Danone

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Danone
Société anonyme
Traded as Euronext: BN
OTCQX: DANOY
Industry Food processing
Founded Barcelona, Spain
(1919; 105 years ago (1919))
Headquarters Boulevard Haussmann
9th arrondissement, Paris, France
Key people
 Franck Riboud (Chairman of the Board), Emmanuel Faber (Vice-Chairman and CEO)
Products Dairy products, Bottled water, Early life nutrition, Medical nutrition
Revenue €21.144 billion (2014)[1]
€2.662 billion (2014)
Profit €1.561 billion (2014)[1]
Total assets €30.92 billion (end 2013)[1]
Total equity €10.69 billion (end 2013)[1]
Number of employees
 98 236 (end 2014)[1]
Website www.danone.com

Danone is a French multinational food-products corporation based in Paris. It has four business lines: Fresh Dairy products,[2] Waters, Early Life Nutrition and Medical Nutrition. In the United States it is marketed as the Dannon Company. The company is a component of the Euro Stoxx 50 stock market index.[3]

In 2014, Fresh dairy products represent 52% of the group's total sales, Early Life Nutrition 21%, Waters 20% and Medical Nutrition 7%.[4]

Danone has been criticized by journalists and at least one nonprofit for unethical marketing of infant formula in Turkey[5] (Independent), Indonesia[6] (The Guardian), and China[7] (Save the Children).

History

Name

The original company bearing the corporate name was founded in 1919 by Isaac Carasso, a Sephardi Jewish migrant from Salonica, in Barcelona, Spain as a small factory producing yoghurt. The brand was named Danone after Danon, the nickname of his son Daniel Carasso.[8]

Ten years later, the company moved from Spain to neighboring France, and its first French factory was built. During the German occupation, Daniel moved the company to New York to avoid persecution as a result of his Jewish faith. In the United States, Daniel partnered with the Swiss-born Spaniard Joe Metzger and changed the brand name to Dannon to sound more American.

In 1951, Daniel Carasso returned to Paris to manage the family's businesses in France and Spain, and the American business was sold to Beatrice Foods in 1959; it was repurchased by Danone in 1981.[9] In Europe in 1967, Danone merged with Gervais, the leading fresh cheese producer in France, and became Gervais Danone.

Glassmaking tradition

Another branch of the Groupe Danone descended from industrial glassmaker Boussois-Souchon-Neuvesel (BSN), which was founded by the family of Antoine Riboud. After a failed attempted takeover battle for its larger rival Saint-Gobain, Riboud transformed it into one of Europe's leading food groups in the 1970s through a series of acquisitions and mergers, including the 1973 merger with Gervais Danone.

Strategic reorientation

Danone factory in Bieruń, Poland

The acquisitions initially took the shape of vertical integration, acquiring Alsatian brewer Kronenbourg and Evian mineral water who were the glassmaker's largest customers. This move provided content with which to fill the factory's bottles.[10] In 1973, the company merged with Gervais Danone and began to expand internationally. In 1979, the company abandoned glassmaking by disposing of Verreries Boussois. In 1987, Gervais Danone acquired European biscuit manufacturer Général Biscuit, owners of the LU brand, and, in 1989, it bought out the European biscuit operations of Nabisco.[11]

In 1994, BSN changed its name to Groupe Danone, adopting the name of the group’s best-known international brand. Franck Riboud succeeded his father, Antoine, as the company's chairman and chief executive officer in 1996 when Riboud senior retired. Under Riboud junior, the company continued to pursue its focus on three product groups (dairy, beverages, and cereals) and divested itself of several activities which had become non-core.

The research center of Danone in the business cluster of Paris-Saclay, France.

