Jamba Inc has given nod to 4-

year board member and restaurant vet Dave Pace to serve as new ceo, succeeding James White, starting on Mar

14. Rick Federico, a 9-year board member and former ceo of PF Chang’s China Bistro chain, is assuming chmn’s

role. Pace had run Carrabba’s Italian Grill chain for Bloomin’ Brands since 2014, following stints running its

Fleming’s steakhouse and Roy’s Hawaiian Fusion operations. Earlier in his career, he worked at Starbucks,

PepsiCo and Yum Brands . . . Vanessa Walker, who’d managed steep upward ascent of National Beverage’s La

Croix sparkling water brand, has segued to similar sales and marketing role at another Fla-based co, Celsius

Holdings, which lately has been aggressively building sales force. At quirky National Bev, which is run by

controlling Caporellas like a family biz despite being publicly traded, Vanessa had been known to have spent

some time recently sidelined in penalty box, sanction at SODA in which mgrs are taken temporarily out of mix

following disagreement with top brass, but she apparently has made break for good now.

Big UK-founded brand called Rubicon Exotic Juices is targeting US

and Asia for launch this year, recruiting former Snapple exec Donna Bimbo and Cascadia Managing Brands

consulting co to help with launch. CMB said 33-year- old Rubicon has grown to become leading exotic juice

brand in Europe and Canada, generating over $100 mil in annual sales in 30+ countries now, including markets in

Africa and Middle East. Rubicon is planning extensive launch that will include its Classic subline, a newer

subline of 100% No Sugar Added juices and a carbonated juice drink subline, in tropical flavors like mango,

passion fruit, lychee and guanabana.

Saying its move to self-distribution in Fla has proved profitable, Redline marketer VPX has undertaken same shift

in Southern Calif, putting first 4 vans on the road this month in Inland Empire east of LA, with plans to add pair

of additional vans each month until it’s got most of territory covered north of San Diego. Sales vp Gene Bukovi

said driver-sell operation is carrying co’s Redline and Bang brands, and won’t be entertaining outside brands

given full pipeline of protein and hydration bevs on innovation side at Fla-based co. Given more youthful,

energy-oriented demo in Calif, Gene anticipates outdoing the $25-50K in monthly sales per rep of Fla distribution

arm. Co plans to take model to Carolinas next, operating out of Charlotte starting in Apr, and next will focus on

Bay Area, where there are too many coverage gaps, he indicated. In LA area, brand has mainly moved thru

Statewide, out of the picture now, and Haralambos, which still distributes brand in some areas. VPX brands are

ensconced at Lenore to the south in San Diego. Strategy echoes, on a much smaller scale, that undertaken by Red

Bull, which has steadily expanded its self-distribution footprint.

Almondmilk insurgent

Califia Farms continued its assault on creamer section with vegan substitute for half-&- half dubbed Better Half

made from coconut cream and almondmilk, even as it upgraded rest of line. Available exclusively in Whole

Foods from Apr launch thru summer, Better Half is offered in half-liter boxes in Original flavor, at 20 calories per

2-tbsp serving, and Unsweetened, at 15 calories. Latter is intended for culinary applications, so that sugar

contained in half-&- half doesn’t complicate recipe that chef may be trying to follow. The short box, creamer

line’s first small-format pack, should win space on upper shelf in dairy cooler, hopes ceo Greg Steltenpohl, who

collected Specialty Foods Assn’s 2016 Business Leadership Award at SF show. Brand goes for $2.99-3.99

depending on channel vs $4.99-5.99 range for 32-oz core line.

Intro came as co offered slightly tweaked core line – Creamers 2.0, Greg dubbed it – that adds coconut cream to

offer better whitening effect in coffees without use of titanium dioxide employed in some conventional creamers.

Core almondmilk creamer line, in 32-oz boxes, has added Unsweetened entry to Barista Blend, Vanilla, Hazelnut

and Pecan Caramel flavors. That Barista Blend, now at 3.0 stage, has received further tinkering to ease baristas’

ability to create fancy rosettes and latte art, even while dialing down some sugar and gum content. Co may have

erred, Steltenpohl reflected, by reaching out only to expert baristas for input on developing Barista Blend; now

you don’t have to be Botticelli of baristas to pull it off. Greg noted that after just a year, creamers already are

neck and neck with cold-brewed coffee line as #2 platform for co, behind core almondmilks.

