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1 THE NOTE

Happy Thanksgiving. Have you started prepping for the apocalypse yet?

Yes, survivalism has gone mainstream. A year of natural disasters and nuclear threats has even staid suburbanites stocking up on freeze-dried emergency rations. And that means boom times for companies such as Wise Co., a leading player in the once-niche survival food market.

As Amanda Little writes in this week’s cover story, some analysts see the industry in a similar position to organic food in the 1950s, before Americans started getting nervous about pesticides. The ideal Wise customer is now one who isn’t entirely convinced that humanity is hurtling toward annihilation but who’s willing to stock the pantry with a Mylar-fortified food supply just in case.

“This is the food equivalent of life insurance—staples that every American household in this age of uncertainty should have,” says Wise Chief Executive Officer Aaron Jackson.

As Little writes, Wise’s first customers a decade ago were anxious about inflation, economic collapse, and terrorist attacks; today the major concern is environmental instability. “It’s not just the freak events. We get calls from people saying, ‘I live in Miami, and flooding is now routine. I’m worried Florida is going to be under water in two years,’ ” Jackson says. “Or from people in upstate New York who experienced a 1-in-1,000-year blizzard and couldn’t get out of their driveway for two weeks. People who lived through the California drought, the forest fires of Texas and the Northwest, and who think maybe the government won’t come to their rescue when a disaster hits.”

In four years, Wise’s annual retail sales have more than doubled, to about $75 million. Jackson has persuaded Wal-Mart Stores, Target, Home Depot, and Bed Bath & Beyond to carry Wise products. In 2014 he also persuaded Home Shopping Network to feature the company’s wares; the TV network has become its biggest distributor.

In sum, it’s never too late to start prepping. We (OK, Bloomberg Pursuits food critic Kate Krader) even did a taste test, to help you decide what to stock up on in your bunker.

Who says the Pilgrims didn’t bring chili mac with beef with them?

Happy turkey day!

Megan Murphy, Editor, Bloomberg Businessweek

**We’re taking a quick holiday break as well—we’re back on Monday.

2 IN BRIEF
  • Saudi suspects being held as part of the kingdom’s crackdown on alleged corruption are starting to make payments to settle cases in exchange for freedom, according to people with knowledge of the matter. Some businessmen and officials being detained at the Ritz-Carlton are signing agreements with authorities to transfer a portion of their assets to avoid trial, the people said, asking not to be identified because the discussions are private. The payments, less than a month since the detentions, show the speed at which Saudi Arabia wants to settle the corruption probe that involved the sudden arrests of royals and billionaires such as Prince Alwaleed bin Talal this month.
  • U.K. Prime Minister Theresa May’s troubled government resigned itself to a deteriorating economic outlook as it committed £3 billion ($4 billion) to prepare for Brexit and tried to make housing more affordable for the young. In delivering his annual budget on Wednesday, Chancellor of the Exchequer Philip Hammond acknowledged official forecasts that showed Brexit already inflicting an economic cost. The Office for Budget Responsibility predicted growth will now undershoot 2 percent every year through 2021, and it halved its estimate for productivity gains over the next five years.
  • U.S. Federal Reserve officials meeting earlier this month saw an interest rate increase in the near term even as divisions persisted over the policy path forward amid tepid inflation. Policymakers held rates steady at the meeting but are expected to hike them next month as they continue with gradual tightening. Unemployment is at a 16-year low, though inflation remains well beneath their 2 percent target. Minutes from the meeting showed that while Fed officials remain confident in the labor market and above-trend economic growth, several are looking for stronger signs that price gains will pick up. A few even want to see inflation on an upward path before lifting rates again, underlining a persistent divide on the policy-setting Federal Open Market Committee.
  • Alaska Senator Lisa Murkowski’s decision to agree to smash Obamacare’s individual mandate may remove one obstacle to passing the Senate Republican tax bill next week. “I believe that the federal government should not force anyone to buy something they do not wish to buy in order to avoid being taxed,” she wrote in an op-ed in Alaska’s Daily News-Miner newspaper posted online on Tuesday. Murkowski didn’t mention the tax bill in the article. But she previously said she preferred not to mix it with health care, and she was one of three mavericks who killed the GOP’s Obamacare repeal efforts earlier this year. The mandate repeal now appears much more likely to stay in the tax bill, where it helps offset more than $300 billion in other tax cuts—revenue needed to bring the bill into compliance with Senate budget rules.
3 TODAY
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