Kraft Foods Inc (KFT.N) Chief Executive Irene Rosenfeld is breaking up the food giant in a move that has been percolating at Kraft for several years but caught the market by surprise, coming only 18 months after the acquisition of Cadbury. The split gives investors the chance to bet on a snacks business that is growing fast in emerging markets, or opt for the stable dividends offered by a slower-growing general grocery business that includes Oscar Mayer lunch meat and Kraft cheese. The $48 billion company's spin-off of its grocery business is the latest in a broad trend of corporate breakups that includes Fortune Brands Inc (FO.N), ConocoPhillips (COP.N) and ITT Corp (ITT.N). It was also a surprise as Kraft's shares have outperformed the broader market and those of rival food makers PepsiCo Inc (PEP.N) and Nestle (NESN.VX) since Kraft won Cadbury in February 2010.
Kraft Foods Inc. (Kraft Foods) manufactures and markets packaged food products, including biscuits, confectionery, beverages, cheese, convenient meals and various packaged grocery products. Shares of KFT fell by 1.52% or $-0.52/share to $33.78. In the past year, the shares have traded as low as $28.85 and as high as $36.02. On average, 9064560 shares of KFT exchange hands on a given day and today's volume is recorded at 60754932.
Fortune Brands, Inc. is a holding company with operating companies engaged in the manufacture and sale products, such as distilled spirits, home and security products, and golf products. Shares of FO fell by 8.37% or $-4.85/share to $53.09. In the past year, the shares have traded as low as $42.19 and as high as $65.48. On average, 812760 shares of FO exchange hands on a given day and today's volume is recorded at 2476197.
ConocoPhillips is an international, integrated energy company. Shares of COP fell by 5.16% or $-3.64/share to $66.92. In the past year, the shares have traded as low as $52.00 and as high as $81.80. On average, 10293200 shares of COP exchange hands on a given day and today's volume is recorded at 15822423.
ITT Corporation (ITT) is a global engineering and manufacturing organization. Shares of ITT fell by 5.39% or $-2.74/share to $48.06. In the past year, the shares have traded as low as $42.05 and as high as $64.00. On average, 1232380 shares of ITT exchange hands on a given day and today's volume is recorded at 2154384.
PepsiCo, Inc. (PepsiCo) is a global food, snack and beverage company. Shares of PEP fell by 1.75% or $-1.13/share to $63.35. In the past year, the shares have traded as low as $62.05 and as high as $71.89. On average, 7153670 shares of PEP exchange hands on a given day and today's volume is recorded at 15201461.
