The Competition Bureau says Keurig Canada will pay a $3 million penalty for making false or misleading claims that its single-use K-Cup pods can be recycled.
In a statement Thursday the bureau says the company voluntarily reached an agreement that will include the fine plus an $800,000 donation to an environmental charity and $85,000 in Competition Bureau expenses for the case.
Keurig reportedly came to an agreement to a settle a class-action suit in the United States over the same issue last month though the details of that settlement are not yet public.
The company was investigated by the Competition Bureau for claims its single-use plastic beverage pods could be recycled if consumers peeled off the metallic lid and emptied out any contents like coffee grounds.
But the Bureau said the K-Cups aren’t widely accepted for recycling in any province except Quebec and British Columbia and those instructions don’t go far enough for many cities that might accept them in a recycling program.
In addition to the financial penalties, Keurig Canada has to change its packaging, publish notices about the changes on its websites, social media and in local and national media outlets, as well as include the information in packaging for new Keurig brewing machines and send an email to subscribers.
“Portraying products or services as having more environmental benefits than they truly have is an illegal practice in Canada,” Commissioner of Competition Matthew Boswell said in a statement.
“False or misleading claims by businesses to promote ‘greener’ products harm consumers who are unable to make informed purchasing decisions, as well as competition and businesses who actually offer products with a lower environmental impact.”
Cynthia Shanks, senior director for communications and sustainability at Keurig Canada, said in an emailed statement that three years ago Keurig switched its pods to use the type of plastic that is most commonly accepted by Canadian recycling programs.
But she said many still do not accept K-Cups.
“As we continue working with municipalities and the recycling industry to increase K-Cup pod recycling acceptance, we’ve been evolving our communications with consumers to share that the pods are recyclable in select communities and remind them of the appropriate steps to recycle,” Shanks said.
“The agreement with the Competition Bureau of Canada will further enhance our communications, reminding consumers to verify whether K-Cup pods are accepted in their municipality’s recycling program and, if so, any additional steps that may be necessary to prepare the pods for recycling.”
The Competition Act prohibits companies from making false or misleading claims about their products, including environmental claims. Five years ago the Competition Bureau issued a warning to companies that “greenwashing” their products is illegal in Canada.
“The Competition Act takes aim at environmental claims that are vague, non-specific, incomplete, or irrelevant and that cannot be supported through verifiable test methods,” the 2017 statement reads.
This report by The Canadian Press was first published Jan. 6, 2022.
TORONTO – Restaurant Brands International Inc. reported net income of US$357 million for its third quarter, down from US$364 million in the same quarter last year.
The company, which keeps its books in U.S. dollars, says its profit amounted to 79 cents US per diluted share for the quarter ended Sept. 30 compared with 79 cents US per diluted share a year earlier.
Revenue for the parent company of Tim Hortons, Burger King, Popeyes and Firehouse Subs, totalled US$2.29 billion, up from US$1.84 billion in the same quarter last year.
Consolidated comparable sales were up 0.3 per cent.
On an adjusted basis, Restaurant Brands says it earned 93 cents US per diluted share in its latest quarter, up from an adjusted profit of 90 cents US per diluted share a year earlier.
The average analyst estimate had been for a profit of 95 cents US per share, according to LSEG Data & Analytics.
This report by The Canadian Press was first published Nov. 5, 2024.
ST. JOHN’S, N.L. – Fortis Inc. reported a third-quarter profit of $420 million, up from $394 million in the same quarter last year.
The electric and gas utility says the profit amounted to 85 cents per share for the quarter ended Sept. 30, up from 81 cents per share a year earlier.
Fortis says the increase was driven by rate base growth across its utilities, and strong earnings in Arizona largely reflecting new customer rates at Tucson Electric Power.
Revenue in the quarter totalled $2.77 billion, up from $2.72 billion in the same quarter last year.
On an adjusted basis, Fortis says it earned 85 cents per share in its latest quarter, up from an adjusted profit of 84 cents per share in the third quarter of 2023.
The average analyst estimate had been for a profit of 82 cents per share, according to LSEG Data & Analytics.
This report by The Canadian Press was first published Nov. 5, 2024.
TORONTO – Thomson Reuters reported its third-quarter profit fell compared with a year ago as its revenue rose eight per cent.
The company, which keeps its books in U.S. dollars, says it earned US$301 million or 67 cents US per diluted share for the quarter ended Sept. 30. The result compared with a profit of US$367 million or 80 cents US per diluted share in the same quarter a year earlier.
Revenue for the quarter totalled US$1.72 billion, up from US$1.59 billion a year earlier.
In its outlook, Thomson Reuters says it now expects organic revenue growth of 7.0 per cent for its full year, up from earlier expectations for growth of 6.5 per cent.
On an adjusted basis, Thomson Reuters says it earned 80 cents US per share in its latest quarter, down from an adjusted profit of 82 cents US per share in the same quarter last year.
The average analyst estimate had been for a profit of 76 cents US per share, according to LSEG Data & Analytics.
This report by The Canadian Press was first published Nov. 5, 2024.
