Kraft Will Cut 6,000 Jobs

[CShine]

The growing trend toward healthier eating is taking a bite out of sales and profits at Kraft Foods (KFT), the nation's largest food company.
As a result, the maker of Oreo cookies, Velveeta cheese and Oscar Mayer meats disclosed plans Tuesday to cut 6,000 jobs, or 6% of its work force, and close up to 20 plants worldwide by 2007 in a restructuring prompted by sluggish sales and poor results for new products.

The announcement came as the company reported a 7% decline in fourth-quarter profits — latest in a series of financial disappointments — and said 2004 earnings will come in below expectations.

Kraft, based in Northfield, Ill., isn't alone in its struggles. Consumers' increased health concerns have put the entire packaged food industry under severe pressure to change quickly.

http://www.usatoday.com/money/industries/food/2004-01-28-kraft-cuts_x.htm

[MisterP]

1. ah, velveeta,

the only petroleum-based cheddar!

[RC]

2. Jobless recovery?

And if people cannot afford to buy processed food? How is this is a recovery?

[nykiera]

3. Northern NY Dairy Farmers worrying how closing will affect them.

"Kraft Closing May affect Dairy Industry"
http://www.news10now.com/content/top_stories/default.asp?ArID=8162

[wunnerfulrobin]

4. The Atkins diet strikes again!

Oreos dont fit inot my diet! But i can eat 8 pounds of bacon a week!

[LincolnMcGrath]

5. Kraft sells bacon too!

[goforit]

6. Their cheese was getting a little boring in flavor.

Oh well........I wonder how much cash they've thrown to
this administration.

[Thor_MN]

7. I heard a GOP mouthpiece spouting how barriers to offshoring jobs

should not be raised because other countries MIGHT retaliate against US firms that sell service overseas. I was in the middle of yelling at the radio "How the hell many companies would that aff....FREAKIN'HALLIFREAKINBURTON!!!!" No, we can't protect American jobs because it would cost the big corporations some of their record breaking profits and it could cost Halliburton and the other Oil giants.

Why do people support this administration that is so obviously bought and paid for which puts their want of their owners ahead of the needs of the people that they are elected to represent?

[Wapsie B]

8. Thank god for sugar-free Jello.

n/t

[Nikia]

9. They are just greedy

Don't you realize they still made a lot of money. They made a little less profit so they shed jobs. They've been cheapening their food to save money while portraying themselves as makers of a premium product so they charge a premium price.
Several Kraft plants were originally smaller businesses owned by a single family or a few people who were happy to make a seven figure or even six figure profit every year who would have never laid anyone off until they had a few years of loss.
Big coporations like Kraftonly care about the money, not the people or their product, except to the affects on sales.

[CO Liberal]

10. They Could Make Healthier Food And Save Those Jobs.....

...couldn't they?

:shrug: