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Leader McConnell Signals Items for Next Coronavirus Package

In an interview this week, Senate Majority Leader Mitch McConnell laid out his thoughts on what will be in the next coronavirus relief package, saying the themes are jobs, kids (getting them back to school) and liability protection. He indicted that he does not think the $600 per week additional unemployment insurance payment should be extended. CDA members have indicated that these payments have created an incentive for workers not to come back to work.

The House and Senate are in recess, returning the week of July 20.


S. Abraham & Sons Annual Foodservice Show Goes Virtual

CDA member S. Abraham & Sons (SAS), Inc. a subsidiary of Imperial Trading Co., will conduct its annual Foodservice Show virtually in 2020. The show is represented by 30 manufacturers presenting approximately 780 item selections. Throughout the month of August, retailers will access a portal to place orders, view items and images, and listen to manufacturer videos on product selections. Click here for more information, or visit the SAS website.


Congress Extends Deadline for PPP Applications

Before leaving town for the Independence Day break, the House and Senate passed legislation extending the deadline for the Small Business Administration's (SBA) PPP applications from June 30 to August 8. The President signed the bill over the weekend. As of the June 30 expiration, there was around $130 billion left in the program. The SBA also announced the release of data on the 4.9 million loans made under the program thus far.


BIC’s Pat Cordle to Retire in November

Pat Cordle, vice president, field sales convenience at BIC Consumer Products USA, will retire on Nov. 1, 2020, according to the company. Jason Rice, currently vice president of commercial capabilities, will succeed Cordle, taking over leadership of the BIC sales team serving the convenience channel across the U.S.

Cordle has been at BIC for 34 years, joining the company in 1986 as a retail sales representative and going on to hold 13 roles at the company during his tenure. He began working in his current role in 2009. “Pat is beloved by team members across the organization,” said Mary Fox, general manager of BIC North America. “Although it’s bittersweet to say goodbye to Pat, I want to publicly thank him for his service and dedication to serving our customers over the past 34 years.”

Pat’s commitment to the convenience store industry is legendary. He has served on multiple boards, including CDA’s board and the National Association of Convenience Stores (NACS) board. He also played an important role in many initiatives, including the inauguration of Top Women in Convenience in 2013, which has honored more than 300 female leaders in the convenience industry.


FDA Authorizes Marketing of the IQOS Tobacco Heating System as a Modified Risk Tobacco Product

Altria Group, Inc. announced this week that the U.S. Food and Drug Administration (FDA) authorized the marketing of the IQOS tobacco heating system as a modified risk tobacco product with a reduced exposure claim.

“We’re delighted that the FDA authorized IQOS to be marketed as a modified-risk tobacco product," said Billy Gifford, CEO of Altria. "This authorization gives PM USA an opportunity to communicate additional benefits of switching to IQOS and this decision is an important step for adult smokers. Our 10-year vision is to responsibly lead the transition of adult smokers to a non-combustible future. IQOS is a key part of that future as we develop our portfolio of FDA-authorized, non-combustible products and actively switch adult smokers to them."

For more information, read the company's official release.


CDA Webinar: "Engaging Drivers to Maximize Retention & Performance"


Wednesday, July 15 | 1:00 - 2:00 PM ET

It’s no secret there is a driver shortage sweeping the nation. Knowing how to recruit and retain the right drivers is no longer an optional skill—it is a necessity! One hurdle is that your drivers are naturally disconnected from the core of your business because they spend most of their time behind the wheel or transferring goods from trailer to store. Even so, they are an important face of your company and retaining the best should be a priority. In this webinar, Spencer Taylor will present hot-off-the-press research into what strategies are most effective in enabling a stable, high-performing team of loyal drivers in a marketplace where it is just as easy to find a job driving truck as it is to wake up in the morning.

Register Now


Webinars

Live and on-demand webinars are available, with topics ranging from COVID-19 resources to CBD market trends in c-stores, women's leadership and more. Don't miss the most recent webinars available on-demand, including:

Please contact Kimberly Kissel with any issues viewing the recorded webinar.