In 1999 and 2003, the group sold 56% and 44%, respectively, of its glass-containers business. In 2000, the group also sold most of its European beer activities (the brand Kronenbourg and the brand 1664 were sold to Scottish & Newcastle for £1.7 billion;[12] its Italian cheese and meat businesses (Egidio Galbani Spa) were sold in March 2002;[13] as were its beer producing activities in China. The company's British (Jacob's) and Irish biscuit operations were sold to United Biscuits in September 2004.[14] In August 2005, the Group sold its sauces business in the United Kingdom and in the United States (HP Foods),[15] in January 2006, its sauces business in Asia (Amoy Food) was sold to Ajinomoto.[16] Despite these divestitures, Danone continues to expand internationally in its three core business units, emphasising health and well-being products.[17]

In July 2007, it was announced that Danone had reached agreement with Kraft to sell its biscuits division, including the LU and Prince brands, for around €5.3 billion.[18] Also in July 2007, a €12.3 billion cash offer by Danone for the Dutch baby food and clinical nutrition company Numico was agreed to by both boards,[19] creating the world's second largest manufacturer of baby food.

In 2012, Danone Group got more bad financial exposure than its rivals which more than a half Danone sales came from Europe and about 38 percent came from West Europe. In mid-February 2013 Danone Group announced to cut 900 jobs or about 3.3 percent of their 27,000 Europe workforce.[20]

In November 2014, Danone announced it was considering the sale of its 20 percent stake in Japan’s Yakult worth around $2 billion.[21]

Protecting Danone

Due to its narrow focus and relatively small size, Danone is potentially an attractive takeover target for its competitors, namely Nestlé and Kraft Foods. In mid-July 2005, the share price of Danone rose 20% within two weeks on rumours of a bid approach by PepsiCo, although this intention was denied.[22] Upon realising that a takeover of a national treasure such as Danone by a foreign company was indeed possible in the capital markets, the "economically patriotic"[23] French government stepped in by drafting a law to protect companies in "strategic industries" such as Danone[24] from takeover. This has been dubbed the "Danone Law".[25]

Speculation was renewed once again in mid-2006, when PepsiCo declared its intention to grow significantly in France through a sizeable non-hostile acquisition,[26] and Kraft was also reported in Le Figaro, a French daily newspaper, as not having ruled out an acquisition on French soil.[27] The stock market apparently marked down the possibility of a bid by PepsiCo following Danone's acquisition of Numico.[28]

Corporate governance

Danone head office

Danone's Change in Governance

On 2 September 2014 Danone’s Board of Directors voted to separate the functions of Chairman and CEO:[29]

- Chairman of the Board of Directors of Danone: Franck Riboud

- CEO: Emmanuel Faber

The Board of Directors

As of 12 December 2014 the 15 members of the Board of Directors and the Secretary of the Board of Directors are as follows :

  • Franck Riboud - Chairman of the Board of Directors of Danone
  • Emmanuel Faber - Vice-Chairman of the Board of Directors and CEO of Danone
  • Bruno Bonnell - Chairman of I-VOLUTION
  • Richard Goblet d'Alviella - Executive Chairman of Sofina SA
  • Jacques-Antoine Granjon - Chairman and Chief Executive Officer of Vente-privée.com
  • Marie-Anne Jourdain - Director representing Danone's employees
  • Jean Laurent - Lead Independent Director of Danone and Chairman of the Board of Directors of Foncière des Régions
  • Gaëlle Olivier - Chief Executive Officer, AXA Asia General Insurance
  • Benoît Potier - Chairman and Chief Executive Officer of L'Air Liquide SA
  • Isabelle Seillier - Head of Financial Institutions EMEA of J.P. Morgan
  • Mouna Sepehri - Executive Vice-President of Renault
  • Jean-Michel Severino - Head of I&P SARL (Investisseurs & Partenaires)
  • Virginia A. Stallings - Professor of Pediatrics at Children's Hospital of Philadelphia
  • Bettina Theissig - Director representing Danone's employees
  • Lionel Zinsou-Derlin - Chairman of PAI Partners SAS
  • Laurent Sacchi - Company Secretary of the Board and Executive Vice-President Chairman's Office

The Executive Committee

As of 20 February 2015 the members of the Executive Committee are as follows:[30]

