Keto Foods Out of Business

Keto, one of the largest manufacturer's of low carb foods, has gone under. At one point, they were worth 300 to 400 million, and then everything fell apart. They defaulted on loans and weren't able to meet their payments. According to the Star Ledger:

Then Keto hit a wall. As the low-carb idea took off, huge food companies such as Kraft and Unilever started making hundreds of products that flooded the marketplace, Bey said. Most of those newer items were sold by supermarkets or mass retailers, and Bey said sales of Keto's products, found primarily in health-food stores, dropped.

"We were crushed by the competition," he said, adding he miscalculated by thinking the big companies wouldn't be able to get their products on shelves until this year.

Buyer interest disappeared after Keto missed its financial targets. The company then defaulted on its bank loan.

"We thought we could turn it around between July and the end of the year, and we could not," Bey said.

Keto's food production machinery has been auctioned off. Now, some low carb products might still be available, and they might still be available under the Keto brand name. Why? Because Keto licensed their brand name to Mr. Cookie Face so Mr. Cookie Face could sell Keto low carb ice cream. I don't know what happens to that deal now that Keto is gone, but I'll try to find out.

Now, this is interesting. We'll see if Atkins or some other company can turn things around. In order to do so, I think they need to clean up their act about the sugar alcohols, no maltitol. (Right now, Russell Stover is doing well with maltitol-based products, but this will stop as more and more people find out about the ill effects.) Furthermore, food companies have to stop charging these outrageous prices where people tend to hoard the food rather than eat it.

Low Carb is not dead. One good thing, a lot of food research went on in the past year or two. As our understanding of nutrition matures, we will get rid of a lot of the sugar and high fructose corn syrup, and add more fiber to prepackaged goods, which will be a good thing for everyone.

If the products on my low carb food list remain available, then I'll be OK. (I should have added Kraft low carb barbecue sauce and Heinz low carb ketchup to that list...)

Read about the Keto Company's demise here.

Update: Just heard from Mr. Cookie Face regarding the Keto ice cream:

Hi Katherine...Thank you for contacting me regarding KETO low carb ice cream.  As you already know, the KETO company has gone out of business.  Due to the decline for low carb products, most retailers nationally have made the decision to discontinue our line of KETO ice cream pints, bars and sandwiches.  I am very sorry to say that we little alternative avenues to get product to the consumers.  Some club stores are carrying or are considering our KETO Raspberry bar.  Otherwise, you can tell consumers to check with value store such as Dollar Tree, Dollar General, etc as we have been liquidating inventory.

I am also sorry to say that Joe Mazur is no longer with the company.

Any questions, please feel free to contact me anytime.

Warm Regards,
Tammy Shaw

Mister Cookie Face

Comments

[Anil Monga]

Interested in Low carb products for Indian market.

[sue]

I'm very disappointed about this. The Keto Chocolate Rain Ice Cream bar was fabulous, like a Dove bar. I'm very disappointed that even though it's a quality product I'll no longer be able to get it.

[Theresa]

The Keto hot cereals were the staple of my low-carb program. High protein, low carb, and high fiber were a winning combination + they were the only ones that really tasted like oatmeal and not chopped up "rope". Anyone have suggestions of other brands that are comparable to the Keto hot cereals?

Desperate in Houston.

[Khanada]

I am SOOOO disappointed about the Keto company. Their ice cream was by far the very best in the low carb market (real heavy cream, etc)! I will sorely miss it and their other products. So much of the stuff coming out of the big companies just tastes terrible, especially when it comes to ice cream.

Doomed to an ice cream free existence in Houston

[dawn]

Anyone know where I can still buy up Keto milk?
Thanx for the help.

[Michael]

For almost a year, I have been searching for KETO's Hot Chocolate. It is simply the BEST instant hot chocolate ever made! Then, today, on a search to see if I could order this product on-line, I discover the company is out of business! I have only used KETO products for my low-carb, nutritional needs. Their products were superlative. How I wish someone would manufacture this excellent hot chocolate again.

[adele]

I am so upset that keto went under! I loved their powder shakes they were the best!!! Atkins new powder shakes are awful like water!!! How i wish I could find a good low carb powder shake like the keto ones!!!

[Marguerite redfearn]

I have been searching for keto products for sometime now. No one seem to carry them any more now I know why...This is terrible..Keto has the best tasting low carb foods of any other manufacturer.
I am sorry to hear they are out of business.
We loved thier Choclate rain icecream bars..no one has anything that comes near the great taste.
a happy customer that is not happy any more.

[Marguerite redfearn]

I have been searching for keto products for sometime now. No one seem to carry them any more now I know why...This is terrible..Keto has the best tasting low carb foods of any other manufacturer.
I am sorry to hear they are out of business.
We loved thier Choclate rain icecream bars..no one has anything that comes near the great taste.
a happy customer that is not happy any more.

[Grahame Maskell]

Hello There

I represent a UK company that makes Low Carb Products..We have our own factory and sell our brand through internet companies. You are right about the supermarkets though and in the UK they seem to have ditched the Low carb as soon as Atkins went out of the market..

many thanks

Grahame

[Kaye Renfrow]

Recently I requested our local Turlock CA 99 cent only store to get more Keto rain bars and they finally did. I guess I will have to enjoy them while I can.

Maybe some of you can get your 99
cent only store to get some of the very few left.

Hope you will have some good news for us, that another company will make something like them soon.