Be sure to register for these upcoming webinars:


Old Trapper Introduces Zero Sugar Beef Jerky

Old Trapper has introduced Zero Sugar Beef Jerky, providing a sugar-free, low carb option for consumers. Old Trapper Zero Sugar Beef Jerky has no sugar, just 2 grams of carbohydrates, 0.5 grams of fat and 14 grams of protein per one ounce serving. “As a high-protein product, beef jerky is a great snack option for people who adhere to low-sugar and low-carb diets,” explains Robert Leary, the company's director of marketing. “And now with our Zero Sugar Beef Jerky, snackers can enjoy all of the great-tasting meaty protein they crave with even less carbohydrates and no sugar, which makes it a perfect snack for everyone including people on the keto plan.” For more information, visit www.oldtrapper.com.


Drew Estate Factory Smokes Offer Premium Opportunity

Drew Estate Factory Smokes, a Swisher International brand, is an everyday premium cigar, but far from the status quo. Factory Smokes are manufactured at La Gran Fabrica Drew Estate in Nicaragua by the same cigar rollers who produce the company's world-recognized cigar brands. Offered in Red Habano and Creamy Smooth Connecticut Shade, these two purposeful blends appeal to cigar lovers from all walks of life. Both cigars come in stay-fresh packaging that does not require a humidor and join Swisher International’s growing offerings of well-known premium cigar brands. Drew Estate Factory Smokes are available now. For more information, contact your Swisher representative at 1-800-874-9720 or visit drewestate.com.


Hershey to Invest in Augusta Co., VA

Announced this week, The Hershey Co. will invest $135 million to expand its manufacturing operation in Augusta County, VA. The company will increase production capacity at its existing facility in Stuarts Draft by 90,000 square feet and create 110 new jobs. For more information, view the press release.


UniPro Subsidiary to be Acquired by Nissco Restaurant Dealer Group

The Nissco Restaurant Dealer Group and National Equipment & Supply Association (NESA), a subsidiary of UniPro Foodservice, Inc., announced Nissco’s strategic acquisition of NESA. Logistically, the two companies’ Member-facing operations will merge into one operating entity under current Nissco leadership; with NESA managers remaining at UniPro working solely on behalf of the UniPro Foodservice/Nissco Members to grow sales in the foodservice equipment and supplies category. For more information, read the official release.


NRN Alert: Chicago, IL Health and Human Relations Public Hearing (Flavor Ban)

Ordinance Number 2020-3388 has been introduced for consideration by the Chicago City Council that would ban the sale citywide of all flavored tobacco products, including menthol cigarettes, flavored smokeless tobacco, flavored cigars, pipe tobacco, and flavored electronic cigarettes/nicotine vapor products.

The Chicago Health and Human Relations Committee will be holding a public hearing on July 6, 2020 regarding Ordinance #2020-3388. It is imperative to have calls and emails sent to the Chicago City Alderman who serves on the council and represents the ward where your store is located asking the alderman to remove menthol cigarettes and traditional flavored tobacco products from the proposed ordinance.

*Due to Covid-19, the public will not be allowed at the committee meeting.

Chicago Health and Human Relations Committee Meeting Details:
Date: Monday, July 6, 2020
Time: 10:00 AM Central

Determine which alderman or aldermen represent the ward or wards where your store(s) are located. Click on the link below and type in store address to determine the name, phone number, and e-mail address of your alderman.
https://www.chicago.gov/city/en/depts/mayor/iframe/lookup_ward_and_alderman.html

Call and E-Mail Your City Council Alderman. The talking points to use to oppose a total flavored tobacco product sales ban are:

  • Addressing the youth vaping epidemic should not lead local governments to overextend to other tobacco products.
  • Banning the sale of all traditional flavored tobacco products including menthol cigarettes, flavored smokeless tobacco products, flavored cigars, and pipe tobacco is government overreach. This will only create other problems by shifting sales from law-abiding retailers to potentially illegal sources who don’t check IDs.
  • Both youth and adult use of these traditional flavored tobacco products is at historic lows and decreasing further.
  • Tell your city council alderman that traditional flavored tobacco products should be removed from the ordinance.

