Latest news with #Auslander
CNN
26-02-2025
- Business
- CNN
Denny's adds egg surcharge amid rising prices and bird flu shortages
Denny's, the popular American diner chain, has joined a growing number of restaurants responding to the nationwide egg shortage by adding a temporary surcharge to egg-based meals. 'Due to the nationwide egg shortage and increased cost of eggs, some of our restaurant locations will need to temporarily add a surcharge to every meal that incudes eggs,' Denny's told CNN in a statement. 'This pricing decision is market-by-market, and restaurant-by-restaurant due to the regional impacts of the egg shortage.' The egg shortage is driven by an ongoing bird flu outbreak that has decimated flocks across the US since the beginning of 2022. Egg supplies have dwindled and prices have soared as a result, forcing many businesses to adapt. Denny's, which boasts more than 1,500 restaurants, declined to specify how many locations are affected or the exact amount of the surcharge, citing the 'fluid situation.' Despite the price increases, the chain emphasized its commitment to diners' appetite for value 'while navigating these rapidly changing market dynamics.' Menu prices at US restaurants are rising as avian flu has killed more than 140 million egg-laying birds in the country since 2022. At least 18.9 million birds have been culled in the past 30 days alone, according to the US Department of Agriculture. The impact on prices has been clear. The average cost of a dozen large, grade-A eggs climbed to $4.15 in December, up from $3.65 in November, according to the Bureau of Labor Statistics. Earlier this month, Waffle House, another storied US diner chain, introduced a temporary 50-cent surcharge per egg, citing the 'nationwide rise in cost of eggs,' CNN previously reported. The Georgia-based franchise, which has about 2,100 US locations, said it is 'continuously monitoring egg prices' and may adjust or remove the surcharge as market conditions improve. While diners and fast-food chains across the country are adding temporary surcharges to their egg-based meals, McDonald's said this week it will not pass on an egg surcharge to its customers, according to Michael Gonda, the company's Chief Impact Officer for North America. Additionally, the chain will offer a one-day promotion on March 2 for a $1 Egg McMuffin breakfast sandwich, according to a release. Bakeries are feeling the squeeze, too. Scott Auslander, general manager of the Washington, DC, bakery Bread Furst, said the surge in egg prices has been unprecedented. 'Our suppliers are telling us that they don't know when egg prices are going to come down — or if they're going to come down,' Auslander told CNN. 'Eggs are outrageous.' Bread Furst uses 150 eggs daily and has seen its costs more than double over the past year, Auslander said. The bakery recently raised prices on all of its egg-heavy items — about a third of the menu — including its signature 'messy egg sandwich,' which now costs a dollar more. 'We've really never had to think about the cost of eggs until now,' Auslander said. Major US retailers, including Costco and Trader Joe's, have had to take action as well, imposing limits on how many eggs one customer can buy. The egg crisis has pushed American businesses to seek alternatives abroad. CNN previously reported Turkey has stepped in to meet the demand, with producers there planning to export 420 million eggs to the US this year, the highest on record and nearly six times last year's US export total, according to estimates from Turkey's Egg Producers Central Union. Turkey is currently the only foreign country that exports eggs to the US, according to the American Farm Bureau Federation. Amid the shortage, more than 90 people were stopped from smuggling raw eggs from Mexico into the US since January, US Customs and Border Protection said last week in a news release. CBP urges travelers to declare all agricultural products to avoid fines and safeguard public health. 'Failure to declare may lead to potential fines and penalties,' the agency said in the statement. CBP said its agriculture specialists have issued 16 civil penalties, totaling nearly $4,000, for violations involving raw eggs and other prohibited items. The added egg-related costs trickling into various aspects of the US economy aren't likely to go away any time soon. With flocks taking months to replenish, the US Department of Agriculture projects egg prices could rise another 20% this year, leaving businesses and consumers alike scrambling to adapt for the foreseeable future. CNN's Juliana Liu, Jordan Valinsky, Bryan Mena, Vanessa Yurkevich and Maria Sole Campinoti contributed to this report.
