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| How They Keep the Flavored Water and Veggie Burgers Coming | How They Keep the Flavored Water and Veggie Burgers Coming |
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| Grocery stores have bare shelves. Consumers are hoarding. Supply chains are disrupted. As the coronavirus upends the business world, few sectors have been more affected than food and beverage manufacturing. Small and medium-size companies were particularly vulnerable, yet some have managed to thrive. | Grocery stores have bare shelves. Consumers are hoarding. Supply chains are disrupted. As the coronavirus upends the business world, few sectors have been more affected than food and beverage manufacturing. Small and medium-size companies were particularly vulnerable, yet some have managed to thrive. |
| Dr. Praeger’s Purely Sensible Foods, a privately held maker of veggie burgers and meat alternatives based in New Jersey, saw the crisis swelling in the New York region in mid-March. Seeking to stay ahead of it, Larry Praeger, a co-founder and the chief executive, took a series of swift actions that prioritized sanitation and social distancing in the company’s factory. | Dr. Praeger’s Purely Sensible Foods, a privately held maker of veggie burgers and meat alternatives based in New Jersey, saw the crisis swelling in the New York region in mid-March. Seeking to stay ahead of it, Larry Praeger, a co-founder and the chief executive, took a series of swift actions that prioritized sanitation and social distancing in the company’s factory. |
| In San Francisco, Hint Water was facing its own challenges. Though the company’s automated manufacturing facilities were less vulnerable to disruption, Hint had to figure out what to do with its employees who usually spend their days handing out samples at grocery stores and events. Kara Goldin, the Hint founder and chief executive, redeployed those staff members, and has managed to avoid layoffs. Both Dr. Praeger’s and Hint are now hiring. | In San Francisco, Hint Water was facing its own challenges. Though the company’s automated manufacturing facilities were less vulnerable to disruption, Hint had to figure out what to do with its employees who usually spend their days handing out samples at grocery stores and events. Kara Goldin, the Hint founder and chief executive, redeployed those staff members, and has managed to avoid layoffs. Both Dr. Praeger’s and Hint are now hiring. |
| This conversation, which was condensed and edited for clarity, was part of a series of new live Corner Office calls discussing the crisis. Visit timesevents.nytimes.com to join upcoming calls. | This conversation, which was condensed and edited for clarity, was part of a series of new live Corner Office calls discussing the crisis. Visit timesevents.nytimes.com to join upcoming calls. |
| DAVID GELLES Kara, when was it that you realized this was going to be something that disrupted your business in pretty fundamental ways, and what steps did you start taking to adjust? | DAVID GELLES Kara, when was it that you realized this was going to be something that disrupted your business in pretty fundamental ways, and what steps did you start taking to adjust? |
| KARA GOLDIN On March 13, I flew to San Francisco and stopped in a local store on my way home. I noticed that their supply of Hint had been depleted. While I had heard about hoarding starting and people were really stocking up, I really hadn’t pieced together the effect that that would have on our own brand. At that point, I reached out to our sales team and our supply chain and basically said, “I don’t know what’s going on, but I’ve now stopped into a second store just to see, and it’s a consistent pattern. We’re either very low or out of stock on a bunch of our flavors.” | KARA GOLDIN On March 13, I flew to San Francisco and stopped in a local store on my way home. I noticed that their supply of Hint had been depleted. While I had heard about hoarding starting and people were really stocking up, I really hadn’t pieced together the effect that that would have on our own brand. At that point, I reached out to our sales team and our supply chain and basically said, “I don’t know what’s going on, but I’ve now stopped into a second store just to see, and it’s a consistent pattern. We’re either very low or out of stock on a bunch of our flavors.” |
| That weekend, we were pretty quick to reach out to our grocery buyers throughout the country and say, “Hey, if we are out of stock and there’s some sort of hiccup in your supply chain, or you guys are inundated with doing a lot of other stuff right now, we’re more than willing to jump in and send trucks in direct to you.” And many of them actually jumped on that, just to be able to stock their shelves. | That weekend, we were pretty quick to reach out to our grocery buyers throughout the country and say, “Hey, if we are out of stock and there’s some sort of hiccup in your supply chain, or you guys are inundated with doing a lot of other stuff right now, we’re more than willing to jump in and send trucks in direct to you.” And many of them actually jumped on that, just to be able to stock their shelves. |
