Kellogg Reports Reorganization Plan For North America Supply Chain Network

Kellogg Company (K) reported a reorganization plan for its North America supply chain network. The plan involves shifting production of various products to optimal lines across the Americas network. No production facilities are anticipated to be closed as a result of the plan, the company noted. The overall project is expected to be substantially completed by early 2024, with related productivity improvements beginning in 2023.

Kellogg expects overall project to result in cumulative pretax charges of approximately $45 million. Cash costs are estimated to be approximately $25 million. Non-cash costs are projected to be approximately $20 million and primarily consist of accelerated depreciation and asset write-offs.

Kellogg currently expects employee-related costs totaling approximately $4 million, which will include severance and other termination benefits.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
Smilin' Bob's is recalling a limited amount of Smilin' Bob's Original Smoked Fish Dip products, due to undeclared egg, an allergen, the U.S. Food and Drug Administration said. The agency noted that certain Original Smoked Fish Dip was mistakenly packed in Smilin' Bob's Natural Smoked Fish Dip cups with a Original Smoked Fish Dip lid. Merck & Co., Inc., known as MSD outside the U.S. and Canada, has recalled one lot of intravenous antibiotic Cubicin (daptomycin for injection) 500 mg for the potential presence of particulate matter identified as glass particles, the U.S. Food and Drug Administration or FDA said in a statement. The National Restaurant Association or NRA shot out a letter to the U.S. Conference of Mayors suggesting that expanded outdoor dining is the need of the hour for the restaurant industry to sustain the winter. The NRA also warned that thousands of restaurants without this facility could close down very soon.
Follow RTT