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Yuck!

29 September 2017 by lberuti

The failings of the food industry are in the spotlight again. This morning, ITV News and the Guardian have published a report that claims to have uncovered a series of safety breaches at the poultry plants of 2 Sisters Food Group (2SFG). The allegations involve tampering slaughter date of poultry being processed at sites that supply retailers including Tesco, Sainsbury’s, Marks & Spencer, Aldi and Lidl. The latters all said they would launch enquiries. Several of them decided to remove from their shelves products coming from the incriminated sites without further ado and have vowed to suspend their relationship with the firm until the investigation has concluded. 2SFG was founded in 1993 and now produces one third of all the poultry products consumed in the UK, and had revenues of £3.1Bln in 2016. Investors took the matter very seriously and parent company BOPRLN (Boparan Finance Plc) was under severe pressure as soon as the reports came out. Its 5-year risk premium jumped 169bps to 738bps. That is its widest level since it joined iTraxx Crossover 3 years ago.