Kraft Co. (NYSE:KFT): The packaged food maker announced this morning that it will split into two separate companies, one that specializes in food and snacks and another that will be focused on grocery products. Chairwoman Irene Rosenfeld commented on the move.”The next phase of our development recognizes the distinct priorities within our portfolio. The global snacks business has tremendous opportunities for growth as consumer demand for snacks increases around the world. The North American grocery business has a remarkable set of iconic brands, industry-leading margins and the clear ability to generate significant cash flow.” Investors are liking the move, having sent the stock up 5.51% in premarket trades. Get More Details in Kraft Foods Inc. Earnings: Revenue Grows Again by Double-Digits, Company Plans to Split Into Two Companies.
General Motors Co. (NYSE:GM): The stock is up 0.63% in premarket trading thanks to a standout second quarter earnings report. The company said earnings almost doubled to $2.5 billion, or $1.54 a share, from $1.3 billion, or 85 cents a share, in the year-ago period. Revenue climbed to $39.4 billion from $33.2 billion. Analysts were expecting earnings of $1.18 a share on average. GM also issued guidance for the rest of 2011, anticipating lower earnings than the first two quarters. Get Complete Earnings Coverage in General Motors Company Earnings Cheat Sheet: Profits Nearly Double.
Costco Wholesale Corporation (NASDAQ:COST): The wholesaler reported same store sales data Thursday, up 10% in July (from June) and 15% year over year. Analysts expected an 8.6% increase for the month. The group said that excluding gasoline and foreign sales, same-store sales rose 5%. while analysts had expected same-store sales excluding these items to rise 5.6%. The stock is down -1.26% in premarket trades.