After showing a 23% increase in profits in the forth quarter of '05 over the same quarter of '04, Kraft has decided to cut 8,000 jobs...that comes to 10% of it's workforce. Is that greed or what?
From Reuters via Yahoo News:
CHICAGO (Reuters) - Kraft Foods Inc. (NYSE:KFT - news) on Monday said it would cut up to 8,000 more jobs, or 10 percent of its work force, through 2008 as the food company, hammered by higher commodity costs and sluggish sales volume, looks to save more money.
The announcement came as the maker of Oreo cookies, Jell-O gelatin and a host of other well-known brands, posted a 23 percent increase in net income.
Kraft, like many packaged food companies, has been struggling with a range of commodity cost increases in recent years and is still being pressured by high fuel and packaging costs.
The company posted a profit of $773 million, or 46 cents a share, for the fourth quarter, compared with $628 million, or 37 cents a share, a year earlier.
Wasn't it George W. Bush who said that the tax cuts he wanted would keep people working?