Kellogg's Irish operation suffers 57pc profit plunge
The main Irish subsidiary of cereal giant Kellogg last year sustained a 57pc drop in pre-tax profits to €7.3m.
Accounts just returned to the Companies Office show the US-owned Kellogg Europe Trading sustained the decline in profits as revenues decreased by 6pc, or €94m, from €1.59bn to €1.49bn in the year to January 2, 2010.
The company produces some of the world's best-known cereal brands, including Corn Flakes, Coco Pops, All-Bran, Rice Krispies and Special K.
The accounts show the Dublin-based company paid an interim dividend of €23.4m during the year -- the payment reduced the company's accumulated profits to €7m at year-end.
The filings show the company's operating profits dropped by 7pc to €98m.
However, the operating profits were hit by interest payments totalling €91m and this followed interest payments on group undertakings of €90m in 2008.
The main activity of the company is the production and marketing of ready-to-eat cereals in Europe, the Middle East and Africa, while affiliated enterprises act as manufacturers and as local market distributors.
Kellogg established its Irish base in Swords, Co Dublin, in 2004.
The directors claim turnover for the financial year was satisfactory. They state: "Gross profit and administrative expenses were in line with expectations."