Cadbury to Formally Respond to Kraft Offer Dec. 14

NORTHFIELD, Ill. -- Prohibited by U.S. law to make any further comment, Cadbury said it will post to shareholders a formal response to Kraft's offer to buy the confectionery company Dec. 14, 2009.

Cadbury will host a presentation in London for analysts and investors at 10:30 a.m. on Dec. 14, via Webcast.

Kraft bypassed the Cadbury board Friday when it took its offer directly to Cadbury shareholders. Cadbury's board rejected a similar offer by Kraft last month.

"We remain confident that the unique combination of Kraft Foods and Cadbury would create a significant growth opportunity for both businesses," said Chairman and CEO of Kraft Foods Irene Rosenfeld. "That's why we believe this offer is in the best interest of both companies' shareholders. Our offer is fully financed, represents a substantial premium to Cadbury's unaffected share price and provides both immediate value-certainty and meaningful longer-term upside potential."

As previously announced, under the offer, Cadbury shareholders would be entitled to receive for each share: 300 pence (currently $4) in cash and 0.2589 New Kraft Foods Shares. Kraft is offering 1,200 pence (currently $19.60) in cash and 1.0356 New Kraft Foods Shares for each Cadbury ADS (American Depositary Share).

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