As we prepare for 2010, the Merco/Savory team has begun a concerted product rationalization initiative. This update is intended to provide an overview as to the direction we are moving with the products presently in our portfolio. We anticipate issuing more detailed communication in the coming days and weeks.

 

First, we are committed to maintaining and growing our position as the market leader in innovative back of the house holding and finishing solutions that help our customers deliver a higher quality food to their customers faster.   Our mutual success with our Modular Holding Cabinet (MHC), Fried Food Holding Station (FFHS) and Insta-Therm (IT) make them the core for us to grow our future around.

 

Second, we will be expanding our offerings of front-of-house countertop merchandising solutions with the launch of several new products in early 2010 as this market continues to expand. We look forward to meeting the needs of our multi-unit convenience and retail partners who are now capturing new revenue streams within their own organizations from foodservice sales on items such as pretzels, pizzas, cookies, sandwiches, and more.

 

Third, there are two products currently in the line that we feel have potential for future growth and are important to the breadth of solution we offer our customer base. These product categories, Thermal Shelves and Drawer Warmers, will be re-worked by our product team for design improvement as well as re-costed for alignment with current market standards. We look forward to continuing to offer these products as part of our full portfolio.

 

Finally, our rationalization effort has identified several product families for which we will cease acceptance of orders effective 12/31/09 as market demand no longer supports their viability and/or they are no longer aligned with our strategic focus in the core categories referenced above.