Now it is about ten years after I left Cadbury. I still got calls from headhunting companies asking me if I was still the Greater China Learning and Development Manager for Cadbury.
Type Subsidiary of Kraft Foods
Headquarters Uxbridge, London, United Kingdom
Products See list of Cadbury products
Revenue GB£5,384 million (2008)
Operating income GB£388 million (2008)
Net income GB£364 million (2008)
Employees 71,657 (2008)
Parent Kraft Foods
Cadbury plc was a British confectionery company, the industry's second-largest
globally after the combined Mars-Wrigley. Headquartered in Cadbury House in the
Uxbridge Business Park in Uxbridge, London Borough of Hillingdon, England and
formerly listed on the London Stock Exchange, Cadbury was acquired by Kraft
Foods in February 2010. The company was an ever-present constituent of the FTSE
100 from the index's 1984 inception until its 2010 takeover.
The firm was known as "Cadbury Schweppes plc" from 1969 until a May 2008 demerger, which saw the separation of its global confectionery business from its U.S. beverage unit, which has been renamed Dr Pepper Snapple Group Inc.
Cadbury Early history
In 1824, John Cadbury began selling tea, coffee, and drinking chocolate, which he produced himself, at Bull Street in Birmingham, England. John Cadbury later moved into the production of a variety of Cocoas and Drinking Chocolates being manufactured from a factory in Bridge Street, supplying mainly to the wealthy due to the high cost of manufacture at this time. During this time a partnership was struck between John Cadbury and his brother Benjamin. At this time the company was known as 'Cadbury Brothers of Birmingham'.
The two brothers opened an office in London and in 1854 received the Royal Warrant as manufacturers of chocolate and cocoa to Queen Victoria. Around this time in the 1850s the industry received a much needed boost with the reduction in high import taxes on cocoa; this allowed chocolate to become more affordable to everyone.
Due to the popularity of a new expanded product line, including the very popular Cadbury's Cocoa Essence, the company's success led to the decision in 1873 to cease the trading of tea. Around this time, master confectioner Frederic Kinchelman was appointed to share his recipe and production secrets with Cadbury, which led to an assortment of various chocolate covered items.
Having taken over the business in 1861, John Cadbury's sons Richard and George decided in 1878 that they needed to find new premises. Requiring better transport access for milk that was inward shipped by canal, and cocoa that was brought in by rail from London, Southampton and Liverpool docks, the Cadbury's started looking for a new greenfield site. Noticing the development of the Birmingham West Suburban Railway south along the path of the Worcester and Birmingham Canal, in 1878 they acquired the Bournbrook estate, comprising 14.5 acres (5.9 ha) of countryside 5 miles (8.0 km) south of the outskirts of Birmingham. Located right next to the new Stirchley Road railway station, itself directly opposite the canal, they renamed the Bournbrook estate to Bournville and opened the Bournville factory in 1879.
In 1893, George Cadbury bought 120 acres (49 ha) of land close to the works and planned, at his own expense, a model village which would 'alleviate the evils of modern more cramped living conditions'. By 1900 the estate included 313 cottages and houses set on 330 acres (130 ha) of land. As the Cadbury family were Quakers there were no pubs in the estate; in fact, it was their Quaker beliefs that first led them to sell tea, coffee and cocoa as alternatives to alcohol.
The history of the company, from its origins up to modern times, has been charted in the recent book by John Bradley
Cadbury 1900 to 1950s
Somerdale Factory from 1919 merger with Fry'sIn 1905, Cadbury's launched its Dairy Milk bar, with a higher proportion of milk than previous chocolate bars, and it became the company's best selling product by 1913. Fruit and Nut was introduced as part of the Dairy Milk line in 1928, soon followed by Whole Nut in 1933. By this point, Cadbury's was the brand leader in the United Kingdom. These were accompanied by several other products: Flake (1920), Cream-filled eggs (1923), Crunchie (1929) and Roses (1938). Cadbury's Milk Tray was first produced in 1915 and continued in production throughout the remainder of the First World War. More than 2,000 of Cadbury's male employees joined the Armed Forces and to support the war effort, Cadbury provided clothing, books and chocolate to soldiers. After the war, the Bournville factory was redeveloped and mass production began in earnest. In 1918, Cadbury opened their first overseas factory in Hobart, Tasmania and in 1919 undertook a merger with J. S. Fry & Sons, another chocolate manufacturer which saw the integration of well-known brands such as Fry's Chocolate Cream and Fry's Turkish Delight. During World War II, parts of the Bournville factory were turned over to war work, producing milling machines and seats for fighter aircraft. Workers ploughed football fields in which to plant crops. As chocolate was regarded as an essential food it was placed under government supervision for the entire war. The wartime rationing of chocolate ended in 1949, and normal production resumed. Cadbury subsequently built new factories and had an increasing demand for their products.