| GELLES Larry, right around the same time, you also started to recognize that this was going to have an impact. Your company is based in New Jersey, and you took pretty dramatic action quite early. What did you do to try to stay ahead of this? | GELLES Larry, right around the same time, you also started to recognize that this was going to have an impact. Your company is based in New Jersey, and you took pretty dramatic action quite early. What did you do to try to stay ahead of this? |
| LARRY PRAEGER Our manufacturing facility is based out of northern New Jersey, and we were having similar discussions about what we needed to do. A priority was really to make sure that we had a safe working environment for all our factory workers, as well as the people that were in the office. So around March 18, we did take a bit of a drastic step and closed down our factory for four days. | LARRY PRAEGER Our manufacturing facility is based out of northern New Jersey, and we were having similar discussions about what we needed to do. A priority was really to make sure that we had a safe working environment for all our factory workers, as well as the people that were in the office. So around March 18, we did take a bit of a drastic step and closed down our factory for four days. |
| That was to try to do a heavy sanitizing of the building and the manufacturing facility, but also to give us some time to really come up with a plan so that, when we reopened, we could bring back our factory workers and feel safe about doing it. Now we’re taking temperatures when people enter the facility, we’re providing masks and gloves for all the employees, we’ve increased the cleaning in the factory, we have heavy sanitation in high-touch areas, and we’ve added space in the break and lunchroom spaces, and set up some satellite break and lunchroom spaces. | That was to try to do a heavy sanitizing of the building and the manufacturing facility, but also to give us some time to really come up with a plan so that, when we reopened, we could bring back our factory workers and feel safe about doing it. Now we’re taking temperatures when people enter the facility, we’re providing masks and gloves for all the employees, we’ve increased the cleaning in the factory, we have heavy sanitation in high-touch areas, and we’ve added space in the break and lunchroom spaces, and set up some satellite break and lunchroom spaces. |
| The one thing that we really wanted to instill in the employees was to make sure that they understood that if they weren’t feeling well, they should not come into work, and their job wasn’t in jeopardy. The most important thing, as a first line of defense, was to have them not come to work. If people aren’t coming to work sick, then you have less to worry about in your facility. | The one thing that we really wanted to instill in the employees was to make sure that they understood that if they weren’t feeling well, they should not come into work, and their job wasn’t in jeopardy. The most important thing, as a first line of defense, was to have them not come to work. If people aren’t coming to work sick, then you have less to worry about in your facility. |
| GELLES Kara, you have manufacturing lines in the United States as well. What changes did you make, if any? | GELLES Kara, you have manufacturing lines in the United States as well. What changes did you make, if any? |
| GOLDIN We have multiple bottling facilities throughout the U.S., and we were actually very well set up. We pasteurize our product because we’re not using preservatives, and the actual location where it’s being filled is a clean room, so there’s no people in there when it’s going through the process of killing any microbes. So there has not been a dramatic change in the way that we’re filling. | GOLDIN We have multiple bottling facilities throughout the U.S., and we were actually very well set up. We pasteurize our product because we’re not using preservatives, and the actual location where it’s being filled is a clean room, so there’s no people in there when it’s going through the process of killing any microbes. So there has not been a dramatic change in the way that we’re filling. |
| GELLES Larry, despite the precautions you took, at least four of your employees have tested positive for the virus, including some who worked inside your factory. What happens when factory workers at a food company test positive for this virus? What steps have you taken to ensure that their illness didn’t become a problem for the business? | GELLES Larry, despite the precautions you took, at least four of your employees have tested positive for the virus, including some who worked inside your factory. What happens when factory workers at a food company test positive for this virus? What steps have you taken to ensure that their illness didn’t become a problem for the business? |
