EXPENDITURE STRATEGY - CADBURY SCHWEPPES

1. Cadbury Schweppes Plc, the world's biggest candy company, plans to cut 7,500 jobs and sell the U.S. drinks unit that makes Dr Pepper and 7-Up to shore up profit and raise funds for expansion. The job cuts will help increase profit margins from about 10 percent to the “mid teens” by 2011.
2. It may auction the division, pushing the price above the rumored 8 billion pounds
3. Its sale of the drinks unit would result in a return of capital to shareholders.
4. It plans to close about 15 percent of its confectionery factories.
5. It sold its European soft-drinks division to buyout firms Blackstone and Lion Capital LLP last year for $2.2 billion.
6. It will split its Europe, Middle East and Africa unit and move out of its headquarters in London's Mayfair district to improve profitability.
7. It set aside money to pay an impairment charge following an accounting scandal at its Nigerian unit.
8. It will spend about £450m in a one-off charge for the reorganization. It will rename itself simply Cadbury after the sale of the drinks unit.

If you take care of the pennies the pounds will take care of themselves?

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