BRITISH CONFECTIONERY giant Cadbury has reported a 6 per cent rise in third-quarter underlying sales as it announced a further 580 job cuts to keep it on track to meet its annual sales and profit margin goals.
The London-based group, which makes Dairy Milk chocolate, Trident gum and Halls cough drops, said it was not immune to the current financial crisis and economic slowdown but it operated in relatively resilient markets for chocolate, gum and candy.
Chief executive Todd Stitzer said: "Our business is affected to some extent, but we operate in broad markets for affordable treats and are less affected in difficult times."
Cadbury, which is facing a slowdown in world markets, higher cocoa prices and the threat from new industry leader Mars-Wrigley, said its nine-month revenues rose 7 per cent after a first-half increase of 7.3 per cent.
Cadbury announced 250 job cuts as it swept away its regional structure, which will see its seven business units report directly to the chief executive. A further 330 jobs will go in its Australian and New Zealand confectionery business. These further job cuts come after Cadbury announced in June 2007 that it would cut 15 per cent of its staff and factories to streamline its operations, which would mean a loss of 7,500 jobs worldwide and the closure of 10 plants.
- (Reuters)