| PRAEGER We’ve had about four or five cases. Those people are quarantining at home for 14 days. And we’ve actually had one person who’s come back since then. They saw a doctor and have a doctor’s note that confirms that they’re OK. | PRAEGER We’ve had about four or five cases. Those people are quarantining at home for 14 days. And we’ve actually had one person who’s come back since then. They saw a doctor and have a doctor’s note that confirms that they’re OK. |
| GELLES Has this caused any disruptions to your manufacturing? | GELLES Has this caused any disruptions to your manufacturing? |
| PRAEGER It’s definitely slowed down some of the manufacturing. In addition to the confirmed cases, we probably have another about 12 to 15 cases where people have had symptoms and they’ve stayed home because of that, or because they have no child care. It’s definitely a challenge. We’re definitely not running as efficiently as we used to be. But that’s OK, as long as it’s a safe environment. | PRAEGER It’s definitely slowed down some of the manufacturing. In addition to the confirmed cases, we probably have another about 12 to 15 cases where people have had symptoms and they’ve stayed home because of that, or because they have no child care. It’s definitely a challenge. We’re definitely not running as efficiently as we used to be. But that’s OK, as long as it’s a safe environment. |
| GELLES Kara, Hint employs a large marketing team that goes to events and in stores to hand out samples. What are they doing in the midst of all this? | GELLES Kara, Hint employs a large marketing team that goes to events and in stores to hand out samples. What are they doing in the midst of all this? |
| Updated June 30, 2020 | |
| Common symptoms include fever, a dry cough, fatigue and difficulty breathing or shortness of breath. Some of these symptoms overlap with those of the flu, making detection difficult, but runny noses and stuffy sinuses are less common. The C.D.C. has also added chills, muscle pain, sore throat, headache and a new loss of the sense of taste or smell as symptoms to look out for. Most people fall ill five to seven days after exposure, but symptoms may appear in as few as two days or as many as 14 days. | |
| Scientists around the country have tried to identify everyday materials that do a good job of filtering microscopic particles. In recent tests, HEPA furnace filters scored high, as did vacuum cleaner bags, fabric similar to flannel pajamas and those of 600-count pillowcases. Other materials tested included layered coffee filters and scarves and bandannas. These scored lower, but still captured a small percentage of particles. | Scientists around the country have tried to identify everyday materials that do a good job of filtering microscopic particles. In recent tests, HEPA furnace filters scored high, as did vacuum cleaner bags, fabric similar to flannel pajamas and those of 600-count pillowcases. Other materials tested included layered coffee filters and scarves and bandannas. These scored lower, but still captured a small percentage of particles. |
| A commentary published this month on the website of the British Journal of Sports Medicine points out that covering your face during exercise “comes with issues of potential breathing restriction and discomfort” and requires “balancing benefits versus possible adverse events.” Masks do alter exercise, says Cedric X. Bryant, the president and chief science officer of the American Council on Exercise, a nonprofit organization that funds exercise research and certifies fitness professionals. “In my personal experience,” he says, “heart rates are higher at the same relative intensity when you wear a mask.” Some people also could experience lightheadedness during familiar workouts while masked, says Len Kravitz, a professor of exercise science at the University of New Mexico. | A commentary published this month on the website of the British Journal of Sports Medicine points out that covering your face during exercise “comes with issues of potential breathing restriction and discomfort” and requires “balancing benefits versus possible adverse events.” Masks do alter exercise, says Cedric X. Bryant, the president and chief science officer of the American Council on Exercise, a nonprofit organization that funds exercise research and certifies fitness professionals. “In my personal experience,” he says, “heart rates are higher at the same relative intensity when you wear a mask.” Some people also could experience lightheadedness during familiar workouts while masked, says Len Kravitz, a professor of exercise science at the University of New Mexico. |
| The steroid, dexamethasone, is the first treatment shown to reduce mortality in severely ill patients, according to scientists in Britain. The drug appears to reduce inflammation caused by the immune system, protecting the tissues. In the study, dexamethasone reduced deaths of patients on ventilators by one-third, and deaths of patients on oxygen by one-fifth. | The steroid, dexamethasone, is the first treatment shown to reduce mortality in severely ill patients, according to scientists in Britain. The drug appears to reduce inflammation caused by the immune system, protecting the tissues. In the study, dexamethasone reduced deaths of patients on ventilators by one-third, and deaths of patients on oxygen by one-fifth. |
