Pepsi NEXT, a mid-calorie soda, to debut in spring

For those discerning drinkers who scoff at zero-calorie cola but are fussy about their figures, PepsiCo thinks its upcoming Pepsi NEXT low-sugar beverage hits the sweet spot in the middle.

The drink, which has been in testing in Iowa and Wisconsin since July, has 60% less sugar than a standard Pepsi can, with 60 calories for every 12 ounces compared with the usual 150 calories.

The beverage maker now plans to start selling Pepsi NEXT nationwide in the spring, according to the Associated Press. But don't call it diet -- PepsiCo says the new soda tastes like its full-calorie beverages.

Hopefully, the new offering fares better than previous mid-calorie attempts such as Pepsi XL and Pepsi Edge.

Soda sales are slipping amid an increased nationwide focus on health, with Coke volume down 0.5% in 2010, Diet Coke falling 1% and Pepsi-Cola tumbling 4.8%, according to Beverage-Digest. 

Several major restaurant chains, including Denny’s and Chili’s, have pledged to offer soft drink-free meal options for children as part of the Kids Live Well campaign. Michelle Obama recently extracted a promise from Darden Restaurants to make 1% milk the default beverage on its children’s menus.

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Photo: PepsiCo

Fast-casual, to-go IHOP Express opens in San Diego

IHOP is targeting the Panera and Chipotle crowd with a fast-casual “Express” version of its standard sit-down restaurants.

Customers at the new model, first tested at college campuses and military bases and now open in San Diego’s Gaslamp District, order at a counter for food that they can take on the go.

Instead of IHOP’s usual sprawling platters, menu items such as the Cup O’ Pancakes and the Ham & Cheese Crepette will be served in smaller portions and at lower prices.

IHOP still plans to open at least one of its normal-sized stores each week for the rest of the year. The 53-year-old chain has more than 1,500 locations around the country.

But slowing traffic caused by the economy along with changing consumer tastes have caused the casual, sit-down dining industry to falter. Many diners have defected to fast-casual chains, which are known for offering a lower price-point along with speed and quality.

So table-service restaurants such as IHOP are copying the competition.

Red Robin Gourmet Burgers this month revealed a fast-casual concept called Red Robin’s Burger Works, where is Banzai beef burger is $5.99 compared with nearly $10 at the original restaurants. 

Starting in Orange County last year, Denny’s Corp. began opening Denny’s Cafés featuring streamlined menus, counter order and smaller buildings in an attempt to break into tightly-packed urban markets.

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Photo: IHOP's Pancake Stackers. Credit: Associated Press / IHOP Restaurants

Workers win record number of bias cases in 2011, EEOC reports

More workers than ever sought help against office discrimination from the Equal Employment Opportunity Commission this year, the agency said this week.

More than 99,947 charges were filed in 2011 alleging unfair workplace practices based on race, sex, age, religion, disability and even family medical history, according to the EEOC’s annual performance report. 

That’s the highest number since the commission was launched through the Civil Rights Act of 1964. The agency also won a record amount of monetary relief –- nearly $365 million -– for employees.

Over a year in which national unemployment remained stuck at around 9%, many workers are working longer hours for less pay, with older employees expecting to delay retirement.

The EEOC resolved 112,499 cases through a mix of investigations, conciliations, mediations and litigation, more than last year.

The agency won $3 million for 290 former 3M employees who had accused the company of denying leadership training to and laying off hundreds of workers over age 45. About 800 Verizon employees won a $20-million fund after challenging the company over claims that it disciplined or fired employees with disabilities.

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San Diego Union-Tribune sold to hotel magnate Doug Manchester

The San Diego Union-Tribune is being sold to MLIM, owned by local hotel magnate Doug Manchester, said current owner Platinum Equity.

Terms of the deal weren’t disclosed by Los Angeles-based Platinum,  which bought the 143-year-old newspaper from Copley Press in 2009. The acquisition is expected to close by Dec. 15.

MLIM is headed by chief executive and longtime radio station owner John Lynch, who founded the Broadcast Co. of America and once worked for the Chicago Tribune. 

