Ken Bennett, an avid hiker and recreational hockey player, wanted a cereal packed with protein. So last month, he picked up Kellogg’s Vector. Bold lettering on the box declares that it has “high protein” — more specifically, that it “provides 13 g of protein” per serving.
“[It’s] actually pretty high for a breakfast cereal. That’s why I bought it,” said Bennett, who lives in Chilliwack, B.C.
He felt good about his choice — until he noticed the fine print on the box one morning during breakfast.
The fine print reveals that a serving of Vector flakes alone contains just 5.6 grams of protein. The rest of the advertised 13 grams comes from the recommended 200 millilitres of skim milk to be added to the flakes.
“I felt tricked. I felt duped,” said Bennett. “I took it for face value that these breakfast cereal flakes had 13 grams of protein.”
The fine print on the front of the Vector box and its nutrition information panel explains that the advertised 13 grams of protein comes from adding 200 milliliters of skim milk to the flakes. (Sophia Harris/CBC)
As Canadians grapple with rising grocery prices, they’re becoming more concerned about food marketing tactics they believe are deceptive — including “shrinkflation” (when companies reduce the weight of a food product, but not the price or packaging), “skimpflation” (when they use cheaper ingredients but keep the price the same), and bold claims that gloss over key details.
“It really offends consumers,”said Mary L’Abbé, a nutritional sciences professor emeritus at the University of Toronto.
“They really feel like they’re being … cheated out of their hard-earned dollars.”
Transparency needed on shrinkflation, consumer advocates say
Consumers and advocates are calling for more transparency around the practice of shrinking packaging rather than increasing prices, known as ‘shrinkflation.’ Other countries make companies display weight changes on product labels.
CBC News has heard from several Canadians who had gripes about cereal packaging, such as taller boxes containing less cereal, and bold statements on box labels that may not match up with what’s inside.
In Vector’s case, Health Canada spokesperson André Gagnon said Kellogg can add milk to the protein count, because the product isn’t a cereal. Instead, Vector is a “meal replacement” — a product that meets specific nutrition criteria that may require added milk.
Bennett said he thought Vector was a cereal because he bought it in the cereal aisle. He also didn’t notice the words “meal replacement” on the bottom corner of the box.
“I don’t know what it means by a meal replacement,” he said. “They shouldn’t be able to do that.”
L’Abbé agrees. She says although Vector’s label complies with regulations, it’s still misleading to many shoppers who believe the product is a cereal.
“It’s not sold grouped in the supermarket with all these other nutritional meal replacements,” she said. “It’s in with the breakfast cereals.”
U.S.-based WK Kellogg Co. said Vector’s label is not only compliant, but voluntarily discloses on the box the protein count without added milk.
No blueberries in ‘blueberry’ cereal
Don Bajom of Winnipeg recently bought a box of Kellogg’s Mini-Wheats Blueberry because he believed it contained blueberries. After all, the berry is in the cereal’s name and in pictures on the box.
But he thought the cereal didn’t taste quite right, so he checked the ingredients. That’s when he discovered that it contains no blueberries — dried or in any other form.
Kellogg’s Mini-Wheats Blueberry shows pictures of blueberries on the box, but the cereal contains none of the fruit. The company says this is allowed because it states “natural and artificial flavour” on the bottom right corner of the box. (Sophia Harris/CBC)
“I feel like I was lied to,” he told CBC News in a written statement. “I feel like this company does not care about its customers.”
According to Canadian regulations, if a cereal shows a real food on the box that is simulated in the product with flavouring, it must be made clear on the packaging.
Kellogg Co. said Mini-Wheats Blueberry is compliant, because the front of the box states “natural and artificial flavour,” and the nutrition label lists all the ingredients.
But L’Abbé still takes issue with the cereal’s packaging, saying she believes the “natural and artificial flavour” statement — near the bottom corner of the box — doesn’t make clear that the cereal contains no blueberries.
“That product doesn’t say ‘blueberry-flavoured Mini-Wheats,’ it just says, ‘blueberry Mini-Wheats,'” she said. “This one I think is absolutely, terribly misleading to the consumer.”
How skimpflation might be affecting your groceries
Skimpflation is when companies swap out ingredients for cheaper ones, without lowering the price or alerting customers. One consumer advocate calls it a ‘sneaky way to give you less for your money’ that most people don’t notice.
L’Abbé says the federal government needs to do more to help shoppers read food labels with a critical eye.
“I don’t think they’ve thought enough about how important these labels are to consumers,” she said.
Boston-based consumer advocate Edgar Dworsky, who tracks shrinkflation on his website, Consumer World, said the best safeguard for shoppers is to educate themselves.
“We have to become aware of the different tricks and ploys that manufacturers use,” he said. “We can outsmart them.”
