Hugh Pickens DOT Com (2995471) writes "The Guardian reports that a million jars of peanut butter are going to be dumped in a New Mexico landfill and bulldozed over after retailer Costco refused to take shipment of the peanut butter and declined requests to let it be donated to food banks or repackaged or sold to brokers who provide food to institutions like prisons. The peanut butter comes from a bankrupt peanut-processing plant that was at the heart of a salmonella outbreak in 2012 and although 'all parties agreed there's nothing wrong with the peanut butter from a health and safety issue,' court records show that on a 19 March conference call Costco said 'it would not agree to any disposition ... other than destruction.' The product was tested extensively and determined to be safe. Costco initially agreed to allowing the peanut butter to be sold, but rejected it as 'not merchantable' because of leaking peanut oil. So instead of selling or donating the peanut butter, with a value estimated at $2.6m, the estate is paying about $60,000 to transport 950,000 jars – or about 25 tons – to the Curry County landfill in Clovis, where public works director Clint Bunch says it 'will go in with our regular waste and covered with dirt'. Despite the peanut butter being safe, Curry County landfill employee Tim Stacy says that no one will be able to consume the peanut butter once it's dumped because it will be immediately rolled over with a bulldozer, destroying the supply. Stacy added more trash will then be dumped on top of the pile. Sonya Warwick, spokeswoman for New Mexico's largest food bank, declined to comment directly on the situation, but she noted that rescued food accounted for 74% of what Roadrunner Food Bank distributed across New Mexico last year. 'Access to rescued food allows us to provide a more well-rounded and balanced meal to New Mexicans experiencing hunger.'" 
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