| The coronavirus emergency relief package gives many American workers paid leave if they need to take time off because of the virus. It gives qualified workers two weeks of paid sick leave if they are ill, quarantined or seeking diagnosis or preventive care for coronavirus, or if they are caring for sick family members. It gives 12 weeks of paid leave to people caring for children whose schools are closed or whose child care provider is unavailable because of the coronavirus. It is the first time the United States has had widespread federally mandated paid leave, and includes people who don’t typically get such benefits, like part-time and gig economy workers. But the measure excludes at least half of private-sector workers, including those at the country’s largest employers, and gives small employers significant leeway to deny leave. | The coronavirus emergency relief package gives many American workers paid leave if they need to take time off because of the virus. It gives qualified workers two weeks of paid sick leave if they are ill, quarantined or seeking diagnosis or preventive care for coronavirus, or if they are caring for sick family members. It gives 12 weeks of paid leave to people caring for children whose schools are closed or whose child care provider is unavailable because of the coronavirus. It is the first time the United States has had widespread federally mandated paid leave, and includes people who don’t typically get such benefits, like part-time and gig economy workers. But the measure excludes at least half of private-sector workers, including those at the country’s largest employers, and gives small employers significant leeway to deny leave. |
| So far, the evidence seems to show it does. A widely cited paper published in April suggests that people are most infectious about two days before the onset of coronavirus symptoms and estimated that 44 percent of new infections were a result of transmission from people who were not yet showing symptoms. Recently, a top expert at the World Health Organization stated that transmission of the coronavirus by people who did not have symptoms was “very rare,” but she later walked back that statement. | So far, the evidence seems to show it does. A widely cited paper published in April suggests that people are most infectious about two days before the onset of coronavirus symptoms and estimated that 44 percent of new infections were a result of transmission from people who were not yet showing symptoms. Recently, a top expert at the World Health Organization stated that transmission of the coronavirus by people who did not have symptoms was “very rare,” but she later walked back that statement. |
| Touching contaminated objects and then infecting ourselves with the germs is not typically how the virus spreads. But it can happen. A number of studies of flu, rhinovirus, coronavirus and other microbes have shown that respiratory illnesses, including the new coronavirus, can spread by touching contaminated surfaces, particularly in places like day care centers, offices and hospitals. But a long chain of events has to happen for the disease to spread that way. The best way to protect yourself from coronavirus — whether it’s surface transmission or close human contact — is still social distancing, washing your hands, not touching your face and wearing masks. | Touching contaminated objects and then infecting ourselves with the germs is not typically how the virus spreads. But it can happen. A number of studies of flu, rhinovirus, coronavirus and other microbes have shown that respiratory illnesses, including the new coronavirus, can spread by touching contaminated surfaces, particularly in places like day care centers, offices and hospitals. But a long chain of events has to happen for the disease to spread that way. The best way to protect yourself from coronavirus — whether it’s surface transmission or close human contact — is still social distancing, washing your hands, not touching your face and wearing masks. |
| A study by European scientists is the first to document a strong statistical link between genetic variations and Covid-19, the illness caused by the coronavirus. Having Type A blood was linked to a 50 percent increase in the likelihood that a patient would need to get oxygen or to go on a ventilator, according to the new study. | A study by European scientists is the first to document a strong statistical link between genetic variations and Covid-19, the illness caused by the coronavirus. Having Type A blood was linked to a 50 percent increase in the likelihood that a patient would need to get oxygen or to go on a ventilator, according to the new study. |