Yahoo
25-02-2025
- Business
- Yahoo
Denny's reportedly adds egg surcharge amid rising prices and bird flu shortages
Denny's, the popular American diner chain, has reportedly joined a growing number of restaurants responding to the nationwide egg shortage by adding a temporary surcharge to its egg-based meals at some locations. The egg shortage is driven by an ongoing bird flu outbreak that has decimated flocks across the US since the beginning of 2022. Egg supplies have dwindled and prices have soared as a result, forcing many businesses to adapt. 'Our pricing decisions are being made market-by-market, and restaurant-by-restaurant due to the regional impacts of the egg shortage,' Denny's said in a statement to multiple outlets. CNN reached out to Denny's for comment. The chain, which boasts more than 1,500 restaurants, declined to specify how many locations are affected or the exact amount of the surcharge, according to the reported statement. Despite the price increases, Dennys emphasized its commitment to diners' appetite for value amid 'rapidly changing market dynamics.' Menu prices at US restaurants are rising as avian flu has killed more than 140 million egg-laying birds in the country since 2022. At least 18.9 million birds have been culled in the past 30 days alone, according to the US Department of Agriculture. The impact on prices has been clear. The average cost of a dozen large, grade-A eggs climbed to $4.15 in December, up from $3.65 in November, according to the Bureau of Labor Statistics. Earlier this month, Waffle House, another storied US diner chain, introduced a temporary 50-cent surcharge per egg, citing the 'nationwide rise in cost of eggs,' CNN previously reported. The Georgia-based franchise, which has about 2,100 US locations, said it is 'continuously monitoring egg prices' and may adjust or remove the surcharge as market conditions improve. Bakeries are feeling the squeeze, too. Scott Auslander, general manager of the Washington, DC, bakery Bread Furst, said the surge in egg prices has been unprecedented. 'Our suppliers are telling us that they don't know when egg prices are going to come down — or if they're going to come down,' Auslander told CNN. 'Eggs are outrageous.' Bread Furst uses 150 eggs daily and has seen its costs more than double over the past year, Auslander said. The bakery recently raised prices on all of its egg-heavy items — about a third of the menu — including its signature 'messy egg sandwich,' which now costs a dollar more. 'We've really never had to think about the cost of eggs until now,' Auslander said. Major US retailers, including Costco and Trader Joe's, have had to take action as well, imposing limits on how many eggs one customer can buy. The egg crisis has pushed American businesses to seek alternatives abroad. CNN previously reported Turkey has stepped in to meet the demand, with producers there planning to export 420 million eggs to the US this year, the highest on record and nearly six times last year's US export total, according to estimates from Turkey's Egg Producers Central Union. Turkey is currently the only foreign country that exports eggs to the US, according to the American Farm Bureau Federation. Amid the shortage, more than 90 people were stopped from smuggling raw eggs from Mexico into the US since January, US Customs and Border Protection said last week in a news release. CBP urges travelers to declare all agricultural products to avoid fines and safeguard public health. 'Failure to declare may lead to potential fines and penalties,' the agency said in the statement. CBP said its agriculture specialists have issued 16 civil penalties, totaling nearly $4,000, for violations involving raw eggs and other prohibited items. The added egg-related costs trickling into various aspects of the US economy aren't likely to go away any time soon. With flocks taking months to replenish, the US Department of Agriculture projects egg prices could rise another 20% this year, leaving businesses and consumers alike scrambling to adapt for the foreseeable future. CNN's Juliana Liu, Jordan Valinsky, Bryan Mena and Vanessa Yurkevich contributed to this report.
