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Consumers are resorting to “creative” strategies to stretch their grocery budgets as food prices continue to rise

Business News / By

New York brothers Jojo and Nicky Scarlotta share how they became famous on TikTok after sharing relevant videos about inflation.

A new report shows consumers are trying different strategies to stretch their grocery budget as prices continue to rise at grocery stores and restaurants across the country.

Inflation may be starting to cool since hitting record highs in 2022, but the average American is still spending far more money on everyday necessities than they did a year ago.

According to the Bureau of Labor Statistics, consumer prices rose 3.1 percent from January 2023 to January 2024. The typical U.S. household had to pay $213 more per month in January to buy the same goods and services as a year ago, according to calculations by Mark Zandi, chief economist at Moody's Analytics.

Hundreds of Wall Street Journal readers shared how they've changed their spending and eating habits to “cope” with the high food costs weighing on their pocketbooks, including cutting out certain foods, planning meals and harvesting their own food.

PA FOOD SUPPLIER WARNS THAT AMERICANS HESSED BY INFLATION WILL BECOME 'RESISTANT' TO HIGHER PRICES

The average U.S. household paid over $200 more per month in January 2024 for the same goods and services as a year ago. ((Photo by FREDERIC J. BROWN/AFP via Getty Images) / Getty Images)

Sarah Smith, 54, told how she and her husband swapped their elaborate home-cooked meals using fresh herbs and premium ingredients for simpler canned dishes to cut costs.

The Las Vegas marketing professional said that these days, for example, she often makes tuna pasta casserole instead of chicken cacciatore.

“It’s not healthy, but it’s food,” she said.

Alexandra Blom and her husband Jason from Chicago began changing their spending habits after analyzing different prices at grocery stores. The 43-year-old massage therapist revealed she is now buying more in bulk and buying less organic produce and locally sourced meat and eggs for her family of four. Her family is now limiting their food intake, eating simpler meals of lentils, beans and rice that can span several days.

Nancy Randall shared how her family managed to reduce their spending per person by 30% to stay within their budget. The 56-year-old retired nutritionist from Houston used to make charcuterie boards but now forgoes the cheese rack when grocery shopping. These days, her family relies more on eating the deer they hunt and the fish they catch than buying meat at the grocery store.

High inflation is still weighing on Americans' households

Readers told the WSJ how they tried to save money on their grocery budget. ((Photo by Spencer Platt/Getty Images) / Getty Images)

Bernard Brothman, a 67-year-old retired human resources manager from New Jersey, is also trying to rely on his home-grown food to spend less at the supermarket. He has saved hundreds of dollars on grocery bills by growing more than a dozen crops in a community garden and in a garden at his son's home nearby, the WSJ reported.

Now he also teaches his grandchildren how to grow their own vegetables.

Like other readers, Brothman tries to extend meals by cooking in bulk and freezing meat when it's on sale.

Kathleen Glindmeier, a 69-year-old registered dietitian from Phoenix, says she plans her grocery shopping trips around the time her local grocery store hosts its monthly senior discount day. Your friend group has swapped eating out at restaurants for hosting potlucks at each other's homes.

“We’re just getting more creative,” Glindmeier told the Wall Street Journal.

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Americans continue to pay An average of $605 more per month compared to the same time two years ago and $1,019 more compared to three years ago, before the inflation crisis began.

Earlier this month, President Biden took aim at grocery stores, accusing them of “ripping people off” with high prices as inflation blame continues.

FOX Business' Megan Henney contributed to this report.

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1709086884 Lynx Air bankruptcy Two rich Quebecers lost their bet to

Lynx Air bankruptcy: Two rich Quebecers lost their bet to create a low-cost airline

Business News / By

Two wealthy Quebecers, Mitch Garber and Stephen Bronfman, are major shareholders in Lynx Air, which abruptly stopped flying on Sunday, leaving thousands of travelers stranded.