In its two and a half years of ownership, Platinum attempted to modernize the Union-Tribune’s print and online operations, the private equity investment firm said Thursday. The newspaper has an average circulation of 219,347, ranking it 25th on the list compiled by the Audit Bureau of Circulations.

“We came here at a difficult time for the newspaper industry and helped the Union-Tribune successfully transform its operations and reinvent itself,” said Louis Samson, a Platinum principal who led the 2009 acquisition effort. 

Readers were stunned by the announcement. “Chin hits floor,” tweeted Twitter user djduke. “Is this an early April Fool’s joke?” tweeted Whitney Benjamin. “Sad news folks,” tweeted Anne Cornetta.

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The San Diego Union-Tribune is being sold to MLIM, owned by local hotel magnate Doug Manchester, said current owner Platinum Equity.

Terms of the deal weren’t disclosed by Los Angeles-based Platinum,  which bought the 143-year-old newspaper from Copley Press in 2009. The acquisition is expected to close by Dec. 15.

MLIM is headed by chief executive and long-time radio station owner John Lynch, who founded the Broadcast Company of America and once worked for The Chicago Tribune.  

In its two and a half years of ownership, Platinum attempted to modernize the Union-Tribune’s print and online operations, the private equity investment firm said Thursday.

“We came here at a difficult time for the newspaper industry and helped the Union-Tribune successfully transofrm its operations and re-invent itself,” said Louis Samson, a Platinum principal who led the 2009 acquisition effort.  

Readers were stunned by the announcement. “Chin hits floor,” tweeted Twitter user djduke. “Is this an early April Fool’s joke?” tweeted Whitney Benjamin. “Sad news folks,” tweeted Anne Cornetta.

30 million Americans to use restaurants for Thanksgiving dinner

So much for battling supermarket crowds and cleaning a gravy-drenched kitchen –- 30 million Americans will rely on restaurants for their Thanksgiving meals.

The National Restaurant Assn. says that 14 million people will eat their turkey dinner at a restaurant while 16 million will get takeout for all or part of their feast.

Six in 10 said that eating out is just more convenient. Local restaurants such as Campanile and even chains such as Boston Market will offer dine-in and to-go Thanksgiving dinners.

Other rationales for using restaurant-cooked food: Many diners will be traveling without access to kitchens, some don’t have the space to host a home-cooked meal, others aren’t good cooks or don’t have time to prepare a self-made feast while several just prefer the taste of restaurant food.

But dinner-table Turkey Day festivities are still the norm, with 55% of Americans eating a meal in their own homes and 46% eating at someone else’s. Still, with the cost of Thanksgiving meal ingredients on the rise, outside eateries will increasingly play into the holiday.

And on Black Friday, 32 million Americans will duck into a restaurant for a respite from frantic shoppers.

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Federal financial fraud prosecutions tumble to lowest level in 20 years

Financial criminals are facing the lowest number of federal prosecutions in at least 20 years, according to a new report.

The government has filed 1,251 new prosecutions against financial institution fraud so far this fiscal year, according to the Transactional Records Access Clearinghouse at Syracuse University. If the same pace holds, federal attorneys will file 1,365 such cases by the end of the year –- the lowest number since at least 1991.

The report, compiled from Justice Department data gleaned through the Freedom of Information Act, considers crimes involving crooked mortgage brokers, bank executives with something to hide and accounts hiding illegal activity.

The expected volume of prosecutions by the end of 2011 would be 2.4% smaller than that of last year, 28.6% thinner than that of five years ago and less than half the amount from a decade ago. The number of federal bank fraud cases has slipped every year since 1999.

While U.S. Attorneys kept busy in districts such as Miami, Manhattan and Seattle, six of the country’s 90 districts, including Indianapolis and Baton Rouge, filed no financial fraud cases at all.

But that doesn’t mean the government isn’t keeping busy with other types of criminal prosecutions, which have nearly doubled in two decades.

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LivingSocial launches online restaurant ordering, delivery service

Daily deals website LivingSocial is starting to offer online restaurant ordering and delivery options, venturing into territory dominated by businesses such as GrubHub and Snapfinger.

