Kellogg to cut 7 pct of workforce by 2017, profit rises 3 pct

Reuters

Nov 4 (Reuters) - Kellogg Co reported a 3 percent risein quarterly profit, helped by a fall in cereal-making costs,and said it would slash 7 percent of its workforce by 2017.

The company's shares rose 1 percent in premarket trading.

Net income of the world's largest cereal manufacturer roseto $326 million, or 90 cents per share, in the third quarterended Sept. 28 from $318 million, or 89 cents per share, a yearearlier.

The maker of Corn Flakes, Chocos cereal and Eggo wafflessaid revenue fell marginally to $3.72 billion.

Kellogg announced a new cost-cutting program called ProjectK to strengthen existing businesses in its core domestic marketsand increase growth in developing markets.

The program is expected to result in total pre-tax chargesof between $1.2 billion and $1.4 billion, the company said.

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