Ralcorp Holdings Inc., St. Louis, has initiated a strategic restructuring of its business “to improve organizational effectiveness and reduce costs.” As part of the effort, the company will consolidate its cereal, pasta and snacks, sauces and spreads businesses into a single center-store, private-brand food company. Ralcorp says the initiative should generate annual pre-tax cost savings of approximately $26 million to $31 million in fiscal 2013. The savings will be incremental to the company’s ongoing accelerated cost-reduction programs.
The strategic restructuring is expected to be complete by fiscal 2014.