Cadbury Merger with Schweppes
The Cadbury Schweppes logo used until the demerger in 2008Cadbury merged with drinks company Schweppes to form Cadbury Schweppes in 1969.
Cadbury Schweppes went on to acquire Sunkist, Canada Dry, Typhoo Tea and more. In the US, Schweppes Beverages was created and the manufacture of Cadbury confectionery brands were licensed to Hershey's.
Snapple, Mistic and Stewart's (formerly Cable Car Beverage) were sold by Triarc to Cadbury Schweppes in 2000 for $1.45 billion. In October of that same year, Cadbury Schweppes purchased Royal Crown from Triarc.
In March 2007, it was revealed that Cadbury Schweppes was planning to split its business into two separate entities: one focusing on its main chocolate and confectionery market; the other on its US drinks business. The demerger took effect on 2 May 2008, with the drinks business becoming Dr. Pepper Snapple Group Inc. In December 2008 it was announced that Cadbury was to sell its Australian beverage unit to Asahi Breweries.
Cadbury Recent developments
In October 2007, Cadbury announced the closure of the Somerdale Factory, Keynsham, formerly part of Fry's. Between 500 and 700 jobs were affected by this change. Production transferred to other plants in England and Poland.
In 2008 Monkhill Confectionery, the Own Label trading division of Cadbury Trebor Bassett was sold to Tangerine Confectionery for £58million cash. This sale included factories at Pontefract, Cleckheaton and York and a distribution centre near Chesterfield, and the transfer of around 800 employees.
In mid-2009 Cadbury replaced some of the cocoa butter in their non-UK chocolate products with palm oil. Despite stating this was a response to consumer demand to improve taste and texture, there was no "new improved recipe" claim placed on New Zealand labels. Consumer backlash was significant from environmentalists and chocolate lovers. By August 2009, the company announced that it was reverting to the use of cocoa butter in New Zealand. In addition, they would source cocoa beans through Fair Trade channels. In January 2010 prospective buyer Kraft pledged to honour Cadbury's commitment.
Cadbury Kraft buyout
On 7 September 2009 Kraft Foods made a £10.2 billion (US$16.2 billion)
indicative takeover bid for Cadbury. The offer was rejected, with Cadbury
stating that it undervalued the company. Kraft launched a formal, hostile bid
for Cadbury valuing the firm at £9.8 billion on 9 November 2009. Business
Secretary Peter Mandelson warned Kraft not to try to "make a quick buck" from
the acquisition of Cadbury. On 19 January 2010, it was announced that Cadbury
and Kraft Foods had reached a deal and that Kraft would purchase Cadbury for
£8.40 per share, valuing Cadbury at £11.5bn (US$18.9bn). Kraft, which issued a
statement stating that the deal will create a "global confectionery leader", had
to borrow £7 billion (US$11.5bn) in order to finance the takeover.
The Hershey Company, based in Pennsylvania, manufactures and distributes Cadbury-branded chocolate (but not its other confectionery) in the United States and has been reported to share Cadbury's "ethos". Hershey had expressed an interest in buying Cadbury because it would broaden its access to faster-growing international markets. But on 22 January 2010, Hershey announced that it would not counter Kraft's final offer.
The acquisition of Cadbury faced widespread disapproval from the British public, as well as groups and organisations including trade union Unite, who fought against the acquisition of the company which, according to Prime Minister Gordon Brown, was very important to the British economy. Unite estimated that a takeover by Kraft could put 30,000 jobs "at risk", and UK shareholders protested over the Mergers and Acquisitions advisory fees charged by banks. Cadbury's M&A advisers were UBS, Goldman Sachs and Morgan Stanley. Controversially, RBS, a bank 84% owned by the United Kingdom Government funded the Kraft takeover.
