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Kraft Plans More British Manufacturing
Saturday, 06-Feb-2010 10:34AM United Press International
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LONDON, Feb. 6 (UPI) -- U.S. food giant Kraft Foods says it will greatly expand its British manufacturing base with the purchase of Cadbury PLC.

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Kraft CEO Irene Rosenfeld told The Times of London the companytplans to start making more of its global brands in Britain as it combines operations with the confectioner, which it purchased this week for an estimated $19 billion.

"Manufacturing jobs in the U.K. will be very important to the combined company", Rosenfeld told The Times. "Kraft Foods today only has one factory in the U.K. -- that's our Banbury facility. As we look at the profile of the combined company we are going to need more manufacturing capability within the U.K."

Kenco and Maxwell House are among the only European Kraft Brands now made in Britain.

Rosenfeld told employees in a company webcast that Cadbury's board accepted the deal this week after Kraft switched from a $16.7 billion hostile takeover of Cadbury to a sweetened $19 billion friendly offer.

"That went a long way toward smoothing things over", The Chicago Tribune quoted her as saying. "Cadbury's fighting spirit will be fighting with Kraft Foods and not against it."

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