with food sales, Trader Joes...
I'm not sure economy is so bad but rather the Costcos and Targets of the world are stealing their customers
In MN we have a big box warehouse chain called "CUB" part of Supervalue, they have big variety, hug stores and used to be cheapest in town, but I find a combo of Costco, SuperTarget and Trade Joes gets me as cheaper or cheaper prices and great options, variety and good in-house brands products (TJ's own products are higher than most "brands" and Targets and Costcos are real good too, Costco has great meat etc.) and everyone of those stores is a far superior experience to CUB warehouse. Costco and TJs in particular have happy, competent, well-comensated employees, and SuperTarget has nice clean wide aisles, not as much groceries but has all the household products and very cheap prices. Target can pratically sell groceries at cost if it means more traffic for their other items that have higher margins.
Yes and read Walmart CEO's statements on their best day....last day of the month at midnite when the food stamp zombies line up and await activation of the BRIDGE cards. Party on, depression USA!
Now I know I can do my shopping in the parking lot with a $2 pistol. lol
$2 pistol? Where can you buy one of those except from Ashy Larry??
No one can beat the local neighborhood grocery stores for meat, fruits and Veggies. Walmart is cheap on some items and Aldi's is also cheap but limited selection.
Totally agree - I used to be KR exclusive 'cause it is very close by. Started paying attention to the spreads between Target & Kroger, and it was an eye opener.
Aldi's have cheap prices too but small format stores. What they do, they do well. Rainbow sux and will be gone soon, Cub is def feeling pressure from walmart and supertarget. Deepest pockets win.
Costco's house brand vodka solves a lot. 1.75 ltr for 26 bucks, reportedly made by grey goose and its smooth. Get yourself some and don't worry.
Aldi's is doing so well here that they're building a new store not more than 2 miles down the street from their store that they just built about 5 years ago. It isn't far enough along yet to see how much bigger it will be, but they did put it right off of an interstate exit for better visibility/access.
groceries at walmart and target are both cheaper than kroger.
Perhaps "cautious in food buying" really means that customers are buying items that are low-margin, therefore not good for the bottom line.
As for my own successful actions, I shop Costco and farmers markets (I live in the SF area, so I realize this is an option folks in colder areas don't have). I also found that I could go to the fruit/veg wholesalers in the warehouse district. If you pay cash, they are not interested in asking for any resellers permits. I get great deals on various meats/veggies, grains at Cash & Carry (http://www.smartfoodservice.com/locations.aspx) which also says it is for businesses only, but as long as you are not running a tab, they are happy to take your money. You can even get creative and have access to wholesalers who do require resale permits (like this one http://www.jetro.com/). Get in touch with a friend who runs a store, restaurant or a 501c(3) non-profit, they can all get access. The prices are great, just have to split the costs or get a chest freezer for storage.
Those guys have no way of even knowing that your resale certificate is valid, you can print one and fill it out with false information, hell you can put Kroger as the name on it and look up the sales tax permit number on the state website.
Aldi! My first stop for main groceries. Kroger next, but only for loss leaders, sale items. Walmart, only if desperate(it's closest to me) and I never buy their meat. Aldi is doing a tremendous job out-pricing(as always) and in quality(really improved over the years).
I do the same thing to Kroger, as there's one about 2 blocks from my
house. I only buy thier loss leaders. They hate seeing me walk through
the door. lol
Save A Lot is where us rednecks shop. Schnucks and Meyer are for the rich folk, who make more than 250,000 a year and such.
Don't you mean Schmucks?
Market could care less. New S+P yearly highs...bam.
This explains the latest leg up in the market.
To my peepols,
nice little Bernank pump going on in the gasoline futes today. That's a 2 year high, ouchie!!
GAP the symbol for A&P supermarket, Super Fresh and Pathmark all in the NE corner of USSA is down around 73% for the year
Whole Foods is the better product and people who are aware of their health buy from them. Such customers are loyal, as good food is hard to come by in this day and age. This good food by the way, organic food, has twice the amount of nutritional value (vitamins/minerals/anti-oxidants) than un-organic food. It is my opinion that it has to do with pouring oil on the crops.
As far as the corporate steered Market is concerned, Whole Foods is king.
This is Randian, and I believe she misspoke when thinking about behavior. It is human to be empathetic. It is corporate to be selfish.
