Mondelez International to Invest $24 Million to Expand Confectionery Plant in Turkey
- Investment will support growth of global confectionery business
- Part of company's supply-chain reinvention plan
- Plant production capacity will increase by 20 percent
ISTANBUL, Turkey, Nov. 13, 2014 /PRNewswire/ -- Mondelez International, the world's pre-eminent maker of chocolate, biscuits, gum and candy, today announced plans to invest $24 million to increase capacity of its state-of-the-art plant in Gebze, Turkey, to support growth in the company's global confectionery business.
The Gebze plant produces beloved local brands in gum, candy and chocolate, such as Falım, Sıpsevdi, Kent, Missbon, Jelibon, Tofita and Topitop as well as global brands like Halls, Milka and Trident. Thanks to the new investment, a complete new line will be added, from processing to final packaging, increasing the plant's overall capacity by 20 percent. The new line is expected to be operational by the end of 2015.
"Today, our plant in Gebze produces for nearly 50 different countries," said Antoine Collette, Managing Director Mondelez Turkey. "This new investment enables us to play an even bigger role in supporting the growth of our global confectionery business. The investment in Turkey is also part of our ongoing supply-chain reinvention plan. We're implementing several such initiatives around the world to capitalize on growing demand, while also reducing costs and improving productivity."
Mondelez International's supply-chain reinvention plan is expected to deliver $3 billion in gross-productivity savings, $1.5 billion in net savings and $1 billion in incremental cash over the next three years. These savings will be a primary driver of significant improvements in the company's base operating-income margin in the near term.
About Mondelez Turkey
Mondelez Turkey is a market leader in gum and candy, with strong brands like First, Falım, Kent, Olips and Jelibon. The company also has a strong presence in the Turkish market in chocolate and coffee, with iconic global brands such as Milka, Toblerone and Jacobs. Mondelez Turkey operates a large production facility in Gebze and employs nearly 1,500 people.
About Mondelez International
Mondelez International, Inc. (NASDAQ: MDLZ) is a global snacking powerhouse, with 2013 revenue of $35 billion. Creating delicious moments of joy in 165 countries, Mondelez International is a world leader in biscuits, chocolate, gum, candy, coffee and powdered beverages, with billion-dollar brands such as Oreo, LU and Nabisco biscuits; Cadbury, Cadbury Dairy Milk and Milka chocolate; Trident gum; Jacobs coffee and Tang powdered beverages. Mondelez International is a proud member of the Standard and Poor's 500, NASDAQ 100 and Dow Jones Sustainability Index. Visit www.mondelezinternational.com or follow us on Twitter at www.twitter.com/MDLZ.
Forward-Looking Statements
This press release contains forward-looking statements. Words and variations of words, such as "will," "expect," "plan" and similar expressions, are intended to identify our forward-looking statements, including, but not limited to, statements about our investments, the expected results of those investments, productivity savings and margins. These forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond our control, which could cause our actual results to differ materially from those indicated in our forward-looking statements. Please also see our risk factors, as they may be amended from time to time, set forth in our filings with the SEC, including our most recently filed Annual Report on Form 10-K. Mondelez International disclaims and does not undertake any obligation to update or revise any forward-looking statement in this press release, except as required by applicable law or regulation.
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SOURCE Mondelez International, Inc.
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