While the boss of Kraft Foods believes the whole of the business is worth less than the sum of its parts, it is by no means obvious that cutting it up and rearranging it will transform its growth prospects, according to one analyst.
Kraft, in its second quarter results, reports continuing challenges ahead for its gum and candy division in developed markets, and claims the Cadbury takeover is a fundamental earnings driver, with its global chocolate earnings up 9 per cent.
Kraft Foods has said it intends to split into two companies, in a move that would create a global snacks powerhouse separate from its North American grocery business.
Kraft Foods has said it will pay $8.1m to settle a class action lawsuit over air and groundwater pollution from an Attica, Indiana facility, which was caused by the site’s former owner.
Kraft Foods has reported strong sales and profit growth in the first quarter as it increased prices and advertising efforts for core brands to tackle higher commodity costs.
Reflecting the continuing industry trend toward outsourcing, Barry Callebaut said a new supply deal it has agreed with Hershey will put its annual deliveries beyond the current 80,000 metric tonnes.
Kraft Foods is leveraging the growing market for chocolate and cookies in developing markets with the opening of a new $80m production facility in Brazil.
Several major food manufacturers are struggling to offset higher commodity costs with price increases, according to company executives at the Consumer Analyst Group of New York (CAGNY) conference.
Despite robust overall growth, Kraft is still suffering from costs associated with its £11.5bn Cadbury purchase, according to the US giant's full-year accounts.
A New York federal court has denied Kraft’s request for a preliminary injunction against Starbucks, paving the way for the coffee giant to end the companies’ packaged coffee distribution agreement on March 1.
Kraft Foods has said it intends to source one million eggs from cage-free hens next year following discussions with the Humane Society of the United States (HSUS) about the treatment of animals in its supply chain.
Most global packaged-foods are well-placed for earnings growth and expansion as the economy recovers from recession, predicts the latest report from Moody's Investors Service.
Starbucks criticized Kraft Foods on Thursday for disclosing the terms of a distribution agreement for packaged Starbucks coffee that the coffee giant said it intends to end.
Two more senior Cadbury executives have left Kraft Foods, joining the other senior management figures who have resigned since the confectioner's takeover by the US food group in February, claim media reports.
Kraft has said it expects to make an additional $1bn in revenue by 2013 because of better access to global markets and distribution networks following its takeover of Cadbury earlier this year.
US food giant Kraft has announced first quarter 2010 revenues up 26 percent to $11.3bn after its acquisition of British food and confectionery company Cadbury.
Food giant Kraft Foods has announced it will reduce the sodium content of its entire North American portfolio by an average of 10 percent over the next two years.
Kraft Foods’s reneging on a decision to keep a Cadbury factory near Bristol in the UK open will result in the loss of 400 jobs and has drawn criticism from politicians and unions alike.
Kraft has dismissed the raised long-term growth targets published by Cadbury on Monday, saying the UK confectioner’s prospects are subject to significant risk and uncertainty.
Kraft has formally made a £9.8bn ($16.3bn) hostile takeover bid for British confectioner Cadbury, just hours before the 5pm GMT deadline imposed by the UK Takeover Panel.
One of the leading investors in Cadbury has revealed he would consider a bid from Kraft if it were in the region of 820p per share, according to recent media reports.
Kraft may look to sell its brand Maxwell House to generate a higher offer to Cadbury, the world's second largest confectionery group, claim media reports.
Kraft Foods is slashing its supply chain costs by $300m - a decision that Leatherhead Food International predicts will dramatically affect suppliers and could result in casualties.
Kraft Foods has defended its valuation of the Cadbury business and insisted that it remains the most logical buyer for the UK confectionery manufacturer.
Amidst ongoing amendments to improve food safety after recent US contamination scares, Kraft Foods says that system design and prevention remain central to its hygiene plans as opposed to heightened testing.
The biofuels policy in the US is resulting in soaring global food prices, along with unprecedented high input costs for the food industry, and needs to be changed, according to chairman and CEO of Kraft Foods, Irene Rosenfeld.
Food giant Kraft Foods today announced a demerger of its Post
Cereal brand to Ralcorp Holdings for $2.6bn of stock and cash,
as part of the company's strategy to concentrate on core divisions.
Kraft explains its approach to health and wellness in the second of
a series of FoodNavigator-USA.com articles examining the practices
of major US food firms in the face of a growing need to address
human nutrition.
Mergers and acquisition activity is always ongoing in every segment
of industry, but this summer looks to be a particularly hot one for
food and beverage manufacturers.
Cadbury Schweppes has said it will separate its confectionery and
US soft drinks businesses, sending ripples of speculation across
the financial sector about the firm's motives.
Lawsuits alleging soft drinks made by Kraft Foods may contain the
cancer-causing chemical, benzene, have been dismissed after the
group said it had reformulated products.
Obesity concerns and a lack of innovation have driven down sales of
fruit-flavored juice drinks in the US over the past five years, and
prospects to boost the market remain dismal according to a new
report by Mintel.
Frozen food manufacturers should focus on higher-quality,
better-for-you options in order to boost the performance of the
slow-growing category, which is increasingly threatened by fresh
foods, says a new report.
Coca-Cola and Cadbury Schweppes have joined the list of beverage
firms set to be sued in Florida over allegations their drinks
contained benzene, 15 years after the industry first pledged to fix
the problem.
Kraft Foods has announced plans for a major European reshuffle and
a string of acquisitions, as US parent company Altria segregates
the food producer from its ailing tobacco subsidiary.
Food giant Kraft has reduced the trans fat content in around 650 of
its products, in time for the 1 January labeling deadline, which
will require all food companies to label the amount of trans-fat in
their products.
Food giant Kraft, which saw earnings drop 13.5 percent in third
quarter earnings yesterday, moved a step closer to being spun off
from parent Altria after a $280 billion government lawsuit against
the tobacco industry fell through.
Leading US food manufacturer Kraft Foods has taken another step in
the direction of health and wellness, launching a new line of
wholegrain snack products under its Nabisco brand.
The US is on its way to lowering processing times for Parmesan
cheese - a move bound to inflame producers in Italy, threaten their
sales and encourage further battles over rights to the name.
On the back of growing consumer interest in healthy eating, leading
US food maker Kraft Foods is focusing on its increasingly
successful health and wellness segment, announcing plans to further
limit products advertised to children...
Food giant Kraft Foods, the maker of Maxwell House coffee and
Nabisco cookies, will push funds behind 'fewer, bigger and better
new product ideas' to fuel sustainable growth.
Kraft Foods Global has extended its collaborative research
programme with Senomyx on novel flavour modifiers for a further two
years, underlining the flavour technology firm's success in working
with the biggest food manufacturers.
The leading US food maker Kraft Foods is putting its weight behind
the increasingly popular South Beach diet, launching a new line of
foods for people following the regime, reports Lorraine
Heller.
