The marriage between Whole Foods Market and Wild Oats Markets was thrown into doubt again on July 29, at least temporarily, by a federal appeals court, which ruled that a lower court judge had inadequately considered the impact on customers, according to a New York Times article.

In a 2-to-1 ruling, a three-member panel of the US Court of Appeals for the District of Columbia Circuit in Washington sent the case back to a lower court to consider the evidence more fully, suggesting that District Judge Paul L. Friedman had rushed the decision.

The ruling left unclear what would happen if the courts find against a merger that has, for all practical purposes, already occurred.

The request to block the $565 million merger was brought by the Federal Trade Commission, which had argued that Whole Foods’ takeover of its competitor would limit competition and increase prices in the marketplace for natural and organic foods.

In a statement, Whole Foods said it was disappointed with the court’s ruling and was considering its legal options. The company, based in Austin, TX, closed the deal with Wild Oats last August, and has already shut four Wild Oats’ stores and reflagged 27 others as Whole Foods stores.

The merger was first announced in February 2007, and Whole Foods executives asserted that it was necessary so that they could compete against much larger rivals like Kroger and Safeway that were starting to offer organic and natural products.

Indeed, as part of its argument against the trade commission, Whole Foods said there was no longer a defined market for natural and organic foods since so many traditional grocery stores were offering the same products. Judge Friedman, who adjudicated the matter on a “very fast track,” agreed and maintained that “marginal” customers, rather than core customers, could easily find the products in other stores.

The judges said evidence had shown there was a core group of customers who buy only organic and natural products and the judge should have considered the impact of the merger on them more fully.

Several antitrust experts said Whole Foods may have to stop reflagging Wild Oats’ stores until the matter is resolved.

With news of the new ruling, Whole Foods CEO John Mackey reportedly said: "We paid all the shareholders, we sold off the Henry stores, we integrated Wild Oats into our system, we’ve shut down several stores, changed the name of many of the stores—so the eggs are scrambled and mostly eaten."

More than 25,000 natural, organic and healthy products retailers, buyers, thought leaders and trend spotters will congregate in Boston, October 15–18 for the 24th annual Natural Products Expo East/Organic Products Expo-BioFach America.

Organizers are implementing a recognition program to encourage exhibiting companies to reduce their environmental impact at the show in the areas of waste reduction, travel offset and sustainable booth design.

A comprehensive greening plan includes:

• A recognition program to encourage exhibiting companies to reduce their environmental impact at the show in the areas of waste reduction, travel offset and sustainable booth design;
• A complete recycling program on site, including traditional recycling, shipping material recycling and composting;
• A green press room featuring a paperless method of distributing exhibitor press kits;
• Utilizing bulk containers, reusable or compostable service ware and cups for all food service; and
• The use of recyclable, biodegradable and sustainable materials wherever possible including compostable badge holders, jute attendee bags and signage created from 90 percent recycled materials.

For more information visit www.expoeast.com or call (866) 458-4935.

Cortegra (Fairfield, NJ), a provider of packaging solutions for the pharmaceutical and related industries, introduced Braille-embossed cartons and labels in compliance with impending European Union legislation mandating that secondary drug packaging must have label information in Braille for sight-impaired customers. According to European Directive 2001/83/ EC Article 56A, pharmaceutical packaging will be required by law to have product names, formulation and strength displayed in Braille by October 2010.

Using special tooling, Cortegra embosses the Braille in an uncontracted Braille system, which means the words are spelled out, instead of in a contracted or chain system, in which one character can represent an entire word.

“The EU requires that drug names be spelled out, so the uncontracted system was our obvious choice,” explained Dr. Narendra Srivatsa, director of packaging solutions. “We also had to use highly precise tooling, not only to make sure the characters were correct, but to make sure it was done without damaging the cartons.”

For more information, call Cortegra at (800) 242-4657 or visit www.cortegra.com.

New research published in the July issue of Molecular Vision demonstrates that natural supplement Mirtogenol™, a combination of standardized bilberry extract Mirtoselect® and French maritime pine bark extract Pycnogenol®, lowers high intraocular pressure (IOP), which significantly reduces the likelihood of developing glaucoma. This study described the discovery of the first effective nutritional intervention supporting a healthier pressure in the eyes.

