Paulig Group supports the construction of the new children’s hospital with 1.5 million euros
Paulig Group has been a part of the Finns’ everyday life for over a hundred years. The company continues on this track with the donation of 1.5 million euros to the construction of the new Children’s Hospital 2017. The donation is paid today, June 6, on the Good Coffee Day.
When Children’s Castle Hospital was inaugurated in 1948, Paulig participated in the work.
“We are all parts in a collaborative effort that applies not only to ourselves and our company, but also to the whole of modern society with all its many operating procedures,” said the then Managing Director of Paulig Eduard Paulig in the years following the war. In those times, reconstruction was at its most feverish and it required the participation of all operators in society.
In the 1940s Mannerheim League for Child Welfare built the Children’s Castle Hospital and received a coffee donation from America. Paulig took part in the teamwork to build the hospital by packaging the unroasted coffee in small, 250g Children’s Castle Hospital packages. They were used as prizes in draws that were held at the Stockmann department store in 1945. The prize draws were a success, as coffee was still subject to postwar rationing and heavily in demand. It made an excellent draw for various kinds of collections. A considerable sum for that era was raised – 1.2 million Finnish marks.
Building the future is among the main values
“Children and young people are the main target categories for the Paulig Group’s social projects. This is why we want to participate in this unique project. The wish to participate in the New Children’s Hospital 2017 project came from both the personnel and our owners. People have remembered the story with the Children’s Castle Hospital coffee of the 1940s and asked if we could be involved in such an important project again,” says CEO Jaana Tuominen.
“It is often said that a family company’s quarter is 25 years. Paulig’s donation communicates its social commitment and the values that have evolved within the company over generations. The Children’s Hospital has awakened the shared sense of belonging among us Finns, and Paulig’s donation is a good example of this,” says the chair of the New Children’s Hospital Support Association 2017, Anne Berner.
The target set for the collection by the New Children’s Hospital 2017 project support association is at least 30 million euros. The donations will be used to build a top unit for specialised paediatric care, which will serve its small customers nationwide. Together with the Paulig Group’s contribution, the pot now stands at 28.5 million euros.
CEO of Paulig Group Jaana Tuominen (left) and
New Children’s Hospital Support Association 2017, Anne Berner
Anita Laxén, VP Communications, Tel: +358 40 770 0873
New Children’s Hospital Support Association 2017
Anne Berner, Chairman, Tel. +358 400 468 180
About Paulig Group
Gustav Paulig founded the company in the heart of Helsinki in 1876. The business idea was to offer people tastes from the world. Today Paulig Group is an international family-owned company in the food industry, known for its high-quality brand products. The business areas are Coffee, World Foods & Flavouring, Snack Food and Industrial Flavouring. The strong brands of the Paulig Group include Paulig and Santa Maria. The Group has almost 2,000 employees in fifteen different countries and net sales were EUR 850 million in 2013.
Paulig to acquire Robert Paulig coffee roastery and coffee brands
Among the coffee-lovers of the world, small batches of speciality coffee have become a distinct trend in the coffee business over the past few years. Paulig will expand its offering also into this segment with the acquisition by Gustav Paulig Ltd of the Robert Paulig small roastery’s business operations and the Robert Paulig coffee brands.
Robert Paulig started a small coffee roastery in the Katajanokka district of Helsinki in 1987. Today the roastery operates in Tolkkinen, Porvoo, where it moved into new premises in 2011. The roastery will continue to operate in the same premises after the transaction.
“We Finns are lovers of good coffee and we drink coffee in various circumstances. We will now be able to harness both companies’ strengths, and by joining our forces we will have even better opportunities to develop the right kind of coffee for different consumption situations and needs,” says Elisa Markula, Head of the Paulig Group’s Coffee Division.
The roastery’s operations will continue in a separate company
With the transaction, the Robert Paulig roastery will be transferred to a subsidiary of Gustav Paulig Ltd to be named Oy Robert Paulig Roastery Ab.
“We want to retain the small roastery’s special characteristics also in the future which is why the roastery’s operations will continue in a separate company,” Elisa declares.
The current Director of the roastery, Carl-Gustav Paulig, will continue to be in charge of sales.
