By Maxine Shapiro, KERA 90.1 business commentator
Dallas, TX – Beef - probably one of the more controversial foods we consume or don't consume, depending on our beliefs and diet. And since I really love to eat and yes, even enjoy good quality meat, I'm intrigued by the whole industry and its marketing. I'm Maxine Shapiro with KERA Marketplace Midday.
John Tyson, Chairman and CEO of Tyson Foods, announced today its earnings will "substantially exceed the estimates" for its fourth quarter ending September 27th. Analysts had expected 23 cents a share. But the "world's largest processor and marketer of chicken, beef and pork" expects earnings per share between 35 cents and 40 cents a share. And it's not due to its chicken or pork sales. Sadly, it's thanks to one Canadian cow that developed the mad cow disease. The U.S. borders were closed to all beef in May, and the ban was lifted in August and then only certain products could enter. No live animals. So Tyson's beef sales went soaring.
Even so, I thought Tyson produced mainly chickens. So I called 'em. Well, almost exactly two years ago, Tyson acquired IBP, then the world's largest producer of beef and second largest pork producer. Which answered everything. Now, Tyson - domestically - accounts for 18 percent of the pork market, 23 percent for chicken and 28 percent of the beef market.
And if the National Cattlemen's Beef Association has their say, the trend will continue. See, the New York Times reports there's a new product in town and it's going to take snackers by storm. It's called cheeseburger fries. Your mouth's watering, eh? Take beef and cheese, the processed kind I'm sorry to say, coat it with batter and breading, fry 'em and voila - cheeseburger fries. When the beef industry got wind over 900 million portions of chicken strips and fried cheese sticks were being sold in restaurants, someone in the kitchen got creative. And coming in at 75 calories per fry, they're already being marketed in Nebraska, Minnesota and Texas. Of course. For KERA Marketplace Midday, I'm Maxine Shapiro.
Marketplace Midday Reports air on KERA 90.1 Monday - Friday at 1:04 p.m.
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