In addition, send an e-mail to all members of the Chicago Health and Human Relations Committee by 9:00 AM on July 6, 2020 urging them to remove traditional tobacco products. The e-mail address for the committee is committeeonhealthandhumanrelations@cityofchicago.org.

Copies of the proposed ordinance and full City Council contact spreadsheet are attached. Thank you for your help in contacting your Chicago City Alderman.


Please contact Meghan Shea with NATO at meghanshea@natocentral.org with any questions or for further information related to the NRN Alerts.


Webinars

Live and on-demand webinars are available, with topics ranging from COVID-19 resources to CBD market trends in c-stores, women's leadership and more. Don't miss the most recent webinars available on-demand, including Marketplace Trends During COVID-19 for June, How to Triage Your Email with Military Precision, Marketplace Trends During COVID-19 for May, 2020 Campaigns and Elections in the Time of COVID-19, InfoMetrics: Making the Reports Work for You, Getting to the Financial Light at the End of the Tunnel, Marketplace Trends During COVID-19 for April, Keeping Employees Engaged Through the COVID-19 Pandemic and 7 Steps to Leading through the COVID-19 Crisis. Please contact Kimberly Kissel with any issues viewing the recorded webinar.

Be sure to register for these upcoming webinars:


COVID-19 Protocol: Recommendations for Opening Warehouses and Offices to Visitors, Clients and Staff Returning to Work

Reopening businesses to employees and visitors is beginning across the country with precautions. This resource provides recommendations to be considered, along with any local or state orders, to help keep employees and the community safe as you bring staff back to the office and begin allowing visitors. Visit CDA’s COVID-19 Resource page for more information about statewide return to work protocols, mask orders and more.


Congress Recessing for 4th of July Holiday

Congress is taking a two-week break and will return to a full legislative calendar for the remainder of the month. Appropriations and other must-pass legislation will be on the agenda, and the Senate and House will have to make some tough decisions about what they can agree on for the next round of coronavirus legislation. Issues like state and local funding, liability protection and refundable tax credits for PPE and cleaning of offices, factories and other workplaces are all being discussed. The House passed the broad base HEROES Act in May, but the Senate has yet to determine how they will move forward.


States Crafting New Workplace Safety Regs

In Virginia, state regulators have moved to create their own workplace safety regulations, in what they call an absence of enforcement of federal regulations. It is likely that other “blue” states will make similar moves to create additional workplace safety standards during the pandemic. In Virginia, the standards will include policies for dealing with workers exhibiting coronavirus-like symptoms, prohibiting those workers suspected of having the coronavirus from showing up to work, notification of workers of possible exposure to infected co-workers within 24 hours, and mandated distancing, sanitation, disinfection and hand-washing.


CDA Webinar: Engaging Drivers to Maximize Retention & Performance

Wednesday, July 15 | 1:00 - 2:00 PM ET

It’s no secret there is a driver shortage sweeping the nation. Knowing how to recruit and retain the right drivers is no longer an optional skill—it is a necessity! One hurdle is that your drivers are naturally disconnected from the core of your business because they spend most of their time behind the wheel or transferring goods from trailer to store. Even so, they are an important face of your company and retaining the best should be a priority. In this webinar, Spencer Taylor will present hot-off-the-press research into what strategies are most effective in enabling a stable, high-performing team of loyal drivers in a marketplace where it is just as easy to find a job driving truck as it is to wake up in the morning.

Register Now


On the Go With PLANTERS Pop & Pour

The all new PLANTERS Pop & Pour nuts come with a re-sealable snap-top lid that helps to lock in freshness, allowing consumers to pop open, pour, eat and repeat, all with one hand according to the company. The new personal snack containers fit conveniently in cup holders, and come in five varieties of PLANTERS nuts including Dry Roasted Peanuts, Honey Roasted Peanuts, Dry Roasted Sunflower Seed Kernels, Whole Cashews and Dry Roasted Almonds. PLANTERS Pop & Pour nuts will be available in recyclable single pop jars and multipacks nationwide beginning July 2020. For more information on PLANTERS Pop & Pour products see the official release or visit Planters.com.


