General Mills new CEO says company will increase black marketing efforts

General Mills new CEO says company will increase black marketing efforts

By Julie Jargon
The Wall Street Journal
(September 25, 2007) General Mills Inc. named Kendall Powell chief executive, succeeding longtime CEO Steve Sanger in what the company called a longtime succession plan.

Mr. Powell, 53 years old, who most recently served as president and chief operating officer, helped to develop the Minneapolis company's five long-term growth strategies, which include broadening the channels through which the company sells its products, expanding overseas and bringing more innovation to the business.

Mr. Sanger, 61, will remain chairman through the current fiscal year, which ends in May.

Mr. Powell isn't expected to deviate from the growth plans he had a hand in shaping. "I've worked closely with Steve on those things for the last three years," Mr. Powell said in an interview.

Under his watch, the company has started selling more of its products outside traditional supermarkets. Half of the sales of its Cascadian Farm and Muir Glen organic brands in fiscal 2007 came from natural and organic specialty stores, and a new line of Pillsbury miniature desserts soon will be carried in convenience stores.

General Mills also has been seeking new ways to grow internationally, both by increasing the reach of its cereals around the globe and by bringing a Chinese brand called Wanchai Ferry to the U.S. And the company has been pushing its brand managers to develop innovative new products, such as Fizzix, a new carbonated yogurt, and a new type of chocolate Chex cereal.

During his 28-year career at General Mills, Mr. Powell has served as president of the Yoplait yogurt division and of Big G cereals; chief executive of Cereal Partners Worldwide, a Switzerland-based joint venture with Nestlé SA; and chief operating officer of the company's U.S. retail division. Mr. Powell, who was named president and chief operating officer in June 2006, has a bachelor's degree in biology from Harvard and an M.B.A. from Stanford.

Mr. Powell says he wants to increase the company's efforts to market to Hispanic and African-American consumers. "I think we're going to accelerate our marketing activity there," he says.

Mr. Sanger had been CEO since May 1995, an unusually long tenure in the packaged-food industry. During that time, he steered the company through some tough times, including the difficult integration of the 2001 Pillsbury acquisition.

General Mills has enjoyed more success lately. The company reported earnings of $288.9 million, or 81 cents a share, for the quarter ended Aug. 26, up from $266.9 million, or 74 cents a share, a year ago. Revenue rose 7% to $3.07 billion. General Mills shares fell 61 cents, or 1%, to $57.88 in 4 p.m. New York Stock Exchange composite trading.

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Click here for free delivery of the Target Market News Bulletin You'll receive news of breaking stories, exclusives, updates and headlines on the latest developments in African American marketing and media Black Stats Frequently requested data on African American consumers Black Buying Power: $719 Billion (2005) Black U.S. Population: 38.3 million Top Five Black Cities - New York - Chicago - Detroit - Philadelphia - Houston Top Five Black Metros: - New York-New Jersey - Washington-Baltimore - Chicago-Gary - Los Angeles - Philadelphia Top Five Expenditures: - Housing $110.2 bil. - Food $53.8 bil. - Cars/Trucks $28.7 bil. - Clothing $22.0 bil. - Health Care $17.9 bil. Click here for more stats from "The Buying Power of Black America." ______________________ Get quick access to key U.S. Census Bureau Data Click here to go to African-American Census Bureau data _____________________ Copyright `© 2007 by Target Market News Inc.` All rights reserved Business address: 228 S. Wabash Ave. Suite 210 Chicago, IL 60604 t. 312-408-1881 f. 312-408-1867 info@targetmarketnews.com	General Mills new CEO says company will increase black marketing efforts By Julie Jargon The Wall Street Journal (September 25, 2007) General Mills Inc. named Kendall Powell chief executive, succeeding longtime CEO Steve Sanger in what the company called a longtime succession plan. Mr. Powell, 53 years old, who most recently served as president and chief operating officer, helped to develop the Minneapolis company's five long-term growth strategies, which include broadening the channels through which the company sells its products, expanding overseas and bringing more innovation to the business. Mr. Sanger, 61, will remain chairman through the current fiscal year, which ends in May. Mr. Powell isn't expected to deviate from the growth plans he had a hand in shaping. "I've worked closely with Steve on those things for the last three years," Mr. Powell said in an interview. Under his watch, the company has started selling more of its products outside traditional supermarkets. Half of the sales of its Cascadian Farm and Muir Glen organic brands in fiscal 2007 came from natural and organic specialty stores, and a new line of Pillsbury miniature desserts soon will be carried in convenience stores. General Mills also has been seeking new ways to grow internationally, both by increasing the reach of its cereals around the globe and by bringing a Chinese brand called Wanchai Ferry to the U.S. And the company has been pushing its brand managers to develop innovative new products, such as Fizzix, a new carbonated yogurt, and a new type of chocolate Chex cereal. During his 28-year career at General Mills, Mr. Powell has served as president of the Yoplait yogurt division and of Big G cereals; chief executive of Cereal Partners Worldwide, a Switzerland-based joint venture with Nestlé SA; and chief operating officer of the company's U.S. retail division. Mr. Powell, who was named president and chief operating officer in June 2006, has a bachelor's degree in biology from Harvard and an M.B.A. from Stanford. Mr. Powell says he wants to increase the company's efforts to market to Hispanic and African-American consumers. "I think we're going to accelerate our marketing activity there," he says. Mr. Sanger had been CEO since May 1995, an unusually long tenure in the packaged-food industry. During that time, he steered the company through some tough times, including the difficult integration of the 2001 Pillsbury acquisition. General Mills has enjoyed more success lately. The company reported earnings of $288.9 million, or 81 cents a share, for the quarter ended Aug. 26, up from $266.9 million, or 74 cents a share, a year ago. Revenue rose 7% to $3.07 billion. General Mills shares fell 61 cents, or 1%, to $57.88 in 4 p.m. New York Stock Exchange composite trading. Go to Target Market News homepage	13th Edition Now Available New Buying Power report shows more spending by black consumers on 'necessities' Thanks to economic gains in the past two years, black households across the U.S., especially middle-class families, are increasing their purchases of lifestyle and leisure items. According to the newest edition of “The Buying Power of Black America,” there are indications that black households are feeling more confident about making purchases that... Story continued... _________________________________________________________________________________________ The African-American Book Publishing Authority Now in its ninth year of publication, Black Issues Book Review is the only nationally distributed magazine devoted exclusively to covering the latest news and reviews on black books. BIBR also provides up-to-date news on forthcoming author signings, book fairs and book clubs. Want this issue? Get it with your new subscription. 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