The study, held at the University of Chieti-Pescara in San Valentino, Italy, divided 38 individuals into two groups. The first group consisted of 20 subjects who were given Mirtogenol once in the morning and once in the evening for six months. Each Mirtogenol tablet contained 40mg of Pycnogenol, French maritime pine bark extract and 80mg of Mirtoselect, standardized bilberry extract. The control group (18 participants) were followed without treatment. The IOP was measured with the standard Goldmann applanation tonometer at the same time in the morning. Prior to testing, subjects had complete eye exams, ocular hypertension and no signs of glaucoma.

At the end of the testing, Mirtogenol lowered IOP in 19 of 20 patients versus one of the 18 patients in the control group. Throughout the study there was a total decrease of IOP from 25.2 mmHg to 22.0 mmHg in the Mirtogenol group (-13 percent) compared to the 24.6 mmHG to 24.5 mmHG in the control group (-0.4 percent).

The pressure in the eyes builds up when the amount of oxygen and nutrient rich fluid brought into the eye exceeds the amount drained from it. The increased pressure is believed to progressively destroy the optic nerve with symptoms setting in with a blurred peripheral vision. Investigation of the eye’s arteries by color Doppler imaging suggest that Mirtogenol supports a better blood flow helping to restore an equilibrium of fluids in the eye.

For more information call +39 02 57 49 61 or visit www.indena.com.

The Organic Trade Association (OTA), which represents the organic industry in North America, has filed a motion for a summary judgment in its case challenging Ohio's “emergency” dairy labeling rule.

OTA's summary judgment motion, which was filed Friday, July 25, argues that consumers have a right to know, and want to know, about the products they purchase, and organic farmers and processors have a right to communicate with their consumers regarding federally regulated organic production practices. The suit seeks to protect consumers' rights to receive truthful information about how organic milk and dairy products are produced, and the rights of organic dairy farmers and processors to communicate truthfully with consumers.

Under the federally mandated National Organic Standards, the use of hormones to promote growth or increase production; genetically engineered organisms (GMOs); antibiotics and toxic, persistent, synthetic pesticides are all strictly prohibited. The standards also mandate a rigorous system for inspection, certification and verification of organic practices, which protects consumers. OTA’s suit also maintains that Ohio's dairy labeling rule chooses to ignore the federal Organic Food Production Act (OFPA) as it prohibits states from regulating organic product labeling.

The Ohio Department of Agriculture has until August 15 to file its opposition to the motion. The Organic Trade Association could then file a reply memorandum by August 29. Depositions of Ohio's Department of Agriculture Director Robert J. Boggs and his assistant are tentatively scheduled for the week of August 18. The International Dairy Foods Association has also been filed a similar summary judgment motion.

Joining OTA in its opposition to Ohio's rule is The Center for Food Safety (CFS), which has filed an amicus brief. A non-profit whose mission is to address the environmental, economic, ethical, human health, and social impacts associated with the development and commercialization of agricultural and food processing technologies, CFS has long opposed synthetic growth hormone use.

For more information www.ota.com or call (413) 774-7511.

With double-digit growth for more than a decade, the outlook on the organic market has always been rosy. In The Hartman Group’s newest report, “The Many Faces of Organic 2008,” there are signs of slowdowns in certain categories and rumblings that overall organic purchases may have reached a plateau. Yet, opportunities still exist.
 
With “organic” taking on new meanings with consumers, new factors are reshaping today’s organic marketplace.

Many factors are currently at play to influence the current and future picture of organic consumption. Research reveals that while organics are still an important cue to millions of consumers for products that contribute to healthy lifestyles, conventional culture is now including organic as but one of many symbolic distinctions of equal importance beneath the overall moniker of “quality.” Specifically, the report shows where organic now resides in terms of importance in consumers’ minds.

The “Many Faces of Organic 2008” explores how far into the mainstream organic has reached—representing ever more ideas and practices to a wider audience—and how any changes in behavior will influence further innovation.

For more information, email info@hartman-group.com or visit www.hartman-group.com.