TORONTO – Canada Goose Holdings Inc. says it has signed a deal that will result in the creation of its first eyewear collection.
The deal announced on Thursday by the Toronto-based luxury apparel company comes in the form of an exclusive, long-term global licensing agreement with Marchon Eyewear Inc.
The terms and value of the agreement were not disclosed, but Marchon produces eyewear for brands including Lacoste, Nike, Calvin Klein, Ferragamo, Longchamp and Zeiss.
Marchon plans to roll out both sunglasses and optical wear under the Canada Goose name next spring, starting in North America.
Canada Goose says the eyewear will be sold through optical retailers, department stores, Canada Goose shops and its website.
Canada Goose CEO Dani Reiss told The Canadian Press in August that he envisioned his company eventually expanding into eyewear and luggage.
This report by The Canadian Press was first published Sept. 19, 2024.
Almost seven years since news broke of an alleged conspiracy to fix the price of packaged bread across Canada, the saga isn’t over: the Competition Bureau continues to investigate the companies that may have been involved, and two class-action lawsuits continue to work their way through the courts.
Here’s a timeline of key events in the bread price-fixing case.
Oct. 31, 2017: The Competition Bureau says it’s investigating allegations of bread price-fixing and that it was granted search warrants in the case. Several grocers confirm they are co-operating in the probe.
Dec. 19, 2017: Loblaw and George Weston say they participated in an “industry-wide price-fixing arrangement” to raise the price of packaged bread. The companies say they have been co-operating in the Competition Bureau’s investigation since March 2015, when they self-reported to the bureau upon discovering anti-competitive behaviour, and are receiving immunity from prosecution. They announce they are offering $25 gift cards to customers amid the ongoing investigation into alleged bread price-fixing.
Jan. 31, 2018: In court documents, the Competition Bureau says at least $1.50 was added to the price of a loaf of bread between about 2001 and 2016.
Dec. 20, 2019: A class-action lawsuit in a Quebec court against multiple grocers and food companies is certified against a number of companies allegedly involved in bread price-fixing, including Loblaw, George Weston, Metro, Sobeys, Walmart Canada, Canada Bread and Giant Tiger (which have all denied involvement, except for Loblaw and George Weston, which later settled with the plaintiffs).
Dec. 31, 2021: A class-action lawsuit in an Ontario court covering all Canadian residents except those in Quebec who bought packaged bread from a company named in the suit is certified against roughly the same group of companies.
June 21, 2023: Bakery giant Canada Bread Co. is fined $50 million after pleading guilty to four counts of price-fixing under the Competition Act as part of the Competition Bureau’s ongoing investigation.
Oct. 25 2023: Canada Bread files a statement of defence in the Ontario class action denying participating in the alleged conspiracy and saying any anti-competitive behaviour it participated in was at the direction and to the benefit of its then-majority owner Maple Leaf Foods, which is not a defendant in the case (neither is its current owner Grupo Bimbo). Maple Leaf calls Canada Bread’s accusations “baseless.”
Dec. 20, 2023: Metro files new documents in the Ontario class action accusing Loblaw and its parent company George Weston of conspiring to implicate it in the alleged scheme, denying involvement. Sobeys has made a similar claim. The two companies deny the allegations.
July 25, 2024: Loblaw and George Weston say they agreed to pay a combined $500 million to settle both the Ontario and Quebec class-action lawsuits. Loblaw’s share of the settlement includes a $96-million credit for the gift cards it gave out years earlier.
Sept. 12, 2024: Canada Bread files new documents in Ontario court as part of the class action, claiming Maple Leaf used it as a “shield” to avoid liability in the alleged scheme. Maple Leaf was a majority shareholder of Canada Bread until 2014, and the company claims it’s liable for any price-fixing activity. Maple Leaf refutes the claims.
This report by The Canadian Press was first published Sept. 19, 2024.
Companies in this story: (TSX:L, TSX:MFI, TSX:MRU, TSX:EMP.A, TSX:WN)
TORONTO – TD Bank Group, which is mired in a money laundering scandal in the U.S., says chief executive Bharat Masrani will retire next year.
Masrani, who will retire officially on April 10, 2025, says the bank’s, “anti-money laundering challenges,” took place on his watch and he takes full responsibility.
The bank named Raymond Chun, TD’s group head, Canadian personal banking, as his successor.
As part of a transition plan, Chun will become chief operating officer on Nov. 1 before taking over the top job when Masrani steps down at the bank’s annual meeting next year.
TD also announced that Riaz Ahmed, group head, wholesale banking and president and CEO of TD Securities, will retire at the end of January 2025.
TD has taken billions in charges related to ongoing U.S. investigations into the failure of its anti-money laundering program.
This report by The Canadian Press was first published Sept. 19, 2024.