| The unemployment rate fell to 13.3 percent in May, the Labor Department said on June 5, an unexpected improvement in the nation’s job market as hiring rebounded faster than economists expected. Economists had forecast the unemployment rate to increase to as much as 20 percent, after it hit 14.7 percent in April, which was the highest since the government began keeping official statistics after World War II. But the unemployment rate dipped instead, with employers adding 2.5 million jobs, after more than 20 million jobs were lost in April. | The unemployment rate fell to 13.3 percent in May, the Labor Department said on June 5, an unexpected improvement in the nation’s job market as hiring rebounded faster than economists expected. Economists had forecast the unemployment rate to increase to as much as 20 percent, after it hit 14.7 percent in April, which was the highest since the government began keeping official statistics after World War II. But the unemployment rate dipped instead, with employers adding 2.5 million jobs, after more than 20 million jobs were lost in April. |
| If air travel is unavoidable, there are some steps you can take to protect yourself. Most important: Wash your hands often, and stop touching your face. If possible, choose a window seat. A study from Emory University found that during flu season, the safest place to sit on a plane is by a window, as people sitting in window seats had less contact with potentially sick people. Disinfect hard surfaces. When you get to your seat and your hands are clean, use disinfecting wipes to clean the hard surfaces at your seat like the head and arm rest, the seatbelt buckle, the remote, screen, seat back pocket and the tray table. If the seat is hard and nonporous or leather or pleather, you can wipe that down, too. (Using wipes on upholstered seats could lead to a wet seat and spreading of germs rather than killing them.) | If air travel is unavoidable, there are some steps you can take to protect yourself. Most important: Wash your hands often, and stop touching your face. If possible, choose a window seat. A study from Emory University found that during flu season, the safest place to sit on a plane is by a window, as people sitting in window seats had less contact with potentially sick people. Disinfect hard surfaces. When you get to your seat and your hands are clean, use disinfecting wipes to clean the hard surfaces at your seat like the head and arm rest, the seatbelt buckle, the remote, screen, seat back pocket and the tray table. If the seat is hard and nonporous or leather or pleather, you can wipe that down, too. (Using wipes on upholstered seats could lead to a wet seat and spreading of germs rather than killing them.) |
| If you’ve been exposed to the coronavirus or think you have, and have a fever or symptoms like a cough or difficulty breathing, call a doctor. They should give you advice on whether you should be tested, how to get tested, and how to seek medical treatment without potentially infecting or exposing others. | If you’ve been exposed to the coronavirus or think you have, and have a fever or symptoms like a cough or difficulty breathing, call a doctor. They should give you advice on whether you should be tested, how to get tested, and how to seek medical treatment without potentially infecting or exposing others. |
| GOLDIN We have about 200 people in the company, and that same weekend in March, we decided that it probably wasn’t a great idea to have our team handing out sample cups. I don’t know how you can stay six feet apart in that case. So we decided to reallocate those people into sales and other roles, and we haven’t furloughed or laid anybody off. | GOLDIN We have about 200 people in the company, and that same weekend in March, we decided that it probably wasn’t a great idea to have our team handing out sample cups. I don’t know how you can stay six feet apart in that case. So we decided to reallocate those people into sales and other roles, and we haven’t furloughed or laid anybody off. |
| GELLES Larry, did Dr. Praeger’s see a spike in demand as people stocked up? If so, were you able to meet it? | GELLES Larry, did Dr. Praeger’s see a spike in demand as people stocked up? If so, were you able to meet it? |
| PRAEGER Starting in March, we saw a big uptick in purchases at the retail level, supermarket level and club channel level. It was across the board, from veggie burgers to chickenless tenders to products for kids. We’ve seen that come down a little bit in April. But our food service division, which is mostly selling to restaurants and hotels, has seen a huge decline. In March, we saw it head way down, and now we’re seeing probably close to 70 percent decline in comparison to the prior year. | PRAEGER Starting in March, we saw a big uptick in purchases at the retail level, supermarket level and club channel level. It was across the board, from veggie burgers to chickenless tenders to products for kids. We’ve seen that come down a little bit in April. But our food service division, which is mostly selling to restaurants and hotels, has seen a huge decline. In March, we saw it head way down, and now we’re seeing probably close to 70 percent decline in comparison to the prior year. |
| GELLES Kara, people haven’t hoarded flavored water in quite the same way they have hoarded toilet paper, but what have you seen on the demand side? | GELLES Kara, people haven’t hoarded flavored water in quite the same way they have hoarded toilet paper, but what have you seen on the demand side? |
