Lululemon Athletica Inc. slumped to the lowest level in three years after the yogawear retailer cut its full-year earnings forecast as it looks to expand into international markets and recover from a product recall.
Kao Corp., Japan’s biggest maker of toiletries, said it would lose 6 billion yen ($61 million) of operating profit this fiscal year after it recalled whitening products that caused skin blotches to more than 2,000 customers.
Product recall notices are a fact of life for consumer-product makers. Dysfunctional hinges trap tiny fingers; undesirable fluids leak into foodstuffs; and sticky accelerator pedals send cars zooming in mysterious ways, forcing manufacturers into costly withdrawals.
New Zealand’s Fonterra Cooperative Group Ltd, the world’s biggest dairy exporter, will appoint a food safety director and strengthen product recall systems after a contamination scare dented the company’s reputation in China.
Toyota Motor Corp.’s Camry has outrun a recession, recalls and natural disasters to stay America’s best-selling car for more than a decade. Odds are worsening that it can keep the title next year as challengers gear up for another run at topping the mild-mannered sedan.
Danone, the world’s biggest yogurt maker, canceled its supply contract with New Zealand’s Fonterra Cooperative Group Ltd. and said it’s seeking compensation for last year’s product recall over a contamination scare.