The service is rolling out initially as a test in LivingSocial’s Washington, D.C., hometown. Users there will be able to order food from their computer or smartphone and either have it delivered or waiting for pickup at the restaurant without the hassle of a long line.

Users will at first have access to more than 70 restaurants, some of which also offer discounts through LivingSocial.

Mobile food ordering is picking up in the restaurant industry.

New San Francisco Bay Area grilled cheese start-up the Melt, launched by Flip Video founder Jonathan Kaplan, allows customers to order online and then collect their food by scanning a QR code at the counter.

The GrubHub website, founded in 2004, features menus from partner restaurants. Customers can click to order remotely, with prompts for side dishes and topping options.

Snapfinger, also founded in 2004, has a similar format. Real-time menus from chains such as Boston Market and California Pizza Kitchen omit items that the restaurants have run out of; Snapfinger also informs diners of order backlogs and pickup times.

LivingSocial is also offering a new feature called Room Service, which the company says will involve limited “white glove” delivery from higher-end eateries.

Available for now only in downtown D.C. on Thursday and Friday nights, the service will feature a prix fixe menu from one new restaurant each week. LivingSocial staff will handle the deliveries, which includes “high-quality tableware, dining accessories, top-shelf presentation of food and a special after-dinner treat,” the company said.

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Menus feature 7% more pork dishes amid sausage craze, cheap prices

Restaurants are pigging out, increasingly offering pork on their menus, according to new research.

Dishes that have gone whole (or part) hog are up 7% over the year, according to the research group Technomic. The meat, which has resisted food price increases better than beef and even chicken, is showing up in appetizers, side dishes and entrees.

Chipotle restaurants use naturally raised pork in their carnitas and Applebee’s now serves red beans and rice with andouille sausage. McDonald’s also brought back its cult-favorite McRib sandwich this fall.

Menus laden with sausage and hot dog items are also spreading across the Southland, spurred on by the growing number of beer gardens and wiener restaurants.

But pork isn’t always the main attraction. Eateries are pairing it with other meats and even shellfish.

And diners aren’t only seeing chunks of ham. Bacon, whose menu appearances have risen 7% annually for the past few years, is also a main driver of pork’s recent popularity.

Perhaps this calls for more restaurants to prepare turbaconducken -- chicken stuffed in duck stuffed in a turkey wrapped in bacon. Or not.

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Wholesale prices for gas, cars down in October

Buying that new pickup truck and then filling it with gas cost less in October as wholesale prices slipped for the first time since June.

The producer price index was down 0.3% after rising 0.8% in September, according to the Labor Department.

Wholesale gas prices slid 2.4%, while the cost of cars dipped 0.8% and the price of pickup trucks dropped 1.6%.

Food prices were on the upswing for the fifth consecutive month, increasing 0.1%. The cost of chicken jumped 4.8%; eggs were also pricier.

Overall, however, inflationary pressures may be leveling off, giving consumers a bit more room to spend during the upcoming holiday season.

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Farmers markets double, local food sales to hit $7 billion, USDA says

Locally produced foods could pull in $7 billion this year, according to a new U.S. Department of Agriculture report.

Whether sold directly to consumers through farmers markets, roadside stands or middlemen such as supermarkets or restaurants, the market for food grown nearby is growing fast. The industry hit $4.8 billion in sales in 2008, according to the report.

Sales made straight from farms to buyers doubled in two decades to $1.2 billion from $650 million in the 1990s, according to the report. Local food sold through intermediary retail channels pulled in $2.7 billion.

The surge may coincide with increasing interest in healthful eating and artisan cooking, trends that have encouraged major companies such as Burger King and Domino’s Pizza to focus on fresh ingredients.

The USDA found that more than 80% of local food producers are small farms making less than $50,000 in gross annual sales. But large farms pulling in $250,000 or more, which represent 5% of the farms with local food offerings, account for in 92% of the associated revenue.

Demand is strongest in metropolitan areas, especially in the Northeast and on the West Coast. The number of farmers markets doubled to 5,274 nationally in 2009 from 2,756 in 1998, according to the report.

The USDA also believes that farms may be hiring more staffers to support their local food efforts.

