Kraft Heinz names ex-Kellanova CEO Steve Cahillane as next group leader
Current CEO Abrams-Rivera exits early amid search for grocery division head.
USA – Kraft Heinz has named former Kellanova CEO Steve Cahillane as its group CEO, effective 1 January, ahead of a planned business division next year.
Cahillane will join the board in that role but shift to lead the Global Taste Elevation Co. once the separation occurs in the first half of 2026.
The company plans to launch a search for a CEO to run the remaining North American Grocery Co. unit.
Current CEO Carlos Abrams-Rivera, appointed on 1 January 2023, will leave the top job at the start of next year yet stay on as an adviser through 6 March.
Abrams-Rivera had lined up to head the grocery division before this change.
Leadership reshuffle at the top
The overhaul also sees Miguel Patricio, CEO from mid-2019 until Abrams-Rivera took over, replaced as board chair by John Cahill.
Cahillane became available after Mars secured final approval last week from European competition regulators for its Kellanova acquisition, following earlier US clearance.
He served as president and CEO of Kellanova, formed from Kellogg Co.’s 2022-23 split into cereal and snacks operations.
Cahillane stated he feels honoured to join Kraft Heinz as CEO during this key phase.
He expressed confidence that the separation will speed up the company’s competitiveness and tap into major growth prospects.
Kraft Heinz announced a severance deal with Abrams-Rivera on 16 December, ending his CEO and board roles.
Patricio will leave the company and step down as executive board chair from 1 January, though he stays on as a non-employee director.
John Cahill, current vice chairman, assumes the board chair position on the same date.
Cahill thanked Patricio for aiding preparations for the split and the leadership transition.
He voiced anticipation for his new chair role with Cahillane leading the company forward.
Cahillane’s prior roles include CEO of Kellogg before its division, as well as leading The Nature’s Bounty Co., with executive stints at The Coca-Cola Co. and AB InBev.
Patricio called Cahillane well-suited to guide Kraft Heinz ahead.
He praised Abrams-Rivera for reshaping the company into a nimbler, more innovative entity and setting up the split.
Headwinds ahead of separation
Kraft Heinz faces hurdles before completing the division in 2026.
In October, it issued a gloomier full-year forecast after third-quarter volume drops.
Organic sales now expect a 3% to 3.5% decline, worsening from the prior 1.5% to 3.5% range.
Adjusted operating income in constant currencies projects a 10% to 12% fall, tighter than the earlier 5% to 10% view.
Adjusted EPS guidance sits at US$2.50 to US$2.57, down from US$2.51 to US$2.67.
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