  • Emmanuel Faber - Vice-Chairman of the Board of Directors and CEO of Danone, appointed to the Executive Committee in 2000
  • Bertrand Austruy - General Secretary, appointed to the Executive Committee in 2015
  • Marc Benoît - Executive Vice President, Human Ressources, appointed to the Executive Committee in 2014
  • Cécile Cabanis - Chief Financial Officer, appointed to the Executive Committee in 2015
  • Francisco Camacho - Executive Vice President, Waters, appointed to the Executive Committee in 2011
  • Felix Martin Garcia - Executive Vice President, Early Life Nutrition, appointed to the Executive Committee in 2008
  • Flemming Morgan - Executive Vice President, Medical Nutrition, appointed to the Executive Committee in 2009
  • Jean-Philippe Paré - Executive Vice President, Research and Development, appointed to the Executive Committee in 2011
  • Pierre-André Térisse - Executive Vice President Africa, appointed to the Executive Committee in 2008
  • Gustavo Valle - Executive Vice President, Fresh Dairy Products, appointed to the Executive Committee in 2015

Head office

Danone has its head office in the 17 Boulevard Haussmann building in the 9th arrondissement of Paris.[31] Previously the company's head office and its 500 employees were located in several buildings on Rue de Téhéran in the 8th arrondissement of Paris.[32][33] In 2002 the head office moved to its current location. Frank Riboud, the Danone CEO, stated that the company remained in central Paris so the lives of the employees would not be disrupted too much.[33]

Main brands

File:Danone dairy brand logo.svg
Danone Dairy Brand logo.

In 2014, Danone's main brands are:[34]

Fresh Dairy products

  • Danone - Dannon (US)
  • Activia
  • Actimel
  • Yocrunch
  • Danette
  • Taillefine - Light & Fit (US)
  • Danonino - Danoninho (Brazil)
  • Veloute
  • Gervais
  • Danacol
  • Densia
  • Danio
  • Prostokvashino
  • Oikos - Griego (Chile)
  • Stonyfield

Early Life Nutrition

  • Blédina
  • Laboratoire Gallia
  • Milupa
  • Malyutka
  • Cow&Gate
  • Bebelac
  • Bebiko
  • Bebilon
  • Karicare
  • Nutrilon - Aptamil
  • SGM
  • Dumex ...

Waters

  • évian
  • Volvic
  • Badoit
  • Aqua
  • Mizone
  • Font Vella (Spain)
  • Villa del Sur (Argentina)
  • Bonafont (Mexico)
  • Żywiec Zdrój (Poland)
  • Agua Salus (Uruguay)

Medical Nutrition

  • Fortisip
  • Neocate
  • Nutrison
  • Nutilis
  • Complan
  • Souvenaid

Joint ventures

Global locations of Groupe Danone factories

Danone has adopted a strategy of growth through joint ventures, particularly in fast-growing emerging markets, because it lacked the management depth and size to grow quickly. In its markets, Danone has built an attractive portfolio in emerging markets over the past 10 years which represents 30% of its sales.[35]

Danone has continued to pursue this strategy and has recently signed joint ventures with companies such as Al Safi in Saudi Arabia (2001),[36] Yakult in India (2005) and Vietnam (2006), Alquería in Colombia (2007), and Mengniu in China (2006).[35]

Danone has been having problems with some of its other joint ventures, notably its joint venture with Hangzhou Wahaha Group (1996) and Britannia Biscuits in India (1995), which have been in high-profile disputes since early 2007 and 2006, respectively. Danone filed for arbitration with Britannia Biscuits in the Bombay High Court on 29 June; arbitration with the Wahaha Group was accepted in Hangzhou on 17 June 2007.

Bangladesh

In 2006, the Grameen Group and Groupe Danone form a company called Grameen Danone Foods - a social business in Bangladesh.[37] Grameen Danone Foods Ltd. produces a yoghurt called Shokti Doi containing protein, vitamins, iron, calcium, zinc and other micronutrients aimed to fill nutritional deficits of children in Bangladesh.

