Cutbacks…RED Meat?

Cutbacks in the capital spending still outnumbers the increases. In January, no firm planned to increase capital spending by more than 10% over the ensuing 12 months. You may also want to buy less red meat (a win for the environment and our health!). The head of the International Panel on Climate Change (which shared the 2007 Nobel with Al Gore) urges people to cut back on meat in order to help stem the tide of methane, a potent greenhouse gas excreted by the cows. Because our business is far enough up the supply chain, if CPGs and other customers are cutting back now on packaging, they’re forecasting primarily consumer purchase to cutback down the line, a real red flag for the recession.