Kraft Heinz announces intent to combine U.S., Canadian businesses

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The Kraft Heinz Company announced Wednesday that it plans on combining its U.S. and Canada businesses to create the North American Zone to bolster its long-term, sustainable growth plans.

The move is expected to be effective in Spring of 2022 and will bring increased agility to its innovation agenda, operations and go-to market approach, the company said. U.S. and Canadian sales account for approximately 80 percent of its consolidated net sales.

Over the last 12 months, the company has taken steps to transform its growth profile, strategic focus, and financial flexibility. These steps have included divesting in some of its cheese and nut businesses, as well as centering business around a consumer-first approach and investing in its portfolio and people.

“As consumer, customer, and employee needs change, we must be in a position to anticipate, adjust, and respond with speed,” said Miguel Patricio, Chief Executive Officer of Kraft Heinz. “Combining our U.S. and Canada businesses—two dynamic Zones—gives us a distinct advantage and will produce faster, more effective results so we can continue investing in our strategic plan and driving sustainable growth. While this is an evolution to our structure, it is part of a broader revolution in how we will work at Kraft Heinz going forward.”

Carlos Abrams-Rivera, the current U.S. Zone president, will be the new North America Zone president. The North American Zone structure will be made up of three commercial business units – Taste, Meals, and Away From Home; Fresh, Beverage and Desserts; and Canada and North America Coffee.

The North America Zone will begin transitions in early 2022 with full organizational and financial reporting expected to take effect in the second quarter.