• Also read: “I cried”: Lynx Air’s bankruptcy cost customers in Quebec dearly

• Also read: End of activities: All Lynx Air flights in Montreal-Trudeau have already been canceled

Stepworth Holdings, owned by Stephen Bronfman, the son of billionaire Charles Bronfman, owns an 11.5% stake in Lynx Air Holdings, the ultra-low-cost carrier's parent company headquartered in Alberta.

Stephenson Management, owned by businessman Mitch Garber and his wife, tax lawyer Anne-Marie Boucher, also owns an 11.5% stake in Lynx Air Holdings.

Stepworth and Stephenson helped found Lynx's predecessor company, Enerjet, in 2018. The amounts the two companies invested there were never made public.

SPO STEPHEN BROFMAN AND MITCH GARBER

“Photo from Lynx Air website”

Represented on the Lynx Board

Mr. Boucher served on the Lynx Board of Directors from December 2018 to December 2023.

SPO STEPHEN BROFMAN AND MITCH GARBER

Anne-Marie Boucher “Photo from LinkedIn”

For his part, Mr. Bronfman was represented on the Lynx Board by Frédéric Martel, who served there from September 2021 to December 2023. Mr. Martel was then head of investments at Claridge, the Bronfman family's holding company. He has been CEO of the Montreal company since January.

Lynx sought protection from its creditors last Thursday. The company is drowning in nearly $600 million in debt while its assets are worth just $429 million (including nine Boeing 737 MAX aircraft leases worth $345 million).

  • Listen to the interview with Alexa Liendo, Lynx Air customer, on Richard Martineau's show QUB :

The airline also owes the Canada Revenue Agency more than $25 million for missed GST payments related to aircraft imports.

It also owes Aéroports de Montréal more than $1.6 million and the Greater Toronto Airports Authority more than $2.4 million.

Lynx's largest creditor (and shareholder) was the American company Indigo, which controls the American airline Frontier Airlines. The Alberta company owed him more than $90 million.

He cancels his trip to Vancouver

Clifton Augustin is one of Lynx's desperate customers. He was scheduled to leave for Vancouver with his family on Monday. He paid about $350 for three round-trip tickets.

Lynx initially suggested she request a refund from her credit card company. The online agency he booked with, FlightHub, then promised him a direct refund.

SPO STEPHEN BROFMAN AND MITCH GARBER

Clifton Augustin “Photo courtesy”

Since he had not yet received his money, Mr. Augustin preferred to cancel his trip. He looked for tickets on other airlines, but the total price exceeded $2,000.

“It was one of the first times I bought tickets from a company I was less familiar with. It’s definitely a strange first experience,” he says.

Lynx cited rising costs, high fuel prices and the “difficult” economic environment as explanations for the collapse.

“Despite significant growth, continued operational improvements, cost reductions and efforts to explore a sale of the business or merger, the challenges have become too great for us to overcome,” the company said in a news release last week.

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Toyota is recalling over 600000 trucks and SUVs over safety

Toyota is recalling over 600,000 trucks and SUVs over safety concerns

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More than 600,000 Toyota pickup trucks and SUVs were voluntarily recalled in the U.S. last week due to various problems that could increase the risk of accidents, the vehicle maker said.

The initial announcement on February 21 stated that approximately 280,000 vehicles, including 2022-2024 Toyota Tundra, Tundra Hybrid and Lexus LX600 vehicles and 2023-2024 Sequoia Hybrid vehicles, were being recalled. Because “certain parts of the transmission may not disengage immediately when the vehicle is shifted into neutral,” Toyota said in a statement.

The defect “may result in some engine power continuing to be transferred to the wheels and cause the vehicle to inadvertently crawl forward at low speed when on a flat surface and not braked, resulting in an increased risk of an accident.” said Toyota.

A defect information report posted on the National Highway Traffic Safety Administration website said affected vehicles could “inadvertently crawl forward at low speeds (up to about 4 miles per hour).”

The second recall announced Tuesday affected approximately 381,000 2022 and 2023 Toyota Tacoma pickups, according to the company.

Toyota said in a statement that weld residue on the ends of the rear axle assembly “could cause the nuts to loosen over time and eventually fall off, potentially causing a part to separate from the axle.”

