Kellogg Reports 1Q Earnings Drop
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BATTLE CREEK, Mich. (AP) _ Kellogg Co. said Thursday its earnings fell in the first quarter but still met Wall Street expectations.
The cereal maker earned $84.1 million, or 21 cents per share, in the January-March period, down from $161.7 million, or 40 cents a share, a year ago.
The results were depressed by costs of an ongoing restructuring, for absorbing Keebler Foods Co. and for paying off debts.
Without the charges, Kellogg earned $122.8 million or 30 cents per share, for the period. That matched what analysts surveyed by Thomson Financial/First Call had expected.
In afternoon trading on the New York Stock Exchange, Kellogg shares were up 40 cents at $25.87.
Sales dipped to $1.71 billion from $1.75 billion a year ago. But Kellogg said sales would have grown without the impact of weakening foreign currencies.
The company said it had charges of $48.3 million for restructuring and the acquisition of Elmhurst, Ill.-based cookie and cracker maker Keebler, $7.4 million for retiring long-term debt and $1 million for an accounting change.
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