Ayn Rand did not disparage empathy. She clearly stated that individuals should give charity if they find the recipient worthy and the gift gives pleasure to the giver. Rand opposed altruism which she defined as an empty philosophy of giving up one's own morality in favor of someone else's idea of goodness.
Maybe I should not put empathy as non existent in her philosophy, I just do not understand how she was led to believe corporations have a right as an individual and by an individual.
Please provide a relevant quote by Rand for further discussion along this line.
I don't know if you call it better, just more expensive. Costco quality is the same and cheaper. On the north shore of Long Island where I roam, people from Kings Point, Plandome, Sands Point, or Roslyn shop at Whole Foods or send their butlers or in-house chefs there. Its more the Bentley of food stores.
I agree, but most people do not know that costco and whole foods organic is not real organic. USDA organic means nothing.
Organic does not necessarily mean it has twice the nutritional value. You need to do a brix analysis with a refreactometer. I have found non-organic foods at the grocery store with very good brix readings, but of course, the pesticides, herbicides, waxes, etc. are a whole different story.
Foods grown on soil that has not used perto ferts or chems for 7 years can be considered organic (as long as no pesticides and chemicals are used on the plant) if the food has not been genetically modified. If something is organic, you bet your bottom dollar it has twice the amount of anti oxidents!
As far as the corporate steered Market is concerned, Whole Foods is king.
wrong jimi. i am a healthy eater and food buyer. but WFM is just plain awful service. they have all these damn dumb blonde's working the cash register and bagging. they have no idea how to bag your food and it gets crushed and bruised. like pears for example. all the pears in the front of the display bins have cuts from these high end dumb shit wealthy woman's fingernails. they don't know how to shop. these woman all have long finger nails and when picking up delicate fruits they just ruin them with their finger nails. now when i would go to the boulder farmers market this summer they had signs
Ladies don't dig in with your damn fingernails into our beautiful delicate pears. most rich people don't really know shit about food they eat, they just run with the bulls and what ever WFM has out in a huge display, well, that must be the best so i will buy it. they would dictate how many of something you had to buy. oh like 10 banana's or only bagged blueberries with certain amount and you can't take less or add more. it is a dictatorship in whole foods. don't get me started with the BS this store is. stupid woman yesterday put my one bag of pears on top and the other one of the bottom. i said your not suppose to put pears on the bottom of the bag. she says No they are on top and I told her i had two bags of pears. with 8 pears in each bag. these broads are just there to talk to the cashier about lindsay loHAM.
i get so angry when i see these people in this store who are just plain idiots.
WHen I walked into the Whole Foods just off of Central Park I noticed how uniformally thousnads of people would move through a specialty grocery store (even though no, there is nothing special about it). I thought, 'Woah, so this is how it is going to go.' The people that can afford it will spend their monie on almost healthy expensive food, as the American ships sink into the bottom of a crumbled and failed empire. 'Look at these people!' I thought. Rounded up like pigs at a trough, but thinking they are doing it right.' Wrong. They are doing it wrong.
your still a nutball, even if your still not in oregon any more†
Bernanke could cure what ails Kroger by coming out with Kroger POMO cards for the unemployed and unemployable, that also allow them to buy smokes, booze, lottery tickets and Four Loco.
Read: A ( continued ) shift toward lower-cost/lower-margin private label.
That said, could it also be that perhaps customers are actually buying less comestibles ? Tightening the belt both in the literal and figurative senses ? If that proves the ultimate case, well, then -- we'll have no need for Barry and Mish's get fit initiatives.
I had to do a report in college -- i found that private label / generic brand soda had bigger margins for the store than coke/pepsi etc.
44 million getting food subsidy and things are slower?
i'm personally gearing up for a monster garden this spring. Grew tomatoes this past summer.. still have tomato sauce and ketchup I made in jars.
Also going to tap 10 trees for maple syrup for the year.
self sufficient bitchez.
Ketchup and maple syrup ! looks like you're all set for the winter :)
Cant do that, HR501 passed, gardens illegal.
20 years in the slammer according to new anti-terror legislation, in fact.
Anyone with a hoe will have their tomatoes manhandled.