India

Under the 1995 joint venture agreement to acquire Britannia Industries, Danone agreed not to launch food brands within India without the consent of the Wadia family.[38] The partners also agreed on a right of first refusal to the other partner in the event of the other wishing to exit.[39]

In light of frustrations with the growth and marketing strategy in India, Danone initiated plans to independently invest in an Indian dairy subsidiary. In May 2007, Nusli Wadia told the Ministry of Commerce and Industry that Danone invested in Avesthagen, a Bangalore-based bio-nutrition company, in October 2006 in violation of the government's Press Note 1, 2005, which requires a foreign company to obtain the consent of its Indian joint venture partner before pursuing an independent business in a similar area, including joint ventures based purely on technical collaboration. Danone argued that Press Note 1 did not apply to it as it did not have a formal technology transfer or trademark agreement with Avesthagen, and that its 25% holding in Britannia was indirect.[40] Wadia also filed a case in the Bombay High Court for a breach of a non-compete clause in the contract. The court ordered Danone not to alienate, encumber, or sell shares of Avesthagen.[41]

In September 2007, the Foreign Investment Promotion Board of India rejected Danone's claims that it does not need a non-compete waiver from the Wadias in order to enter into business in India alone.[42]

Israel

In March 1996 Danone signed an agreement to purchase 20 percent of the Strauss Group, Israel's second largest food manufacturer. Under the agreement, Danone purchased about 20% of Strauss Dairies (today Strauss Health division) in Nahariya. Since the 1970s, Strauss Dairies had a series of partnership and knowledge agreements with the Danone Group.[43]

Pakistan

Danone acquired a 49.5% share in Pakistan's Continental Biscuits Limited in 1984. As part of Kraft's takeover of Danone biscuits division, this stake subsequently transferred to Kraft Foods Singapore.

China

Bright Dairy

In 2001, Danone acquired a 5% stake in Bright Dairy and, in March 2005, doubled its shareholding,[44] and again, to 20%, in April 2006, becoming the third largest shareholder after Shanghai Milk Group and S.I. Food, each holding 25.17%.[45] Danone and Bright set up a 50–50 yoghurt joint venture in 1992. Danone licensed Bright Dairy to produce and market products inside China using Danone brands. The joint venture underwent a stake-diversification reshuffle and went public in 2000.[46]

Shortly after increasing its stake, Danone's plans were upset when the Shanghai government announced it was to consolidate the city's food and beverages market by merging Shanghai Bright Dairy Group, the holding company for Bright Dairy, with Shanghai Sugar Tobacco Wine Co., Shanghai Agriculture Industry and Commerce Group and Jinjiang Food. The new conglomerate, named Bright Foods, would be managed by the Shanghai local administration and the State-owned Assets Supervision and Administration Commission.[45]

The parties announced in October 2007 that Danone would divest its stake by selling it to the other two main shareholders at a small profit.[46] Bright Dairy said Danone would pay 330m yuan (€31m) to terminate the existing distribution and production agreement with it.[47]

Wahaha

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Main article: Wahaha Joint Venture Company

The Hangzhou Wahaha Group, the largest beverage producer in China,[48] and Danone entered into a dairy products joint venture in 1996, in which Danone held 51%. It was hailed by Forbes magazine as a "showcase" joint venture.[49]

As the businesses expanded and became more complex, Danone made several attempts to take a stake in the Wahaha companies external to the joint venture, but was rebuffed by Wahaha's General Manager Zong Qinghou.[50] Danone and Zong Qinghou had signed a deal in December 2006 allowing Danone to buy a majority stake in these non-JV operations. However, Zong had second thoughts about the deal and reneged, claiming the offer was underpriced and held out for a higher price from Danone.[51]

The dispute took on the shape of a trademark dispute, and Danone filed for arbitration in Stockholm on 9 May 2007.[46] On 4 June,[52] Danone filed suit in Los Angeles Superior Court against Ever Maple Trading and Hangzhou Hongsheng Beverage Co Ltd, companies controlled by Zong, his wife, and daughter.[53]

Philippines

In the Philippines, Danone has partnered with the Filipino food and beverage company Universal Robina to bring the newest innovation in the beverage industry, the beverage company called Danone Universal Robina Beverages, Inc. (a joint venture between URC and Danone).[54]

Marketing

  • In the 1970s, the company aired a television advertisement entitled "In Soviet Georgia" in the United States over a period of many years.
  • On 20 April 2009, Danone opened its first-ever retail operation, a 300 square meter restaurant / store / small museum, in Barcelona, Spain.[55]

Danone Institute

The Danone Institute is a non-profit organization established in 1991, to promote research, information and education about nutrition, diet and public health.[56]

The first Danone Institute was founded in France in 1991 by Danone Group.[57] The company decided to develop and spread knowledge about nutrition and diet, and was seeking to encourage research on these fields.

