Out Of The Gate, Amazon Wasting Little Time Making Changes, Moving More Boxes At WFM
On August 28, Amazon completed its $13.7 billion acquisition of natural/organic retailer Whole Foods Market (WFM) months before many analysts predicted that the deal would be given government approval. A few days prior to the actual acquisition the Federal Trade Commission (FTC) said that it would not undertake any further investigation of the takeover.
Bruce Hoffman, an acting director at the FTC, said in a statement that the agency looked at the “proposed acquisition to determine whether it substantially lessened competition.” And, he said, the FTC “decided not to pursue this matter further.”
The all-cash deal gives Amazon approximately 470 stores in the U.S., Canada and the U.K. which produced annual revenue of nearly $16 billion. And aside from purchasing WFM’s physical units, the acquisition will likely give the Seattle-based company valuable data on how people shop in stores while also allowing the large primarily internet merchant to utilize its own data to enhance its relationship with current and future Whole Foods customers.
As for the changes within the stores themselves, that process has already begun with Amazon reducing prices on dozens of popular products including meat, seafood and produce items. Orange signs that display both the Whole Foods and Amazon logos indicated reduced priced items with the additional message of “more to come.” Even though we counted fewer than 50 price cuts, those reductions were significant and eye-catching. But we don’t expect Amazon to turn Whole Foods into a discounter. While immediate price reductions (most greater than 30 percent) take solid aim at changing WFM’s “Whole Paycheck” image, we believe Amazon’s long-term plans won’t be as noticeable inside the stores as they will be in just having a brick and mortar foundation from which to work. The average price reduction of the items that we measured was about 35 percent.
And those price reductions are already paying dividends (perhaps aided by the unbelievable mojo created by anything Amazon). According to internet tech company Foursquare, which tracks location intelligence, Whole Foods customer counts increased 25 percent during the first week under Amazon ownership.
“We’re determined to make healthy and organic food affordable for everyone. Everybody should be able to eat Whole Foods Market quality – we will lower prices without compromising Whole Foods Market’s long-held commitment to the highest standards. And this is just the beginning – we will make Amazon Prime the customer rewards program at Whole Foods Market and continuously lower prices as we invent together,” Jeff Wilke, CEO of Amazon Worldwide Consumer, said in a statement.
Besides pricing there isn’t that much more in-store fixing that’s needed at Whole Foods. Merchandising is still very good, in-stock conditions remain solid and while WFM’s in-store culture has slipped a bit in recent years, it still grades out very well when compared to most others in terms of customer engagement and shopping experience. Perhaps Danny Wegman could improve Whole Foods’ store operations, however don’t expect much expertise from one of the most successful companies of the past 50 years, but one with little experience when it comes to operating physical stores.
Looking further ahead, as it may impact the WFM store base, analysts questioned the viability of utilizing Instacart of Whole Foods’ home delivery system and also wondered if primary grocery supplier UNFI (which has partnered with Whole Foods for nearly 20 years) would continue in that role in the long-term. Whole Foods reportedly represents approximately 35 percent of UNFI’s $8.5 billion annual revenue.
“Contractual obligations aside (the UNFI pact reportedly is valid for another eight years), why would the new Whole Foods need to utilize the services of an outside distribution organization when distribution is essentially the foundation of Amazon’s business?” queried a supermarket executive who already competes with Whole Foods and Amazon. “As for Instacart, Amazon will no longer need a third party – they already have the delivery skills to use their existing stores as mobile hubs, which will prove very effective for Amazon in urban areas, where Whole Foods has multiple concentrated locations and the use of home delivery is bigger.”
Another area which Amazon is already concentrating on is accelerating the pace to build a Whole Foods centralized merchandising model. Beginning in April, those vendors who call on WFM will no longer be allowed to promote their products or check to make sure they are stocked and displayed correctly, according to the Wall Street Journal. Whole Foods announced last year that it would move many procurement and merchandising functions to its corporate headquarters in Austin, TX. Amazon is seeking to ramp up the timeline to consolidate. WFM executives will meet in late September in Seattle to refine its plan which is expected include a significant reduction or elimination of independent third-party brand supported providers.
