Baking & Snack - April 2005 - 11

Kerwin Brown takes
BEMA helm
BEMA, the baking industry
suppliers association, Wilmette, IL, appointed Kerwin
Brown as its new president and
c.e.o., effective April 11.
"We are very pleased to
have Kerwin Brown on board
as BEMA's new president and
c.e.o. I am confident that he will
contribute significant value to our organization, particularly in strengthening BEMA's
relationship with the baker community,
thanks to his former position in the supplier segment of our industry," said Richard
I. Hoskins III, chairman of BEMA's board of
directors. "I look forward to working with
him in his new role at BEMA."
Mr. Brown succeeds current president and
c.e.o., Robert O. Hirsch, who resigned from
BEMA in November 2004. Mr. Hirsch noted:
"For the past five years, I have worked with
Kerwin as a member of the Conventions and
Programs Committee to plan the Winter

Summit and Annual Convention.
He is very knowledgeable about
the association and the baking industry. I look forward to assisting
Kerwin as BEMA transitions to a
new chief staff executive."
Until his appointment to
BEMA's helm, Mr. Brown served
as marketing/communications
manager at Shick USA, Kansas City, MO. He
joined Shick's staff in 1989 as special projects manager and went on to establish the
company's marketing department.
Dennis Gunnell, head of BEMA's search
committee said, "We welcome Kerwin to
the post of president and c.e.o. of BEMA. He
brings solid industry experience, excellent
relationships and creativity to our organization. The search produced a number of
excellent individuals from both within the
industry and outside, and Kerwin rose above
all of them. He clearly showed the leadership
skills we were seeking."

Kellogg to bargain
over plan to close plants
The Kellogg Company, Battle Creek, MI,
said it will commence negotiations with
labor representatives over a plan to close
Keebler baking plants in Macon, GA, and
Des Plaines, IL.
The company will bargain over the proposed
closings with the
Bakery, Confectionery,
Tobacco Workers and
Grain Millers International Union and
the International Brotherhood of Teamsters, the unions that represent the hourly
employees at the respective facilities.
"We are committed to continual improvement," said Brad Davidson, president
of US Snacks at Kellogg. "Our snacks business achieved solid growth in 2004. This

initiative would provide the increased efficiency necessary to support future growth
in today's competitive environment."
Kellogg estimated up-front costs of $120
million in connection with the closings.
While raising its 2005
corporate "up-front
costs" to 15c per share
on the common stock,
up from its previous
guidance of 8c to 10c, Kellogg reaffirmed
its earnings guidance of $2.28 to $2.32.
The company also projected first earnings growth will be up at a "mid-teens rate"
from 2004. "The strong business momentum we posted during 2004 has continued
into 2005," said James Jenness, Kellogg
chairman and c.e.o.

Changes abound at
Natural Ovens Bakery
Natural Ovens Bakery, Manitowoc, WI, is
closing its Valparaiso, IN, plant and will
transfer production back to the Manitowoc facility.
Company officials said that Natural Ovens has struggled with consumer trends that
have negatively impacted sales but that they
hope that the Valparaiso plant will one day
be back in operation.
Also changing at the company is its
leadership. Owners Paul and Barbara Stitt
are handing off the task of day-to-day
management to the senior management
team. The Stitts will remain involved in the
company by offering perspective, promoting products and speaking about healthy
food choices. They will also remain the
company's owners.

Weston reconfigures
manufacturing
company
George Weston Ltd., Toronto, ON, announced that Interbake Foods, LLC, Richmond, VA, will close its Elizabeth, NJ, and
Richmond, VA, bakeries over the next 12 to
18 months.
Production will be relocated to a new
bakery in Front Royal, VA, and into another Interbake facility already operating in
North Sioux City, SD.

Ray Baxter, president and c.e.o. of Interbake Foods said that the bakeries are both
more than seventy years old and are no
longer cost competitive. In today's baked
goods industry, he said, modern assets are
a requirement for success.
The reconfiguration of the manufacturing capacity is a hard decision, but necessary to ensure the long-term health and
competitiveness of the company, he said.

April 2005 / BAKING & SNACK / 13

Baking & Snack - April 2005

Table of Contents for the Digital Edition of Baking & Snack - April 2005