Archives for: March 2009

THRIFTY SHOPPERS 'SOLD!' ON GROCERY AUCTIONS - BIDDERS ARE WILLING TO TAKE SOME FOOD THAT IS PAST ITS SELL-BY DATE

Runner Janet Cool displays frozen meet during the grocery auction in Dallas, Pa. - Matt Rourke / AP

Thrifty shoppers ‘Sold!’ on grocery auctions - Bidders are willing to take some food that is past its sell-by date.

Source: AP, MSNBC

DALLAS, Pa. - Out of toilet paper? Need to pick up a few things for dinner? Take a number and start bidding.

Many bargain hunters these days are trading supermarket aisles for the auction circuit in search of deep discounts on everything from cereal to spare ribs. Past the sell-by date? Bidders are happy to ignore that detail if they're getting a good deal.

As consumers seek relief from the recession and spiraling food prices, grocery auctions are gaining in popularity as an easy way to cut costs. The sales operate like regular auctions, but with bidders vying for dry goods and frozen foods instead of antiques and collectibles. Some auctioneers even accept food stamps.

When Kirk Williams held his first grocery auction in rural Pennsylvania last month, nearly 300 people showed up. Astonished by the turnout, he's scheduling auctions at locations throughout northeastern Pennsylvania.

"Right now, people don't have a lot of spare pocket change," said Williams, 50, operator of Col. Kirk's Auction Gallery near Bloomsburg, Pa. "They're looking to save money."

Rich Harris, 28, who was recently laid off from his welding job, showed up at Williams' auction in Dallas earlier this month looking for meat for his freezer and snacks for his kids. With his wife pregnant with their third child, "I'm basically trying to expand my dollar right now," he said. "The deals, they seem to be fairly good."

Grocery sales make sense for auctioneers, too. Sales of baseball cards, estate jewelry and other auction staples have "fallen off a cliff," Williams said. He hopes to average about $12,000 in sales per auction, which would net him a profit of about $1,000.

The popularity of the auctions — which sell leftover or damaged goods from supermarkets, distribution centers and restaurant suppliers — comes at a time when people are stretching their grocery budgets by using more coupons, buying inferior cuts of meat, and choosing store brands over national brands.

The economic downturn, paired with the worst food inflation in nearly 20 years (grocery prices spiked in 2008 before easing in January and February), has caused a "seismic shift" in consumer behavior, said Brian Todd, president of The Food Institute, an industry information service.

"Food is one area where they can save," he said.

The increased interest has fueled growth in the auctions, which can be found in at least nine states from Oklahoma to New York.

Banana Box Wholesale Grocery, a Kutztown, Pa.-based food brokerage that supplies salvage grocery stores around the nation, has seen a marked increase in calls from auctioneers getting into the food business, said manager Greg Martin.

At Steve Schleeter's grocery auction in St. Mary, Ohio — where attendance has swelled in recent months — some regulars have told him they now do most of their shopping at the auction and only go to the store for milk and lunch meat. He estimates his customers can knock 50 percent off their grocery bills.

Cherish Francik, 42, who works for the Social Security Administration, said she wouldn't have been caught dead at a grocery auction or even a discount food store a few months ago. But the tough economy has turned her into a tightwad.

Now she brags to her co-workers about her frugality.

"Most of my life, I've been a brand-name shopper. It was a quick change for me, a real quick change," said Francik, whose haul from the Williams auction included trail mix, honey-barbecue chicken nuggets and a spiral-cut ham. "I guess it's sort of a thrill now to find something that tastes good and is the right price."

'Anybody else on the cheese curls?'

Inside the auction hall in Dallas, a small town north of Wilkes-Barre, Pa., Williams uses a singsong, rapid-fire delivery to sell everything from frozen broccoli (six boxes for $2) to pork ribs ($20 for a 14-pound hunk) to candy bars (10 Baby Ruths for $2). Especially popular are the frozen foods — pies, bratwursts, chicken breasts, popcorn shrimp, whole hams, french fries.

Displaying an 11-ounce bag of cheese curls that retails for $1.99, the veteran auctioneer chants: "Dollar and a quarter, dollar and a half. Dollar and a quarter, buck and a half. Buck and a half, buck seventy-five."

His colleague, Roger Naugle, stops the bidding at $1.50.

"Who wants the cheese curls?" Williams says. "Down there, No. 17 wants two. No. 7 wants one. No. 33 takes two. Guys, who else? These are so good. Anybody else on the cheese curls? Anybody, anybody, anybody else? All fresh and in date."

As workers fan out with armloads of bags, Williams tees up the next item. And on it goes, for hours. Customers head to their cars balancing precariously overloaded boxes of food.