I'd have to see the ho before letting her manhandle my tomatoes.
s.510 is now dead because the house blue slipped it, but it gave exemptions to home gardeners and small farms( I still oppose it in its entirety because it increase the size of the federal government)
Nope, was only stopped for a few hours, rammed thru anyway last nite.
Don't want to tit for tat, but I think it was rammed through the senate but not the house because it had a tax increase provision in it and the house says tax increase must be written by them not the senate so it won't be passed until next year. If I am wrong can you direct me to where I can see that the house passed it too?
Hey Paz....do you know what your avatar represents? Maybe you should look that one up too :>]
s510 passed.
house and senate?
I think I may turn the whole backyard under and grow potatoes.. leave them in the ground until spring or a full on currency collapse, which ever comes first.
Average people reticent to spend money on food. (Not the Whole Foods-Whole Paycheck-Trader Joe's crowd.)
This is where the rubber meets the road.
Just keep in mind what it will be like the end of Jan 2011 when 2+ M will be without any form of unemployment benefits.
2 million is optimistic.
One of the biggest frauds by the BLS is their little game of not even attempting to count formerly 'self-employed' people as such. Because of the huge number of self-employed people in the U.S., this dramatically skews the unemployment data to the undercounting side.
The work force is technically 140 million or so, and I'd bet that the true measure of the unemployed is at least 18 million. That doesn't take into account those people who are still working, but are working far fewer hours and/or making far less income, which if you use a scale of 'less than 25 hours worked' and/or 'making 50% or less than they made in years prior,' would probably peg the additional number at another 20 million.
And then there's the big unknown going forward. How many more join these ranks in 2011?
Agreed that the real unemployment rate and nos. far exceeds BLS cooked books.
I follow Shadow Government Statistics.
The 2+ M by Jan 2011 that I mentioned are those unemployed whose extended benefits will run out.
excuse me, TJ's prices are very competive, unlike Whole Paycheck...of course, TJ's has some expensive stuff if you want it, but Trade Joes O's much cheaper than Cheerios at regualr grocery store, milk, veggies cheap etc...
I've shopped at Trader Joe's. They have good deals on some items now and then.
The bottom line is that they are an upscale niche grocery retailer that locates where they can suck in the suburbanites or the trendy city crowd with seasonal and or specialty loss leader items.
Most unemployeds with a family to feed would never shop there even if they had access to a store.
TJ's has private labels of little frozen meals/entrees I buy for my lunch at work, they are easily 50 percent less than the price of the same frozen meal branded, such as Amy's, at Supertarget. Were talking $2.50 for a very good, healthy (their ingredients lists are simple, just food, not tons of salt etc) frozen lunch thing. I can get cheese for cheap, milk for cheap, certain limited produce for cheap, in small quantities that Costco does not offer, a problem for more perishable things.
Yes they are a small, niche store, and you can't buy food for a whole family for the week, but some nights I stop at both Costco and TJ's and get a whole lot of food for less than even SuperTarget.
No doubt TJ's targets yuppies and carries stuff the like but it does not mean they don't sling very competive prices on the regular food and their high end stuff is way cheaper than similar high-end things at SuperTarget or a local specialty yuppie grocery store or a Whole Paycheck. TJs and whole paycheck are not remotely in the same universe, as Whole Paycheck is a jerky to tis employees, overpriced company and TJs is not.
Yes, but fat uhmericans are spending less on processed food. How is this a bad thing?
did he say anything about food inflation...to me that has to weigh heavy on his mind...corn up..wheat up..soybeans up...meats up...this has to affect his bottom line in the future
The UN FAO reports 25% food inflation over the past year. But hey, I'm sure they're WAY MORE partial than the BLS.
The economy has decoupled from the economy. It's all lies now.
25 lb. bag of white flour @ Sam's Club;
2 months ago, $5.75
3 days ago, $6.97.
young,
Well, when a can (1) of whole kernel Del Montes is $.80 @ Dollar General,you can see why people are buying lesser quality foods.
Hopefully on the corn side, someone will finally see the STUPIDITY of using FOOD for fuel.
Especially when they are raising Ethanol to 15% of a gallon of gas,from 10%.
Anyone driving a 2002 or newere vehicle, will start having very expensive engine repairs, (no warranty) as the Dealers know what's causing it.
Congress was told, but the Corn Farmers Lobby was too strong.
