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The Campbell's Company cut 13% of its salaried workforce as part of a plan to slash $500 million in costs by 2030, with CEO Mick Beekhuizen saying the company needs to take "decisive action" to improve performance.
The packaged food maker is also closing two snack plants as it aims to protect margins and support higher levels of investment. Campbell's added it will cut its quarterly dividend by 36% to generate savings that will be directed to other parts of its business.
The announcement comes as Campbell's posted a loss during its fourth quarter, with sales slipping 8% to $2.14 billion. Sales in its snacks business, which includes Goldfish and Pepperidge Farm, plunged 12% during the period. In meals and beverages, home to Rao's, V8 and its iconic soups, sales dipped 4%.
As consumers continue to rein in their spending, food companies are feeling the heat. Beekhuizen said cost cuts at Campbell's are necessary to support greater investment in brands to position them for success.
#sales #investment
The Campbell's Company cut 13% of its salaried workforce as part of a plan to slash $500 million in costs by 2030, with CEO Mick Beekhuizen saying the company needs to take "decisive action" to improve performance.
The packaged food maker is also closing two snack plants as it aims to protect margins and support higher levels of investment. Campbell's added it will cut its quarterly dividend by 36% to generate savings that will be directed to other parts of its business.
The announcement comes as Campbell's posted a loss during its fourth quarter, with sales slipping 8% to $2.14 billion. Sales in its snacks business, which includes Goldfish and Pepperidge Farm, plunged 12% during the period. In meals and beverages, home to Rao's, V8 and its iconic soups, sales dipped 4%.
As consumers continue to rein in their spending, food companies are feeling the heat. Beekhuizen said cost cuts at Campbell's are necessary to support greater investment in brands to position them for success.
#sales #investment
3 days ago