Some of the goodies have wound up here because they're out-of-date. But the auctioneers stress that they're still OK to eat. The Food and Drug Administration does not generally prohibit the sale of food past its sell-by or use-by date — manufacturers' terms that help guide the rotation of shelf stock or indicate the period of best flavor or quality.

"There is not one thing in this sale today that Kirk or myself will sell you, that we would not, do not, will not, or have not taken home to our own families!" Naugle tells the crowd.

Linda Dennis, a group home manager from Wilkes-Barre, said she wasn't phased by the Feb. 9 sell-by date on a bag of frozen pizza bites.

"The quality and taste may go down, but that doesn't mean you can't eat it," she said.

The same kinds of goods sold at grocery auctions also find their way to salvage stores, flee markets, closeout sales and food banks, though Williams said he avoids merchandise that is severely damaged or well past expiration.

Like any auction, grocery auctions aren't automatically a bargain. Savvy bidders should know what things cost at the supermarket to make sure they're truly saving money. The excitement sometimes leads bidders to overpay.

"Every once in a while, a customer bids it, and you're going, 'I'm pretty sure that's cheaper in the store,'" said Schleeter, the Ohio auctioneer.

Wal-Mart tries to cash in on store-brand boom
How much should you spend on groceries?

For the most part, though, the auctions pair food that needs a home with consumers who want to save a buck.

Marvin Mason, who runs grocery auctions in Indiana, Michigan and Ohio, said the percentage of shoppers who use credit cards and food stamps instead of cash has increased, indicating more people are showing up out of necessity.

"We've had more people who are needy, who have to watch their money," he said.

by AI HUU NINH THUAN
03/25/09. 10:16:02 am. 1121 words, 386 views. Categories: Thiên hạ sự, Uncategorized, Liên kết blogs ,

OBAMA'S PRESS CONFERENCE STIRS THE BUZZ


Obama's Press Conference Stirs the Buzz
by Mike Krumboltz
Source: Y! Buzz, AP

After an uncharacteristic gaffe on 'The Tonight Show' and an unfortunate case of the giggles on '60 Minutes,' President Obama had a lot riding on his Tuesday night press conference. The president largely stayed on message, using the hour to focus on the economy, the budget, and his anger (even if was delayed) at those darn AIG bonuses.

The buzziest moment came about 35 minutes into the press conference when Ed Henry of CNN asked the President why he didn't spew outrage as soon as he learned about the AIG bonuses. Why, Mr. Henry asked, did the president wait several days before speaking out? The president, with an icy stare, responded that he "likes to know what he's talking about" before he speaks. It was a pretty testy exchange that brought about nervous laughter from the other reporters and snarky responses from Twitterers. Boom! Next question.

Another moment that seemed to strike a chord came when Chuck Todd of NBC asked the president what sort of sacrifices he would like to see from the American people during this economic crisis. The president responded that he expects Americans to do what they've always done "which is working hard, looking after their families, making sure that, despite the economic hard times, that they're still contributing to their community..."

Chip Reid asked a tough question about Obama's controversial budget. Reid asked if the budget, which will increase the debt to "$7 trillion over the next 10 years," is a case of passing problems onto the next generation. Obama responded that investments need to be made to "meet our growth targets that put us on a pathway to growth." He then pointed out that the critics of his budget have yet to bring forth an alternative.

As is often the case with press conferences, some insider lingo was banded about that had normal folks running for the Search box. A question involving "out-years" seemed to inspire some activity and confusion within Yahoo! Buzz. According to a blog from the Washington Post, the phrase "out years" refers to the time period following the current fiscal year.

The question about the military's "procurement system" will surely lead to increased searches. For the record, the procurement system is what the military uses to acquire necessary goods and services at the best possible rates. President Obama believes that it is broken and pointed out that Senator McCain, his onetime rival, apparently agrees.

You can read the full transcript of the press conference here.

by AI HUU NINH THUAN
03/25/09. 10:06:36 am. 424 words, 64 views. Categories: Thiên hạ sự, Uncategorized, Liên kết blogs ,

AUDITORS PROJECT DEEPER DEFICITS FOR OBAMA BUDGET

Mar 20, 11:43 PM (ET)

By ANDREW TAYLOR

(AP) President Barack Obama makes remarks to representatives of the National Conference of State...

WASHINGTON (AP) - President Barack Obama's budget would produce $9.3 trillion in deficits over the next decade, more than four times the deficits of Republican George W. Bush's presidency, congressional auditors said Friday.

The new Congressional Budget Office figures offered a far more dire outlook for Obama's budget than the new administration predicted just last month - a deficit $2.3 trillion worse. It's a prospect even the president's own budget director called unsustainable.

In his White House run, Obama assailed the economic policies of his predecessor, but the eye-popping deficit numbers threaten to swamp his ambitious agenda of overhauling health care, exploring new energy sources and enacting scores of domestic programs.

