The former CEO of the Kellogg Co. has been tapped to lead Kraft Heinz as it prepares to split into two companies.
Kraft Heinz said Tuesday that Steve Cahillane will serve as CEO starting Jan. 1. Once Kraft Heinz becomes two companies – which is expected to happen in the second half of next year – Cahillane will become the CEO of what is currently called Global Taste Elevation Co. That company will house some of Kraft Heinz’s biggest sellers, including Kraft Mac & Cheese, Philadelphia cream cheese and Heinz.
“Like millions of people around the world, I have a deeply personal connection to the Kraft Heinz brands, dating back to my childhood,” Cahillane said in a statement. “I’ve devoted my entire career to building brands, and the opportunity to do the same with Kraft Heinz’s iconic portfolio is a dream come true.”
The remaining company, dubbed North American Grocery Co., will include slower-selling brands like Maxwell House, Oscar Mayer, Kraft Singles and Lunchables. Kraft Heinz hasn’t yet named a CEO of that company.
Kraft Heinz said Carlos Abrams-Rivera, who has been its CEO since January 2024, will serve as an adviser to the company until March 2026.
Kraft Heinz announced in September that it would split into two companies a decade after a merger of the brands created one of the biggest food manufacturers on the planet.
Kraft Heinz said the separation would make it more agile and able to focus resources on products with the most growth potential.
Kraft Heinz and other packaged food companies have struggled as consumers shift away from the kinds of highly processed packaged foods that they sell, like Velveeta cheese and Kool-Aid. The push to remove artificial flavors and dyes added further costs.
Big food companies have also had trouble distinguishing their products from cheaper store brands.
Cahillane presided over a similar breakup at Kellogg Co. in 2023. He served as CEO of Kellanova — which housed popular brands like Cheez-Its, Pringles and Pop-Tarts — until it was acquired last year by M&M’s maker Mars Inc. The remaining company, cereal maker WK Kellogg Co., was acquired by Italian confectioner Ferrero in July.
Before joining Kellogg in 2017, Cahillane had executive roles at The Nature’s Bounty Co., Coca-Cola Co. and AB InBev.
Kraft Heinz board Chairman Miguel Patricio said Cahillane is “uniquely qualified” to lead the company.
“His track record and experience in the industry are unparalleled and will be invaluable as we embark on this next chapter,” Patricio said in a statement.
Kraft Heinz shares were flat in midday trading Tuesday.
By DEE-ANN DURBIN
AP Business Writer
