Kraft Heinz replaced its chief executive, Bernardo Hees, with InBev’s Anheuser-Busch veteran, Miguel Patricio, changing leadership after years of cost cuts that hurt some of its biggest brands.
The announcement follows a cut in dividend payments from the company to investors, after lowering the value of Kraft, Oscar Mayer and other assets by more than US $15 billion in February.
The company also faces an investigation by the US Securities and Exchange Commission regarding its accounting practices.
The market commissioners applauded the measure as a change of strategy, taking the company’s shares to a 1% increase.
In an interview published on Monday, the Wall Street Journal quoted Patricio as saying he planned to change ketchup maker Heinz’s strategy to a new direction, after a campaign of cuts weakened his brands in the fight for shelve space in stores”It’s a new cycle for the company, I bring a very different track record for the company and for the team,” Patricio told Wall Street.
Kraft Heinz shares have split in half since two of the largest food and beverage producers in the United States, Kraft Foods and the giant sauces Heinz, joined in 2015.
Patricio takes office in July after spending two decades at Anheuser-Busch, most recently as head of global marketing at the brewery. Prior to AB InBev, Patricio also worked in a number of large producers of consumer goods, including Philip Morris, Coca-Cola and Johnson & Johnson.