Kellogg Company has entered a legal wrangle with a Canadian supplier of cereal box liners over tainted packaging that forced the food giant into a nationwide recall of products that cost it ‘millions of dollars’.
The paper, foil and wax cereal liner, which was purchased from Flexible Packaging Corp (FPC) until June 2010, presented ‘offensive, off characteristics that caused symptoms including nausea and diarrhoea’, says Kellogg.
In a federal suit filed in Michigan, Kellogg alleges that the problem was caused by the presence of ‘heightened levels of hydrocarbons contained in the cereal liners manufactured by FPC’.
Kellogg says it incurred the cost of the recall, the loss of sales, replacement vouchers issued to customers, and the expense of investigating the problem and producing a health hazard assessment for submission to the US Food and Drug Administration.