“If a separation occurs, it may affect vehicle stability and braking performance, increasing the risk of an accident,” Toyota said.

Amanda Roark, a spokeswoman for Toyota, said in an email that only the 2022 and 2023 Tacoma models were “affected by this recall.”

“If the vehicle is operated with the nuts loosened, the driver may experience vibrations, hear an unusual noise and/or observe a differential oil leak,” she said.

Toyota declined to comment on whether any of the problems that led to the recalls resulted in accidents or injuries.

Owners of affected vehicles will be notified of the recalls by the end of April, Toyota said, and should contact their local dealers for appropriate repairs.

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Tax deductions and credits so you don39t leave money on

Taxes and career extension: How to avoid unpleasant surprises

Business News / By

If you want to continue working full-time after age 70, you have to play your cards carefully to avoid unpleasant surprises, warns a financial planner, but it can be worth it.

The Journal on Saturday told the story of a 70-year-old supermarket cashier who will soon have to give up his full-time job to escape the clutches of taxes.

“I am convinced that many people, even if they are a strong minority, are facing the same problem,” reacted Martin Leduc, financial planner at the asset management company Symbiose, referring to the case of “former civil servants with very high pensions.” ”who want to continue working after leaving public service.

Mr. Leduc believes that this situation is not inevitable, but that good planning is needed “several years before reaching this goal.”

Control block

Martin Leduc is a financial planner at asset management and protection company Symbiose. “Photo from the Symbiosis website”

Pay off the RRSP sooner

In general, for a person who wants to continue working 35-hour weeks after a certain age, it may be beneficial to start withdrawing RRSPs a few years earlier and wait as long as possible to receive the Quebec Pension Plan (RRQ) pension and the old-age security pension (PSV).

The idea is to take amounts out of the RRSP that are equivalent to what we would receive from governments for a few years. “This means that the tax amount remains the same, but the PSV has a planned return of 7.2% per year, while investments usually do not achieve such a high return,” explains the financial planner. “And the QPP is even better, at 8.4%!”

Of course, in this scenario we will pay a little more tax while we are still in the labor market, but this could pay off in the longer term due to the good returns on the PSV and the RRQ, which will then be more advantageous later.

“It might be worth doing this,” concludes Mr. Leduc, but emphasizes that this is not a one-size-fits-all solution. “Every case is different, there are always nuances.”

Change the rules

Another way to solve this problem has already been raised by tax expert Luc Godbout, who suggested that the federal government should raise the age at which the use of RRSPs is mandatory to 75 years. He believes this could encourage certain people to extend their careers even as we face a labor shortage.

The office of Federal Finance Minister Chrystia Freeland, interviewed by Le Journal about last Saturday's article, refused to comment on the issue, asserting that they could not “speculate about what”.[il] may or may not be considered”.

When Quebec Labor Minister Kateri Champagne Jourdain was asked about the issue on Monday morning on the sidelines of an announcement, she simply stated that it was a matter “that is before the Federal Court” and that this solution “deserves to be 'investigated'.”

“We looked at what we could do [pour garder les aînés sur le marché du travail]” she said, particularly given the fact that the maximum age for receiving a QPP retirement pension was recently raised to 72 years.

– In collaboration with Francis Halin

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Kellogg CEO under fire over cereal for dinner campaign.jpgw1440

Kellogg CEO under fire over cereal-for-dinner campaign

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People angry about rising food prices have found another villain in the ongoing inflation saga: the CEO of WK Kellogg, who suggested in a recent television interview that cash-strapped consumers should eat cereal for dinner to save money.

The comments, made by CEO Gary Pilnick during an appearance on CNBC last week, soon spread across social media, where they struck a chord with people, many of whom responded with Marie Antoinette's famously heartless – and possibly misquoted – “Let they eat “compared cake” line.