Starbucks fired away on most cylinders again in its fiscal first qtr, scoring record $4.21 bil in sales as its coffee

shops, bagged and pod coffees and RTD bevs all scored strong gains. That 11.6% surge in net revenues helped

co generate 15.6% gain in operating profit, to $1.06 bil. Chmn/ceo Howard Schultz said results “underscore the

accelerating strength and relevance of the Starbucks brand around the world. Successful retail, CPG, digital,

mobile, loyalty, card and investment strategies are combining to accelerate our revenue growth and drive

significant margin expansion and EPS leverage.” Still, there were signs of struggle at acquired Teavana tea chain,

as co elected to close some high-profile, immersive locations and segment in which they’re grouped was

relatively flat. Schultz also created bit of stir by saying that SBUX won’t necessarily remain a partner with

Keurig Green Mountain, which is on verge of acquisition by co, JAB, that has ambitions of becoming global

coffee powerhouse, tho it will stay in K-Cup biz.

Net revenues for Americas segment surged 11% to $3.7 bil, buoyed by 9% increase in same-store sales, along

with lift from opening of 573 net new stores in period. Innovative items like Teavana-branded refreshers and

cold-brewed coffee were key contributors. By now, higher-end Starbucks Reserve units that generate biggest

returns have expanded to 200+ locations, even as co has opened first Reserve store in London to get ready for

push in Europe. Operating income surged 14% to $934.6 mil.

Channel development segment, which includes RTD drinks as well as grocery presence of bagged coffees,

Evolution Fresh juices and other items, rose 16% to $512.1 mil, driven mainly by premium single-serve items,

particularly the RTD coffees produced via Pepsi partnership, up 22% in IRI-measured channels. (That left

Starbucks RTD coffee as #8 item in liquid refreshment bevs for 52-week period, leapfrogging Powerade and

Sprite, noted segment chief Michael Conway.) Each of at-home segments handily outpaced category in which

they compete, noted Michael, including bagged coffee, where SBUX has passed its one-time partner Kraft into #2

spot, and pods. All told, CPG items were up 16% to $399.2 mil. Other part of channel development is sluggish

foodservice category, growing at 2-3%, where Starbucks generated 14% bout of net rev growth to $113 mil, as

partners like Delta Airlines and Compass Group continued strong and co continued to build presence in colleges,

travel and office segments. Channel development group’s operating income jumped 23% to $193.3 mil.

No specific word on Teavana as standalone retail biz, tho “all other” segment including Teavana, Seattle’s Best

and Evolution Fresh was tepid performer, edging up mere 2% to $169 mil in revenues. Company-operated stores

within that segment – overwhelmingly Teavana’s 350 or so stores – were off 2.3% to $80.9 mil. Operating

income plunged 42% to $5.9 mil. Co closed 3 net stores in period, vs 10 openings a year earlier. And co

separately acknowledged it will convert 3 Teavana tea bars in NY to Starbucks stores and close a location in

Beverly Hills, retaining only a single bar near hq in Seattle as innovation platform. Moves come as co had been

known to be prepping launch of RTD tea line under Teavana brand, tho it’s not known whether greenlight has

been given yet.v

Starbucks fired away on most cylinders again in its fiscal first qtr, scoring record $4.21 bil in sales as its coffee

shops, bagged and pod coffees and RTD bevs all scored strong gains. That 11.6% surge in net revenues helped

co generate 15.6% gain in operating profit, to $1.06 bil. Chmn/ceo Howard Schultz said results “underscore the

accelerating strength and relevance of the Starbucks brand around the world. Successful retail, CPG, digital,

mobile, loyalty, card and investment strategies are combining to accelerate our revenue growth and drive

significant margin expansion and EPS leverage.” Still, there were signs of struggle at acquired Teavana tea chain,

as co elected to close some high-profile, immersive locations and segment in which they’re grouped was

relatively flat. Schultz also created bit of stir by saying that SBUX won’t necessarily remain a partner with

Keurig Green Mountain, which is on verge of acquisition by co, JAB, that has ambitions of becoming global

coffee powerhouse, tho it will stay in K-Cup biz.