CNN
25-02-2025
- Business
- CNN
Denny's reportedly adds egg surcharge amid rising prices and bird flu shortages
Denny's, the popular American diner chain, has reportedly joined a growing number of restaurants responding to the nationwide egg shortage by adding a temporary surcharge to its egg-based meals at some locations. The egg shortage is driven by an ongoing bird flu outbreak that has decimated flocks across the US since the beginning of 2022. Egg supplies have dwindled and prices have soared as a result, forcing many businesses to adapt. 'Our pricing decisions are being made market-by-market, and restaurant-by-restaurant due to the regional impacts of the egg shortage,' Denny's said in a statement to multiple outlets. CNN reached out to Denny's for comment. The chain, which boasts more than 1,500 restaurants, declined to specify how many locations are affected or the exact amount of the surcharge, according to the reported statement. Despite the price increases, Dennys emphasized its commitment to diners' appetite for value amid 'rapidly changing market dynamics.' Menu prices at US restaurants are rising as avian flu has killed more than 140 million egg-laying birds in the country since 2022. At least 18.9 million birds have been culled in the past 30 days alone, according to the US Department of Agriculture. The impact on prices has been clear. The average cost of a dozen large, grade-A eggs climbed to $4.15 in December, up from $3.65 in November, according to the Bureau of Labor Statistics. Earlier this month, Waffle House, another storied US diner chain, introduced a temporary 50-cent surcharge per egg, citing the 'nationwide rise in cost of eggs,' CNN previously reported. The Georgia-based franchise, which has about 2,100 US locations, said it is 'continuously monitoring egg prices' and may adjust or remove the surcharge as market conditions improve. Bakeries are feeling the squeeze, too. Scott Auslander, general manager of the Washington, DC, bakery Bread Furst, said the surge in egg prices has been unprecedented. 'Our suppliers are telling us that they don't know when egg prices are going to come down — or if they're going to come down,' Auslander told CNN. 'Eggs are outrageous.' Bread Furst uses 150 eggs daily and has seen its costs more than double over the past year, Auslander said. The bakery recently raised prices on all of its egg-heavy items — about a third of the menu — including its signature 'messy egg sandwich,' which now costs a dollar more. 'We've really never had to think about the cost of eggs until now,' Auslander said. Major US retailers, including Costco and Trader Joe's, have had to take action as well, imposing limits on how many eggs one customer can buy. The egg crisis has pushed American businesses to seek alternatives abroad. CNN previously reported Turkey has stepped in to meet the demand, with producers there planning to export 420 million eggs to the US this year, the highest on record and nearly six times last year's US export total, according to estimates from Turkey's Egg Producers Central Union. Turkey is currently the only foreign country that exports eggs to the US, according to the American Farm Bureau Federation. Amid the shortage, more than 90 people were stopped from smuggling raw eggs from Mexico into the US since January, US Customs and Border Protection said last week in a news release. CBP urges travelers to declare all agricultural products to avoid fines and safeguard public health. 'Failure to declare may lead to potential fines and penalties,' the agency said in the statement. CBP said its agriculture specialists have issued 16 civil penalties, totaling nearly $4,000, for violations involving raw eggs and other prohibited items. The added egg-related costs trickling into various aspects of the US economy aren't likely to go away any time soon. With flocks taking months to replenish, the US Department of Agriculture projects egg prices could rise another 20% this year, leaving businesses and consumers alike scrambling to adapt for the foreseeable future.