Pilnick announced a marketing campaign launched by his company that urged people to give “chicken the night off” and consume bowls of Frosted Flakes and Frosted Mini-Wheats instead. These ads don't specifically highlight cereal as a cost-saving measure, but rather as a fun way to shake up a family's dinner table routine. But Pilnick brought it up when CNBC host Carl Quintanilla asked him about rising grocery prices.

“The cereal category has always been quite affordable, and it tends to be a great target when consumers are under pressure,” Pilnick said. “When you consider the cost of cereal for a family compared to what it would otherwise cost, this will be much more affordable.”

5 Ways to Save Money Cooking at Home When You're on a Budget

When Quintanilla pressed him and asked if such a throw could “land wrong,” Pilnick redoubled his attack. “We don’t think so,” he replied. “In fact, it’s going down really well at the moment, Carl.”

Snippets of the interview surfaced on social media, including on a subreddit called /NotTheOnion, where people share real news that sounds like it could have come from the satirical website The Onion. On Reddit, some people complained about the cost of cereal, corporate profits, and “shrinkflation” — where the amount of food in a package is reduced but the price stays the same — while others noted that the sugary breakfast food isn't actually a good substitute for sugar for a nutritious meal.

One user summed up the sentiment with an age-old slogan: “Eat the rich.”

“Hey, um, what stage of capitalism is this?” TikToker Julie (@hoolie_r) asked in a video that has been viewed more than 2.4 million times.

Some critics questioned whether the CEO, whose total compensation was $4.9 million last year – and that was before his promotion to the top job – was following his own company's suggestion. “I wonder what cereal he and his family eat for dinner?” a user Posted on X

The anger was similar to the outrage that followed viral reports of eye-watering prices on Big Macs, with combination meals costing up to $18. People have also been posting pictures of their grocery shopping to show rising prices – and one TikToker illustrated the inflation trends by posting a video showing the $20 depicted in the 1990 film Home Alone. A shopping trip would now cost almost three times as much. Even rapper Cardi B has complained about how much more she pays for salad these days.

The shock people feel from supermarket stickers is real. Prices in this category outpaced inflation, rising 26 percent over the past four years. And they are likely to remain elevated – food prices, once raised, rarely go down. Government data shows the cost of cereals and baked goods has risen more than 27 percent since the start of the coronavirus pandemic.

While some of the increase is related to ingredient costs, industry experts say fuel, labor and packaging are the biggest drivers of rising prices on snack and cereal aisles. But Americans are still buying, giving snack companies little incentive to lower prices.

Companies like Kellogg, which spun off from its parent company last year and now operates under the Kellanova name, have an easier time getting away with it because consumers are “pretty category loyal,” said Neil Saunders, chief executive of analytics firm GlobalData. “It’s like a treat and a treat,” he added. “If prices go up a little, the consumer doesn't really change their habits. So it is, so to speak, permission for the manufacturers to pass on part of this increase a little more.”

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Macy39s stores close 150 locations

Macy's stores close 150 locations

Business News / By

The American department store group Macy's, which has been in trouble for years and is under pressure from a group of investors, will close 150 stores by 2026 to favor the upscale segment.

• Also read: Wall Street is moving in a scattered order in a holding position

Macy's, owner of the famous stores of the same name, believes that this operation will allow it to focus its investments on the 350 Macy's outlets that remain in operation, particularly through the expansion of smaller stores and modernization efforts.

In total, 30% of the group's Macy's stores (around 500, according to the website) will disappear, including “50 underproductive locations that were closed by the end of the fiscal year.”

The group, which employed around 94,500 people at the end of 2022, had already announced in January that it would reduce its workforce by 3.5%.

“The plan to revitalize the Macy's brand is long overdue and the recognition that something needs to change should be welcomed,” commented Neil Saunders, analyst at GlobalData.

“The company will 'modernize' the shopping experience, which hopefully means stores will benefit from a complete renovation and an appropriate number of employees (…) is the critical area where Macy's has consistently failed,” continues Neil Saunders gone.

The announcement boosted the company's listing on the New York Stock Exchange. At 15:00 GMT, shares were up 5.5% at $20.38.