Imagine that.
Dealers,Mfgrs,and Garages, all testified to the facts, and Congress said screw the American car/truck owners.It hits the High end luxury cars hardest.
But, 15% will Nuke any 2002 and newer.I look for a lot more walk aways on vehicles as the owners get hit with $6-$12k worth of damages, regularly.
Suggest stocking up on foodstuffs, esp ones that are grain related, dependent.(meats).
Food prices are up 25% over a year ago,in every store I go.
Paper products are astronmical.( CPI says we're in negative territory), of course they leave out Food & Fuel.
The corn farmers need their bailouts, too!
Long live ethanol!
Bernanke & Congressional purse string bailouts for ALL!!!
Quick someone send some groceries over to Erin Burnett and see that she eats them. She's starting to look like she's been sniffing peruvian off of her car seat.
Now if only those 'cautious consumers' would grow a set of balls, spend some money and start eating food instead of hoarding it under their mattresses, while their children experience the gentle pangs of hunger, the economy would be humming along again. Those silly consumers just don't get it.
Daddy...PLEASE stop buying stocks! We're HUNGRY!
Daddy went down to the corner to buy some Chinese solars and he never came back.
LOL. BTW I'm just guessing here. But since I've been gone it looks like you maybe kind of broke Leo?
I like Leo. The Chinese solars just seemed to fit the intended comedic cadence.
Daddy needs to access his 401K so his little ducklings have pizza. Thank god for Ben Bernanke
A large number of Americans can afford to buy less food.*
*Any puns and/or irony intended.
Shh! Can't you see we're busy leading the suckers into our fake rally?
I like how non-seasonally adjusted figures now are trumpeted in the media. Usually, when they's bad, the seasonally adjusted figures are the ones used.
Seasonally adjusted = spiced up or salted down.
OK, I've stopped just in thyme.
Krogers prices have always been on the high side loss leaders nonwithstanding. It's understandable to me that they would lower their profit expectations, due to people trying to lower their food costs. It's unbelievable some of the prices they charge or certain products; I've wondered more than once about who would actually pay some of these prices. I guess even the people that don't usually check the prices are finally doing so.
By the way I assume that food price inflation is due to the dollar devaluation and not due to food supply issues. Is this correct?
I assume that food price inflation is due to the dollar devaluation and not due to food supply issues. Is this correct?
The Bernank has been successful in creating the inflation in commodities such as grains and oil (by encouraging investors to chase speculative asset classes due to low yields on savings), which are two key price inputs into a lot of what Kroger sells, so yes.
The Bernank says that the inflation is good for Americans and the economy, and he even still maintains that the inflation is "too low" in his opinion.
By the way I assume that food price inflation is due to the dollar devaluation and not due to food supply issues. Is this correct?
No, food shortages everywhere.Russias wheat crop burned to the ground.And wetter or dryer than normal areas crops have gone to pot also.
Speculators have driven up the Futures on foodstuffs,as they know the population, along with weather, and less farming is going to result in much higher prices in the years ahead.
Since 1980, there have been 2 Americas: figuratively, those who shop Whole Foods with Platinum Visa cards and those who shop Kroger with coupons (see related stocks here):
http://www.google.com/finance?q=whole+foods
This depression (following the occluding bubbles that topped in 00 and 07) is completing the schism, revealing the irrevocable truth. Top 5% of America is a ruling plutocracy with a globe spanning empire, bottom 95% is 3rd world (save for the panacea of debt proping up their currently imploding lifestyles) & competing for their livelihoods with 3 billion workers in China, India etc.
We have Ralphs in our area and they are bleeding customers like crazy. But it's not because people are cutting back on food and drink. It's because their prices are high and their employees are often jerks.
Their business is going to Fresh & Easy, Costco, Target, and Albertsons.
Any chance their union plays a part in their cost structure and service levels? I think so.
Banksta's will get tired of or run out cat food sooner or later and have to come out of their hole. We'll grab them then.
AEP's latest offering...
ECB bows to German veto on mass bond purchases -
http://www.telegraph.co.uk/finance/financetopics/financialcrisis/8177568/ECB-bows-to-German-veto-on-mass-bond-purchases.html
JC looks like he's about to weep openly in that photo.
zero velocity end game.
The pricks pile up cash and destroy the population.
