Kraft Heinz pauses split as new CEO says problems are ‘fixable’

Group 1 - Kraft Heinz announced a reversal of its plan to split into two businesses, which was initially proposed five months ago, effectively undoing part of the $46 billion merger that created the company [3][5] - The split was intended to separate the company into a business focused on sauces and shelf-stable meals and another on slower-growing grocery staples [4] - The decision to halt the breakup comes amid declining sales as consumers shift towards healthier food options, compounded by inflation and the impact of weight loss drugs [5][6] Group 2 - New CEO Steve Cahillane, who previously oversaw successful separations in other companies, is now focusing on turning around Kraft Heinz's performance and has committed over $600 million to marketing, sales, and product development [6][7] - The company aims to improve product quality and potentially lower prices as part of its strategy to return to profitable growth [7] - The chairman of Kraft Heinz expressed confidence in the decision to pause the separation and focus on growth initiatives [7]