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More on Kraft (KFT): Beginning on Oct. 2 Kraft Foods Group (grocery business) will trade under...

More on Kraft (KFT): Beginning on Oct. 2 Kraft Foods Group (grocery business) will trade under the symbol (KRFT) and spun-off Mondelez International (snack foods) will debut under the symbol MDLZ, while the illustrious KFT ticker will be retired to the stock symbol graveyard. (PR)
Comments (1)
  • nicthu
    , contributor
    Comments (47) | Send Message
     
    But both companies want to sell the same brands, right? E.g. Kraft Foods Group wants to sell Oreos in North America, and Mondelez International wants to sell Oreos everywhere else. So one of the companies (or a third??) will need to own the Oreo copyright, and license that to the other (or both??), at a fee to be determined via arms-length negotiations. That sounds like a bunch of new, non-trivial expenses (considering all the various world-known brands) that shareholders of the fee-paying company(ies) could live without, and that KFT shareholders are currently living without (because Kraft Foods, Inc. doesn't have to pay itself to use its own brands).
    3 Aug 2012, 02:38 PM Reply Like
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