Macy's, which also owns 33 Bloomingdale's luxury department stores and 159 Bluemercury makeup stores, has indicated it wants to focus on this more promising segment of the market. The company wants to “exploit its leading position in the luxury market,” according to the press release.

To this end, the group announced the opening of around 15 Bloomingdale's stores and at least 30 new Bluemercury stores as part of its new strategy presented on Tuesday.

Department store chains that once lured consumers to “malls” have been suffering for years from poor results and have been forced to reduce their reach, a situation that has been made worse by the Covid-19 pandemic.

The group also published dismal results for 2023 on Tuesday. Last year it achieved sales of $23.1 billion, well below the previous year's figure (-5.5%). Net profit remains in the green at $105 million, but fell significantly (-91%) due to a special charge.

“It is concerning that the usual Macy's narrative of making profits despite sales weakness has now collapsed,” commented Neil Saunders.

Macy's, weakened by its economic difficulties, is whetting its appetite against its will. In January he rejected a takeover offer worth around 5.8 billion

Macy's stores close 150 locations Read More »

Family Dollar is fined 417 million over a rodent infested warehouse

Family Dollar is fined $41.7 million over a rodent-infested warehouse

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According to the Justice Department, grocery chain Family Dollar was fined $41.7 million, the largest financial penalty to date in a food safety case, for distributing food, medicine, medical devices and cosmetics from a rat-infested warehouse.

On Tuesday, Family Dollar pleaded guilty in federal court in Little Rock, Arkansas, to a misdemeanor count of storing products in unsanitary conditions, thereby causing them to be adulterated. The $41.675 million penalty is estimated to be the value of the products that were contaminated when stored in unsanitary conditions, according to the plea agreement.

The West Memphis, Arkansas, distribution center served 404 Family Dollar stores in six states: Alabama, Missouri, Mississippi, Louisiana, Arkansas and Tennessee, according to court documents.

Family Dollar is a subsidiary of Dollar Tree, a fast-growing retail giant that operates more than 16,000 stores in the United States and Canada.

Due to the infestation, Family Dollar temporarily closed its stores in 2022. The stores were closed for a few weeks but have all since reopened, said Kristin Tetreault, a spokeswoman for Dollar Tree.

According to the consent form, the rats had “established a presence in the warehouse” in July 2021. The rats used an abandoned conveyor system to move freely through the facility.

An employee filed a complaint with the Occupational Safety and Health Administration, and in August 2021, one of the company's regional regulatory compliance specialists said the rodent problem was “very noticeable.”

In 2022, Food and Drug Administration inspectors observed “live rodents, dead rodents in varying stages of decomposition, rodent feces and urine, and evidence of gnawing, nesting, and rodent odors throughout the facility, in addition to dead birds and bird feces,” it says the declaration of consent in the case.

“It is incomprehensible that Family Dollar knew about the rodent and pest problems at its Arkansas distribution center but continued to ship products that were unsafe and unsanitary,” said a statement from Jonathan D. Ross, the U.S. attorney for the agency Eastern District of Arkansas. “Knowingly selling these types of products not only endangers the public’s health, but also undermines consumers’ trust in the products they purchase.”

Fumigation of the warehouse in January 2022 eradicated up to 1,270 rodents, federal officials said.

On February 18, 2022, the company voluntarily recalled all medications, medical devices, cosmetics, and human and animal foods sold since January 1, 2021, in the 404 stores supplied by the infested warehouse, the Justice Department said.

The agreement reached Tuesday requires Family Dollar and Dollar Tree to meet “robust” corporate compliance and reporting requirements over the next three years. If the company does not meet the requirements, this period can be extended.

Dollar Tree said in a statement that it has “significantly improved” its compliance and safety programs by hiring experienced staff, conducting safety training and passing a third-party audit.

Rick Dreiling, chairman and CEO of Dollar Tree and a member of the board since March 2022, said the company has “worked diligently to help Family Dollar resolve this historic matter and significantly improve our policies, procedures and physical facilities.” Make sure it doesn’t happen again.”