Kaye

[Jon auspitz]

Aug 19, 2005, WHAM FOODS HAS PURCHASED SEVERAL TRUCKOADS OF THE KETO ICE CREAM PINTS. IF THERE ARE ANY COMPANIES WHO WISH TO PURCHASE 10 PALLETS OR MORE AT INCREDIBLY LOW CLOSEOUT PRICING,PLEASE CONTACT JON AUSPITZ 954-920-7857 EXT 28.

[Roy Bitter]

I am a diabetic and enjoy a moderate quantity of bread in my diet.

As a result, I purchased 2 of each low-carb bread mix that Keto produced. After I made each of them, according to instructions, I was very dissatisfied with the product. They all produced large hocky pucks about the size of a softball and were extremely chewy and flat.

I have experimented with low-carb breads in my kitchen and have developed a basic recipe that is tasty and has less than 13 grams of carbs in per slice.

If anyone is interested in the recipe please e-mail me.

[Dee]

You can still get Keto hot cereal (Blueberry & Cream only) at
http://www.theBetterHealthStore.com. I just ordered a couple cans myself.

[rose]

if anyone knows where i can get the keto hot cereals, please please let me know!!! i really want them! thanks
rose

[quirkyturkey]

There is NO product I have found since Ketofood's demise that is as good as Keto!

Best, so far, is EAS AdvantEdge -- it satisfies my hunger during school (I can have a quick drink in class), I love the coffee, chocolate, and strawberry flavors and enjoy drinking them.

But, my carbo cravings continue despite the EAS product. And I feel tired, cranky, and not nutritionally cared for.

AND THE POUNDS ARE CREEPING ON again.

With Keto drinks (especially the powder which required addition of water more than the ready-to-drink), I dropped the 18 lbs to my desired weight and maintained that for a couple of years. I was NOT craving junk. I was healthy and full of energy. I ate reasonably.

Now, I've put on 7 lbs and need to stop that right now.

I still have some old Keto powder on-hand and will use that until it is gone -- already I feel better. My morning starts off right and I feel good all day with no cravings.

When, oh WHEN will someone make a powder with the same nutritional benefits and even the same formula that will benefit those of us who thrived on the Keto products?

[Chuck]

I am devistated. This explains my inability to find any more Keto Brownie mix. I exercise for long distance events where food must be consumed during the event. The brownies made good substitutes for energy bars while training or racing. Many so called makers of low carb products, including the large manufacturers, are a joke, and they load up their offerings with sugar alcohols and other unhealthy ingredients. We need more Keto type manufacturers. I do not understand the resistance of large manufacturers to creating truly healthy offerings ...it must be about maximizing the bottom line by using the cheapest alternatives.

[Bren]

I have found that the LowCarbSuccess Flax-o-meal is a good replacement for my beloved KETO hot cereal & it comes in different flavors to choose from. Depending on the flavor, it is 1-2 carbs per serving. Add a 1/2 cup Flax-o-meal granola to that and you've got a huge bowl. As my "milk" replacement, I found "Soy Slender" and it is 1 carb for 1 cup and it is absolutely fabulous! It comes in Vanilla, Chocolate & Cappuccino flavors. Even as a snack with some whip cream & a sprinkle of cinnamon on top ~ Yummy! Try the Vanilla with a squirt of DaVinci syrups; the coconut flavor makes it taste like a Pina Colada. So bummed that Keto went under ~ wish a big manufacturer would rescue it.

[Irene]

Nothing like being a little late. Needed to get back onto a high protein diet and first start was good old fashioned Cappucino Keto Mix drink. I actually had two containers left. My mom took one - hmmmm, maybe she hasn't used it. I opened my other this morning and it still tastes wonderful. Decided to order a supply only to find out there is no Keto anymore. Now what do I do. If anyone has found a tasty alternative, please advise. This has to be worst news I've gotten in a long time.

[Jeanne]

The Keto formulator Pete Maletto has his own company now called DynaPure Nutrition. They have the Keto Shakes, but they are called WARP 9 Shakes. I've tasted them and they are actually better than the Keto Shakes. I've lost 12 pounds since using them and I try many different recipes as they have only vanilla and chocolate.

If you want cappuchino do what I do and put in 1 tsp of instant coffee in the vanilla WARP 9 shake and it's d'lish! I also use crystal light orange drink instead of water and add vanilla shake to make orange creamsicle.

I am in the same boat, very lost without the Keto products. I have heard that Pete is starting a new company called Sugar Sense that is ready to launch in 07. I can't wait to see what is available because it has been tough living without low carb foods.

[Birgit]

I recently found some nice raspberry ice cream bars at BJ's under the Keto name. Does anyone know what's up with this? I'd be interested in getting more Keto ice cream if I could. And some Atkin's mint chocolate Chip ice cream, if I could find it.

[Audra]

I am sad to hear about Keto. I drank the Keto low carb shake mix,it was my evening meal and curb my appetite that I didn't want snacks and which was part of my low carb diet it really helped my diabetes; even my doctor was telling me how good I was doing.

The shakes were the best I've ever tasted. I have tried several different ones since then and they are all foul tasting or clumpy or just don't dissolve and they don't keep you satisfied. A couple hours later I want to eat again.

[jennifer Ferguson]

My mother and I only found these Keto raspberry bars a short while ago. They really help our cravings. If anyone has any information on where to get more, please let me know. Or if anyone knows the manufacturer of these bars, that would be great too, since I've heard that Keto had someone else make these delicious bars.

[Joe]

Anybody still looking, I have some KETO soy shakes and some cereal left. Let me know.

[Steve]

The Keto Slim shake by Natures Plus is still available, it was better than the Keto Foods and the Atkins product. In health food store primarily.