Kellogg has said that it expects shortages of its Eggo frozen waffles to continue through the first half of next year, as the US cereal giant looks to address production issues at its waffle bakeries.
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“We are experiencing temporary Eggo product supply constraints caused by a confluence of events – flooding at our Atlanta facility as well as equipment issues necessitating extensive enhancements and repairs at our largest waffle bakery facility,” Kellogg spokesperson Kris Charles told just-food.
“We are working around the clock to restore Eggo store inventories to normal levels as quickly as possible. In the meantime, we’re allocating available product to customers based on historical percentage of business,” she added.
According to Charles, store inventory shortfalls are expected to continue throughout the US into the first half of 2010.
While there will be an impact on the group’s earnings, Charles emphasised that this has already been refleted in the company’s guidance for fiscal 2009 and 2010.
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By GlobalDataDelivering its third quarter results at the end of last month, Kellogg raised guidance for 2009 internal operating profit growth to a range of 8-10%.
