Salmonella Scare at Cadbury's Hits Profits

 

 

The salmonella scare at Cadbury's is set to cost around £20million, it has been stated.  The setback came in late June, when the Company was forced to recall more than 1 million branded chocolate bars from the shelves.  However, it's not all bad news as the Company - Cadbury Schweppes, has still managed to report a 20% rise in half-year pre-tax profits which reached A massive £402m.

 

The scare and subsequent recall of some of the world's biggest brands, including Dairy Milk, was due to the contamination of a leaking pipe at one of its main factories in Marlbrook, Herefordshire.

 

The warm weather that we've been enjoying of late, has further decreased sales.  The market is said to be down 7%, whilst Cadbury's market share has fallen by 1.1%

 

"While chocolate sales in the UK have been impacted by extremely high temperatures in the last 4 weeks, the product recall has also had an impact on performance", a spokesman for Cadbury's confirmed.