They need to toss the sack of potatoes and start selling high margin goods like iPads.
Whover is still trading must get the news only from CNBC where they will never see this story. Therefore - Rally On!
80% - 90% unemployment is their goal. Motherfuckers.
That's the LAST thing they desire,if it gets to even 30-35%,( with no subsidies, UE, welfare) the SWHTF.60's style, or worse.
This time the neighborhoods burning wont be their own.
Coincidentally, I heard sales of pet food have gone up. Bullish?
Stocking up, before more price increases most likely, or more animals being bought for guard /protection duty.
Nothing like a couple of Rotts,Dobes, or Shepherds, to distract folks while you take care of it.
IF they don't.
You're completely retarded. Big forehead. Big eyes. Big fucking ass. Retarded. Fucking retarded.
Do you remember the day when you lost your sanity, or did it quietly slip away over time?
Yes, until people start using their pets for food.
the chains are getting killed, there is too much overcapacity in the system, too much easy money, low income consumers eat fast food, and brocolli costs as much as a double cheeseburger. and the less brocolli people buy, they less the farmer grows and the more it costs. the distortions are mind boggling.
And in related news, food pantries operating with 4 day foodstock levels; routinely void of fresh fruits/vegetables and meats. Demand up over last year, well into deep double digits in many areas.
Old Mother Hubbard went to the cupboard.....
no different than the egyptians filling silos with wheat hoarding it from the masses in the 10 commandments movie. These fuckers will starve millions. Like idiot Glen Beck going on and on about how he saved up a years worth of food for his fat motherfucking face. The son of a bitch makes what 40-50 million a year? Like he can relate?
Not that the lefty Soros fuckers could give a shit. He's a total pig. So this is what we got a power structure left and right of greed and paranoia. Who's only product is a police state.
walcott,
Why the hate?,Becks family will have to eat and survive also.Just like ours.Why ass beat him for hangng tough.
You see where the OTHER big dogs have moved to.
Beck makes nowhere near that, Rush doesn't even make that.
Sounds like he practicing what he's been preaching,could be a chickenshit, and fly the coop,with his coin, it would be easy to head for safer ground.
On the Egyptians hoarding, there was a reson for it,Joseph was Pharohs right hand man, and he had a vision of 7 fat cows, and 7 gaunt ones.(grain also)
The seven fat meant 7yrs of plenty, and the gaunt meant after that 7yrs of famine.
So, 20% of all their harvests for the 7 good yrs, were stored to feed the people during the famine, rather than them starving to death.
there ain't no hate. There will be hell if the path of the unemployed and destitute
keeps widening. Remember the housing crash?
Oh it's the subprime borrowers. Unemployment is the new crash.
You can't have a society with 50% or greater unemployment. It will implode.
I was commenting on your Beck rant.
Whatever he is, he has done more to teach real American history(and has) in the past 2yrs to the Sheeple than anyone I have ever seen on Commie Cast TV.
He lives what he preaches, and believes.Agree w/him or not.
Gotta respect his in their face approach.
Oh, I agree, 50% unemployment will be Burn Baby Burn,but the PTB have a contingency in place for that now.
How they plan on controlling 30-40 million well armed hungry, out for ass Americans , will be quite the feat.
No army on earth would be able to control that in Urban/Rural settings.
It's more about him acting like he withering in the cold somewhere and had to scrape to put his food stash together. Give me a break.
He's a good preacher I'll give him that.
Beck is a MORMON, and all Mormons stock at least one year of food supplies.
You Walcott, however are a hamster-humping keyboard Chihuahau.
Paging harry wanger. Paging mister harry wanger please. The CEO of the largest US supermarket needs the kool aid pdq.
Thank you very much.
(Always be closing)
8}
U.S. Citizen has a choice! Paper or plastic to burn this winter before the vaporization of the U.S. financial system as we know it!! Ashes! Ashes! We all fall down!! Thx truly benron burnokio you rat basturd neoCON!!
I am officially declaring this the "Broke dicks buying iPads, getting UE or other government assistance, and not making mortgage or insurance payments, while other 'too big to not be helped' uber-rich dicks and Wall Street scumfucker firms can make the riskiest bets imaginable with taxpayer money and be made whole by Bernanke/Geithner if the bet goes south, while the middle class working family subsizes gets anally raped by involuntarily funding most of all of the above" economy.
