Kraft Heinz brings back his former CFO in search of a turnaround plan



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Kraft Heinz Co. uses former chief financial officer Paulo Basilio to blame his role as the packaged food company seeks to rebuild its declining business.

The CEO, Miguel Patricio, who took office at the summit in July, "made the strategic decision to move to a veteran veteran," the company said in a document. Basilio, 44, will take up his post on 1 September. The current CFO, David Knopf, will return to 3G Capital, the private equity firm that has partnered with Berkshire Hathaway Inc. to design the 2015 merger that gave birth to Kraft Heinz.

Knopf, who previously worked at Goldman Sachs, was 29 when he was appointed CFO at Kraft Heinz in 2017.

Patricio has a big rib to climb to revolve around the company, whose shares are still shocked by a $ 15.4 billion reduction in the value of its brands earlier this year. Internal investigations also revealed accounting problems that led the company to restate its results over several years, and it received a subpoena. And just on Friday, S & P Global Ratings said it could downgrade Kraft Heinz to an unwanted credit rating by mid-2021 when it was unable to reduce its level of credit. ; debt.

In a phone call with investors earlier this month, the Kraft Heinz share fell sharply after Patricio refused to offer the company's performance forecasts. He promised a broad review of the company and said that Kraft Heinz needed a long-term plan.

"We do not consider the CFO transition as surprising given the erosion of investor confidence, multiple charges for depreciation and tedious accounting surveys," commented John Baumgartner, an analyst at Wells Fargo in a note of research. "It's now the right time for a reset."

Shares of Kraft Heinz rose less than 1% to 25.55 dollars Monday in New York.

The company, which shares its headquarters between Chicago and Pittsburgh, has also appointed Nina Barton as Director of Growth. Barton has been President of Canada and Digital Growth.

–Bloomberg News

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