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Photo: The City Market in Kansas City, Mo. Credit: Ed Zurga / Associated Press

For housewives, starring Housewives: Reality TV tabloid to launch

Add reading to the Situation’s gym-tan-laundry list: The publisher of the National Enquirer and Star plans to launch a magazine devoted solely to covering reality television.

The glossy, photo-heavy Reality Weekly, produced by American Media Inc., will hit newsstands in January. It’s a dream come true for Kim Kardashian, Paris Hilton and other tube-based talents who will no longer have to vie with movie stars for printed space.

And at $1.79 an issue, the publication aims to be cheaper than competitors such as People and Us Weekly. Reality Weekly will be offered at the same newsstands at grocery stores and retail chains such as Wal-Mart, Kmart and Rite Aid, with an expected circulation of 250,000 to 450,000, the company said.

The magazine will feature segments such as the “Biggest Fights of the Week,” recapping on-air brawls, and a roundup of bikini-clad stars called “Hottest Shots of the Week.”

American Media is keeping production costs low, basing the magazine out of its existing New York headquarters and asking the current staff to do double duty. Richard Spencer, the editor in chief of OK magazine’s U.S. edition, will also serve as editor in chief of Reality Weekly.

Meanwhile, magazines focusing on the real world instead of "Real World" are struggling.

Newsweek is scrapping its 27-year-old political series this election season as it attempts to deal with a faster news cycle and tightening budgets, according to the New York Times. The magazine, whose circulation plunged nearly 32% last year, would publish long-form profiles of presidential campaigns.

Even the top-ranked magazine by circulation, AARP The Magazine, saw its numbers slip 3% in 2010 to 23.7 million. Fourth-ranked Reader’s Digest slipped nearly 24% to 5.8 million, according to the MPA magazine association.

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Photo: A prototype cover of Reality Weekly. Credit: American Media Inc.

All major global economies headed for slowdown: OECD report

Every major global economy, including China, Russia and the United States, is headed for a slowdown, according to a new report from the Organization for Economic Cooperation and Development.

The Paris-based group tracked composite leading indicators -– which predict economic turning points -– and found that growth levels around the world are set to drop for the seventh straight month.

The Eurozone has been plagued by a debt crisis and political upheaval. On Sunday, economist Mario Monti took over from Silvio Berlusconi as Italy's prime minister amid hopes that a new government will implement austerity measures encouraged by the European Union.

George Papandreou, stepped down as prime minister of Greece last week and was replaced days later by banker Lucas Papademos, who inherited an unpopular bailout plan designed to keep the country from teetering into default.

In such an unstable environment, the OECD's indicators hit their lowest overall level since 2009, slipping to 100.4 in September, from 100.9 in August. Any figure above 100 represents a long-term trend of economic activity.

Economic expansion in the U.S. is losing momentum, down to 101.2 from 101.5 a month earlier, according to the report. Germany is bound for the biggest slide, down to 99.1 from 100.4, it said
At 97.5, Italy has the report's lowest score in Europe, and worldwide, it is higher than only Brazil's 94 and India's 93.8.

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Photo: The flags of Italy, center, and the European Union, right, fly from the Quirinale palace, the office of Italy's president, in Rome. Credit: Alessia Pierdomenico / Bloomberg

Starbucks adds juice, prepares to launch health chain

How’s this for a switcheroo: Now that Jamba Juice is offering coffee, Starbucks Coffee Co. is about to start serving up juice.

The coffee king on Thursday finalized its $30-million purchase of San Bernardino-based Evolution Fresh Inc., an artisanal fruit and vegetable juice maker created by Jimmy Rosenberg, the founder of Naked Juice.

Starbucks said it would begin offering juices, made with a process called high-pressure pasteurization, from the company in stores. 

But the purchase, Starbucks’ attempt to “reinvent the $1.6-billion super-premium juice segment,” is just a stepping stone into the $50-billion health and wellness sector, the company said Thursday.

To that end, Seattle-based Starbucks said it would launch a separate and still-unnamed health and wellness chain in early to mid-2012, though details are still scant.