The Robert Paulig brand will complement Paulig’s brand portfolio
“People often see the Robert Paulig brands as part of the Paulig brand portfolio, and we think it is great that all Paulig brands are now gathered together under the same roof,” Elisa Markula comments.
The Robert Paulig coffee brands also include flavoured special blends, Muumi (Moomin) blends and Watsa coffees. The products will continue to bear the Robert Paulig brand in the future.
The intention is for the transaction to take effect on 31 May 2014. The deal will have no effect on personnel. The parties have agreed that the purchase price will not be made public.
The Robert’s Coffee café business is not included in the deal.
Elisa Markula, Head of the Paulig Group’s Coffee Division,
Tel: +358 50 596 0978, elisa.markula(at)paulig.com
Anita Laxén, VP, Communications, Paulig Group
Tel: +358 40 770 0873, anita.laxen(at)paulig.com
Paulig Group is an international family business in the food industry, known for its high-quality brand products. The business areas are Coffee, World Foods & Flavourings, Snack Food and Industrial Flavourings. The strong brands of the Paulig Group include Paulig and Santa Maria. The Group has almost 2,000 employees in fifteen different countries and net sales were EUR 850 million in 2013.
PauligGroup’s Coffee division is the market leader in Finland and the Baltic countries and in Russia it is the second-biggest supplier of roasted coffee. Paulig supplies its products and services to the retail trade, the HoReCa sector and workplaces through the Paulig Professional business unit. In Finland, Paulig’s best-known brand products include Juhla Mokka, Presidentti, Paulig Brazil and Paulig Mundo as well as the coffee beverage Paulig Frezza and the drinking chocolate beverage Paulig Tazza. The most popular products on the Russian and Baltic markets are the Presidentti and Paulig Classic coffees and Paulig espresso products. The company’s coffee roasteries are located in the Vuosaari district of Helsinki and Tver, Russia. The Vuosaari roastery produces some 100 million packages of coffee or roughly 45 million kilos of coffee per year.
Mikael Aru elected Chairman of Paulig Ltd
The Annual General Meeting elected Mikael Aru as the new Chairman of the Board of Directors of Paulig Ltd on 24 April 2014. Aru has been a member of the Board since 2013. He succeeds Philip Aminoff, who announced that after 17 years on the Board, three of which as the Chairman, he will resign from the Board.
Mikael Aru has gained extensive experience of the food industry at companies such as Procordia (President and CEO 2003–2013), whose brand portfolio includes e.g. Felix, Ekströms, Grandiosa and Risifrutti.
Before Procordia, he was CEO of Kraft Foods Norway and Executive Vice President of Kraft Foods Nordic’s confectionery and food businesses. He has also held senior management positions at Kraft Jacobs Suchard Europe and the Nestlé Group. He is currently a Board member of several companies and Senior Advisor for Orkla ASA.
Mikael Aru was born in 1953 and has a degree in business administration from the University of Linköping. He lives in Sweden.
The General Meeting also elected Jon Sundén (b. 1971) as a new member of the Board. He is the Managing Director of Oy Telpak Ab, a packing materials wholesaler. He also has many years of extensive experience in leading and developing the supply chain gained at among others Fazer.
The other Board members were re-elected by the Annual General Meeting and are: Mathias Bergman, Christian Hallberg, Eero Heliövaara, Christian Köhler and Sanna Suvanto-Harsaae. Berndt Heikel will continue as the secretary of the Board of Directors.
VP, Communications, Paulig Group, Anita Laxén: +358 40 770 0873
The Paulig Group’s operating profit grew in 2013
The Paulig Group had a good year in 2013 and all four divisions of the Group attained or exceeded the targets set for operating result. Net sales were EUR 849.7 million and operating profit rose to EUR 75.9 million.
The Paulig Group’s results were good in spite of challenging market conditions. The Group’s net sales declined by 1.0 per cent on the previous year to EUR 849.7 million. The Group’s sales volume grew by more than 5 per cent during the year. The decrease in net sales was mainly due to lower world market prices for coffee in 2013 compared with the previous year. Since the beginning of 2014, the drought in Brazil has raised the price of green coffee once again.
The Group’s operating profit rose to EUR 75.9 million (70.0) and operating profit relative to net sales to 8.9 per cent (8.1).
