Kraft Heinz controversies
Controversies tied to this brand in public sources. A listing is not a finding of fault.
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2021
SEC settlement over cost-savings accounting
Kraft Heinz agreed to pay $62 million to settle SEC charges concerning improper accounting for approximately $200 million in claimed cost savings and related reporting issues.
2021
Kraft Heinz agrees to SEC settlement over accounting
Settlement
Kraft Heinz agreed to pay $62 million as part of a settlement with the SEC over improper accounting that led to restatements of several years of financial reporting. The SEC order described agreements with suppliers that were improperly documented and caused the company to prematurely and improperly recognize expense savings.
Source excerpt
Kraft Heinz on Friday agreed to pay $62 million as part of a settlement with the Securities and Exchange Commission (SEC) for improper accounting that led to the restatement of several years of financial reporting.
procurement employees negotiated agreements with numerous suppliers to obtain upfront cash payments and discounts in exchange for future commitments to be undertaken by KHC, while improperly documenting the agreements in ways that caused the company to prematurely and improperly recognize the expense savings
2021
Kraft Heinz recalls select Country Time and Kool-Aid drink mixes
Recall announced
Kraft Heinz recalled some Country Time Lemonade and Kool-Aid Tropical Punch powdered drink mixes because they might contain small pieces of metal and glass. The company urged customers not to consume affected products and to return them for a refund or discard them.
Company response
Refund or compensation — Kraft Heinz
The company urges customers who purchased the items to not consume them but to return them to the store for a refund or throw them out.
Source excerpt
Kraft Heinz says it is recalling Country Time Lemonade and Kool-Aid Tropical Punch powdered drink mixes that might contain tiny pieces of metal and glass.
The company urges customers who purchased the items to not consume them but to return them to the store for a refund or throw them out.
2021
Kraft Heinz recalls powdered beverage products over possible metal or glass contamination
Recall announced
The Kraft Heinz Company voluntarily recalled powdered beverage products sold under the Country Time Lemonade, Tang, Arizona Tea, and Kool-Aid brands in the US because they may contain very small pieces of metal or glass introduced during production. The affected products have “Best When Used By” dates between May 10, 2023, and November 1, 2023.
Company response
Remediation — The Kraft Heinz Company
Kraft Heinz said it is actively working with retail partners and distributors to remove said products from circulation
Refund or compensation — Kraft Heinz
Consumers can also contact Kraft Heinz to receive reimbursement.
Source excerpt
The powdered beverage products involved are those with “Best When Used By” dates between May 10, 2023, and November 1, 2023.
voluntarily recalled Country Time Lemonade, Tang, Arizona Tea, and Kool-Aid powdered beverage products in the US due to the potential presence of very small pieces of metal or glass that may have been introduced during production.
2020
OCA sues Kraft Heinz over natural cheese marketing claims
Lawsuit filed
The Organic Consumers Association filed a lawsuit against The Kraft Heinz Company in D.C. Superior Court. The suit alleged that the company marketed certain cheese products as "natural" even though those products were made with milk from cows administered rbST/rbGH. The dispute centered on the labeling and marketing of these cheese products as natural.
The Organic Consumers Association sued The Kraft Heinz Company in D.C. Superior Court, alleging that the company marketed some cheese products made with milk from cows administered rbST/rbGH as “natural.”
Company response
Denial — Kraft Heinz
A Kraft Heinz spokesperson denied the claims
Source excerpt
The suit also alleges that Kraft knows consumers intentionally seek out dairy products made from cows raised without the use of rbST/rbGH, and that consumers will pay more for such products.
The Organic Consumers Association (OCA) today sued The Kraft Heinz Company ("Kraft") for allegedly misleading consumers by marketing and advertising cheese products containing milk from cows administered recombinant bovine somatotropin (rbST) — also known as recombinant bovine growth hormone (rbGH) — as "natural."
A Kraft Heinz spokesperson denied the claims and shared the following statement with TODAY Food: “Bagel Bites, the perfect bite-sized pizza snack, are made with delicious, high-quality ingredients that our fans know and love. We proudly stand by the food we make, and are focused on bringing great products to market. The lawsuit lacks any merit, and we will strongly defend our brand.”
2019
Accounting investigation and brand impairments
Kraft Heinz disclosed an SEC investigation into its accounting practices and internal controls while announcing a $15.4 billion write-down affecting Kraft and Oscar Mayer, a dividend reduction, and further financial restatements and impairments.