Kraft
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This article is part of the Tobacco portal on Sourcewatch funded from 2006 - 2009 by the American Legacy Foundation. |
Kraft (Kraft Foods Inc.) is the largest packaged food company in the U.S. It is second to Nestlé in terms of world sales. Altria (formerly Philip Morris) which is finally getting past its second-hand tobacco smoke litigation, spun off Kraft in 2007. Kraft sells in over 155 countries. International business has most of the U.S. brands but also national favorites exist in individual countries. [1]
Some of Kraft's many U.S. brands include: General Foods International, Gevalia, Maxwell House, Sanka, Yuban, Country Time, Crystal Light, Kool-Aid, Tang, Oscar Mayer, Louis Rich, DiGiorno, Jack's, South Beach Diet, Tombstone, Velveeta, Boca veggie burgers, Cheez Whiz, Breakstone's sour cream, Shake ‘n Bake, Cool Whip, Jell-O, Post cereals, Chips Ahoy!, Oreo, Ritz, and Fig Newtons. [2]
Contents
Corporate responsibility
After "a major government-commissioned study found advertising contributes to childhood obesity" and two bills before Congress "proposed regulation of children's advertising," Kraft, "the nation's biggest food company," knew it "risked being depicted as a corporate villain." So, in January, the company "announced it would quit advertising certain products to kids under 12." [1]
While some criticized Kraft's continued use of cartoons and questioned whether the company should be able to decide "what's healthy and what isn't," policymakers praised Kraft. Kraft's strategy was inspired by "its sister company, Philip Morris." By "taking control of the discussion about marketing to children," Kraft hopes to "avoid Philip Morris's initial mistakes." Kraft's Michael Mudd explained, "If the tobacco industry could go back 20 or 30 years, reform their marketing, disarm their critics, and sacrifice a couple of hundred million in profits, knowing what they know today, don't you think they'd take that deal in a heartbeat?" [2]
Tobacco involvement
A 19-page, confidential Philip Morris (PM) memo by PM lobbyist Kathleen Linehan (known as "Buffy" inside PM) describes PM's efforts to defeat public interest legislation at all levels of government and in the military. Far beyond solely lobbying on tobacco issues, PM works through its food and drink subsidiaries, like Kraft General Foods and Miller Beer to defeat a host of different types of laws aimed at protecting and educating consumers, and benefiting the environment.
Linehan noted that KGF (Kraft General Foods) worked to oppose legisation mandating that milk be labeled as to whether it contains bovine somatotropin (BST), an artificial hormone injected into dairy cows to increase milk production, "because of the precedent this sets for other biotechnologies that may contribute to future food production or processing." She also reveals that PM works through Kraft to fight laws banning the proliferation of non-recyclable packaging (specifically juice boxes and "Capri Sun"-type foil containers, which are made of an unrecyclable composite of paper and aluminum). PM/KGF (which makes a large number of packaged foods like macaroni and cheese, cream cheese, juices and other products) also fight laws mandating the increased recycling of trash, and that PM-drafted legislative bills ("incentive-based alternatives" to mandatory recycling laws) were actually passed in three states--Colorado, Texas and Vermont--by the end of 1994. According to Linehan, PM promotes the view in state and federal legislatures that "recycling is not the answer to solid waste management." [3]
A 1993 PM Corporate Affairs Presentation also indicates that PM mobilizes Kraft employees to create fake "grassroots" efforts to fight laws the company doesn't like, like public smoking restrictions. The 47 page presentation, given by PM Vice President of Corporate Affairs Ellen Merlo to PM suppliers, talks about methods the company uses to defeat clean indoor air laws. Merlo states,
Fortunately, we have good,strong allies we can depend upon when the going gets tough including...the more than 100,000 employees of the various Philip Morris operating companies in the U .S .including Kraft General Foods and Miller Brewing; and you, our major suppliers. [4].
Personnel
Key executives and 2006 pay: [3]
- Irene B. Rosenfeld, Chairman and Chief Executive Officer, $6,430,000
- James P. Dollive, Chief Financial Officer and Executive Vice President, $450,000
- Richard G. Searer, Executive Vice President, $530,000
- Franz-Josef H. Vogelsang, Executive Vice President of Global Supply Chain
Selected board members: [4]
- Ajay Banga, Chairman and Chief Executive Officer, Global Consumer Group, International Citigroup Inc.
- Louis Carey Camilleri, Chairman and Chief Executive Officer, Altria Group, Inc.
- Mark Ketchum, President and Chief Executive Officer, Newell Rubbermaid Inc.
Contact details
Three Lakes Drive
Northfield, IL 60093
Phone: 847-646-2000
Fax: 847-646-6005
Web: http://www.kraft.com
References
- ↑ Kraft Profile, Hoovers, accessed August 2007.
- ↑ U.S. Brands, Kraft, accessed August 2007.
- ↑ Kraft Key Executives, Yahoo Finance, accessed August 2007.
- ↑ Board of Directors, Kraft, accessed August 2007.
Other SourceWatch resources
External links
- Sarah Ellison, "Why Kraft Decided to Ban Some Food Ads to Children To Head Off Critics: Company Took Cue From Tobacco; Growing Rates of Obesity Clifford's Out, But Dora Stays", Wall Street Journal, October 31, 2005; Page A1.
- Patricia Callahan, Jeremy Manier and Delroy Alexander, "Where there's smoke, there might be food research, too: Documents indicate Kraft, Philip Morris shared expertise on how the brain processes tastes, smells", Chicago Tribune, January 29, 2006.
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