Danone Group therefore wanted to create an independent and transparent non‐profit association to promote public health.[58] The company set up its first Institute in 1991 in Paris (France).[58] Danone Group brought together international eminent scientists, nutritional experts, educational professionals and Danone representatives.[58]

Nowadays, the Danone Institute still gathers nutrition scientists together toward education goal for a healthier tomorrow.[56] The president is an independent scientist.[58]

The Danone Institute focuses on research. It supports researchers or research teams in the fields of nutrition, diet and health.

Among its purpose, the Danone Institute aims at increasing nutrition knowledge among medical professionals, educators and parents.[56] The goal is to develop programs which address local population health and nutrition issues.[56]

This organization is devoted to noncommercial activities,[56] and is free to use funds provided by the group as it wishes.[58]

Danone Institutes around the world

Little by little, Danone Group opened several Danone Institutes around the world and set up an international network of local institutes.[56]

18 institutes currently exist around the world.[56] They are located in Belgium, Canada, China, Czech Republic, France, Germany, Indonesia, Israel, Italy, Japan, Mexico, Poland, Russia, Spain, the United States, Turkey...[57]

They operate under the aegis of the Danone Institute International.[58] The Danone Institute International is responsible for steering the network, and encouraging a continual exchange between the various countries.[58]

Today, more than 200 renowned experts in diet and nutrition are involved in this international network.[57]

Each institute is composed of a board of directors and a scientific council.[56] Each board includes 8 members.[56] The board members are responsible for setting the strategic direction and budget for the organization.[56] The scientific council that is composed of from 6 to 10 members, takes future programmatic decisions.[56]

The institutes develop educational programs in their countries to deal with local health and nutrition issues.[56] Each institute therefore develops its own program in order to be relevant in their environment.[57] For instance, the Czech Danone Institute provides a fund to support research, development and education in nutrition, and scholarships abroad.[59]

Each local Danone Institute develops specific programs including:[57]

  • Support research programs : scholarships, grants, awards, prizes
  • Publications of research findings relating to health and nutrition
  • Organization of scientific conferences
  • Publication of newsletters and books for professionals (e.g., health care professionals, educators, journalists)
  • Organization of workshops, training and educational sessions for professionals
  • Production of pedagogic material, booklets, television and radio programs, PC games for parents, children...
  • Spread the knowledge to the public

Throughout the world, the Danone Institutes continue to be non-profit organizations.[57]

The Danone Institutes gather internationally renowned scientists in diet and nutrition from independent organizations (e.g.: universities, research centers).[57] They are independent from Danone Group and do not have any commercial objective. Publications remain scientific and not commercial.[57]

From 1991 to 2006, more than 40 prizes and awards have been attributed for more than €600,000. Over 140 events have gathered more than 30,000 health care professionals. And 75 publications have been published. More than 70 programs towards the public have been organized.[57]

To date, Danone Institutes have funded more than 900 research projects.[57] This represents a global budget of €16 million.[58] They have set up dozens of educational programs. 100 symposia have been launched.[58]

Danone Institute International

The Danone Institute International was established in 2004 to gather together the 18 Danone Institutes. Its goal is to develop large-scale international programs. It also aims at encouraging the sharing of the knowledge between the local institutes. It facilitates cooperation, collaboration and exchange between scientists.[56]

Danone Institute International is a non-profit organization[60] originally established with funding from Groupe Danone. The association promotes the exchange of information related to the relationship between diet, nutrition and health.[61]

The Danone Institute International comprises more than 220 scientific experts, and may be considered as a think tank. This international network gathers renowned scientists from various fields such as clinical nutrition, pediatric medicine, microbiology, gastroenterology, psychology...[56]

The Danone Institute International produces publications, supports research via grants, programs and a prize. The DII also organizes international conferences and symposia.[56]

The Danone International Prize For Nutrition is a cornerstone in the work of the Danone Institute International.[58][61]

Danone International Prize for Nutrition

The Danone International Prize for Nutrition is an award established in 1997 by the Danone Institute International, presented every two years to honour individuals or teams that have advanced the science of human nutrition.

