Why is Kraft Getting Kicked Off the Dow?
In October, Kraft Foods (NYSE:KFT) will spin off its grocery business into Kraft Foods Group, while the parent company will become Mondelez International. Now, UnitedHealth Group (NYSE:UNH) will replace the company in the Dow Jones Industrial Average.
Don’t Miss: Kraft Keeps Growing.
The Dow Jones Averages Index Committee believes that Mondelez’s “reduced market capitalization and projected lower percentage of revenue generated from the U.S. makes the company less representative of the U.S. Large Cap market space.” Mondelez will be trading on the NASDAQ with the ticker “MDLZ,” while Kraft Foods Group will trade on the NASDAQ under “KRFT.”
The change will be effective starting at the open of trading on September 24. The DJIA doesn’t expect any disruption in the level of the Index.
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