Tuesday, January 25, 2011

Walmart Launches Major Initiative to Make Food Healthier and Healthier Food More Affordable

WASHINGTON, D.C., Jan. 24, 2011 – At an event last week in Washington, D.C., Walmart, the nation’s largest grocer, unveiled a comprehensive effort to provide its customers with healthier and more affordable food choices. The company was joined by First Lady Michelle Obama as it outlined the five key elements of the program including:

1. Reformulating thousands of everyday packaged food items by 2015 by reducing sodium 25 percent and added sugars 10 percent, and by removing all remaining industrially produced trans fats. The company will work with suppliers to improve the nutritional quality of national food brands and its Great Value private brand in key product categories to complete the reformulations;

2. Making healthier choices more affordable, saving customers approximately $1 billion per year on fresh fruits and vegetables through a variety of sourcing, pricing, and transportation and logistics initiatives that will drive unnecessary costs out of the supply chain. Walmart will also dramatically reduce or eliminate the price premium on key “better-for-you” items, such as reduced sodium, sugar or fat products;

3. Developing strong criteria for a simple front-of-package seal that will help consumers instantly identify truly healthier food options such as whole grain cereal, whole wheat pasta or unsweetened canned fruit;

4. Providing solutions to address food deserts by building stores in underserved communities that are in need of fresh and affordable groceries; and

5. Increasing charitable support for nutrition programs that help educate consumers about healthier food solutions and choices.

“No family should have to choose between food that is healthier for them and food they can afford,” said Bill Simon, president and CEO of Walmart U.S. “With more than 140 million customer visits each week, Walmart is uniquely positioned to make a difference by making food healthier and more affordable to everyone. We are committed to working with suppliers, government and non-governmental organizations to provide solutions that help Americans eat healthier and live a better life.”

This program builds on the success of the First Lady’s “Let’s Move” campaign to make healthy choices more convenient and affordable for families and is consistent with Walmart’s commitment to lead on social issues that matter to its customers.

Walmart will reformulate key product categories of its Great Value private brand and collaborate with suppliers to reformulate national brands within the same categories by 2015. The effort is designed to help reduce the consumption of sodium, sugar and trans fats, which are major contributors to the epidemic of obesity and chronic diseases in America today, including high blood pressure, diabetes and heart disease. The reformulation initiative includes three components:

* Reduce sodium by 25 percent in a broad category of grocery items, including grain products, luncheon meats, salad dressings and frozen entrees;
* Reduce added sugars by 10 percent in dairy items, sauces and fruit drinks; and
* Remove all remaining industrially produced trans fats (partially hydrogenated fats and oils) in all packaged food products.

As its suppliers make choices on reformulating their products beyond the Walmart supply chain, the company expects millions of Americans to benefit whether they shop at Walmart or not.
“Our customers tell us they want a variety of food choices and need help feeding their families healthier foods. At Walmart, we are committed to doing both,” said Andrea Thomas, senior vice president of sustainability at Walmart. “We support consumer choice so this is not about telling people what they should eat. This effort is aimed at eliminating sodium, sugar and trans fat in products where they are not really needed.”

Walmart’s everyday low price business model will help make healthier food more affordable. The company will take a number of steps to provide customers even more savings on fresh produce through a variety of sourcing, pricing, and transportation and logistics initiatives that will drive efficiencies throughout the supply chain and further reduce unnecessary costs.

“If we are successful in our efforts to lower prices, we believe we can save Americans who shop at Walmart approximately $1 billion per year on fresh fruit and vegetables,” Thomas said.
Walmart will also dramatically reduce or eliminate the price premium on “better-for-you” options such as reduced sodium, sugar or fat on products from the same manufacturer.

In addition, Walmart will develop a simple front-of-package seal in consultation with health organizations to help customers identify healthier food for their families. The seal will be supported by a nutritious food standard designed to increase vitamins, minerals, whole grains, fruits and vegetables in food products, while limiting saturated fats, sodium and added sugars.

Later this year, Walmart will add this seal to its private branded food products that meet the strong criteria and will also offer the seal to its suppliers for their national brands that qualify.

The company has also made it a business priority to find innovative ways to provide fresh and affordable groceries to people in urban and rural communities across America who are living in food deserts.

Last year, Walmart and the Walmart Foundation launched a $2 billion effort to help fight hunger through 2015 by donating fresh, nutritious foods to food banks across the nation. This year the company will increase charitable support for food and nutrition programs by funding education efforts that teach consumers about healthier food options.

For more information visit: www.walmartstores.com/healthierfoods.



About Walmart
Wal-Mart Stores, Inc. (NYSE: WMT), or “Walmart,” serves customers and members more than 200 million times per week at more than 8,700 retail units under 59 different banners in 15 countries. With fiscal year 2010 sales of $405 billion, Walmart employs more than 2 million associates worldwide. A leader in sustainability, corporate philanthropy and employment opportunity, Walmart ranked first among retailers in Fortune Magazine's 2010 Most Admired Companies survey. Additional information about Walmart can be found by visiting www.walmartstores.com and on Twitter at http://twitter.com/walmart. Online merchandise sales are available at www.walmart.comand www.samsclub.com.

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