Kraft Foods recently entered a bid for the acquisition of Cadbury, one that the latter quickly rejected. Now, Cadbury’s chairman Roger Carr has released a strongly worded letter that he sent to Kraft chairman and chief executive Irene Rosenfeld, a message in which he blasts Kraft’s letter and reveals how unattractive his company finds the offer.
 
Carr referred to Kraft as a “low-growth, conglomerate business,” and referred to Kraft’s general offer of acquiring Cadbury as “unappealing.” While Kraft hoped to acquire Cadbury for $16.7 billion, Carr stated that such an offer severely underestimated Cadbury’s potential as a standalone business, as well …read more

Despite a decrease in revenue, Kraft Foods has managed to post an 11 percent rise in profits for its fiscal second quarter. This result surpassed analyst expectations and has led Kraft Foods to enhance its outlook for the rest of the fiscal year, banking on a recent restructuring effort and the improvement of its products.
According to company CEO Irene Rosenfeld, Kraft’s higher-priced products are still managing to lure shoppers, but that Kraft will now focus on increasing volume and product variety rather than prices. She also credited the company’s three-year turnaround plan with its surprisingly strong performance this quarter.
As part …read more