020262 Kraft on Track for Higher 2002 EarningsFebruary 22, 2002Scottsdale, AZ - Kraft Foods Inc. said it remains on target to meet its 2002 earnings growth goal of 14% to 16%. Co-Chief Executives Betsy Holden and Roger Deromedi also outlined the company's acquisition strategy, but declined to respond to a question asking about whether France's Groupe Danone would make a good fit with the company. Holden, speaking with Deromedi at an analyst conference in Scottsdale, Arizona, said that Kraft has significant resources to do acquisitions and looks for deals that would bring valuable brands to the powerhouse and help it improve its scale in various categories. Deromedi said that while Kraft primarily looks to do deals that would quickly add to earnings, it does not limit itself to only that criteria. The co-CEOs said that they are looking to do deals in North America and internationally. The maker of Nabisco cookies and crackers, Oscar Mayer meats, and Philadelphia cream cheese said it expects earnings of $2.00 to $2.05 per share for the year. That forecast matches the range of analysts' estimates compiled by market research Thomson Financial/First Call. The average analyst estimate is $2.02 per share. Kraft expects volume growth of 3% to 4% for the year, the company said. Volume is a measure of goods sold that factors out foreign exchange and price fluctuations. Northfield, Illinois-based Kraft also said that its integration of Nabisco was on track and that it will realize expected cost savings from the acquisition. Holden said that Kraft feels "great" about the ideas that it has in the pipeline, but did not outline specifics.
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