Who's with me?
I think you're sugar coating it a bit.
LOL +1
Downwardly Mobile.
Wow this market is so rigged. Straight up before the economic data release, then sideways for 6 hours. The chart looks the same everyday. Straight up or straight down all before the data, hum I think the economic data is used to suck in suckers so the insiders can unload after it's released.
yes.
We call these "price adjustments." Over the last 18-24 months, they have become more pronounced. A year ago we wrote about the fact there "...there is no market anymore..." due to the lack of real volume. Today's market is completely artificial, with price completely dominated and controlled by several large broker dealers, banks, Central Banks or Government Trading Desks (NY Fed) or several very large funds.
What is left are pronounced "spikes in price" as these entities hold prices up (or down) into the closing bell (or overnight markets) whereby they reverse the previous day(s) artificial pricing. A good example of this today, is both the Wheat & Corn markets. Prices spiked, traded in a very tight price band until the last 5-10 minutes (2:15EST), whereby the so-called large player for the day liquidated their accumulated/spiked contracts only to have each of these markets close BELOW every long who bought these instruments during the day. In short, price action is very unpredictable, there is no stability, while risk is enormous. Good luck.
KR new soylet green.. check WINN chart to see how KR and SWY end up
This is one CEO not being invited onto the CNBS "CEO Cheerleading" squad.
Jackson was on today, usual BS, business is booming, everyone is buying cars?? Driving by the Autonation car lots tells a slightly different story.
I guess if you tell a lie long enough......
TruthInSunsShine -
I was with you till we all got "anally raped" then my sphincter tightened-up!
"Is that you Timmy?"
Most Americans can stand to miss a few meals.
Chuck ground beef is still a bargain, and so are potatoes, onions, and string beans.
You can still eat well on a few bucks a day.
Slower and weaker?
Sort of, if by slower and weaker you mean buying 1.5 years worth of food at Costco and then not buying again for a long time.
Food buying co-ops are one choice lots of people are making - works in both urban and rural areas. Shopping local farmers markets works too - until they are driven out of business by federal goons. Then there's that pasttime called gardening - as long as the government doesn't actually start busting you for homegrown tomatoes ( wouldn't bet against it). Finally there's the really simple approach - learn to love rice and beans.
None of these solutions require long-haul trucking, huge buildings that have to be heated and cooled, and countless minimum wage employees wearing cheery "We love you dear customer" T-shirts. Simplify your life folks - things haven't even begun to get as bad as they are going to get. Oh, and those of you who enjoy a smoke now and then, you can grow your own tobacco very easily, even in a city apartment with access to a balcony. Check out "The Cultivators Handbook of Natural Tobacco".
I usually only buy the specials. Anything else I need is a store brand. I am their problem. I stock up on sale items for months. I still have Coffee I bought 2 years ago for $4.99 for a large container. Christmas is usually when it goes on sale. Bought, more last year for $5.99. This year I saw it for $6.99. Will wait for Christmas in hopes of more for $5.99.
Buy Turkeys on sale at Thanksgiving for .47 cents. Up .10 from last year but there is a lot of meat on a Turkey. You can cook it and freeze the surplus. Buy whole Hams at Christmas for .69 cents a pound. Get the Butcher to cut off Ham slices and use the two ends for Roasts. Buy tons of dressing, caned vegtables, butter,flour, sugar before Thanksgiving. That is when they are really on sale. Butter will keep for a year in your frige.
I buy a years worth of Ground beef on sale for about $1.00 to $1.26 per pound around the July 4th holiday. Make it into patties and meat loafs for the entire year. Spagetti sauce and spagetti noodles are also on sale around July.
This way you can eat cheeply.
What the fuck is this shit?
A detailed accout of your grocery list?
If I was offered the chance to hear you read your post aloud, or the opportunity to hold a bag of shit...I'd opt for the bag of shit.
Turkey for .47 cents/pound?
??
Who fucking cares?
Another thought. My Cousin said that she had three freezers full of food. I said that is just great but what happens if the power goes out? How will you keep or cook all of that food at one time? She said you have a point. I said that all of that food in your freezer without a Generator will not save you. BUY A GENERATOR.
Well at least you can eat FRn's