Premier Foods set to double marketing expenditure for Power Brands during 2012
Premier Foods is set to double its marketing investment in brands such as Oxo, Mr Kipling and Hovis, having seen a sales decline across the business of 3.4% in 2011. The company, announcing its full year results for last year, saw a decline in sales across Premier Foods brands, although it still generated a trading profit of £173.3m. The company’s net debt is also reported to be £995.1m as of the end of last year. In highlighting its growth strategy for 2012, aligned with the ‘Best in British Food’ message, Premier Foods has said that it plans to double its investment into marketing its eight Power Brands this year, followed by ‘sustainable increase’ for subsequent years. Michael Clarke, CEO of Premier Foods, said: "I'm delighted that we have been able to reach a positive outcome with our banking and pension scheme partners. The consent for this re-financing package represents a strong sign of confidence and support for the business, its strategies and growth plans. This is great news for our employees and all of our stakeholders."