On 2 February 2010, Kraft secured over 71% of Cadbury's shares thus finalising the deal. Kraft had needed to reach 75% of the shares in order to be able to delist Cadbury from the stock market and fully integrate it as part of Kraft. This was achieved on 5 February 2010, and the company announced that Cadbury shares would be de-listed on 8 March 2010.
On 3 February 2010, the Chairman Roger Carr, chief executive Todd Stitzer and chief financial officer Andrew Bonfield all announced their resignations. Stitzer had worked at the company for 27 years.
On 9 February 2010, Kraft announced that they were planning to close the Somerdale Factory, Keynsham, with the loss of 400 jobs. The management explained that existing plans to move production to Poland were too advanced to be realistically reversed, though assurances had been given regarding sustaining the plant. Staff at Keynsham criticised this move, suggesting that they felt betrayed and as if they have been "sacked twice.". On 22 April 2010, Phil Rumbol, the man behind the famous Gorilla advertisement, is planning to leave the Cadbury company in July following Kraft's takeover.
In June 2010 the Polish division, Cadbury-Wedel was sold to Lotte of Japan. The European Commission made the sale a condition of the Kraft takeover. As part of the deal Kraft will keep the Cadbury, Hall's and other brands along with two plants in Skarbimierz. Lotte will take over the plant in Warsaw along with the E Wedel brand.
Cadbury United Kingdom
Main article: Cadbury UK
Cadbury plc also owns Trebor Bassett, Fry's, Maynards and Halls. The confectionery business in the UK is called Cadbury UK (formerly Cadbury Trebor Bassett) and, as of August 2004, had eight factories and 3,000 staff in the UK. Biscuits bearing the Cadbury brand, such as Cadbury Fingers, are produced under licence by Burton's Foods. Ice cream based on Cadbury products, like 99 Flake, is made under licence by Frederick's Dairies. Cadbury cakes and chocolate spread are manufactured under licence by Premier Foods, but the cakes were originally part of Cadbury Foods Ltd with factories at Blackpole in Worcester and Moreton on the Wirral with distribution depots throughout the UK.
Main article: Cadbury Ireland
Cadbury Ireland Limited is a confectionery company in Ireland based in Coolock in Dublin. Cadbury's opened their first Irish factory in Ossary RD., Dublin in 1933. More than €250 million worth of Cadbury chocolate is produced in Ireland, is exported every year, bringing Ireland valuable earnings from abroad.
Cadbury United States
Main article: Cadbury Adams
Cadbury plc's presence in the States consists of the confectionery unit Cadbury Adams, manufacturers of gum and mints but not chocolate. Cadbury merged with Peter Paul in 1978. Ten years later Hershey's acquired the chocolate business from Cadbury's. Accordingly, although the Cadbury group's chocolate products have been sold in the US since 1988 under the Cadbury name, the chocolate itself has been manufactured by Hershey's and can be found in Hershey's chocolate stores. Prior to the May 2008 demerger, the North American business also contained beverage unit Cadbury Schweppes Americas Beverages. In 1982, Cadbury Schweppes purchased the Duffy-Mott Company.
Cadbury Australia and New Zealand
On 27 February 2009 the confectionery and beverages businesses of Cadbury Schweppes Pty Ltd in Australia were formally separated and the beverages business began operating as Schweppes Australia Pty Ltd. In April 2009, Schweppes Australia was acquired by Asahi Breweries.
Cadbury also operate three Australian confectionery factories as well as one in New Zealand; two in Melbourne, Victoria (Ringwood and Scoresby), one in Hobart, Tasmania (Claremont), and one in Dunedin, New Zealand. The Claremont factory was once a popular tourist attraction and operated daily tours; however, the factory ceased running full tours mid-2008, citing health and safety reasons. Cadbury has been upgrading its manufacturing facility at Claremont, Tasmania, Australia, since 2001
Cadbury began its operations in India in 1948 by importing chocolates. It now has manufacturing facilities in Thane, Induri (Pune) and Malanpur (Gwalior), Bangalore and Baddi (Himachal Pradesh) and sales offices in New Delhi, Mumbai, Kolkata and Chennai. The corporate head office is in Mumbai. Since 1965 Cadbury has also pioneered the development of cocoa cultivation in India. For over two decades, Cadbury has worked with the Kerala Agriculture University to undertake cocoa research.
