Government presses Kraft for Cadbury assurances
THE Government has said it remains concerned over the future of confectionary maker Cadbury after failing to gain assurances from food giant Kraft about the company’s future following its takeover.
Business Minister Ian Lucas, in a visit to Birmingham, said: “We are concerned because of the ongoing uncertainty.
“We made clear to Kraft right at the outset that this is a very important business for the UK, not just in terms of the iconic brand but also because of the number of people who work there and as an institution with a very strong social conscience.”
He said while it was still early days in terms of the takeover, the Government would press Kraft to ensure high value manufacturing and R&D jobs remained in the UK.
“What’s special about Cadbury is the expertise which there is in the UK. We want them to build on that and develop work within the UK and to expand jobs,” he said.
Mr Lucas said he hoped that Kraft would do for Cadbury what BMW had done with the Mini and invest in plant and product development to strengthen one of Britain’s most iconic brands.
Cadbury announced yesterday that three of its senior executives would be resigning.
Chairman Roger Carr, chief executive Todd Stitzer and chief financial officer Andrew Bonfield are all stepping down.
The move had been expected and while Mr Carr may leave as soon as next week, Messers Stitzer and Bonfield may stay on to help with the integration process.
Mr Stitzer, aged 56, who has been with Cadbury for 27 years and chief executive for seven, wished his former company the best for the future saying: “By any set of business standards we have achieved great things. Equally importantly, we have given 21st century meaning to George Cadbury’s 19th century principle that `doing good is good for business’.
“I would like to offer my heartfelt thanks to every one of my 45,000 colleagues for the support they have given me, and for the passion and energy they have shown in making Cadbury the finest confectioner in the world.”
Reports have suggested that Mr Stitzer may be leaving the company with a pensions and pay-off package worth around £30m.
He concluded by saying: “I wish Irene Rosenfeld and her team every success in taking Cadbury and its brands forward. They have pledged they will do their utmost to preserve Cadbury’s unique performance driven, values led heritage, and I urge all my colleagues to do their utmost to help them in this special task.”
He said he now intended to take some time off before considering his next option.