Before the Family Dollar case, Mexican restaurant chain Chipotle had been hit with the largest fine in a food safety case when it was ordered to pay $25 million for its role in a foodborne illness outbreak that killed more than 1,100 in 2015 People fell ill and 2018.

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1709074464 The Quebecers are preparing to buy the Joliette cement plant

The Quebecers are preparing to buy the Joliette cement plant

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We have learned that the Quebec company Béton Provincial is in the process of taking ownership of the Joliette cement plant at a time when the plant needs major investments to reduce its pollutant emissions The newspaper.

• Also read: Reducing greenhouse gases: Quebec tightens the screws on cement plants that will soon be held accountable

• Also read: Sale of McInnis Cement: Quebecers will suffer big losses

• Also read: The daughter of Matane… and CH

“I think it's good news because it's in Quebec's interest,” Joliette Mayor Pierre-Luc Bellerose said during a telephone interview.

The Competition Bureau confirmed to the Journal that it was reviewing the transaction concluded in December between Béton Provincial and the assets' current owner, Irish multinational CRH.

The Joliette cement plant has belonged to the Irish giant CRH since 2015.

André Bélanger, CEO of Béton Provincial “Photo from LinkedIn”

Béton Provincial's vice president of legal affairs and communications, Louis Thibault-Germain, declined to comment.

If the transaction is approved, Béton Provincial will receive one of the four cement plants in Quebec. The others belong to the Quebec Groupe Papillon (Saint-Basile), the Swiss Holcim (Saint-Constant) and the Brazilian Votorantim (Port-Daniel–Gascons).

Mutism in Quebec

The Department of Economic Affairs would not tell the Journal whether it would provide financial support for the acquisition of the Joliette cement plant.

In 2020 and 2021, Béton Provincial registered with the Register of Lobbyists to request $150 million in aid to purchase the Port-Daniel-Gascons (McInnis) cement plant. In April 2021, the latter instead passed into the fold of Votorantim with the support of the Caisse de dépôt.

Béton Provincial currently has no registration in the lobbyist register for the Joliette cement plant.

CRH has owned the Joliette cement plant since 2015 and has decided to divest from the plant, despite the company having to invest significant sums to comply with new government environmental standards.

More than 305,000 tons of CO2

“When I met the former owners [en décembre]They didn't necessarily have any intention of investing, says Mr. Bellerose. We can see that they were more in selling mode. […] In my conversations with them, we talked about hundreds of millions or even up to $1 billion. We really wanted to optimize [les opérations].”

Like all cement plants, Joliette's is one of Quebec's biggest polluters. In 2021, CO2 emissions exceeded 305,000 tons.

“Yes, it supports 130 families, but there are also environmental problems,” says Pierre-Luc Bellerose. Especially since we know that there is still limestone today that can be mined for at least 100 years. So there will be topics that need to be discussed.”

The head of the cement workers' union, Samuel Deschênes, was contacted by Le Journal and refused to discuss the matter.

Recall that the Joliette Cement Plant was the scene of a lockout that lasted more than 16 months and ended in October 2022. In addition, according to local media, the plant is suffering from competition with McInnis, the largest cement producer in Quebec.

Béton Provincial has its origins in a company acquired in 1960 by the Matanese entrepreneur Walter Bélanger. Today the company employs more than 2,000 people, more than 500 concrete mixers and 90 factories.

Mr. Bélanger died in September, but three of his four children now run Béton Provincial. His daughter France Margaret Bélanger is a manager at Groupe CH (Montreal Canadiens).

– With Marc-André Gagnon

A factory founded by the Mirons

1965 The Miron family, owners of a quarry in Montreal, built the Joliette cement plant, which they operated under the name Ciment Indépendant.

1976 The Ciment St-Laurent Group acquires the cement plant.

1979 Construction of four more silos

1994 Installation of a waste tire supply system

2009 Holcim buys Ciment St-Laurent and the cement plant

2013 Introduction of natural gas

2015 The cement plant is controlled by CRH (Ash Grove).

Source: factitecimenteriejoliette.com

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