Other expected changes will be the availability of the WFM’s private label items (365, Whole Foods, etc.) on Amazon’s website. And, those Amazon customers who are members of its “Prime” program are in line to receive further discounts. Further information is expected about that link soon, but at this time its 80 million “Prime” members will be able to receive free delivery within two hours via the company’s “Prime Pantry” program and one hour (with a $7.99 fee) with its “Prime Now” offering (those programs are now only available in select markets). Amazon also plans to offer a “Click & Collect” model by adding “Amazon Lockers” at certain WFM stores. Both its “Prime Pantry” and “Amazon Lockers” programs could also serve as an accelerator for Amazon’s recently announced meal solutions kit offering that it has already being tested in several markets. Morgan Stanley is estimating that 38 percent of Whole Foods’ customers are already “Prime” members, and another 2.5 million current WFM shoppers who are non-members, could join its premium service.
And then there’s current management and culture to consider. “Certainly, insuring that execution at store level remains strong is a priority for any food retailer, and truthfully Amazon has virtually no experience in dealing with something as labor and capital intensive as operating grocery stores. So, you might not see much change in that regard,” said one stock analyst who primarily covers the retail food industry. “However, as far as leadership, expect many changes. As witnessed by other Amazon acquisitions, they want to bring in a younger core of executives who are more data-driven and can potentially integrate themselves more effectively into the total Amazon culture. I’m relatively sure that the more laid-back management style of Whole Foods will be changing sooner rather than later.” His comments were echoed by others.
This deal is the largest Amazon acquisition to date. However, as powerful as Amazon has become and as fast as it has expanded its presence in the grocery industry (with the help of its Amazon Fresh business), Wal-Mart remains the dominant grocery retail player with about $200 billion in annual food sales (about 20 percent national market share). Kroger ranked second with $115.3 billion in grocery sales last year. Overall, Wal-Mart’s annual sales last year were $485 billion, more than three times that of Amazon’s total revenue.
And, in related Amazon news, the fastest growing company in America announced it is searching for a second headquarters in North America that will be “the full equal to Amazon’s headquarters in Seattle.” The new parallel universe is expected to employ 50,000 associates. Amazon said it is prepared to spend more than $5 billion to build the new complex.
Stay tuned. Expect the changes to continue to a hurried pace.
Albertsons Makes Strong Statement With Purchase Of Meal Kit Firm Plated
Finding it difficult to launch its IPO, struggling with earnings and sales IDs (it lost $204.9 million in its recent first quarter and identicals dipped 2.1 percent) and unable to complete a major retailer acquisition in more than a year (although it came close with Price Chopper), Albertsons Companies pulled the trigger on an “alternative” big deal on September 20 when it purchased Plated, a New York City-based meal kit firm. Industry sources said the deal will initially cost Albertsons $175-$200 million, though the final price could end up double that amount because of “earnout” payments based on how Plated grows.
Plated will operate as a wholly-owned subsidiary of Albertsons Cos. In teaming up with Plated, Albertsons said it adds a meal kit company with leading technology and data capabilities, a strategic step for the company as it continues to focus on innovation, personalization, and customization. This move advances a shared strategy to reinvent the way consumers discover, purchase, and experience food, the retailer added. Albertsons noted that one of the projected key outcomes is for Plated to become the first omnichannel meal kit offering with national scale.
“Today’s consumer is looking for a variety of personalized shopping alternatives, and this transaction is the latest example of Albertsons Cos. meeting our customers wherever and however they like to shop,” said Bob Miller, chairman and CEO of the large Boise, ID-based merchant. “With Plated, we’ve found a partner who shares our commitment to delicious, affordable food; superior technology and innovation; and world class customer service. Plated knows its customers better than anyone, and together we will accelerate our ability to serve them. We are excited to offer our customers more online options and fresh, quality ingredients along with distinctive recipes at their doorstep or through traditional shopping trips.”
Plated will benefit from Albertsons’ resources and national reach with over 2,300 stores to scale its business and improve its customer experience with new offerings. Albertsons will enable Plated to expand beyond its existing subscription model by offering Plated meal kits at many store locations, across its digital channels, and through a variety of distribution options to make it easy to create delicious meals at home by providing the flexibility, convenience, and access to high-quality, fresh ingredients coupled with chef-designed recipes that customers are looking for. Plated’s marketing and acquisition efforts will also benefit by gaining exposure to Albertsons’ 35 million customers per week, Albertsons noted.