| GOLDIN The good news for the business was the hoarding, to some extent, in the grocery businesses and really stocking up on Hint. We’ve seen that start to slow in retail stores, but we’ve actually seen it pick up in other areas that we know where people are going into stores, including Instacart. And our direct-to-consumer business, which is DrinkHint.com and Amazon, has gone up a crazy amount. I mean over 100 percent. In times like these, it’s really about convenience and what the customer wants to do. | GOLDIN The good news for the business was the hoarding, to some extent, in the grocery businesses and really stocking up on Hint. We’ve seen that start to slow in retail stores, but we’ve actually seen it pick up in other areas that we know where people are going into stores, including Instacart. And our direct-to-consumer business, which is DrinkHint.com and Amazon, has gone up a crazy amount. I mean over 100 percent. In times like these, it’s really about convenience and what the customer wants to do. |
| GELLES Larry, you have a complex supply chain, with lots of different ingredients, the need for cold storage and shipping all around the country. What disruptions have you seen to your supply chain, be it on the materials side or on the delivery? | GELLES Larry, you have a complex supply chain, with lots of different ingredients, the need for cold storage and shipping all around the country. What disruptions have you seen to your supply chain, be it on the materials side or on the delivery? |
| PRAEGER We’re seeing costs going up on vegetables because people in the farms are not working as well, or there are a limited amount of people. And the freight prices coming in have been increasing. But the supply chain over all, so far, has been pretty steady. | PRAEGER We’re seeing costs going up on vegetables because people in the farms are not working as well, or there are a limited amount of people. And the freight prices coming in have been increasing. But the supply chain over all, so far, has been pretty steady. |
| GELLES What advice would you give to someone who’s currently looking for a job? | GELLES What advice would you give to someone who’s currently looking for a job? |
| GOLDIN You should work for companies that you’re really passionate about, that you really believe are doing things that you want to be doing every single day. I’ve talked to a few people that I know that, before, were just working for companies that they didn’t necessarily believe in or enjoy, and they got furloughed. Now they’re looking at it as another chance to just go and try and figure things out. So, if that’s you in this situation, try and figure out, “What is the perfect thing that I want to be doing? What company do I want to support to really go and be that company that I want to invest in?” Maybe you started moving up in that company, getting paid too much money, whatever it is, and now this is an opportunity to go and reset a little bit. | GOLDIN You should work for companies that you’re really passionate about, that you really believe are doing things that you want to be doing every single day. I’ve talked to a few people that I know that, before, were just working for companies that they didn’t necessarily believe in or enjoy, and they got furloughed. Now they’re looking at it as another chance to just go and try and figure things out. So, if that’s you in this situation, try and figure out, “What is the perfect thing that I want to be doing? What company do I want to support to really go and be that company that I want to invest in?” Maybe you started moving up in that company, getting paid too much money, whatever it is, and now this is an opportunity to go and reset a little bit. |
| GELLES When this is over, what’s the biggest change that you’ll be making at your companies? | GELLES When this is over, what’s the biggest change that you’ll be making at your companies? |
| PRAEGER The biggest change will definitely be moving more toward some of this distancing that we’ve done in the factory. It would have been a benefit to really come into the crisis having those kinds of systems set up. | PRAEGER The biggest change will definitely be moving more toward some of this distancing that we’ve done in the factory. It would have been a benefit to really come into the crisis having those kinds of systems set up. |
| GOLDIN We had already set up for direct-to-consumer and Amazon and some of these other services. But as we see consumers’ habits changing, we will be looking at growing those businesses, working closer with an Instacart and just making it faster, quicker and easier for the consumer to get our product. | GOLDIN We had already set up for direct-to-consumer and Amazon and some of these other services. But as we see consumers’ habits changing, we will be looking at growing those businesses, working closer with an Instacart and just making it faster, quicker and easier for the consumer to get our product. |