F&D Reports / FDARMS Releases Foodservice Year-End Review

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Report Outlines the Changing Landscape of the Foodservice Distribution Channel

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At some point more players are going to be faced with throwing the keys on the table rather than treading water.

Industry-leading credit consulting firm Information Clearinghouse, Inc. (ICI), through its F&D Reports division and sister company FDARMS, announces the release of its Foodservice Year-End Review, evaluating current trends in the foodservice distribution industry and examining some of the largest players in the sector as presented in its Top 50 ranking.

Foodservice growth has been relatively stagnant in recent years, and most industry experts do not expect a significant turnaround in the year ahead. The industry continues to anxiously await the FTC’s decision on the proposed Sysco/US Foods mega-merger that could change the foodservice operating landscape as we know it; the merger is rightfully facing intense scrutiny, as it would create a $65.00 billion giant controlling over a quarter of the $235.00 billion foodservice distribution market. Furthermore, fierce price competition, growing cost inflation, changes in health care requirements, and increases to the minimum wage remain ongoing issues.

In addition to the annual Top 50 distributor list based on sales, the Foodservice Year-End Review provides a closer look at significant industry players, including Sysco, US Foods, Performance Food Group, Gordon Food Service, Reinhart Foodservice, Maines Paper and Food Service, Ben E. Keith Company, Services Group of America, Shamrock Foods Company and Cheney Bros. The report also outlines industry merger and acquisition activity in 2014, with particular attention to the details of the Sysco/US Foods deal, including an outline of the pre- and post-merger landscape.

Commenting on the report, Lawrence Sarf, CEO of ICI, stated, “The foodservice sector is front-and-center for the food industry in the months ahead. Everybody wants to know what the new Sysco/USF business plan will look like and how that is going to impact all the other ‘small’ guys across the country. There simply has to be fallout, the question is how much and who. Additionally, the restaurant sector remains well down the economic recovery curve, and at some point more players are going to be faced with throwing the keys on the table rather than treading water. Our latest Year-End Review provides the context needed to avoid being caught by surprise.”

Information Clearinghouse, Inc. (publisher of F&D Reports, Creditntell, and ARMS) is a leading retail credit consulting firm specializing in the analysis of public and private companies in numerous retail segments. The focus of its analysis is to deliver the key intelligence today's busy credit executive needs to make a highly informed decision without sifting through pages of non-essential data. To learn more, visit our websites at http://www.fdreports.com, http://www.creditntell.com, http://www.fdarms.com.

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Robert Marzo
F&D Reports
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