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Latest Business News

Kellogg's Income Drops 5 Percent

Tuesday, January 30, 2007 2:37:20 PM
By JAMES PRICHARD

GRAND RAPIDS, Mich. (AP) - Higher costs contributed to a 5 percent drop in Kellogg Co.'s fourth-quarter net income, the breakfast food and snack maker reported Tuesday.

The company behind Frosted Flakes, Eggo waffles and Keebler cookies said increased fuel, energy, commodity and benefit costs weighed on its results.

"We've faced significant cost inflation and difficult operating conditions in many of our businesses during the year," David Mackay, Kellogg's new chief executive officer, told industry analysts during a teleconference. "The volatility in commodity costs continues and will remain a challenge for the foreseeable future."


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