Crisis Communication Case Study of Loblaws Canada

Loblaw Companies Ltd. was involved in a bread price-fixing scandal for over 14 years, between late 2001 and March 2015. The company was involved in a scheme to increase the prices of packaged bread. Loblaw's parent company, George Weston Ltd., the owner of Weston Bakeries, also participated in price-fixing with other big grocery chains and bread producers. The price-fixing scheme led to an increase in the price of bread by approximately $1.50. The companies believed to have participated in the scheme include two major bread suppliers and three retailers. The scheme involved an increase in the bread price by the suppliers by 7 cents, while the retailers hiked the price by 10 cents.