Josh Hix, co-founder and CEO of Plated, said, “Joining Albertsons Companies presents an amazing opportunity to accelerate our positive impact on the future of food in America by making fresh, delicious food more widely available. Albertsons Cos. is at the forefront of the changing food and grocery landscape
with their customer obsession, their large national store footprint, and their exciting plans for the future of the grocery store. We’re excited to be partnering with them to shepherd our growth while preserving the unique strengths that define Plated today. There’s tremendous upside for Plated’s customers whose
experience with our brand will only get better. As meal kits continue to gain traction in the marketplace, we believe the winning formula combines choice, flexibility, culinary expertise, and the ability for customers to buy across channels–all of which we are now singularly positioned to deliver in collaboration with Albertsons Cos.”
Plated will continue to operate as a distinct consumer brand with its own leadership team led by Hix. The company will remain headquartered in New York City, with five fulfillment centers across the country and Hix and his team will work directly with Pat Brown, Albertsons’ group VP of deli/prepared foods and business initiatives, to determine how the company can best scale Plated’s offers to its stores and customers.
Plated was launched in 2012 with a stated mission to change the way America eats by leveraging data and technology to disrupt the traditional food supply chain and make it easy for people to cook delicious meals at home. Founded by Hix and Nick Taranto, the company has rapidly scaled and evolved with a customer-centric model focusing on choice and flexibility to provide a personalized dinner experience. At the same time, the brand has an unwavering commitment to creating delicious recipes that appeal to people who are passionate about food and seek discovery in the kitchen. The culinary team is led by Le Cordon Bleu-trained chef Elana Karp, the company’s chief culinary officer. Plated sales for 2017 are projected to be in the $150-$175 million range. Plated received a boost three years ago when it was featured on the popular show “Shark Tank.”
‘Round The Trade
Albertsons’ foray into the meal-kit business isn’t particularly good news for the industry’s largest player, Blue Apron, whose stock has tanked in the 10 weeks since its IPO was launched. Expected to open at $17 a share, Blue Apron broke at $11 on June 29 and at presstime the New York meal-kit provider was sitting at $5.22 per share. Additionally, Blue Apron’s second largest investor (12.9 percent equity) has reportedly pulled out of its investment. However, activist aggressive hedge fund player Jana Partners acquired a 2 percent stake in the Manhattan-based start-up, which likely means that Jana is expecting some activism at Blue Apron (management shakeup, sale or merger?). The meal-kit segment is expected to garner about $2.2 billion in sales this year and it is growing quickly. Jana, which pocketed a cool $300 million in profit from its 9 percent stake in Whole Foods, has also taken an equity position in Sprouts Farmers Market (593,000 shares), which might be the next grocery retailer to be in play…and one more quick note about Whole Foods/Amazon: if UNFI’s CEO Steve Spinner really feels “excited about the opportunities I believe this combination brings to UNFI,” as he told analysts after the Providence-based wholesaler released fourth quarter financials, he wins this month’s “Mary Poppins” award. It’s true there’s comfort knowing that UNFI’s contract with WFM won’t expire until 2025 (and it’s unlikely that Spinner will be around that long), but betting on future “opportunities” with arguably the savviest and one of the largest distribution companies in the world (which also prides itself on its ability to execute its low cost model), isn’t a bet I’d make… one company that continues to struggle is Camden, NJ-based Campbell’s Soup, which last month posted its 11th consecutive quarter of revenue decline. Campbell’s CEO Denise Morrison, a very talented and dedicated leader, summed up Campbell’s challenges (which could also apply to a lot of large CPG companies with core lines that are housed in the center of the store): “The operating environment for the packaged foods industry remains challenging due to shifting demographics, changing consumer preferences for food, the adoption of new shopping behaviors and the dynamic retailer landscape. In these times, sales growth remains a challenge.” Morrison also acknowledged that sales from its core soup line would likely decline in the coming year after the company was unable to reach an agreement with an unnamed retailer (thought to be Wal-Mart) on a promotional program. The difficulty in making deals with some of the industry’s largest merchants has certainly become more challenging for most manufacturers in the last year with big players such as Wal-Mart, Ahold Delhaize and most recently Kroger (retailers that are facing greater market pressures, too) demanding lower prices and better promotional deals from their suppliers…while Blue Apron and Campbell’s