The prize aims at encouraging nutrition research and promoting the public's understanding of the importance of this field.

This award is considered as a Nobel prize for nutrition. It is modeled after renowned scientific awards and is one of the most respected awards within the field of nutritional research.[62] Many leading scientists received this award, that recognizes their accomplishments.

The Danone International Prize for Nutrition is worth €120,000 - approximately $163,000. The prize is awarded every two years by the Danone Institute International and organized with the support of the French organization Fondation pour la Recherche Médicale.[60][63]

The Danone International Prize for Nutrition recognizes a single researcher or a research team as leading a major step in nutrition, developing novel concepts, including research fields with potential application for populations.[63]

The jury consists of up to 9 members including one member of the Fondation pour la Recherche Médicale. 50% of the jury members come from the Danone Institute International or the Danone Institutes. The jury selects one winner by a secret vote. In case of a tie, the Chair’s vote counts as two votes.[63]

Competition is tough. For instance, the Danone Institute International selected in 2007 Dr. Friedman through a process involving more than 650 applicants worldwide.[62] Candidates must be employed by a not-for-profit institution and actively involved in research.[63] Laureates are chosen after an independent and international selection procedure.[60]

Prize winners:

Global Summit on the Health Effects of Yogurt

In 2012, the Danone Institute International in collaboration with the American Society for Nutrition (ASN) organized an international working group to examine the health effects of yogurt. They communicated their scientific conclusion to health care professionals and the public.[68] One year later, the ASN and the Danone Institute International joined forces to launch the first Global Summit on the Health Effects of Yogurt.

This event aims at evaluating the state of science as concerns yogurt consumption and public health.[69]

The first summit took place in 2013 in Boston. It featured international experts in medicine and nutrition.[69] Since that time, summits have been held every year.[68]

Yogurt in Nutrition Initiative for a balanced diet

In 2013, the Danone Institute International, the American Society for Nutrition (ASN) and the Nutrition Society (NS) launched the Yogurt in Nutrition Initiative for a balanced diet. This program aims at examining the health effects of yogurt, encouraging research around yogurt as part of a healthy diet and communicating scientific information toward health care professionals and the public.[70]

Through this project, the Danone Institute International plans to organize worldwide conferences to share researchers' findings.[70] From 2013, the Yogurt in Nutrition Initiative for a balanced diet co-organizes every year Global Summit on the Health Effects of Yogurt.[71]

The Danone Institute International in collaboration with the American Society for Nutrition and the International Osteoporosis Foundation also organizes the Yogurt in Nutrition Award. This prize is offered by the Yogurt in Nutrition Initiative for a balanced diet. This award, valued at USD 30,000, supports projects focused on the role of yogurt in the prevention and management of diseases. It finances research programs for 2 years. It recognizes individuals or research teams from public organizations, universities or hospitals.[72]

Controversies

China

In October 2012, a Save the Children survey was conducted in the cities of Hohhot, Beijing, Jinan, Shanghai, Nanjing, and Shenzhen. Sixty mothers of infants 0–6 months were interviewed in each city. 40% of the mothers interviewed said they had received formula samples. Of these, 60% were provided by company representatives, and over one-third by healthcare workers. The mothers reported that samples were provided by (in order of frequency): Dumex (Danone), Enfamil (Mead Johnson), Wyeth, Abbott, Nestlé, Friso, Ausnutria and Bei-yin-mei.[7] The overall 2013 Save the Children report which includes this 2012 survey states, "If new mothers are given free samples to feed to their babies it can start a vicious circle that undermines their own ability to breastfeed. An infant satiated with formula may demand less breast milk, so the mother produces less, and that can result in her losing confidence in her ability to breastfeed."[7]

