Blog: Twaddell exit confirms Kellogg's European struggles

Michelle Russell | 29 May 2012

Kellogg confirmed the resignation of Stephen Twaddell, president of its Europe division this morning (29 May) as it looks to revitalise its operations on the Continent.

just-food reported last month that Paul Norman, head of Kellogg's international unit, had taken direct operational responsibility for the company's European business as it looks to take action to overcome the difficulties that have hit the division.

Internal operating profit, which excludes foreign exchange and the impact of acquisitions and disposals, from Kellogg's European unit dropped almost 20% in the first quarter.

Kellogg said Twaddell, who joined the firm 25 years ago as a sales rep in Northern Ireland and was appointed into his now former role in 2010, had left to "pursue other opportunities".

The company added that, "given the complexity of Kellogg's business in Europe", Norman would assume his role as acting head of its operations in the region until a successor is named.

The challenges in Europe were a factor in Kellogg issuing a profit warning eary last month ahead of the publication of its first-quarter results.

Kellogg said its sales in Europe had declined 13% due to difficult economic conditions and poor consumer sentiment. 

Customer disputes in continental Europe had an adverse impact on inventory levels and the timing of events, forcing Kellogg to push some product launches back to later in the year.

Last month, on announcing its first-quarter results and the decision to appoint Norman as acting head of Kellogg's European operations, president and CEO John Bryant said: "We know that it will take time to make the changes [necessary to improve results in Europe]. But we know that in Paul's capable hands the situation will improve."


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