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Photo: Starbucks said it would begin offering juices from Evolution Fresh. Credit: Amy Sancetta / Associated Press

Price of Thanksgiving dinner up 13%, biggest jump in two decades

Diners might not be in a thankful mood as they sit down in a few days to a Thanksgiving dinner that cost 13% more than it did last year.

The price of a classic holiday meal for 10 people will hit $49.20, jumping from $43.47 in 2010, the American Farm Bureau Federation said Thursday. That's the highest increase since 1990, as the cost of sweet potatoes, rolls, stuffing and even whipped cream spiked this year.

Bad weather, rising commodity prices and other factors have caused a run-up in food and beverage prices over the last few months.

On Nov. 24, a 30-ounce can of pumpkin pie mix will cost 16% more than it did last year, the farm group said. A pound of frozen green peas will be 17% more expensive, while a the cost of a gallon of whole milk will jump 13%.

But the biggest increase will be the turkey -– a 16-pound bird is expected to run about $21.57, or 22% more than in 2010. Economists with the farm group pegged the leap to strong demand in the U.S. and abroad.

"Retailers are being more aggressive about passing on higher costs for shipping, processing and storing food to consumers," John Anderson, a senior economist with the group, said in a statement.

The report, which the federation says is "an informal gauge of price trends around the nation," is the its latest in a series that began in 1986. Back then, a Thanksgiving meal cost $28.74.

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Photo credit Credit: Kirk McKoy / Los Angeles Times

Dr. Wal-Mart: May offer more primary healthcare, seeks partners [UPDATED]

It’s not enough to be a clothing store, grocer, pharmacy, auto servicer and more. It looks as if Wal-Mart Stores Inc. now plans to play doctor too.

The largest retailer in the country recently sent out a request for information to potential partners to help it offer a range of medical services without the traditionally steep prices.

In the 14-page document, Wal-Mart said that it “intends to build a national, integrated, low-cost primary care healthcare platform that will provide preventative and chronic care services … in an affordable and accessible way.”

Among the areas Wal-Mart is exploring: HIV management, obesity and arthritis monitoring, depression care, pregnancy and STD testing, drug screening, physical exams and even stress and sleep help.

Wal-Mart said it would select partner vendors for clinical care, diagnostic and preventative services, health and wellness products and more by mid-January.

[Update 2:30 p.m.: After the document went public, Wal-Mart released a statement distancing itself from the proposal.

“The RFI statement of intent is overwritten and incorrect," said Dr. John Agwunobi, president of Walmart U.S. Health & Wellness. "We are not building a national, integrated, low-cost primary care health care platform.”]

All this not long after Wal-Mart said that it would no longer give new part-time employees health insurance benefits.

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Dr. Wal-Mart: May offer more primary healthcare, seeks partners

It’s not enough to be a clothing store, grocer, pharmacy, auto servicer and more. It looks as if Wal-Mart Stores Inc. now plans to play doctor too.

The largest retailer in the country recently sent out a request for information to potential partners to help it offer a range of medical services without the traditionally steep prices.

In the 14-page document, Wal-Mart said that it “intends to build a national, integrated, low-cost primary care healthcare platform that will provide preventative and chronic care services … in an affordable and accessible way.”

Among the areas Wal-Mart is exploring: HIV management, obesity and arthritis monitoring, depression care, pregnancy and STD testing, drug screening, physical exams and even stress and sleep help.

Wal-Mart said it would select partner vendors for clinical care, diagnostic and preventative services, health and wellness products and more by mid-January.

Company spokeswoman Tara Raddohl confirmed that Wal-Mart had sent out the request but added that the announcement is “certainly not indicating we are offering medical services beyond our current Clinic operations.”

All this not long after Wal-Mart said that it would no longer give new part-time employees health insurance benefits.

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Bud Light Platinum coming, says Anheuser-Busch as U.S. sales slip

Bud Light Platinum, a long-germinating beer concept from Anheuser-Busch InBev that’s not quite Bud Light and not really Budweiser, will finally hit stores in January.

Belgium-based Anheuser-Busch, the world’s largest brewer, said Wednesday that the new beer “appeals to a key group of beer drinkers and expands consumer occasions.”

