In the next step toward launching two world-class public companies, the Kraft Foods Inc. board of directors announced the appointments of the chairmen and chief executive officers of the future global snacks and North American grocery companies. As previously announced, the company expects to complete the spin-off by the end of 2012.
When the new companies launch.
Irene B. Rosenfeld, 58, currently Chairman and CEO of Kraft Foods, will be Chairman and CEO of the global snacks company, with $31 billion in estimated revenue and a significant presence in numerous fast-growing, international markets. in estimated revenue and a significant presence in numerous fast-growing, international markets.
W. Anthony (Tony) Vernon, 55, currently executive vice president and president, Kraft Foods North America, will become chief executive officer of the $17 billion North American grocery company, one of the largest food and beverage companies on the continent.
John T. Cahill, 54, currently an industrial partner of private equity firm Ripplewood Holdings LLC, will become non-executive chairman of the North American grocery company. Initially, he will serve as executive chairman, reflecting the tremendous effort required to launch and transition to a public company. Cahill will join Kraft Foods in January to begin work on the separation.
“Irene, John and Tony are three of the finest executives in business today,” said Mark Ketchum, lead director, Kraft Foods Inc. board of directors in a prepared statement. “Their commitment to shareholder value, passion for brands and focus on sound financial management give the Board great confidence in the future of the snacks and grocery companies.”
The partnership between Cahill and Vernon will ensure a smooth transition to an independent public company, while maintaining the momentum Vernon has built in the grocery business. In broad terms, Vernon, as CEO, will lead the business, and Cahill, as chairman, will focus on public company, financial and strategic matters.
Until the spin-off, the management structure of Kraft Foods will remain in place. Rosenfeld, and her executive team will continue to focus on delivering 2011 and 2012 business results as well as flawlessly executing the separation.
