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Strategies & Market Trends : YEEHAW CANDIDATES -- Ignore unavailable to you. Want to Upgrade?


To: Ken W who wrote (1217)2/1/2003 8:06:26 AM
From: Sergio H  Read Replies (1) | Respond to of 23958
 
SURE
finance.lycos.com

FEATURE-U.S. food industry begins to embrace irradiation
31 Jan 2003, 2:03pm ET
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By Jerry Bieszk
CHICAGO, Jan 31 (Reuters) - Stung by record recalls of
tainted meat last year, the U.S. food industry is stepping up
the use of new technology to irradiate meat as an extra
protection against deadly bacteria such as E. coli and
listeria.

Just a small part of the 9 billion pounds of ground beef
sold in the United States last year was irradiated, but the
amount is growing rapidly, despite concerns voiced by some
consumer groups about the unknown long-term effects on health.

"I would estimate the total volume currently being
irradiated under 5 percent (of beef production), but we are
anticipating an exponential growth curve," said Janet Riley,
spokeswoman for the American Meat Institute (AMI).

Irradiation exposes products to ionizing radiation that
kills insects, molds and bacteria. The U.S. government approved
irradiation treatment of ground beef in January 2000, and the
first batch was processed in May of that year.

BIG INCREASES
Irradiation began to ramp up late last year after the
largest meat recall in U.S. history. In October, Pilgrim's
Pride Corp. (NYSE:CHX) recalled 27.4 million pounds of poultry
products because of an outbreak of listeria, a potentially
deadly bacteria. The outbreak that prompted the recall was
blamed for killing eight people and making more than 40 sick.

Food companies see irradiation as another barrier of
protection against bacteria that can cause food-borne illness,
especially to protect children, the elderly and those with
weakened immune systems.

SureBeam Corp. (NASDAQ:SURE), the largest provider of the
technology, said it expects to process between 300 million and
350 million pounds of beef this year, up from about 15 million
in 2002.

"Irradiation eliminates 99.9 percent of the pathogens such
as E. coli, salmonella and listeria without changing the taste,
texture, appearance or nutritional value of the meat," said
John Fox, associate professor of agricultural economics at
Kansas State University. "In spite of its name, the process
cannot make food radioactive."
The Food and Drug Administration permits three types of
ionizing radiation on foods: gamma rays, high-energy electrons
and X-rays.

Irradiation is widely used to sterilize many non-food
products, including toothbrushes, home-use adhesive bandage
strips and surgical tools, although at doses much higher than
used for food. Irradiation has been used to kill insects in
wheat flour since 1963 and used on common kitchen spices since
1983.

Still, critics say irradiation may deplete vitamins and
nutrients, and that irradiated food contains chemical
byproducts that may be harmful. They say irradiation is an
effort by meat packers and processors to cover up sloppy
food-handling processes.

Washington-based consumer group Public Citizen, for
example, is calling for studies on the long-term effects of
treated meat on children. In the meantime, they oppose the use
of irradiation for beef supplied by the Agriculture Department
for school meals.

"A decision to feed schoolchildren irradiated food would
mean this agency (USDA) is willing to put our children's health
at risk to help cover up the meat industry's sanitary
failures," said Wenonah Hauter, director of Public Citizen's
Critcal Mass Energy and Environment Program.

Also, if irradiated food is permitted in school lunches, it
will not be labeled in the way that irradiated retail food must
be, making it impossible for parents to know what school
cafeterias are feeding their children, critics point out.

The FDA requires irradiated meat be labeled with a symbol
resembling a stylized flower and the words "treated by
irradiation."
IMMEDIATE BENEFITS
Meat industry experts said irradiation is no "silver
bullet" and proper food handling at home remains critical. Meat
can be contaminated by residue from other foods or by utensils
used to prepare other meals. Cooking of ground beef to an
internal temperature of 160 degrees Fahrenheit can kill E. coli
and listeria, the Beef Council said.

Still, the proven benefits are clearly winning over many
consumers and health care officials, and use of the technology
is taking off.

A nationwide survey conducted by the National Cattlemen's
Beef Association found that 48 percent of Americans would
purchase irradiated meat. That response in November 2002 was up
from 38 percent in February. Industry officials said that small
doses of irradiation should not affect the taste of the meat.

The World Health Organization has endorsed irradiation,
saying it is one of the most effective food decontamination
methods available for meat and poultry products.

"On the average, one major retail (food) chain has rolled
out irradiated ground beef every week basically since last
August," said Ron Eustice, executive director of the Minnesota
Beef Council. He said about 4,000 supermarkets carry either
fresh irradiated ground beef or frozen products.

Supermarket companies Safeway Inc. (NYSE:SWY), Albertson's
Inc. (NYSE:ABS) and Giant Eagle Inc. have all signed on to sell
irradiated meat at some of their stores.

MEAT PROCESSORS TAKE ACTION
The number of packers and processors irradiating beef is
growing rapidly. They are beginning to contract for irradiation
capability in their plants instead of at remote locations.

Excel, a division of Minnesota-based Cargill Inc., plans to
install electron beam irradiation facilities at its packing
plants in Schuyler, Nebraska, and Plano, Texas. Rochester,
Minnesota-based TeMeats, and Minnesota-based W.W. Johnson Co.

have announced plans to market irradiated product.

The former ConAgra Foods Inc. (NYSE:CAG) slaughterhouse in
Greeley, Colorado, now operating as Swift and Co., has
committed more than $4 million to increase food safety and
plans later this year to have some of its meat irradiated. In
July, the plant was the focal point of the third-largest beef
recall in history when the company recalled almost 19 million
pounds of beef because of E. coli concerns.

"Irradiated ground beef will become the gold standard at
food service in the next two to three years," said the
Minnesota Beef Council's Eustice. "Food irradiation will take
its rightful place as the fourth pillar of public health
alongside pasteurization of milk, immunization against disease
and chlorination of our water supply -- and that will take
place in the next decade."



To: Ken W who wrote (1217)2/5/2003 3:49:28 PM
From: Sergio H  Read Replies (1) | Respond to of 23958
 
Ken, hope you had a successful trip.

We need to put back a gold stock in our folio.

SURE announced a couple of new chains added to their distribution channel. I added to my core this morning. What do you think about upcoming earnings here?