Net revenues for Americas segment surged 11% to $3.7 bil, buoyed by 9% increase in same-store sales, along

with lift from opening of 573 net new stores in period. Innovative items like Teavana-branded refreshers and

cold-brewed coffee were key contributors. By now, higher-end Starbucks Reserve units that generate biggest

returns have expanded to 200+ locations, even as co has opened first Reserve store in London to get ready for

push in Europe. Operating income surged 14% to $934.6 mil.

Channel development segment, which includes RTD drinks as well as grocery presence of bagged coffees,

Evolution Fresh juices and other items, rose 16% to $512.1 mil, driven mainly by premium single-serve items,

particularly the RTD coffees produced via Pepsi partnership, up 22% in IRI-measured channels. (That left

Starbucks RTD coffee as #8 item in liquid refreshment bevs for 52-week period, leapfrogging Powerade and

Sprite, noted segment chief Michael Conway.) Each of at-home segments handily outpaced category in which

they compete, noted Michael, including bagged coffee, where SBUX has passed its one-time partner Kraft into #2

spot, and pods. All told, CPG items were up 16% to $399.2 mil. Other part of channel development is sluggish

foodservice category, growing at 2-3%, where Starbucks generated 14% bout of net rev growth to $113 mil, as

partners like Delta Airlines and Compass Group continued strong and co continued to build presence in colleges,

travel and office segments. Channel development group’s operating income jumped 23% to $193.3 mil.

No specific word on Teavana as standalone retail biz, tho “all other” segment including Teavana, Seattle’s Best

and Evolution Fresh was tepid performer, edging up mere 2% to $169 mil in revenues. Company-operated stores

within that segment – overwhelmingly Teavana’s 350 or so stores – were off 2.3% to $80.9 mil. Operating

income plunged 42% to $5.9 mil. Co closed 3 net stores in period, vs 10 openings a year earlier. And co

separately acknowledged it will convert 3 Teavana tea bars in NY to Starbucks stores and close a location in

Beverly Hills, retaining only a single bar near hq in Seattle as innovation platform. Moves come as co had been

known to be prepping launch of RTD tea line under Teavana brand, tho it’s not known whether greenlight has

been given yet.v

Starbucks fired away on most cylinders again in its fiscal first qtr, scoring record $4.21 bil in sales as its coffee

shops, bagged and pod coffees and RTD bevs all scored strong gains. That 11.6% surge in net revenues helped

co generate 15.6% gain in operating profit, to $1.06 bil. Chmn/ceo Howard Schultz said results “underscore the

accelerating strength and relevance of the Starbucks brand around the world. Successful retail, CPG, digital,

mobile, loyalty, card and investment strategies are combining to accelerate our revenue growth and drive

significant margin expansion and EPS leverage.” Still, there were signs of struggle at acquired Teavana tea chain,

as co elected to close some high-profile, immersive locations and segment in which they’re grouped was

relatively flat. Schultz also created bit of stir by saying that SBUX won’t necessarily remain a partner with

Keurig Green Mountain, which is on verge of acquisition by co, JAB, that has ambitions of becoming global

coffee powerhouse, tho it will stay in K-Cup biz.

Net revenues for Americas segment surged 11% to $3.7 bil, buoyed by 9% increase in same-store sales, along

with lift from opening of 573 net new stores in period. Innovative items like Teavana-branded refreshers and

cold-brewed coffee were key contributors. By now, higher-end Starbucks Reserve units that generate biggest

returns have expanded to 200+ locations, even as co has opened first Reserve store in London to get ready for

push in Europe. Operating income surged 14% to $934.6 mil.