“I am very pleased with last year’s results and with our systematic work to enhance our core business with coffee, flavourings and world food concepts. Strong values, consumer insight and capable personnel are behind the success,” says CEO Jaana Tuominen.
2013 in brief
- Net sales were EUR 849.7 million (858.3)
- Operating profit was EUR 75.9 million (70.0). Operating profit’s share of net sales was 8.9 per cent (8.1)
- Return on equity (ROE) 10.4 per cent (9.2)
- Net debt fell to EUR 12.6 million (96.6)
- Equity ratio was 69.8 per cent (57.8)
- The number of personnel at year-end was 1,881 (1,846)
The Paulig Group’s Coffee division took a particularly satisfactory track during the year. The division’s net sales were EUR 322.6 million (343.6). The downturn in net sales was mainly due to lower world market prices for coffee. The sales volume developed well and in Finland both the Juhla Mokka and the Presidentti brands grew relative to the previous year. In Russia and its nearby markets, sales volume grew by more than 20 per cent and in the Baltic countries by 18 per cent. Out-of-home coffee consumption is growing steadily and this business sector is an increasingly important part of the Coffee Division’s commercial operations. Gustav Paulig Ltd and Oy Vendor Group Ab merged at the turn of the year 2014, and at the same time the Coffee Division established a new business unit, Paulig Professional.
”Paulig Professional provides a comprehensive service package embracing coffee and equipment as well as services and maintenance for out-of-home customers in Finland, the Baltic countries, Sweden and Norway,” Jaana Tuominen reports.
The World Food & Flavouring Division developed in line with the targets and the business sector’s internationalisation continued. The division’s net sales were EUR 301.0 million. Systematic groundwork done in the course of 2013 made it possible to launch the Santa Maria brand in the UK at the beginning of this year. The range of the world’s fourth-largest retail chain Tesco now includes a broad selection of Santa Maria spices and tex-mex products.
“We are very enthusiastic about this opening for the Santa Maria brand as it makes growth possible for us in a very challenging market,” Jaana Tuominen notes.
The World Food & Flavouring Division already has the local Discovery brand in the UK, concentrating exclusively on tex-mex products.
The Group’s two other divisions, Snack Food and Industrial Flavouring, also achieved their business targets in 2013. The Snack Food Division’s net sales were EUR 185.2 million (177.7) and the Industrial Flavouring Division’s net sales were EUR 53.2 million (51.8).
Taste is crucial
The aim of the Paulig Group is to be close to the consumer and to provide the kind of products and concepts that people enjoy and appreciate. The ability to transform trends plus knowledge of the market and consumers into successful products and services is important.
“As a food company, taste for us is crucial and the core of the business. Providing the best flavours will be at the heart of our operations in the future as well. This thought guides what we do for all new plans, whether they are new products, concepts, services or acquisitions,” Jaana Tuominen points out.
CEO Jaana Tuominen, Tel. +358 9 319 8330
Requests for interviews:
VP, Communications Anita Laxén, Tel. +358 40 770 0873
About Paulig Group
At the Paulig Group we are united in the quest of exploring great taste. We are a family-owned international company in the food industry; founded in 1876 and noted for our high-quality products in key sectors Coffee, World Foods & Flavouring, Snack Food and Industrial Flavouring. Our portfolio includes strong brands such as Paulig and Santa Maria. The group has almost 2,000 employees in 15 countries and the net sales for 2013 were 850 million euros.
Drought in Brazil has raised drastically green coffee prices
Green coffee prices rocketed in the New York Stock Exchange between end of January and mid-March. Price increase for one kilo of green coffee was nearly 1.5 euros. Price has stayed on the same level. Price increase during a quarter is biggest since the Brazilian frost summer 1997. High green coffee prices will also affect consumer prices.
The price of Arabica coffee was in the end of January 120UScent/lb (2€/kg) and in mid-March already 210 UScent/lb (3.40 €/kg) and is now about 190 UScent/Lb. Sourcing Director Katariina Aho, Paulig Group Coffee Division, says the price increase is a consequence of severe drought in Brazil’s coffee cultivation areas. There are fears that it will reduce coffee crop, which is just ripening. ”There is a lot of uncertainty in the market. This severe drought has not been seen before in this stage of crop year. Part of the harvest is already destroyed, but the final truth turns out in May when the harvest starts. Just then we see how the drought has affected coffee quality and amount.”
