Whole foods by Ray Sahelian, M.D. Benefit of Whole Foods and company financial reports

Whole foods are foods that are unprocessed and unrefined. Whole foods are not necessarily organic. Examples of whole foods include whole grains; organically garden-grown fruits and vegetables; and non-homogenized milk. For some, it is preferable to eat whole foods raw to obtain the maximum nutritional benefit. Whole Foods is also the name of a natural grocery chain.

Whole Foods buys Wild Oats despite FTC attempt to block the acquisition
Texas-based Whole Foods Market challenged the US Federal Trade Commission after the regulator stepped in to prevent the world's largest organic and natural products retailer from acquiring Wild Oats, its major US rival and creating a 300-store mega-chain. The FTC notified Whole Foods that it filed a complaint in the US District Court in Washington, DC, to prevent the Whole Foods takeover of Colorado-based Wild Oats. The FTC also sought a restraining order to prevent Whole Foods from completing its $670 million acquisition of Wild Oats while the Court considered its verdict. Whole Foods has committed to a Fair Trade ingredients sourcing scheme and opened its first UK superstore in Kensington, London. Whole Foods has 195 stores in Canada, the US and the UK and turned over $5.6 billion in 2006, while Wild Oats has 110 stores in the US and Canada with annual sales of $1.2 billion.

May 2009
Whole Foods Market, Inc., reported results for the 12-week second quarter ended April 12, 2009. Sales for the quarter were $1.9 billion, in line with the prior year. Comparable store sales decreased 4.8% versus a 6.7% increase in the prior year. Identical store sales, excluding seven relocations and two major expansions, decreased 5.8% versus a 5.1% increase in the prior year. Excluding the negative impact of foreign currency translation, comparable store sales decreased 4.1%, and identical store sales decreased 5.1%. "We are very pleased with our second quarter results, including free cash flow of $98 million. Despite flat sales year over year, we exhibited strong expense control leading to a 10% increase in income from operations excluding non-cash asset impairment charges," said John Mackey, chairman, chief executive officer, and co-founder of Whole Foods Market. "Based on our strong year-to-date results, we are maintaining our prior fiscal year ranges for estimated EBITDA, EBITANCE and diluted earnings per share, excluding asset impairment charges and assuming just under $8.0 billion in sales." For the second quarter, the Company's effective tax rate was 42.5%, income available to common shareholders was $27.3 million, and diluted earnings per share were $0.19. These results included non-cash asset impairment charges of approximately $13 million, or $0.05 per diluted share.