Platinum would have 6% alcohol by volume and 137 calories. Top-selling Bud Light, by comparison, has 4.2% ABV and 110 calories while Budweiser has 5% ABV and 145 calories.

Some beer enthusiasts suggest that Platinum is Anheuser-Busch’s attempt to take advantage of growing interest in craft beers, whose popularity has also sparked a recent boom in beer gardens and micro-breweries.

As overall U.S. beer sales by volume slipped 1% last year, the craft beer industry grew by 11%, according to the Brewers Assn. trade group.

But in a post on BeerAdvocate.com, Todd Alstrom postulates that Platinum may turn out to be a “faux-spirit infused beer” such as Bud Light flavored with the taste of tequila.

The Alcohol and Tobacco Tax and Trade Bureau has already approved a proposed blue and gray label that evokes the existing Bud Light label, according to Advertising Age magazine.

Anheuser-Busch isn’t the only beverage maker changing its product line.

Coca Cola Co. made a splash this fall when it said, in a company first, that it would temporarily turn 1.4 billion classic red cans white to raise awareness for deteriorating polar bear habitats. To tap into rising interest in eco-friendly products, Coke and PepsiCo revealed new bottles this year that the companies said were made from “plant-based” sources.

Anehuser-Busch also said Wednesday that its North American beer sales slipped 3.2% in the third quarter and that it had to increase its prices by an average of 3%.

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Photo: New Bud Light Platinum label. Credit: Alcohol and Tobacco Tax and Trade Bureau

Californians pessimistic about economy, plan lighter holiday spending

The vast majority of California residents say the state is on the wrong track, with an economy that they consider to be just fair or poor with no signs of recovering.

Nearly 9 in 10 say that job opportunities aren’t good and almost half say that those living in California are worse off than people in other states, according to a new report from Citibank.

Still, 63% believe that the state is an excellent or at least good place to reside, according to the survey.

But that doesn’t mean they’re shielded from recessionary winds. Nearly 60% said they’ve forever changed their spending and saving habits. Nearly three-quarters are eating out at restaurants less, with two thirds avoiding premium foods and other gourmet offerings.

More than 70% have backed off credit card purchases, and nearly the same number are now using coupons. Four in 10 Californians have shaken up their living situation to save money.

During the holiday season, only 12% plan to spend more money than they did last year.

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Photo: Tim Boyle / Getty Images

Yelp hires Goldman Sachs and Citigroup to lead IPO

Online review site Yelp Inc. is moving closer to an initial public offering, hiring Goldman Sachs Group Inc. and Citigroup Inc. of head up the effort, according to reports Tuesday.

The San Francisco service would follow the path of Groupon Inc., which raised more than $700 million in its offering last week, according to people briefed on the situation and quoted by the New York Times.

Yelp launched in 2004 and had 63 million visitors in August reading more than 22 million local reviews. The company makes money by selling ads to neighborhood businesses.

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Gold once again pushing $1,800 an ounce

Eurozone instability has the price of gold back to flirting with $1,800 an ounce, with the spot price closing at $1,797.60 on Monday.

After more than six weeks below the mark, the metal’s sudden resurgence last week has analysts once again on the lookout for possible momentum toward $2,000 an ounce.

But $2,000 is “a big psychological number,” said James Steel, chief commodities analyst for HSBC. The closest gold’s gotten to breaking through is when it soared to $1,88.70 an ounce Aug. 22.

Since then, the metal’s price flattened as stocks plummeted, reaching $1,592.70 an ounce Sept. 26. Analysts suspected that investors were selling as much as they could to raise cash.

October and the first week of November brought a steady stream of concerns over the debt crisis in Greece and Italy, causing gold to shift back to its classic role as a haven in times of turmoil.

With pressure on Italian Prime Minister Silvio Berlusconi to resign and Greek Prime Minister George Papandreou’s weekend ouster, analysts believe gold will hold above $1,800 for months.

“It’s going to last for some time and be the driving force for the market for the rest of the year,” Steel said. “Gold’s gone back to behaving more normally.”

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Photo: Reuters / Mike Segar