By Tess Stynes
Kraft Foods Group Inc. said its board approved $16.2 million in
make-whole payments, plus additional bonuses, for executives
related to the packaged-food company's pending merger with H.J.
Heinz Co.
Kraft's board, with Heinz's consent, approved bonuses for
executives including $5 million for Chairman and Chief Executive
John Cahill, $1.5 million for General Counsel Kim Rucker and
$500,000 for Chief Financial Officer James Kehoe.
Mr. Cahill also will receive an estimated make-whole payment of
$11.1 million related to the pending deal, while Ms. Rucker will
get an estimated $3.1 million.
Kraft's merger with Heinz, which is owned by Brazilian
private-equity firm 3G Capital Partners LP, will create the
third-largest food and beverage company in North America. Kraft
shareholders are set to vote on the merger plan July 1.
Kraft--home to supermarket brands such as Oscar Mayer, Maxwell
House, and Velveeta--was spun off in 2012 from Mondelez
International Inc.
Write to Tess Stynes at tess.stynes@wsj.com
Corrections & Amplifications
Kraft approved $16.2 million in make-whole payments related to
the deal, plus bonus payments. An earlier version of this article
said the $16.2 million included bonus payments.
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