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Food companies face questions on cost-cutting

2015-05-06 00:09:11| Food - Topix.net

U.S. packaged food and beverage companies are facing pressure to look more closely at their costs in the wake of ketchup maker H.J. Heinz Co's plans to merge with Kraft Foods Group Inc ( The Brazilian private equity firm 3G Capital, which backed Heinz in the deal announced in March, is known for its ability to trim the fat at companies, and many industry watchers think its playbook could be a model for others in the space. Packaged food companies are struggling to grow and are under pressure from boards and shareholders to cut costs and increase profit margins.

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