Liability Protections Update

Sen. John Cornyn (R-TX) is working on legislation to protect businesses by providing a limitation on tort claims, injury claims, etc., during the pandemic. Negotiations on this legislation continue as Senate Republicans try to find a way to unite. We expect to see legislation towards the end of July, but it is possible that it could be pushed to September.


Convenience Store News Industry Report 2020 Deep Dive: Tobacco

Despite new regulations further challenging the business, tobacco remains a top moneymaker for the nation's convenience stores. Combined, the cigarettes and other tobacco products (OTP) categories account for more than 35 percent of all in-store sales in the convenience channel. In this special “Tobacco Deep Dive” report, Convenience Store News presents exclusive data and analysis of the cigarettes and OTP categories. Free Subscription Required.


Lawsuits Filed Against Edina, MN & Philadelphia Flavor Ban Ordinances

On June 17, 2020, R.J. Reynolds Tobacco Company, American Snuff Company, LLC, Santa Fe Natural Tobacco Company, Inc., and two independent retailers doing business as Vernon BP and Lang's One Stop Market, respectively, filed a lawsuit in the Federal District Court for the District of Minnesota against the City of Edina, MN seeking declaratory and injunctive relief against a city ordinance which bans the sale of menthol cigarettes and every flavored tobacco product. Edina is a suburb of Minneapolis, MN.

Also, on June 18, 2020, the Cigar Association of America, ITG Cigars, Swedish Match North America and Swisher International filed a lawsuit in the Court of Common Pleas of Philadelphia County against the City of Philadelphia and the City of Philadelphia Department of Public Health seeking declaratory and injunctive relief against a city ordinance which bans the sale of certain flavored tobacco products.

Click here for more information on the above, as well as lists of state legislative introductions and actions.


Congressional Calendar Update & Next COVID Legislation

The Senate is scheduled to be out of session for the next two weeks for the Independence Day holiday, reconvening on July 21. The House will begin their holiday this Friday and return to session on July 7.

Majority Leader McConnell (R-KY) reports that a fourth and final relief bill will be considered next month while they look for the best way to move forward. Senate Republicans huddled with Treasury Secretary Mnuchin Tuesday to discuss the next steps in passing another aid package. Sen. McConnell says Republicans will assess economic conditions in July and draft legislation if necessary.

If Congress doesn’t take action before the end of July, the $600 weekly increase in unemployment insurance benefits, which was approved in March, will expire. Unemployment could linger into the fall as we prepare for a possible second wave of the virus during the next cold and flu season, and there are discussions of alternative provisions to help encourage getting back to work. CDA is working to include a number of pro-business provisions in the next bill.


Hostess Brands Brings Joy to Breakfast

Hostess Brands this week launched two flavorful new products: mouth-watering Strawberry Cheesecake flavored Donettes® and decadent Cream Cheese Coffee Cakes. Additionally, the brand’s beloved Chocolate Frosted Donettes and Powdered Donettes are now available in snack-friendly, on-the-go packaging, which allows consumers to grab an individually-wrapped pack of three Donettes, perfect for all their on-the-go breakfast and snacking needs. The new format, which first launched at select locations last year and is now receiving a wider distribution, is available for the Hostess classic Chocolate Frosted and Powdered Donettes. Multi-packs of Donettes On-the-Go come with eight packs, containing three donuts each. For more information see the official release.


COVID-19 Protocol: Recommendations for Opening Warehouses and Offices to Visitors, Clients and Staff Returning to Work

Reopening businesses to employees and visitors is beginning across the country with precautions. This resource provides recommendations to be considered, along with any local or state orders, to help keep employees and the community safe as you bring staff back to the office and begin allowing visitors. Visit CDA’s COVID-19 Resource page for more information about statewide return to work protocols, mask orders and more.


Acosta Names Carroll as Chief Growth Officer

Acosta, a full-service sales and marketing agency in the CPG industry, announced the appointment of John Carrol as chief growth officer. In this newly created role, Carroll will be responsible for identifying and harnessing opportunities to drive growth for Acosta’s current and prospective clients and customers. For more details, read the official release.