The dismal deficit figures, if they prove to be accurate, inevitably raise the prospect that Obama and his Democratic allies controlling Congress would have to consider raising taxes after the recession ends or else pare back his agenda.


(AP) President Barack Obama makes remarks to representatives of the National Conference of State...

By CBO's calculation, Obama's budget would generate deficits averaging almost $1 trillion a year of red ink over 2010-2019.

Worst of all, CBO says the deficit under Obama's policies would never go below 4 percent of the size of the economy, figures that economists agree are unsustainable. By the end of the decade, the deficit would exceed 5 percent of gross domestic product, a dangerously high level.

White House budget chief Peter Orszag said that CBO's long-range economic projections are more pessimistic than those of the White House, private economists and the Federal Reserve and that he remained confident that Obama's budget, if enacted, would produce smaller deficits.

Even so, Orszag acknowledged that if the CBO projections prove accurate, Obama's budget would produce deficits that could not be sustained.

"Deficits in the, let's say, 5 percent of GDP range would lead to rising debt-to-GDP ratios that would ultimately not be sustainable," Orszag told reporters.


(AP) Graphic shows budget proposal breakdown for fiscal 2010 and estimated deficit from 2009 to

Deficits so big put upward pressure on interest rates as the government offers more attractive interest rates to attract borrowers.

"I think deficits of 5 percent (of GDP) are unsupportable," said economist Mark Zandi, chief economist at Moody's Economy.com. "It will lead to higher interest rates to the point where it will force policymakers to make changes."

Republicans immediately piled on.

"This report should serve as the wake-up call this administration needs," said House Minority Leader John Boehner, R-Ohio. "We simply cannot continue to mortgage our children and grandchildren's future to pay for bigger and more costly government."

But Obama insisted on Friday that his agenda is still on track.

"What we will not cut are investments that will lead to real growth and prosperity over the long term," Obama said. "That's why our budget makes a historic commitment to comprehensive health care reform. That's why it enhances America's competitiveness by reducing our dependence on foreign oil and building a clean energy economy."

Obama's $3.6 trillion budget for the 2010 fiscal year beginning Oct. 1 contains ambitious programs to overhaul the U.S. health care system and initiate new "cap-and-trade" rules to combat global warming.

Both initiatives involve raising federal revenues sharply higher, but those dollars wouldn't be used to defray the burgeoning deficit and would instead help pay for Obama's health plan and implement Obama's $400 tax credit for most workers and $800 for couples.

Obama's budget promises to cut the deficit to $533 billion in five years. The CBO says the red ink for that year will total $672 billion.

Most disturbing to Obama allies like Senate Budget Committee Chairman Kent Conrad, D-N.D., are the longer term projections, which climb above $1 trillion again by the end of the next decade and approach 6 percent of GDP by 2019.

Among about a dozen major changes to Obama's budget, Conrad is looking to curb Obama's 9 percent increase for non-defense appropriations to show short-term progress and insists that the long-term deficit and debt crisis will have to be addressed via a special bipartisan commission.

"The budget that I'll submit will cut the deficit by more than two-thirds over these first five years," Conrad. "These imbalances are just absolutely unsustainable."

The worsening economy is responsible for the even deeper fiscal mess inherited by Obama. As an illustration, CBO says the deficit for the current budget year, which began Oct. 1, will top $1.8 trillion, $93 billion more than foreseen by the White House. That would equal 13 percent of GDP, a level not seen since World War II.

The 2009 deficit, fueled by the $700 billion Wall Street bailout and diving tax revenues stemming from the worsening recession, is four times the previous $459 billion record set just last year.

The CBO's estimate for 2010 is worse as well, with a deficit of almost $1.4 trillion expected under administration policies, about $200 billion more than predicted by Obama.

Long-term deficit predictions have proven notoriously fickle - George W. Bush inherited flawed projections of a 10-year, $5.6 trillion surplus and instead produced record deficits - and if the economy outperforms CBO's expectations, the deficits could prove significantly smaller.

Republicans say Obama's budget plan taxes, spends and borrows too much, and they've been sharply critical of his $787 billion economic stimulus measure and a just-passed $410 billion omnibus spending bill that awarded big increases to domestic agency budgets.

The administration says it inherited deficits totaling $9 trillion over the next decade and that its budget plan cuts $2 trillion from those deficits. But most of those spending reductions come from reducing costs for the war in Iraq.

by AI HUU NINH THUAN
03/21/09. 01:14:34 am. 919 words, 203 views. Categories: Thiên hạ sự, Uncategorized, Tin tức ðó ðây, Thời cuộc, Liên kết blogs, Xã hội và nhân văn ,