Channel development segment, which includes RTD drinks as well as grocery presence of bagged coffees,

Evolution Fresh juices and other items, rose 16% to $512.1 mil, driven mainly by premium single-serve items,

particularly the RTD coffees produced via Pepsi partnership, up 22% in IRI-measured channels. (That left

Starbucks RTD coffee as #8 item in liquid refreshment bevs for 52-week period, leapfrogging Powerade and

Sprite, noted segment chief Michael Conway.) Each of at-home segments handily outpaced category in which

they compete, noted Michael, including bagged coffee, where SBUX has passed its one-time partner Kraft into #2

spot, and pods. All told, CPG items were up 16% to $399.2 mil. Other part of channel development is sluggish

foodservice category, growing at 2-3%, where Starbucks generated 14% bout of net rev growth to $113 mil, as

partners like Delta Airlines and Compass Group continued strong and co continued to build presence in colleges,

travel and office segments. Channel development group’s operating income jumped 23% to $193.3 mil.

No specific word on Teavana as standalone retail biz, tho “all other” segment including Teavana, Seattle’s Best

and Evolution Fresh was tepid performer, edging up mere 2% to $169 mil in revenues. Company-operated stores

within that segment – overwhelmingly Teavana’s 350 or so stores – were off 2.3% to $80.9 mil. Operating

income plunged 42% to $5.9 mil. Co closed 3 net stores in period, vs 10 openings a year earlier. And co

separately acknowledged it will convert 3 Teavana tea bars in NY to Starbucks stores and close a location in

Beverly Hills, retaining only a single bar near hq in Seattle as innovation platform. Moves come as co had been

known to be prepping launch of RTD tea line under Teavana brand, tho it’s not known whether greenlight has

been given yet.v

RTD tea played out as a category? If that’s perception among some, it’s not stopping steady arrival of new tea-

based concepts, several on view earlier this week at Fancy Food Show in SF. Here’s quick rundown:

Life Basics Organics Among relative newcomers exhibiting at this week’s Fancy Food Show in SF was

Chicago-based co called Life Basics Organics that’s looking to reinvent tea blends by blending teas with short list

of natural ingredients that sometimes includes trending cold-pressed juice. Thus, line includes items like The

Royal Persian Tea that melds organic black tea with cold-pressed turmeric juice and The Original Brazilian Tea

that melds organic yerba mate with ginger root, cinnamon, licorice root, cardamom and lemon juice concentrate.

Line is packed in 12-oz glass bottles and sports 1-year shelf life. It’s priced at $2.99 (and $3.49 in Whole Foods).

In keeping with vow to offer just 3-4 “real” ingredients, co eschews citric acid as stabilizer in favor of organic

lemon juice concentrate. Co also goes beyond organic certification requirements, saying, using no ingredients that

had been grown within 5 miles of soy and cornfields. Bottle caps identify line as “bee friendly.”

Founders are former finance guy Indra Chatterjee and his wife Sushma, along with Paul Jorgensen, artist who’s

been involved in conscious capitalism activities, too. (Indra’s the ceo.) They’re taking gradual path to rollout,

starting in Midwest, including Whole Foods and Eataly restaurant/market complex in Chicago, as well as HEB’s

Central Market natural chain in Tex. Broadliner KeHe is key distributor so far.

Yoot Detox Teas SF-based Yoot was launched last summer by Nansee Kim-Parker, who was raised in

household that was into herbal medicine and got back into family recipes to support her husband’s health after he

lost spleen in motorcycle accident. Operating as Denovo Beverage, she’s offering detox tea line that employs

medicinal herbs and spices. So far, line is available in trio of flavors. Licorice Root melds organic licorice and

hibiscus powder with spicy note from ginger and organic cane sugar as sweetener (60 calories). Dandelion Root

melds dandelion and chicory roots, spiced with cinnamon, clove and cardamom with cane sugar and molasses to

sweeten (40 calories). And Prickly Ash Root melds prickly ash and rose hips, with spice note from ginger (50

calories). Up to now Yoot has been available only directly and on Amazon, but it’s heading into retail shortly.

It’s packed in 13.7-oz glass bottles with full-wrap label dominated by earthy brown shade. SRP is $3.99.

Golden Brew Teas and Cider Vinegar Tonics Out 18 months, Portland, Ore-based Golden Brew offers trio of

teas and trio of apple cider vinegar tonics packed in Snapple-style 16-oz glass widemouth bottles. Owner is fruit

processor in McMinnville, Ore, that acquired concept in 2014 from one of its copack customers that flamed out.

Teas are brewed from whole organic tea leaves and sweetened either with organic honey or organic agave nectar.

