I started looking at DOLE and FDP when I read about this. Seems that every mother on WIC voucher program will now recieve $6 in vegetable/fruit vouchers per child, per month, beginning in Oct. 2009. While it's hardly enough to keep a kid in veggies, that's $6 more per child, per month, over and above what was being spent before: "In 2009, after more than 35 years, WIC Moms and their children will finally receive fruits and vegetables, along with other foods critical to improving pregnancy outcome and child nutrition, as part of their WIC Food Package. More than $500 million in new produce sales are projected annually as a direct result of the addition of fruits and vegetables to WIC." www.unitedfresh.org/newsviews/wic A mom relying on programs is stretching her pennies and will shop at the cheapest place and lots of times that place is WalMart. Walmart carries a lot of Dole - all their bagged salads and fruit, bananas and some packed, pre-sliced fruits. I'm not looking at CQB because they're losing quite a bit per share, and though DOLE looks like the better buy, not much enthusiasm shown toward the IPO. FDP, on the other hand, is slightly bigger, slightly lower PE and higher earnings per share. Any thoughts on DOLE vs. FDP?
Thanks for your post which provides fundamentally sound information that reflects a perspective on how Dole fresh fruits and vegetables demand may increase. I read the total WIC budget is about $9 billion this years.
I think the WIC program includes 100% fruit and vegetable juices as well based on what my local grocers said in answers to my own questions about the program. Evidently the WIC participants most often choose the fruit juices over vegetable which is fine for Dole as well.
I like the earnings prospects for Dole going forward and, after a bit of diligence on the company, picked up some today.