CNN
24-02-2025
- Business
- CNN
Surging egg prices are straining America's bakeries
Fluctuating egg prices aren't anything new for Scott Auslander, general manager of Bread Furst, a bakery in Washington, DC. But this time is different, he told CNN. 'Our suppliers are telling us that they don't know when egg prices are going to come down — or if they're going to come down,' Auslander said. 'Eggs are outrageous.' Bread Furst uses about 150 eggs a day and is now paying more than double what the bakery used to pay a year ago, Auslander said. Last week, the bakery raised prices for all of its egg-heavy pastries and dishes, which is about a third of the menu. That includes its signature 'messy egg sandwich,' which now costs a dollar more. Egg prices are surging nationwide after the ongoing bird flu outbreak led to the culling of tens of millions of chickens last year. That's forcing many of America's bakeries to consider raising prices, if they haven't already done so, while they attempt to figure out how to manage the country's egg crisis. 'We've really never had to think about the cost of eggs until now,' Auslander said. The highly pathogenic H5N1 virus, or bird flu, infected flocks across the country last year, resulting in the deaths of more than 40 million egg-laying birds, according to the US Department of Agriculture. That's driving today's egg shortage, which has caused prices to soar. Wholesale fresh egg prices were 186% higher in January compared to the same month a year earlier, according to government data. That was the fourth-biggest annual increase on records going back to 1992. Prices for bakery products haven't risen meaningfully yet, according to the Consumer Price Index, but that could change if bakeries don't get a break from surging egg prices anytime soon. Aside from raising prices, bakeries are trying to figure out other ways to survive. Werner Simon, owner of Manhattan Sweets Boutique Bakery on Long Island, New York, said the bakery is planning to raise prices in the coming weeks, but it's also considering using so-called egg replacers, a product that 'has some egg yolk and soy in it, and replaces about 5% to 10% of eggs.' He said that he's wary of using too much of it in order to avoid compromising the 'integrity' of the bakery's pastries. Eat Just Inc., which makes several plant-based egg products designed to mimic chicken eggs, has seen demand soar in recent weeks. Sales to retailers including Walmart, Whole Foods, Kroger and Publix were five times higher over the past month compared to the same period last year, according to data the company shared with CNN. 'It usually is us reaching out to places' to market their products to retailers, Josh Tetrick, Eat Just's CEO, told CNN. Over the past few weeks, the company has experienced the polar opposite, he said. To meet the surge in demand, the company has ramped up and expedited its orders of ingredients and packaging materials in addition to scheduling extra days of production. That's cutting into their profit margins, but for now the company isn't raising prices, in hopes that it will help them gain more permanent customers even after the avian flu situation resolves, said Tetrick. But the headaches lately for bakeries don't just revolve around eggs. 'None of this is sustainable because we're also dealing with sky-high cocoa prices,' Simon said. 'There's not much more we can do at this point.' Auslander of Bread Furst said he trained a new staff member last week to make sure they use the entire egg when baking or cooking, even if it means taking more time to shake out the entire contents of the egg before throwing away the shell. Raising prices is usually a tough decision for businesses because it almost always results in losing customers, said Charles Lindsey, a marketing professor at the University at Buffalo School of Management. But, in some cases, it is necessary for a business to survive, and a business can limit how many customers it loses after raising prices if it communicates effectively the reasoning behind it, Lindsey said. 'It all boils down to how well a business can explain why and how they're sharing the pain,' Lindsey said. 'The last thing you want to do is raise prices and not be transparent about it.' Kerri Francis Bradley, co-owner of D Light Cafe & Bakery in the Adams Morgan neighborhood of Washington, DC, said she and her husband have personally absorbed the rising costs of eggs. She said before the egg crisis, the bakery could buy a 30-dozen box of eggs for roughly $50, but now that same box costs more than $200. Bradley said she will likely have to raise prices, but noted the communication around any future price hike will be key. 'When you make any price change, people get upset no matter what you do,' Bradley said. 'Whenever we do, we'll probably post it on our social media page, make sure our front-of-house are educated on what to say and how to explain it, and put some signage up so people know — and hopefully people will continue supporting small business.' CNN's Elisabeth Buchwald contributed reporting.
