HJ Heinz freezes above-the-line spending following £470m HP Foods acquisition

LONDON - HJ Heinz has suspended advertising following its acquisition of HP Foods in a £470m deal last month.

Heinz retains Leo Burnett and WCRS for advertising and Vizeum for its media planning and buying, and it was revealed yesterday that HP Foods has appointed Trevor Beattie's new agency Beattie McGuiness Bungay to its £6m ad account, after splitting with Mustoes.

Heinz will not be running any television or consumer print advertising for the foreseeable future, although it said it would retain its agency roster.

"Heinz has decided to freeze all above-the-line marketing spend while the company undertakes a complete strategic review after the completion of the HP acquisition announced last month. There is no impact on trade marketing investment as a result of this decision," Heinz said.

When it acquired HP Foods last month, Heinz said that the move was in line with its plan to focus more on its profitable sauces and condiments lines.

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