CDA Supports Changes to NOL

CDA will join a list of organizations supporting changes to the treatment of Net Operating Loss (NOL). The letter is being circulated by the American Mining Association. Congress included in the bipartisan CARES Act several changes to the tax rules related to NOL. First, the CARES Act provides a five-year carryback for NOLs generated in 2018, 2019 or 2020. Second, the CARES Act suspends for 2018, 2019 and 2020 the otherwise applicable limitations on excess business losses for non-corporate taxpayers. This letter asks that these provisions be preserved in future COVID-19 relief or stimulus bills. This provision is helpful to CDA members and should be preserved.


CDA Webinar Recap: Marketplace Trends During COVID-19

In this webinar, Mike Farrah and Thomas Baldwin, MSA, provide an update on what’s happening in the marketplace during the pandemic as companies continue getting back to business. They also take a look at some of the trends they are seeing in the InfoMetrics and C-Metrics data since the last webinar at the end of May 2020.

Contact Kimberly Kissel if you would like to view the recording.


New Laws Restricting Distribution and Sale of Electronic Cigarettes in Montgomery County, MD

In April 2020, Montgomery County, MD signed into law new bills related to the sale of e-cigarettes that will go into effect on July 3, 2020. These bills will restrict the sale of vapor products for retailers within a half-mile of an elementary, middle or high school, library or recreational facility in the county. They also signed into law Bill 31-19, prohibiting the use and possession of tobacco products or e-cigarettes by individuals under 21 (except under certain circumstances).

Bill 29-19 prohibits an electronic smoking devices manufacturer from distributing e-cigarettes to retail stores within a half-mile of any middle school or high school in the County and any retailer from selling any e-cigarettes in the same radius. Bill 32-19 prohibits an electronic smoking device manufacturer from distributing flavored e-cigarettes to stores within 0.5 miles of an elementary, middle or high school, library or recreational facility in the County. This bill allows a retailer that does not have a High School or Middle School .05 miles from them, but does have an Elementary School, Library or Recreational Facility (Parks and Playgrounds are not included), to sell non-menthol e-cigarettes.

Bill 31-19 prohibits the distribution of any tobacco product, coupon redeemable for a tobacco product, cigarette rolling paper or electronic cigarette to any individual under 21 except under certain circumstances; prohibits an individual under 21 from using or possessing a tobacco product or e-cigarette except under certain circumstances; and generally amends County law regarding smoking, e-cigarettes, and health and sanitation. Per the bill, active duty military members, at least 18 years of age, are exempt.


CDA Supports Inclusion of Drive Safe Act in House Transportation Bill

This week, the House Transportation and Infrastructure Committee is marking up a surface transportation reauthorization bill. CDA is a signatory on the attached letter entitled “Invest in America Act Coalition.” The letter asks that the provisions of the Drive Safe Act, a bill to create a path for CDL certification for younger drivers, which CDA has long supported, be included in the comprehensive surface transportation bill under consideration. The CDL driver shortage continues and CDA is committed to supporting policies that help alleviate the shortfall.


Upcoming Webinars

Live and on-demand webinars are available, with topics ranging from COVID-19 resources to CBD market trends in c-stores, women's leadership and more. Don't miss the most recent webinars available on-demand, including How to Triage Your Email with Military Precision, Marketplace Trends During COVID-19 for May 2020, 2020 Campaigns and Elections in the Time of COVID-19, InfoMetrics: Making the Reports Work for You, Getting to the Financial Light at the End of the Tunnel, Marketplace Trends During COVID-19, Keeping Employees Engaged Through the COVID-19 Pandemic and 7 Steps to Leading through the COVID-19 Crisis.

Be sure to register for these upcoming webinars:


$600 Weekly Payment for Unemployment Faces Uncertain Future

The CARES Act included a provision providing an additional $600 per week unemployment payment. There is a lot of interest in the status of these payments, which are increasingly seen as a disincentive and roadblock to getting people back to work. House Democrats included the extension of the payment through January 2021 in the recently passed $1 trillion HEROES Act. The Administration and Majority Leader McConnell have separately said that extension of the expiring provisions is a non-starter. Senator Rob Portman of Ohio has floated a proposal for a “back to work bonus” of $450 in lieu of the $600 payment, and that idea is under consideration.


