Cadbury caught up in Kraft demerger
Cadbury owner Kraft has announced plans to demerge into two independent businesses.
The US food giant, which bought the Birmingham-based chocolate-maker for £12bn last year, said that Cadbury would be joining a new global snacks business. It would also include Trident gum and Oreo biscuits and have estimated revenues of $32bn (£19.6bn).
A North American food business with revenues of $16bn (£9.8bn) would also be formed with brands including Kraft and Philadelphia cheeses and Capri Sun.
Kraft said the move was a "logical step". Its chief executive Irene Rosenfeld added: "We have built two strong, but distinct, portfolios. Our strategic actions have put us in a position to create two great companies, each with the leadership, resources and strong market positions to realise their full potential."
The plans were unveiled as Kraft reported a rise in profits for the second quarter to $976m (£598m) - 4 per cent up on last year's number. Revenue for the quarter rose by 13 per cent to $13.9bn (£8.5bn).
