The Supply Side briefs: Del-Monte explores sale, Kraft division changes
by June 17, 2013 10:24 pm 130 views
• Del Monte explore sale
Del Monte is reportedly exploring a sale of its canned-food business, according to a Wall Street Journal report citing people familiar with the matter.
The firm’s canned-food and pet-food company is gauging interest from potential buyers of the division, but sources said the process is in the early stages. The canned-food business generates about $1.8 billion in sales annually, or about half of the company's revenue.
• Kraft divides business units
Kraft Foods announced plans on Friday to create two new, standalone business units: Meals and Desserts, and Enhancers and Snack Nuts.
With the creation of these new business units, the company will be able to place more focus on brand-building while reducing the complexity of managing a portfolio with many distinct brands and product categories. The new business structures and leadership appointments are effective July 1.
"Since we launched the new Kraft, we've focused heavily on turbocharging our iconic brands. And we've made a lot of progress thanks to great marketing and innovation," said Tony Vernon, Kraft CEO. "With the creation of our two newest business units and great leaders in place, we're taking an important step to strengthen our focus on some of the most beloved brands in North America."
Kraft will begin reporting the financial results of these business units as separate segments at the end of its third fiscal quarter 2013. The company will also make historical results for these new segments available by the end of its third quarter.
Michael Osanloo assumed the role of president, Meals and Desserts and was previously president of Kraft's grocery business unit.
Jane Hilk was chosen as president, Enhancers and Snack Nuts. She is a 22-year veteran at Kraft who most recently served as senior vice president of marketing for Oscar Mayer.