Campbell Soup Co. will reorganize into divisions based on product type instead of geography or brand, in the latest effort to turn around the classic food company amid tepid earnings growth.
Campbell will also redesign its cost structure.
Chief Executive Denise Morrison said the reorganization is the “next logical step” to drive growth and “shift the company’s center of strategy.” In recent quarters, segments like Bolthouse Farms salads have buoyed sales, while the core soup segment hasn’t been doing as well.
Mark Alexander, 50 years old, will now serve as president of Americas Simple Meals and Beverages after having been president of the North American sector. Luca Mignini, 52, will lead the global biscuits and snacks segment after leading the international division. Jeffrey Dunn, 57, previously head of the Bolthouse Farms brand of carrots and salad dressings, will now be president of Packaged Fresh division.
Irene Chang Britt, who was president of the Pepperidge Farm cookie brand and global snacking, said she would leave the company.
Campbell was founded in the 19th century and is still influenced by heirs of the founding family today. In the most recently ended quarter, growth in Bolthouse Farms and Simple Meals segments helped results beat expectations, but the company still lowered the bottom end of its guidance for the year. It had previously warned that sales was falling below its long-term targets, and it is continuing to reshape its portfolio and restructure.
Shares of Campbell are up around 11% over the past 12 months.
By Angela Chen