No. of Recommendations: 1
Good profile of KHC's CEO (and the decision not to split the company) in today's WSJ:
"Cahillane took the reins at Kraft Heinz on New Year’s Day. The company said that after the separation, he would lead its faster-growing condiment business, with brands like Heinz ketchup and Grey Poupon mustard.
The CEO began digging into Kraft Heinz’s books and visiting the company’s facilities. He toured its innovation center in Glenview, Ill., and an 88‑acre operation downstate in Champaign that churns out over one billion pounds of Heinz Ketchup, Kraft Mac and Cheese and Kraft Mayo each year.
He held meetings with Kraft Heinz’s top 100 leaders, a group called ATK, or Around the Kitchen. He asked employees what had gone wrong. Why wasn’t the business growing? What was needed to get it back on its feet? Was it possible?
Cahillane said one message was clear: The company was too lean. Spending on things like product development, advertising and promotions ran behind other food companies.
“The number of times I heard, ‘I’ve only got one junior person working on this brand. I can’t make a difference that way,’ ” Cahillane said in an interview. “It was really a cry for resources.”
https://www.wsj.com/business/retail/kraft-heinz-sp...From what I can see, the dividend is well-covered, so they have room to reinvest in their brands and improve marketing and operations. Just the sort of plan that might appeal to Greg Abel...
abromber
