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Kraft Foods CFO Discusses Raising Prices

Kraft Foods CFO Discusses Raising Prices

The chief financial officer of Kraft Foods said during a recent conference call with investors that higher commodity costs have led to elevated prices on the company's products, reports The Associated Press.

According to the news source,

The chief financial officer of Kraft Foods said during a recent conference call with investors that higher commodity costs have led to elevated prices on the company's products, reports The Associated Press.

According to the news source, CFO Dave Brearton reported the company's third-quarter net income spiked 22 percent with the higher prices helping to offset increased costs. He added that Kraft will likely raise more prices in the fourth quarter and potentially next year.

"If you look year-over-year we would still expect to see a cost increase in the fourth quarter and as you look at the full list of potential cost increases including packaging, energy, transportation and more secondary ingredients, as we sit here today, we would still see costs up again next year," Brearton explained.

The Chicago Tribune reported the company's sales grew 11.5 percent to $13.23 billion during the third quarter, with the strongest performance coming from products like its Velveeta Cheesy Skillet meals and Lunchables featuring fruit, which were introduced in February.  

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