Cadbury Executive compensation
In 2008 Todd Stitzer, Cadbury's CEO, was paid a £2,665,000 bonus. Combined with his annual salary of £985,000 and other payments of £448,000 this gives a total remuneration of over £4 million.
In July 2007, Cadbury Schweppes announced that it would be outsourcing its transactional accounting and order capture functions to Shared Business Services (SBS) centres run by a company called Genpact, (a businesses services provider) in India, China, and Romania. This was to affect all business units and be associated with U.S. and UK functions being transferred to India by the end of 2007, with all units transferred by mid-2009. Depending on the success of this move, other accounting Human Resources functions may follow. This development is likely to lead to the loss of several hundred jobs worldwide, but also to several hundred jobs being created, at lower salaries commensurate with wages paid in developing countries.
Main article: List of Cadbury products
Cadbury plc manufactures chocolates and sweets such as the popular Cadbury Dairy Milk.
Notable product introductions include:
1865: Cocoa Essence
1875: Easter Eggs
1897: Milk Chocolate
1897: Cadbury Fingers
1905: Dairy Milk
1908: Bournville Chocolate
1915: Milk Tray
1923: Creme Egg
1960: Dairy Milk Buttons
1970: Curly Wurly
1983: Wispa (relaunched 2007)
1992: Time Out
2001: Brunch Bar, Dream and Snowflake
2010: Cadbury dairy milk silk (richer, finer milk chocolate), Wispa Gold and Bliss
Cadbury Health and safety
Cadbury 2006 Salmonella scare
On 19 January 2006, Cadbury Schweppes detected a rare strain of the Salmonella bacteria, affecting seven of its products, said to have been caused by a leaking pipe. The leak occurred at its Marlbrook plant, in Herefordshire, which produces chocolate crumb mixture; the mixture is then transported to factories at Bournville and Somerdale to be turned into milk chocolate.
Cadbury Schweppes officially notified the Food Standards Agency, shortly after which it recalled more than a million chocolate bars.
In December 2006, the company announced that the cost of dealing with the contamination would reach £30 million.
In April 2007, Birmingham City Council announced that it would be prosecuting Cadbury Schweppes in relation to three alleged offences of breaching health and safety legislation. An investigation being carried out at that time by Herefordshire Council led to a further six charges being brought. The company pleaded guilty to all nine charges, and was fined 1 million pounds at Birmingham Crown Court—the sentencing of both cases was brought together. Analysts have said the fine is not material to the group, with mitigating factors limiting the fine being that the company quickly admitted its guilt and said it had been mistaken that the infection did not pose a threat to health.
Cadbury 2007 recalls
On 10 February 2007, Cadbury announced they would be recalling a range of products due to a labelling error. The products were produced in a factory handling nuts, potential allergens, but this was not made clear on the packaging. As a precaution, all items were recalled.
On 14 September 2007, Cadbury Schweppes investigated a manufacturing error over allergy warning, recalling for the second time in two years thousands of chocolate bars. A Printing mistake at Somerdale Factory resulted in the omission of tree nut allergy labels from 250 g Dairy Milk Double Chocolate bars.
On 29 September 2008 Cadbury withdrew all of its 11 chocolate products made in its three Beijing factories, on suspicion of contamination with melamine. The recall affected the mainland China markets, Taiwan, Hong Kong and Australia. Products recalled included Dark Chocolate, a number of products in the 'Dairy Milk' range and Chocolate Éclairs.
Cadbury 2009 Hydrogenation
Cadbury continues to use hydrogenated oils in many of its signature products. Although trans fats are present, the nutrition labels round the values down to zero.
Cadbury Head office
Cadbury's head office is the Cadbury House in the Uxbridge Business Park in
Uxbridge, London Borough of Hillingdon, England The Cadbury occupies 84,000
square feet (7,800 m2) of space in its head office, which is Building 3 of the
business park. Cadbury, which leases space in the building it occupies, had
relocated from central London to its current head office.
Cadbury's previous head office was in 25 Berkeley Square in Mayfair, City of Westminster. In 1992 the company leased the space for £55 per 1 square foot (0.093 m2). In 2002 the company agreed to pay £68.75 per square foot. The Daily Telegraph reported in 2007 that the rent was expected to increase to a "three-figure sum." In 2007 Cadbury Schweppes had announced that it was moving to Uxbridge to cut costs. As of that year the head office had 200 employees.
资料来源：Wikipedia, the free encyclopedia
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