FDA Sends Cannabis Guidance to OMB for Review

As is required before any guidance is issued by a federal agency, the U.S. Food and Drug Administration (FDA) has sent a guidance document on CBD to the White House. The guidance is related to quality considerations for clinical research on cannabis and cannabis-derived compounds and is not likely to be for manufacturers, wholesalers or consumers. CDA continues to work with a number of other trade organizations in food, retail and manufacturing who are seeking clarity and a path forward on CBD regulation.


COVID-19 Protocol: Recommendations for Opening Warehouses and Offices to Visitors, Clients and Staff Returning to Work

Reopening businesses to employees and visitors is beginning across the country with precautions. CDA’s new resource provides recommendations to be considered, along with any local or state orders, to help keep employees and the community safe as you bring staff back to the office and begin allowing visitors. Visit CDA’s COVID-19 Resource page for more information about statewide return to work protocols, mask orders and more.


Golbon’s Spring Conference Goes Virtual

Golbon, a national foodservice buying group, has announced that the company's annual Spring Conference will occur in a virtual format. Golbon ENGAGE! 2020 Spring Conference, June 23-25, 2020, will bring Golbon distributor members and supplier partners together to provide a live 3-day event full of one-on-one meetings, networking, industry updates, virtual share groups focused on topics such as commodity protein, PPP loan forgiveness and foodservice opportunities in convenience. For more information, visit www.golbonvirtual.com.


Lawsuit Filed Against Los Angeles County Flavor Ban Ordinance

On June 1, 2020, R.J. Reynolds Tobacco Company, American Snuff Company, LLC, and Santa Fe Natural Tobacco Company, Inc. filed a lawsuit in the Federal District Court for the Central District of California against the County of Los Angeles and the County of Los Angeles Board of Supervisors seeking declaratory and injunctive relief against the Los Angeles County Tobacco Ordinance which bans the sale of menthol cigarettes and every flavored tobacco product.

Click here for more information


S. Abraham & Sons Taps Blue Yonder Space Planning

S. Abraham & Sons, Inc. (SAS), a subsidiary of Imperial Trading Company, has retained Blue Yonder Space Planning (formerly known as JDA Space Planning) to upgrade the company’s planogram software. Blue Yonder’s software will provide SAS a true enterprise-wide planogram management solution, enabling the construction, management and optimization of detailed planograms that will enhance merchandise space allocations that’s easily executable at the retail level. By leveraging the capabilities of Space Planning, SAS is elevating the services it can provide to help their customers ensure they have the right assortment of products to grow sales and profits. Imperial Trading Company will implement Space Planning in 2021 and will collaborate with SAS on the implementation.


CDA Supports Bill to Expand ERTC, H.R. 6776

CDA has joined a growing list of trade associations representing employees to support the expansion of the Employee Retention Tax Credit (ERTC) that was enacted as part of the CARES Act. The bipartisan bill would expand criteria for businesses to be eligible for the credit. It changes the threshold for treatment as a large employer from employers having more than 100 employees to employers having more than 1,500 employees and makes it easier for employers to qualify for the credit by phasing in the credit, so that employers who have experienced more than a 20% decline in gross receipts can claim a portion of the credit. It also improves coordination between the ERTC and the Paycheck Protection Program (PPP) so employers can be eligible for both programs, but with guardrails in place to prevent “double dipping.”


FDA to Begin Substantive Review of on!® Nicotine Pouches

Altria Client Services announced that the U.S. Food and Drug Administration (FDA) has accepted and filed for substantive review premarket tobacco product applications for 35 on!® products manufactured by Helix Innovations LLC, an Altria joint venture responsible for the global on!® nicotine pouch product portfolio. To support these applications, Altria submitted over 66,000 pages of documentation, including six primary studies. “We believe the scientific evidence in these applications demonstrates that the marketing of on!® is appropriate for the protection of public health,” said Paige Magness, senior vp, regulatory affairs for Altria Client Services. “on!® nicotine pouches are a key part of our vision to responsibly lead the transition of adult smokers to a non-combustible future.” The FDA will now undertake a substantive scientific review of the applications.