Indonesia

In February 2013 The Guardian reported that up until 2011, Danone subsidiary Sari Husada had midwives sign contracts to receive financial payments for selling a certain number of boxes of baby formula. According to Danone, this no longer happens, and has been replaced by a scheme which runs training for midwives. However, the main difference appears to be a change from cash to merchandise such as televisions or laptops, and often including items which are needed in the midwives' practices, such as oxygen canisters, TENS machines, and nebulisers. The Guardian has seen a spreadsheet detailing the number of new mothers contacted, the amount of 0–6 months formula sold, and the proportion of their target this represents. Danone commented: "That may still be happening, that's something we need to address." It is against Indonesian regulations to provide free samples, as well as to directly market to healthcare workers or new mothers. In addition, Indonesia has perhaps the strictest breastfeeding law in the world. Since 2010, all babies have to be breastfed exclusively for six months, unless there were compelling medical grounds to do otherwise. Individuals potentially face criminal charges, whereas only civil charges can be brought against formula companies.

Because low-income families often do not have anything approaching dependable access to clean water and often cannot afford to even buy enough formula, a paediatrician in Indonesia was quoted as saying: "Selling formula is like the killing fields, in my opinion. The babies will die of diarrhoea and they will die of malnutrition."

In a case detailed in this article, a mother who is now twenty thought the contraceptives she was on were interfering with her milk supply. The midwife agreed and gave her free samples, and the mother began her then two-month-old daughter on the formula. At the time of the article, the baby was six months old and the mother and father spent 400,000 rupiah (about £26) a month on formula, which constituted approximately half of husband's monthly salary.

Danone, through subsidiary Sari Husada, has legal connections all through the healthcare system. The company provides payments to doctors running seminars for midwives. Danone sponsors professional associations and conferences. Danone even sponsors midwifery awards, which are then presented by the Minister for Women’s Empowerment and the Protection of Children.[6]

Turkey

In June 2013 the organisation was accused in Turkey of "misleading mothers with a marketing campaign that warned they might not be providing enough breast milk to their babies [and suggesting] mothers use its powdered baby milk to make up any shortfall." Danone responded that it "based its advice on WHO guidance" and claimed that both the WHO and UNICEF "endorsed the campaign." The WHO said Danone did not have permission to use its logo and asked Danone to remove its name from the company's marketing materials within 14 days while Dr Ayman Abulaban, the UNICEF representative for Turkey, said: "The Unicef Turkey office has not endorsed this campaign." UNICEF also requested that their name be removed from marketing materials.[5]

Fonterra

Danone got caught up in the 2013 Fonterra recall after thousands of cans of its Nutricia brand milk formula were believed to be contaminated with botulism. After it was discovered the recall was a false alarm,[73] reports suggested Danone could be seeking as much as €300 million in damages from the New Zealand company (Fonterra).[74]