This drought in Brazil may have long term effects to the harvests and prices in coming years, if coffee stocks decrease and coffee trees suffer. Brazil counts a lot to availability of coffee as world’s leading producer country. Its share of the world’s coffee production has during the last years been approximately 40 %. ”The other coffee producing countries in South and Central America won’t ease the situation very much. In Central America coffee rust -disease has destroyed plantations, but fortunately the recovered coffee production in Colombia can replace these losses”, Aho says.
There are also other threats affecting to price. Currently, El Niño –phenomenon is strengthening and some coffee countries are suffering from heavy rains and storms, some from severe aridity. Investors and funds are interested in coffee and they are expecting to gain good profit.
However, Katariina Aho accents that in order for the coffee farming to maintain as interesting business in the future, the profit assuring price level is very essential. ”At the end of last year the price level diminished onto too low level, even to 100 dollar cent per pound. This led to situation in which some of the farmers gave up using fertilizers and the effects can been seen already now.”
Background information on coffee:
- Aridity is throttling the development of both coffee berries and its seeds, i.e. coffee beans. They remain little, are likely to dry in the coffee bushes or drop too early, affecting to quality.
- There are about 25 billion coffee farmers worldwide.
- Coffee is traded on major futures and commodity exchanges, most importantly in New York (arabica coffees) and London (robusta coffees).
- Most coffees are blended from various origin coffee qualities, that each have their own special character. Each Paulig coffee variety has its own, carefully considered taste profile for the consumer who appreciates different flavours.
- Thanks to blending, the characteristics of various coffee brands remain the same from package to package and from year to year despite the fact that the characteristics of coffee, as natural produce, are affected among other things by the weather conditions and growing place.
Paulig Coffee Division, Sourcing Director Katariina Aho, tel +358 9 3198 234 or mobile +358 40 702 4220
Whole dried chillies now available from Santa Maria
Three different types of whole dried chillies have appeared on the spice shelves in Norway, Sweden, Denmark and UK. They include the sweet Ancho chilli, the fruity Guajillo chilli, and smoky Chipotle Morita chilli. The chillies all come from carefully selected growers in Mexico, where conditions are perfect for growing and refining this special fruit.
- It’s a great feeling to be able to offer our customers whole chillies because we know that many people are interested in cooking Tex Mex and BBQ recipes from scratch, says Malin Eriksson, Food Concept Explorer.
Ancho is the mildest of the dried chillies. When it is fresh, it is called the Poblano Pepper and is one of the most popular chillies in Mexico.
In dried form it takes on a flavour reminiscent of raisins and dried plums along with hints of liquorice and coffee.
Guajillo is called Mirasol when fresh. In dried form it takes on the mild and sweet with flavours of dried red berries and green tea.
Chipotle is a jalapeño when fresh and depending on when it is harvested and how long it is smoked over an open fire, it can become a hot Meco, Tipico or Morita.
Paulig Group Christmas donation 2013 to Save the Children and the crisis-hit Philippines
As a tradition Paulig Group makes a Christmas donation to an established aid-organisation. This year we have decided to support the work made by Save the Children. This is a non-political and non-religious, democratic non-governmental organisation that fights for children’s rights. With extensive experience and knowledge, teamed with enthusiasm and boundless energy, this organisation works to improve the lives of millions of children, regardless of where these children live, whether they are boys or girls or whether or not they have parents. Paulig Group’s World Foods & Flavouring, Brands division has for many years supported the Save the Children and since 2009 with the project “Protecting the right to education of children affected by conflict in Colombia”.
We have also decided to make a donation through the Red Cross organisation to the crisis-hit Philippines where the typhoon Haiyan – one of the worst land storms ever registered – caused the death of thousands of persons and hundreds of thousands of people are reported displaced from their homes. The International Committee of the Red Cross (ICRC) is coordinating its relief efforts with the Philippine Red Cross, the International Federation of Red Cross and Red Crescent Societies, and a number of National Societies of other countries.
