Peanut Butter Recall Spreads to Bottom Line

The recent Salmonella outbreak that has sickened more than 550 people in 43 states and Canada and been linked to the deaths of at least eight people is poised to cause sticky finances for the nation’s food companies.

FLEXNEWS reported that Kellogg Co. was the first company to report the financial costs of the peanut product recall, saying it will likely cost the company up to $70 million. Unilever, General Mills, Inc. and Nestlé SA are among the major food makers that have recalled products, but many smaller manufacturers and grocery store chains have been affected. U.S. peanut farmers are worried about the impact on their revenue.