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1Kraft Foods Co.
(Illinois USA)$19.96 billion 98,000 1,683
2Mars Inc.
(Virginia USA)$16.20 billion 65,000 1,353
3 Nestle SA(Vevey, Switzerland)
$12.80 billion 283,000 4,563
4Ferrero Group(Piedmont, Italy)
$9.61 billion 21,600 18
5Hershey Foods Corp
(Pennsylvania, USA)
$6.11 billion 14,400 N/A
The Top 5 Global Confectionery Companies$300 billion global snack and confectionary industry
Confectionery is broken up into three categories: chocolate,
non-chocolate, and chewing gum.
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Irene Rosenfeld Todd Stitzer Neslon Peltz
CEO KraftFoods since
2006
Cadbury CEOfrom 2003-
2010
ChairmanCadbury
(2008-2010)
FounderTrian Fund
Managemen
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Growth in Kraft Foods confectionary business after
Cadburys takeover
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1903 Started
Cheese mfg
1914 First plant
1923 Kraft Cheese
Co. acquires Fred
Walker and Co
1928 Kraft Cheese
Co. acquires Phenix
Cheese Co.
1986 - KraftPurchases Tombstone
Pizza Corp.
1989 - Philips Morrispurchases Kraft
1989 - General Foodsand Kraft merge to
become Kraft GeneralFoods (KGF)
1990 - KGF Intlacquires Jacobs
Suchard AG
1993 KGF acquires5 Eu confectionary
companies
2000 - KGF mergeswith Phillip Morris
2001 Kraft beginstrading on NYSE
2010 Kraft acquiresCadbury
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1831
John Cadbury movesinto manufacturing
1897
Launch of firstCadbury milk
chocolate
1921
First overseas factory
opened
1915
Milk Tray launched
1905Cadbury Dairy Milk
launched
1969
Cadbury merged withSchweppes
2003
The worlds No 1confectionery
company
2008Cadbury and
Schweppes demerged
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Cadbury before takeover
Almost a fifth of the size of Kraft
Operated in 60 countries
45000 employees
Revenues in 2008 : 5.4Billion
46% chocolate
33% gum
21% candy products
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Kraft foods Before takeover
100,000 employees
more than 150 countries
large market capitalization of $53 billion In 2008, it replaced AIG as part of the Dow
Jones Industrial Average.
revenues of $40 billion (fiscal year 2009)which sells its products
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Brand Dairy Milk
Available in more
than 60 delicious
varieties
CadburyDairy Milk
chocolate generates
more than $1 billion of
sales each year
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Stakeholders and British Industry
to take a look at reactions by different
stakeholders and how the deal could impact
British industry
I think this deal is a mistake, and I think selling
the pizza business was a mistake.
Kraft had to sell its pizza business for $3.7
billion to come up with the cash to buy
Cadbury.
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Impact on the FoBH
Sadly, Loudon can not use her birth name, because Kraftnow owns it.
sold her house for a jaw-dropping $48 million.
Felicity Loudon great-grandfather George Cadbury started
the company, now been taken over by an "American plastic cheese
company," as Loudon so affectionately calls it.
Vows to use the profit to start a new rival chocolatecompany
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Controversies
Somerdale factory closed
Cadbury and Kraft argue that the Takeover Codeprevented them from discussing anything that wouldbe deemed price sensitive, which included details of
future plans for the workforce Agreement to guarantee Dairy Milk British
confectioner's final salary pension
scheme to new members, increase contributions fromstaff and cut up to 150 jobs.the future not only ofBournville but also of Chirk, near Wrexham and ofMarlbrook in Herefordshire, which supply theingredients
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Funding the Take-Over
The funding for the takeover was partially provided
by the Royal Bank of Scotland, the British part-state-
owned bank.[
RBS is 84%-owned by taxpayers after being bailedout by the government.
Sold off for $ 3.7Billion
http://en.wikipedia.org/wiki/Royal_Bank_of_Scotlandhttp://en.wikipedia.org/wiki/Royal_Bank_of_Scotland