Menu Foods Income Fund , a Canadian-based petfood manufacturer, reported a narrower quarterly loss on Feb. 18 as it recovered from the lingering effects of a costly petfood recall, according to an  article  on  Reuters.com .

Menu Foods said it lost CA$3.3 million (US$2.62 million) in the fourth quarter, compared with a year-earlier loss of CA$23.9 million (US$19 million), when it struggled with the recall.

The company said its results were helped by increased sales volumes as its regular customers returned to the fold, as well as by three price increases in 2008 to its private label products.

Menu Foods was hit hard by a massive  recall  that began in March 2007, following reports of animal deaths connected to some of its products. The recall, which also affected other petfood manufacturers and suppliers, was tied to wheat gluten and rice protein concentrate imported from China that was tainted with melamine.