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Kroger being sued by man with 'popcorn lung'

Wayne Watson, the man who ate at least two bags of microwave popcorn a day for years and developed "popcorn lung" is now suing The Kroger Co. (NYSE: KR) . Popcorn lung is the name given to the lung condition bronchiolitis obliterans, which is linked to the flavor chemical diacetyl. The lawsuit claims that Kroger "failed to warn that preparing microwave popcorn in a microwave oven as intended and smelling the buttery aroma could expose the consumer to an inhalation hazard and a risk of lung injury."

This isn't the only lawsuit over diacetyl flavoring. A lawsuit is currently pending on behalf of workers at a factory in Missouri who mixed large vats of flavors. They say hundreds of workers now have lung disease and respiratory illnesses from inhaling the flavoring. Interestingly enough, the chemical actually is a natural substance that gives butter its flavor. It is also found in some cheeses and wines. Microwave popcorn makers say their formulae are being changed to remove this flavoring from the product.

Continue reading Kroger being sued by man with 'popcorn lung'

Option update 9-10-07; Trump Entertainment calls active at higher volatility on renewed chatter

Trump Entertainment Resorts, Inc. (NYSE: TRMP) calls active at higher volatility on renewed chatter:


TRMP was recently up 39 cents to $7.06 on renewed and unconfirmed takeover chatter. TRMP announced on July 2nd that its board of directors ended talks with potential acquirers. TRMP call option volume of 1,439 contracts compared to put volume of 219 contracts. TRMP September option implied volatility off 97 was above its 26-week average of 56 according to Track Data, suggesting larger price fluctuations.

ConAgra (NYSE: CAG) October implied volatility elevated at 31 into earnings per share (EPS) announcement:

CAG confirmed previously issued EPS and sales for 2008 on Septebmer 6th. CAG is expected to report EPS in late September. CAG announced on September 5th that it would remove the flavoring chemical diacetyl in the manufacturing of its microwave popcorn. CAG call option volume of 6,815 contracts compared to put volume of 8,182 contracts. CAG October option implied volatility of 31 was above its 26-week average of 20, according to Track Data, suggesting larger risk.


Daily options Update is provided by Stock Specialist Paul Foster of theflyonthewall.com.

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Last updated: March 18, 2010: 04:56 PM

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