QUAKER MAY JOIN COMPETITION ON COST-CUTTING BANDWAGON.Byline: Cliff Edwards Cliff Edwards (14 June, 1895 - 17 July, 1971), also known as "Ukelele Ike", was an American singer and musician who enjoyed considerable popularity in the 1920s and early 1930s, specializing in jazzy renditions of pop standards and novelty tunes. Associated Press Associated Press: see news agency. Associated Press (AP) Cooperative news agency, the oldest and largest in the U.S. and long the largest in the world. The cereal-aisle scuffle is turning into an all-out food fight. Quaker Oats Co. said Monday it is mulling cutting prices on some of its cereals, which include Cap'N Crunch Cap'n Crunch - Captain Crunch , Quaker Toasted Oatmeal and Life cereals. Rivals Kellogg and Post Cereals Post Cereals, formerly Postum Cereals was founded by C. W. Post. It began in 1895 with the first Postum, a "cereal beverage", developed by Post in Battle Creek, Michigan. The first cereal, Grape-Nuts, was developed in 1897. already have cut prices, and analysts say Quaker, the fourth biggest cereal company, and No. 2 General Mills  This article or section may contain a proseline.Please help [ convert this timeline] into prose or, if necessary, a . have little choice but to keep up. ``I think it's a done deal,'' CS First Boston First Boston Corporation was a New York-based investment bank, founded in 1932 and acquired by Credit Suisse in 1988, when it became 'CS First Boston'. Globally referred to as Credit Suisse First Boston after 1996, the First Boston part of the name was phased out in 2006. food analyst Michael Mouboussin said. ``I think the industry has gone through a couple of years of cost reductions and capacity reductions and (is) now listening to consumers and what they want: lower prices.'' Quaker spokesman Ron Bottrell would not say when the company plans to make a final decision on cutting prices. ``For now, we're just simply looking at the competitive situation,'' he said. Bottrell said that Quaker's boxed cereals already were cheaper than competitors on a price-per-pound basis, but that its market share had slipped since No. 3 Post reduced costs of Post and Nabisco brands. The Chicago-based company normally controls about 8 percent of the market. A General Mills spokesman did not immediately return a call seeking comment. Mouboussin said General Mills began the price-cutting trend two years ago on Cheerios, Wheaties and other cereals. Other cereal makers refused to follow then, but now are making even sharper cuts while phasing out discounting and realigning coupon strategies. Kellogg, the nation's leading cereal company and maker of such brands as Frosted Flakes “Frosties” redirects here. For the cola-flavored hard candy, see Frosties (candy). Frosted Flakes (North American countries) or Frosties (UK, Commonwealth of Nations and EU countries) is a cereal similar to Corn Flakes from Kellogg's, but coated with , Raisin Bran and Froot Loops, jumped into the fray last week, announcing it was cutting prices on 16 popular brands by an average of 19 percent. Since Post's price cuts were announced April 15, Kellogg's market share dropped nearly 4 percentage points to about 32.5 percent, said Thomas A. Knowlton, president of Kellogg North America. Post gained about 4 points, to 20 percent. Ralcorp, a St. Louis maker of Chex cereals, said it will cut about 100 positions and $25 million to $30 million in costs at its Ralston Foods cereal and snack unit. The company said recent dramatic changes in cereal prices have hurt overall profits. Quaker shares rose 12-1/2 cents Monday to $36.37-1/2; General Mills shares rose 25 cents to $54.37-1/2. |
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