Kellogg, hurt by Europe, cuts 2012 profit outlook

[April 23, 2012]  BATTLE CREEK, Mich. (AP) -- Kellogg Co. is cutting its 2012 earnings forecast, partly because declines in its European business led to a softer-than-anticipated first quarter.

Its stock slid $3.87, or 7.2 percent, to $50.12 in premarket trading on Monday.

The food maker says Monday that it expects full-year profit between $3.18 and $3.30 per share because of slower sales growth in Europe and some U.S. products. That includes a charge of 6 cents to 11 cents per share from Kellogg's $2.7 billion acquisition of Pringles acquisition.

The company had said in early February that it expected 2012 net income to rise 2 to 4 percent, excluding changes in currency values. For all of 2011, Kellogg earned $1.23 billion, or $3.38 per share.

Analysts surveyed by FactSet were predicting 2012 earnings of $3.48 per share.

[Associated Press]

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