• The Wall Street Journal (subscription required), Monday, December 4, 2006 12:15 PM

While claiming that organic and natural food movement is a "belief system penetrating into the mainstream," John Mackey, Whole Foods' 53-year-old vegan co-founder, admits that prices will have to drop before the foods become standard fare for most Americans.

In an interview, MacKay blames slowing same-store sales in some markets on several factors, including increased competition, cannibalization, less spending by consumers and saturation. He said that the chain is being more aggressive on pricing, but that the decision to match--or better--competitor's prices are made at the local level.

Mackey confirms that Whole Foods will launch products in the coming year that appeal to consumers concerned about the ethical treatment of animals. "There are enough of those customers willing to pay a little bit more for animal products that have been raised with more awareness," he says.

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