References

Footnotes
  1. ↑ 1.0 1.1 1.2 1.3 1.4 Lua error in package.lua at line 80: module 'strict' not found.
  2. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  3. ↑ Frankfurt Stock Exchange
  4. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  5. ↑ 5.0 5.1 Lua error in package.lua at line 80: module 'strict' not found.
  6. ↑ 6.0 6.1 Lua error in package.lua at line 80: module 'strict' not found.
  7. ↑ 7.0 7.1 7.2 SUPERFOOD FOR BABIES: How overcoming barriers to breastfeeding will save children's lives, Save the Children (UK version), 2013, Ch. 6 "breast-milk substitute companies facing conflict of interest," page 35 (47 in PDF), footnote 31 describing the survey includes " . . Within each city, 60 mothers of infants aged 0–6 months were interviewed (through randomised selection within the waiting areas) in one MCH Hospital, one level-3 comprehensive (the highest level in China) hospital MCH Division, one level-2 comprehensive hospital MCH Division – ie, 20 mothers with babies 0–6 months old from each facility were interviewed. . "
  8. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  9. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  10. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  11. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  12. ↑ Lua error in package.lua at line 80: module 'strict' not found.[dead link]
  13. ↑ Lua error in package.lua at line 80: module 'strict' not found.[dead link]
  14. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  15. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  16. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  17. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  18. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  19. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  20. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  21. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  22. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  23. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  24. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  25. ↑ David Rothnie, US companies may bid for Danone division, Financial News, 28 June 2007
  26. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  27. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  28. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  29. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  30. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  31. ↑ "Contacts." Groupe Danone. Retrieved on 23 March 2010.
  32. ↑ "Danone Group's addresses." Groupe Danone. Retrieved on 26 July 2010.
  33. ↑ 33.0 33.1 "Danone : regrouper les salariés dans un même bâtiment." Le Journal du Net. Retrieved on 26 July 2010.
  34. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  35. ↑ 35.0 35.1 James T. Areddy & Deborah Ball, Danone's China Strategy Is Set Back, Wall Street Journal, Page A10, 15 June 2007
  36. ↑ Al Safi Danone History
  37. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  38. ↑ Ruth David, Danone's Indian Cookie JV Set To Snap, Forbes, 25 June 2007
  39. ↑ Danone may dissolve ties with Britannia, IRIS NEWS DIGEST, 21 June 2007. Retrieved 18 July 2007
  40. ↑ Danone denies JV with India's Britannia; to proceed with solo plans – report, Thomson Financial, 25 May 2007
  41. ↑ Wadias take Danone to court, 5 December 2006
  42. ↑ Danone needs NOC from Wadias: FIPB, 28 September 2007
  43. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  44. ↑ Danone to double Bright Dairy stake, People's Daily, 4 March 2005
  45. ↑ 45.0 45.1 Vivian Wai-yin Kwok, Danone Sells Out Of Bright Dairy, Forbes, 16 October 2007
  46. ↑ 46.0 46.1 46.2 Xinhua, "Partnership ends as China's Bright Dairy confirms Danone's stake sale", Sina.com, 16 October 2007. Retrieved 18 October 2007 Cite error: Invalid <ref> tag; name "xinhua" defined multiple times with different content
  47. ↑ Neil Merrett, Danone sells Chinese dairy stake, Dairy Reporter, 17 October 2007
  48. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  49. ↑ Lua error in package.lua at line 80: module 'strict' not found.[dead link]
  50. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  51. ↑ 签约与悔约(regrets) Wahaha – atypical commercial dispute, Caijing Issue 185, 14 May 2007 (Chinese)
  52. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  53. ↑ Danone, Wahaha set for arbitration dispute in China, Agence France-Presse story, France24, 18 June 2007
  54. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  55. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  56. ↑ 56.00 56.01 56.02 56.03 56.04 56.05 56.06 56.07 56.08 56.09 56.10 56.11 56.12 56.13 56.14 Lua error in package.lua at line 80: module 'strict' not found.
  57. ↑ 57.0 57.1 57.2 57.3 57.4 57.5 57.6 57.7 57.8 57.9 Lua error in package.lua at line 80: module 'strict' not found.
  58. ↑ 58.0 58.1 58.2 58.3 58.4 58.5 58.6 58.7 58.8 58.9 Lua error in package.lua at line 80: module 'strict' not found.
  59. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  60. ↑ 60.0 60.1 60.2 Lua error in package.lua at line 80: module 'strict' not found.
  61. ↑ 61.0 61.1 Lua error in package.lua at line 80: module 'strict' not found.
  62. ↑ 62.0 62.1 Lua error in package.lua at line 80: module 'strict' not found.
  63. ↑ 63.0 63.1 63.2 63.3 Lua error in package.lua at line 80: module 'strict' not found.
  64. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  65. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  66. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  67. ↑ Rockefeller University: "Obesity researcher awarded Danone nutrition prize"
  68. ↑ 68.0 68.1 Lua error in package.lua at line 80: module 'strict' not found.
  69. ↑ 69.0 69.1 Lua error in package.lua at line 80: module 'strict' not found.
  70. ↑ 70.0 70.1 Lua error in package.lua at line 80: module 'strict' not found.
  71. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  72. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  73. ↑ No botulism bacteria found in Fonterra whey. 3 News NZ. 28 August 2013.
  74. ↑ Fonterra in talks with Nutricia owners. 3 News NZ. 2 October 2013.
Bibliography
  • Lua error in package.lua at line 80: module 'strict' not found.

External links

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