±±¾©Èü³µpk10

The Kellogg Company of Great Britain is the UK arm of the American

multinational Kellogg Company.

Kellogg is the world's leading producer of ready-to-eat cereal and a

leading producer of grain based convenience foods including toaster

pastries, frozen waffles, cereal bars and bagels.

Globally, the company leads the ready-to-eat cereals category with a 38%

share of worldwide sales. In Europe, sales share stands at 43%.

The UK is Kellogg's largest market outside the US, where net sales for

2000 were £456.2m.

The UK operation was first established in 1924, selling Corn Flakes and

All-Bran imported from Canada.

The first UK factory opened in 1938. Kellogg products are manufactured

in 19 countries on six continents and distributed in more than 160

countries.

In October last year, Kellogg launched an adult variant of Crunchy Nut

Corn Flakes called Crunchy Nut Red. The cereal features yoghurt

flavoured coated flakes and cranberries. A TV ad campaign for the brand

is running currently.

Much of Kellogg's recent NPD activity has been outside the declining

cereals market. In April 2001 it launched a To Go Twinpot for people who

skip breakfast at home. It was followed in May by the launch of Real

Fruit Winders, a snack product aimed at children in three flavours:

strawberry, orange and blackcurrant. Packaging and online activity for

the brand centred on the creation of 'collectible' cartoon-fruit

characters.In August 2001, the convenience food range was further

boosted by the addition of a Special K bar.

Recent campaigns have included ads for Frosties cereal. They back a

national promotion 'Growl for a grand', that asks viewers to phone in

with impressions of a tiger. The best entry each day wins £1000.

Over the past two years, the company has courted controversy from food

nutritionists and ad regulators with a TV-led ad campaign encouraging

women to start a cereal-only two-week diet.

In December of last year Kellogg also signed its biggest ever sports

sponsorship deal, linking the Nutri-Grain brand with the Rugby Football

League's Challenge Cup.

European sales $1463m

(£1026m)

US sales $4067m

(£2853m)

European operating profit $235m

(£165m)

US operating profit $746m

(£523m)

Employees 15,196

(Figures for year to 31 Dec 2001)

Advertising agencies

J Walter Thompson, Leo Burnett

Media agency

MindShare

Adspend (year to Dec 2001)

TV £34,815,972

Press £5,319,852

Outdoor £598,252

Radio £1,145,837

Direct mail £888,660

Total £42,768,573

Source: ACNielsen MMS

Top 10 brands supported by adspend in 2001

Corn Flakes £6.22m

Cereal range £5.66m

Crunchy Nut Cornflakes £4.35m

Special K £4.06m

Fruit & Fibre £3.70m

Frosties £2.58m

Winders £2.13m

Nutri-Grain £2.13m

Special K Range £1.61m

Crunchy Nut Red £1.33m

Source: ACNielsen MMS

UK headquarters

The Kellogg Building, Talbot Road, Manchester, M16 OPU

Tel: 0161 869 2000

Fax: 0161 869 2100

Web site: www.kelloggs.co.uk