CNN
23-02-2025
- Business
- CNN
Surging egg prices are straining America's bakeries
Fluctuating egg prices aren't anything new for Scott Auslander, general manager of Bread Furst, a bakery in Washington, DC. But this time is different, he told CNN. 'Our suppliers are telling us that they don't know when egg prices are going to come down — or if they're going to come down,' Auslander said. 'Eggs are outrageous.' Bread Furst uses about 150 eggs a day and is now paying more than double what the bakery used to pay a year ago, Auslander said. Last week, the bakery raised prices for all of its egg-heavy pastries and dishes, which is about a third of the menu. That includes its signature 'messy egg sandwich,' which now costs a dollar more. Egg prices are surging nationwide after the ongoing bird flu outbreak led to the culling of tens of millions of chickens last year. That's forcing many of America's bakeries to consider raising prices, if they haven't already done so, while they attempt to figure out how to manage the country's egg crisis. 'We've really never had to think about the cost of eggs until now,' Auslander said. The highly pathogenic H5N1 virus, or bird flu, infected flocks across the country last year, resulting in the deaths of more than 40 million egg-laying birds, according to the US Department of Agriculture. That's driving today's egg shortage, which has caused prices to soar. Wholesale fresh egg prices were 186% higher in January compared to the same month a year earlier, according to government data. That was the fourth-biggest annual increase on records going back to 1992. Prices for bakery products haven't risen meaningfully yet, according to the Consumer Price Index, but that could change if bakeries don't get a break from surging egg prices anytime soon. Aside from raising prices, bakeries are trying to figure out other ways to survive. Werner Simon, owner of Manhattan Sweets Boutique Bakery on Long Island, New York, said the bakery is planning to raise prices in the coming weeks, but it's also considering using so-called egg replacers, a product that 'has some egg yolk and soy in it, and replaces about 5% to 10% of eggs.' He said that he's wary of using too much of it in order to avoid compromising the 'integrity' of the bakery's pastries. Eat Just Inc., which makes several plant-based egg products designed to mimic chicken eggs, has seen demand soar in recent weeks. Sales to retailers including Walmart, Whole Foods, Kroger and Publix were five times higher over the past month compared to the same period last year, according to data the company shared with CNN. 'It usually is us reaching out to places' to market their products to retailers, Josh Tetrick, Eat Just's CEO, told CNN. Over the past few weeks, the company has experienced the polar opposite, he said. To meet the surge in demand, the company has ramped up and expedited its orders of ingredients and packaging materials in addition to scheduling extra days of production. That's cutting into their profit margins, but for now the company isn't raising prices, in hopes that it will help them gain more permanent customers even after the avian flu situation resolves, said Tetrick. But the headaches lately for bakeries don't just revolve around eggs. 'None of this is sustainable because we're also dealing with sky-high cocoa prices,' Simon said. 'There's not much more we can do at this point.' Auslander of Bread Furst said he trained a new staff member last week to make sure they use the entire egg when baking or cooking, even if it means taking more time to shake out the entire contents of the egg before throwing away the shell. Raising prices is usually a tough decision for businesses because it almost always results in losing customers, said Charles Lindsey, a marketing professor at the University at Buffalo School of Management. But, in some cases, it is necessary for a business to survive, and a business can limit how many customers it loses after raising prices if it communicates effectively the reasoning behind it, Lindsey said. 'It all boils down to how well a business can explain why and how they're sharing the pain,' Lindsey said. 'The last thing you want to do is raise prices and not be transparent about it.' Kerri Francis Bradley, co-owner of D Light Cafe & Bakery in the Adams Morgan neighborhood of Washington, DC, said she and her husband have personally absorbed the rising costs of eggs. She said before the egg crisis, the bakery could buy a 30-dozen box of eggs for roughly $50, but now that same box costs more than $200. Bradley said she will likely have to raise prices, but noted the communication around any future price hike will be key. 'When you make any price change, people get upset no matter what you do,' Bradley said. 'Whenever we do, we'll probably post it on our social media page, make sure our front-of-house are educated on what to say and how to explain it, and put some signage up so people know — and hopefully people will continue supporting small business.' CNN's Elisabeth Buchwald contributed reporting.