They’re out in Black Tea, Green Tea and Green Tea with Spearmint & Lime flavors. The tonics are offered in

Lemon Ginger & Turmeric, Wildflower Honey & Cinnamon and a non-organic sku, Vanilla Mango. SRP is

$2.99-3.49. Brand goes out via broadliners like UNFI and KeHe with select DSD like DPI in Portland. Tho it’s

focused on home region so far, it’s about to hit Southern Calif (via Sprout’s chain) and Tex in coming weeks, said

Golden Brew’s Heather Barnhart.

Purity Organic Superpremium Teas SF-based Purity Organic originally launched as outlet for organic treefruit

offered by its owner, Greg Holzman. As noted a week ago (BBI, Jan 11), tho, with Fancy Food Show it’s now

offering superpremium line of teas, idea that was sparked, Dave Minnick says, by NY distributor. (Purity had

offered half-and- half items melding juice and tea but this is first plain tea line.) Brand’s successful prior

extensions into coconut water and diverse array of juices showed brand is extensible, Dave noted, and Greg said

he’s fine diverging from juices if it helps build overall platform. Core of line taps into fast-building awareness

behind matcha green tea, which comprises 3 of initial 5 sku’s. Original matcha entry is just 35 calories, more

refreshing Hibiscus/Lime entry is 60 calories, and spicy Ginger entry is 90 calories. Rounding out line are yerba

mate and guayusa entries. They’re all packed in same 14-oz straightwall glass bottles used for earlier Superjuice

extension and priced at $2.49.

Tho there’s no question there’s still consumer education to be done, Dave allowed, matcha seemed good bet for

new platform because it’s not too niche or arcane. Reassuringly, all distributors are taking it in. Recall that NY

distributor Big Geyser, which Dave credited for idea, has played crucial role in building Honest Tea organic tea

brand, which it still carries.

New line complements earlier extension into glass-bottle format with Superjuices, which adopt cues of cold-

pressed juices in shelf-stable, more affordable format. Superjuice line continues to make headway, entering

Albertsons and Von’s chains in SoCal and Safeway in Seattle in Q4. Core plastic-bottle line, meanwhile, lately is

pursuing foodservice opportunities, entering likes of The Works Bakery chain in NH/Vt against such regional

mainstays as Snapple and Nantucket Nectars.

Moving

further away from austerity of a few years ago, Celsius Holdings has brought aboard old hands from bev biz as

regional sales mgrs in 5 US territories as it looks to expand DSD network and add retail doors for its Celsius

calorie-burning bevs beyond so-called “drill deep” markets upon which it focused during brand restage. New

hires include Gordon Hill, Coke and DPS vet who’s helped build Celsius with GBS TK. Gordon will manage

Southern territory stretching east from NM to Miss. Red Bull and Neuro vet Ken Tenace is taking Southwest

region, which includes Calif and Hawaii. New age vet Dave Mill, whose assignments have included Nestle

Waters, Sweetleaf Tea, Jones Soda, Izze and High Brew Coffee, takes on New England, while Coke, Pepsi and

Rockstar vet Dan Wilder will manage Midwest. Taking reins in Southeast is John Duva, who’s worked at Coke,

Red Bull, Monster Energy, National Beverage and Raw Foods. “These proven sales professionals will help us re-

focus our sales strategy to enhance coverage across the nation, moving from a ‘drill deep’ regional format to a

wider-reaching, national approach,” said ceo Gerry David.

Riding a hot hand, PepsiCo

is augmenting Mountain Dew’s Kickstart energy extension with 4 new flavors and brand’s first Super Bowl ad.

The new flavors, previewed at NACS c-store show in Oct. (BBI, Oct 13) and available starting next week, are

Midnight Grape, Watermelon, Blueberry Pomegranate and Blood Orange, bringing line to 10. It already

generates more than $300 mil at retail, PEP noted. The Bowl ad, first for Mtn Dew platform since 2000, takes

humorous approach to build buzz by combining “fan-favorite ad elements,” per PEP. Details are still to be

revealed. Brand is part of energy portfolio that also includes allied brand Rockstar in most of country. That

brand, too, has been on brisk growth curve.