Odwalla Says Sales Hit Could Be Worse

Sales of Odwalla Inc. juices have suffered significantly since an outbreak of E. coli illness prompted the recall of the company’s unpasteurized apple juices and blends containing apple juice, but sales have not plummeted as much as might have been expected, the company said. In past years, apple juice products have accounted for more than 50% of sales, yet sales have declined less than 50%, Chief Executive Stephen Williamson said. The figures suggest that customers are still buying the company’s citrus-based products and three products reformulated to remove apple juice. The recall will depress earnings, but the company declined to be more specific. Odwalla, based in Half Moon Bay, also confirmed that federal officials who spent 11 days at the company’s Dinuba plant found no evidence of E. coli O157:H7 and are now focusing on Odwalla’s packing houses, trucks and growers. Its shares rose 6 cents to $12.1875 on Nasdaq.