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Unite blasts Kraft U-turn on Cadbury plant closure

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Kraft has said the Cadbury site at Somerdale near Bristol will close as planned, despite having previously committed to keeping it in operation.

Maintaining the Somerdale site was part of the initial offer for Cadbury, but Kraft has now said that it will close by next year in line with existing plans and the loss of 400 jobs.

Jenny Formby, Unite national office for food and drink hit back at Kraft and called on the government to persuade the company to meet with workers’ representatives to get assurances over Cadbury jobs in the UK.

“Promises were made to the Somerdale workers which it seems Kraft had no intention of fulfilling, and which appear now to have been a cynical attempt to curry favour with the British public during what was an extremely unwelcome and unpopular takeover,” she said.

Cadbury announced three years ago that it would close the plant, which makes Crunchie and Curly Wurly bars and has invested more than £100m in new facilities in Poland where production will be moved.

Kraft chief executive Irene Rosenfeld said recent discussions with Cadbury management had revealed it would require significant investment to reverse the plans, which made it unviable to do so.

“While this is a difficult decision, we have moved quickly to end any further uncertainty. We remain committed to investing in growing our combined business in the UK and will continue to support Cadbury’s existing £30m investment plans for the Bournville site,” said Rosenfeld.

Meanwhile Cadbury’s chairman Roger Carr, chief executive Todd Stitzer and chief financial officer Andrew Bonfield have all announced they are stepping down from their positions following the sale to Kraft.

Kraft has now moved to cancel Cadbury shares from the London Stock Exchange after its bid was accepted by stockholders representing more than 75% of capital.The deal was completed on 2 February.

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