Paulig among top 20 employers in Universum survey
The international employer image research and consultant company Universum has announced the results of the Ideal Employers survey among professionals in Finland. The results are based on a yearly survey, which was completed by 7 273 university and high -skilled professionals during August–October. The study provides information as to where these people want to work and why. On average, the survey respondents have 10 years of working experience, and the average age of the respondents is 38 years.
In this year’s Universum employer image results Paulig rose to 19th place (24).
Paulig highly valued in a survey concerning reputation and responsibility
TNS Gallup studies yearly what consumers think about corporate reputation and responsibility. Paulig took the fifth place among the best companies in Finland (third last year).
This was the fourth time TNS Gallup carried out the survey concerning corporate reputation and responsibility. In the survey 59 companies from six branches were analysed: commerce, bank and insurance, service, energy, food, ICT and other industry. The data were collected in September – October. More than 22 800 company assessments were received from altogether 9800 interviews. The survey shows that the level of reputation varies a lot both between different branches and companies.
Top 10 companies
- Fazer Group
- Fiskars and Konecranes
- Alko and Veikkaus
- Valio and Stockmann
- Snellman and Raha-automaattiyhdistys (RAY)
- Altia and Helsingin Energia
Paulig makes a stylish coffee blend to suit the autumn mood
The much-awaited Presidentti Special Blend vintage coffee hits the shops on 1 September
The product family of Paulig Presidentti coffees launches a new vintage blend on the market, the second of its kind. Prepared for the autumn market, Presidentti Special Blend 2013 vintage coffee is a strong product with a unique character in which you can sense the classiness characteristic of Presidentti blends. The secret behind its particularly nuanced taste is in the famous Kenyan SL 28 and SL 34 beans, with an admixture of smooth Brazilian and well-balanced Mexican coffee beans.
The vintage blends of the Paulig Presidentti product family are always roasted from the best, carefully selected beans from each harvest and they are only produced in a limited batch. Presidentti Special Blend 2013 blend is available in fine-ground, half-kilo packages. The coffee is best brewed with a French press, but it can also be made with a filter coffee-maker. The blend also works well with milk.
The backbone of the new coffee blend is high-quality coffee beans from Embu County in Kenya. The Gakundu Co-operative has been cultivating coffee for a long time and shows a genuine respect for this raw material. The facilities of the cooperative produce selected beans for the new vintage blend with passion and many years of experience.
Presidentti Special Blend 2013 blend is strong and roasted in character. It comes from the typical chocolate and blackcurrant flavours of Kenyan coffee. “In the planning for the new Special Blend 2013, we wanted to figure in the arrival of the coffee for the autumn market. To add joy to the days of autumn colours, we created a strong coffee which will put a zing into increasingly short days,” says Paulig’s Chief Taster Marja Touri.
A good flavour partner for the high-quality vintage blend is date cake. “A strong coffee calls for a snack that is its equal. The flavour of a date cake is deep enough to make a harmonious combination with the coffee,” Marja reports.
For further delicious taste pairs, see www.pauligcafe.fi/makuparit (in Finnish)
Gustav Paulig Ltd
Brand Manager Ulrika Kotimäki, Tel. +358 40 538 8158, firstname.lastname@example.org
Consumer Service Manager Kaisa Junikka, Tel. +358 50 5510109, email@example.com
The Paulig Group is an international, family-owned company in the food industry, noted for its high-quality brand products. Its business divisions are Coffee, Industrial Flavouring and World Foods & Flavouring. It has almost 2,000 employees in fifteen different countries and its net sales in 2012 were EUR 858 million.
The Group’s coffee business is the responsibility of Gustav Paulig Ltd. The company is market leader in Finland and the Baltic countries, and in Russia it is the second-biggest supplier of roasted coffee. Paulig supplies its products and services to the retail trade, the Horeca sector and workplaces alike. Among the best-known Paulig brand products in Finland are Juhla Mokka, Presidentti, Brazil and Paulig Mundo as well as the cold coffee drink Frezza and the cocoa beverage Tazza. Among the most popular products in Russia and the Baltic markets are the Paulig Classic and Paulig President blends and Paulig espresso products. The company’s coffee roastery and head office are in the Vuosaari district of Helsinki. The roastery produces roughly 100 million packages or some 45 million kilos of coffee per year.