The Clement Pappas company is the nation's second-largest producer of store brand ready-to-drink fruit juices and drinks and a major maker of cranberry juices, drinks, and sauces. The company markets its products in the US and Canada under the Ruby Kist brand. It also makes the organic Grown Right store brand, as well as private-label and foodservice products. Customers include retail food and foodservice companies; mass merchandisers; and drug, discount, and dollar stores. Fruit is sourced from US growers, as well as overseas. The company was founded in 1942 by Clement Dimitri Pappas and is majority owned by Canada's Lassonde Industries.
Change in Company Type
Clement Pappas is a subsidiary of Lassonde Industries, which acquired a 71% stake in the juice maker for $400 million in mid-2011. Clement Pappas offered a complementary assortment of products to Lassonde, which is also a family-owned juice maker. And while most of Lassonde's sales are generated in Canada, the company has added more US customers with Clement Pappas in its organization.
The initial deal gave Lassonde a 71% ownership stake. In 2013 Lassonde increased its share in Clement Pappas to 85% for an additional $11.1 million.
Based in New Jersey, Clement Pappas maintains production facilities and distribution centers in Seabrook, New Jersey; Baltimore, Maryland; Mountain Home, North Carolina; Springdale, Arkansas; Carver, Massachusetts; and Ontario, California. It also runs a cranberry receiving station in Carver, Massachusetts.
Despite slowing sales across several food sectors during the US economic downturn and stale growth in the organic food arena, Clement Pappas -- with its private-label organic products -- did not see a drop in sales. In fact, according to the company, sales for its private-label organic juices continue to grow.
Sales and Marketing
Clement Pappas serves several customer types, including mass merchandisers; drug, discount, and dollar stores; and retail food and foodservice companies. As part of its business, the company creates products for its customers under private labels.