are facing some bumps in the road, they are light years away from inhabiting the bottomless sinkhole that Sears Holdings calls home. In its recently completed second quarter, the once iconic merchant lost $251 million, saw its revenue plunge 23 percent and (this is unbelievable) posted a negative 11.5 comp store sales decline. Additionally, the Hoffman Estates, IL retailer announced 28 more Kmart closings including two in Pennsylvania (Allentown, Willow Grove), one in New Jersey (Parsippany) and three in New York (Rochester, Victor and Vails Gate). Sounds like they could have been a good project for the late Dr. Jack Kevorkian…Lidl is continuing its aggressive pace of store openings, having cut the ribbons on 13 new discount units this month in Virginia, North Carolina, South Carolina and Georgia. And on August 31, the German discounter opened its northernmost store in Middletown, DE. After having checked out about 12 Lidl units several weeks after they’ve opened, my volume assessments are scattered – some stores remain very busy (weekly volumes approaching $300K) while others appear to be struggling. However, I remain impressed with Lidl’s store design, its merchandising/marketing effort and its packaging; and less impressed with its meat/seafood and general merchandise presentation. In fact, after several revisits to about half a dozen stores, I’ve noticed a decline in produce as well. Lidl also acknowledged that it will be opening stores in Ohio with about half a dozen locations reportedly secured and will also be building its first store in Alabama (Decatur). And as previously reported, the German discounter will also be entering the large Texas market with about 10 new sites. More Lidl news: the neophyte U.S. discounter and the largest pure-play supermarket operator in the nation – Kroger – have agreed to dismiss a federal lawsuit that the Cincinnati chain brought against Lidl concerning Kroger’s claim that Lidl’s “Preferred Selection” private label and logo infringed on Kroger’s own “Private Selection” line. Last month, a U.S. District Court judge in Virginia denied Kroger’s request for a preliminary injunction that would have barred Lidl from using its “Preferred Selection” brand. He later ordered a trial to adjudicate the matter in January. With the settlement, each retailer will pay its own legal costs.
Local Notes
Nervous times for many folks at Ahold USA. For the two-week period ended September 22, AUSA conducted its “outcome” meetings with many managers and directors. Those meetings will determine the future of hundreds of associates involving merchandising, administrative and sales functions at corporate headquarters in Carlisle, PA and at the chain’s three divisions. Around October 1, we’ll learn who will retain their jobs (and what title they will hold and where they will be based) and who will be offered separation packages. You can also expect to see some changes in job nomenclature and compensation levels (to more closely resemble the structure at Food Lion and Hannaford). Still to come is another wave of “outcome” decisions involving other administrative personnel (finance, legal, HR, etc.). And according to a dozen sources that I’ve spoken with at corporate and division offices, morale is even worse than it’s been during the retailer’s nine-month communications semi-blackout with its associates. And could company “culture” be the primary reason why Jennifer Carr-Smith resigned as president of Ahold Delhaize’s Peapod unit even though she only joined the online retailer slightly more than two years ago? Peapod acknowledged she’s leaving to pursue another opportunity. Walt Lentz, a most capable supply chain executive who’s been with AUSA for eight years, takes the Peapod helm on an interim basis. Oh, those Dutch – they have a unique way of displaying their warm and fuzzy feelings towards their associates…in the “not surprising” news story of the month, soft drink purchases outside the city of Philadelphia increased 38 percent, according to a new survey from Catalina that measured the effects of Philadelphia’s 1.5 cents per ounce soda tax during the first six months of the law’s passage on January 1, 2017. That may seem like the ultimate “glass half full” spin on what many consider the worst piece of legislation to ever affect the food industry in the Keystone State. The real story here is that soda purchases are down by 55 percent within the city limits. Additionally, the city only raised $39.3 million in the first 180 days of the law’s implementation (well below its $46.2 million projection). And, as for most of that tax revenue going towards improving early school educational programs, it’s anybody’s guess what those financial contributions will really be or where they might ultimately end up…national trade associations such as FMI and NACS, along with other grocery and restaurant operators, have settled a suit against the City of New York they filed after the Big Apple sought to enforce federal menu-labeling guidelines before the FDA’s new timeline which had been pushed back until May 2018. Under ultra-liberal Mayor Bill de Blasio, the city began fining and sanctioning businesses