GENERAL MILLS HIKES PRICES : KELLOGG SHARES RISE ON NEWS MARKING END TO CEREAL WAR.Byline: Leslie Hillman Hillman was a famous British automobile marque, manufactured by the Rootes Group. It was based in Ryton-on-Dunsmore, near Coventry, England, from 1907 to 1976. Before 1907 the company had built bicycles. Bloomberg News Kellogg Co. shares rose 4.6 percent after rival General Mills  This article or section may contain a proseline.Please help [ convert this timeline] into prose or, if necessary, a . Inc. increased breakfast cereal breakfast cereal, a food made from grain, commonly eaten in the morning. The oldest type of cereal, known as porridge or gruel, requires cooking in water or milk. The modern breakfast cereals, however, are entirely precooked and eaten in cold milk. prices, signaling an end to a costly price war. Shares of Kellogg, the largest U.S. maker of breakfast cereals This is a list of breakfast cereals. Many cereals are trademarked brands of large companies such as Kellogg's, General Mills, Malt-O-Meal, Nestlé, The Quaker Oats Company, and Post Cereals, but similar equivalent products are often sold by other manufacturers and as store own , rose 4 to 91 on trading of 1 million, more than twice the three-month daily average. Earlier, the stock touched 92-7/8, a 52-week high. General Mills stock rose 2 7/16 to 68 3/16 on trading of 786,900, exceeding its three-month daily average of 440,600. Analysts said the move, meant to bolster earnings, still may backfire on the maker of Trix and Wheaties cereals because rivals such as Kellogg may not raise their prices immediately. Most of them can afford to keep the lower prices, letting them take more market share at General Mills' expense. ``They're in the cat-bird's seat,'' said SBC (1) (SBC Communications Inc., San Antonio, TX, www.sbc.com) A large, national telecommunications company that grew from a multitude of local and regional companies, including Southwestern Bell, Pacific Bell and Nevada Bell, into a single, unified brand by 2002. Warburg analyst Chris Jakubik. ``They can afford to hold back.'' Shares of other cereal makers also rose. Quaker Oats Co. rose 13/16 to 45 15/16 and Ralcorp Holdings Inc. rose 11/16 to 16-1/8. General Mills, the No. 2 U.S. cereal maker, made the announcement Wednesday after U.S. markets closed. The Minneapolis-based company said it needed to raise prices because its costs are rising. The price increase is effective immediately, and grocery stores have been notified. The price war started in April 1996, when Philip Morris Cos. slashed prices on its Post and Nabisco cereals by an average 20 percent. Two months later, Battle Creek Battle Creek, city (1990 pop. 53,540), Calhoun co., S Mich., at the confluence of the Kalamazoo and Battle Creek rivers; settled 1831, inc. as a city 1859. It is an agricultural trade center known for its cereals. , Michigan-based Kellogg cut its prices an average of 19 percent for 16 brands that accounted for two-thirds of its U.S. sales. |
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