in July for non-compliance with posting calorie and nutrient information at their places of business (groceries, restaurants and convenience stores). According to Lyle Beckwith, senior VP of government affairs for NACS, “There are good reasons for everyone to wait. It is increasingly clear that the federal regulations have real problems that must be fixed before they go into effect.” A recent economic study confirmed that the total cost for the industry under the rule will be more than triple the FDA’s original estimate, reaching more than $300 million per year, and seven times the estimate for convenience stores…we’re hearing that there’s been some movement in Supervalu’s effort to sell its Farm Fresh corporate unit and that there will be an announcement on who might buy the beleaguered 40-store Hampton Roads chain in the next couple of months. Don’t expect all the stores to be sold. I also believe there will be several buyers involved with Kroger/Harris Teeter being a likely player in that equation…earlier this month, “Tarjay” rolled out its collection of $5 wines under its California Roots collection. The new vinos come in five varieties and are available in more than 1,100 locations. California Roots is the Minneapolis-based mass merchant’s first offering in the fast-growing world of private label alcohol. Sounds yummy…Target’s chief rival Wal-Mart said it will consolidate its U.S. business from six divisions to four with each unit to be managed by a senior VP. It will also reduce the number of U.S. regions from 44 to 36. Moreover, the “Behemoth” announced it will construct a brand new headquarters building in Bentonville, AR. The new facility will consolidate more than 20 buildings that have been added to Wal-Mart’s original home office since it was originally built in 1971. The new facility will be located on a 750-acre tract in Bentonville, and according to CEO Doug McMillon, will “provide a central campus with accommodations for a more digitally native workforce and space that encourages greater collaboration and speed. You’ll see improved parking, meal services, fitness and natural light. Plus, the campus will be integrated into the community trail system for easy walking and cycling access. The combined changes will help us get the most out of our existing team, while helping us attract high quality talent in the future.” The project is expected to take five to seven years to complete…from the “new retailer CEO” department comes word that Larry Appel has been named CEO of The Fresh Market (succeeding interim chief executive Brian Nicholson who returns to his former post as CFO). Nicholson originally replaced former CEO Rick Anicetti. Appel, who spent a decade at Winn-Dixie and another stint at Home Depot, said he is committed to “re-energizing all that sets The Fresh Market apart as a great brand and retail store.” A lawyer by trade, Appel might have to become a combination of Perry Mason and Alan Dershowitz to fix the myriad of problems at the struggling 176-store Greensboro, NC-based merchant…as part of a planned leadership succession at Dollar Tree Stores, Gary Philbin has been promoted to president and CEO following the retirement of the legendary Bob Sasser (who will remain on Dollar Tree’s board as executive chairman). Philbin joined the Chesapeake, VA-based dollar merchant in 2001 and became COO in 2013. Sasser, who came to Dollar Tree in 1999 as COO, became chief executive three years later. During his 15 years at the helm, Dollar Tree grew from a company with 18,000 employees, fewer than 1,200 stores in 33 states, four distribution centers and less than $1 billion in annual sales to become a Fortune 150 company with nearly 180,000 associates, more than 14,500 stores and 24 distribution centers across North America. For 2017, revenues are expected to surpass $22 billion. During Sasser’s tenure, the company completed six acquisitions including its $9.1 billion purchase of Family Dollar stores in 2015…some special shout-outs to a few of my favorite industry friends. Mark Batenic, CEO of IGA since 2006, has announced his retirement. Batenic will be succeeded by John Ross, who currently is president of Inmar Promotion Network, effective next month. Batenic will stay on as chairman until December 2018 (when he will become non-executive chairman). One of the classiest and hardest working industry executives that I’ve ever come across, Mark Batenic is a true mensch – treating people with respect and giving generously to many of the industry’s charitable causes. Dating back to when I first met Mark when he oversaw Fleming’s operations in Philadelphia, he’s always been the same kind person that he is today. And even though he won’t be leaving just yet, I wish him all the best in his future endeavors. Also, a tip of the hat to John Saidnawey, who earlier this month was promoted to chairman and CEO of JOH, the large regional brokerage organization based in Billerica, MA. Additionally, Matt O’Hare will become president and COO while his dad Chip becomes chairman emeritus. My history with the original Johnson O’Hare firm dates back to 1973 when Chip’s dad Harry ran the company and Chip, like me, was just learning his cra
ft (yes, we’re that old). I first met John Saidnawey in the early 1980s and his intelligence, tenacity, people skills and untiring work ethic have earned him many promotions at the company including his leadership role today at one of the country’s fastest growing brokerage operations…sadly, there were several notable deaths to report over the past month. We lost veteran supermarket executive Jim Demme at age 77. A native of Buffalo, Demme held a variety of executive level positions for such retailers as Penn Traffic, Homeland Supermarkets, A&P and Shaw’s. In recent years Demme served as chairman of King’s Food Market (working for former owner Angelo Gordon) and at the time of his death was chairman of Manhattan-based Fairway Markets…Jerry Lewis has also died. The legendary comedian, whose career spanned nearly 80 years, passed away late last month at the age of 91 in Las Vegas. While Lewis’ physical, often slapstick, brand of humor wasn’t everybody’s cup of tea, he made his mark first from his partnership with Dean Martin and later in more than 50 films including his biggest success “The Nutty Professor” (1963). Despite a rollercoaster career, Lewis helped raise more than $2.5 billion during his 44-year association with the Muscular Dystrophy Association. And Lewis could also act. His role as kidnapped late night talk show host Jerry Langford in Martin Scorsese’s unsung great movie “The King of Comedy” (1982) was spectacular…Shelley Berman, a contemporary of Jerry Lewis, has also passed away. The Grammy award winning entertainer, 92, emerged from a group of intellectual and political oriented comedians in the late 1950s (that also included Mort Sahl and Bob Newhart). Berman, who described himself as a “sit-down comic” because he usually worked while sitting on a stool, was active until 2014. His career received a boost in 2000 when he was cast as Larry David’s father Nat on the hilarious HBO sitcom “Curb Your Enthusiasm.” One of Berman’s finest performances was in “The Car Pool Lane,” a 2004 episode of the show…and from the world of sports, iconic Villanova basketball coach Rollie Massimino has passed away at the age of 82. Massimino, who began his head coaching career at Hillside High School in New Jersey, gained legendary fame when his 1985 Villanova squad beat huge favorite Georgetown to win the NCAA basketball championship. All told, Massimino won more than 800 college basketball games and was still coaching last season at small Keiser University in West Palm Beach, FL. But Massimino was more than just a great basketball coach. He was a wickedly funny man who was also like a father to many of his players. “The last thing he said to me was, ‘I love you,’” said Chuck Everson, who played on that 1985 championship team. “That’s a rarity with a coach and a player relationship. That doesn’t happen. He taught us that it was OK to be that way, to show your feelings like that. It was OK to do all that stuff.”…Jake LaMotta has also died. The former world middleweight champion boxer, who learned his craft in reform school in New York, became a larger-than-life figure following the release of the Martin Scorsese film, “Raging Bull” in 1980 (where he was portrayed by Robert De Niro in what arguably was his greatest acting role). He was also regarded as one of the toughest boxers of all time who fought the great Sugar Ray Robinson five times (he only won once). He originally defeated Marcel Cerdan in 1949 to gain the middleweight title. LaMotta said that the portrayal of him by De Niro was 90 percent accurate, and he credited both the actor and Scorsese with having helped resuscitate his later life which had endured business failures, a prison stint and six marriages. “Without the film, I’d be in bad shape. It made me champ all over again.” LaMotta was 95 when he passed…I was personally touched by the death of Walter Becker, who along with his partner Donald Fagen, created one of the great rock and roll bands of the past 50 years – Steely Dan. Becker and Fagen first met at Bard College in New York (“My Old School”). Before they became famous, they once toured with Jay and the Americans and created the soundtrack for the 1971 Richard Pryor movie “You Gotta Walk It Like You Talk It.” They even wrote a song for Barbra Streisand. Then in 1972, the duo assembled Steely Dan, greatly aided by a group of Los Angeles session players. However, it was Becker and Fagen who supplied the juice with their abstract songwriting and jazz-influenced playing and arranging. Becker, whose dry wit and sometimes sardonic view of American culture helped define Steely Dan’s music, last appeared with the band on May 27. In a statement released after Becker’s death, Fagen noted “He was cynical about human nature, including his own, and hysterically funny. Like a lot of kids from fractured families, he had the knack of creative mimicry, reading people’s hidden psychology and transforming what he saw into bubbly, incisive art.” Becker was only 67. And, as for the origin of the band’s name, you’ll have to look that up for yourself. Once you find the answer, you’ll know a little bit more about Walter Becker’s sense of humor.
