Kellogg to cut 300-350 jobs
Kellogg Co. said yesterday that it will cut 300 to 350 jobs by year's end, or about 2 percent of its work force, as it streamlines its breakfast-cereal production.
The nation's No. 1 cereal maker said the cuts will trigger a $30 million to $40 million pretax charge in either the second or third quarter.
Host Marriot to sell, lease hotels
Host Marriott Corp. said yesterday that it agreed to sell 21 Marriott Courtyard hotels to Health & Retirement Properties Trust for $179 million and then lease them back.
Bethesda-based Host Marriott will lease back the properties, with 3,026 rooms, for an initial term of 12 years. The lease is renewable for an additional 37 years. The parties expect to close the transaction in March.
GM raises its stock dividends
General Motors Corp. raised dividends yesterday on its Class E and Class H common stocks, reflecting the financial results of two GM subsidiaries.
The quarterly dividend on Class E stock was increased to 13 cents from 12 cents. The dividend on Class H went to 23 cents from 20 cents. Class E reflects the results for Electronic Data Systems. Class H is tied to GM Hughes Electronics Corp.
Essex Corp. gets Navy contract
Essex Corp. has been awarded a $6 million contract by the U.S. Navy to provide engineering support services. The contract, which will be carried out at the company's Portsmouth, N.H., facility, includes one base year and four option years.
Quaker Oats sells off pet food line
The Quaker Oats Co. agreed yesterday to sell the remaining part of its once-large pet food business to the H. J. Heinz Co. for $725 million in cash, meaning that for the first time in 50 years, it will make food products exclusively for humans.
Quaker's deal to sell its North American pet foods unit to Heinz follows its agreement Friday to sell its European pet foods business to Dalgety PLC of London for $700 million in cash.
GreenStone acquires All-Seal
GreenStone Industries Inc., a maker of insulation and fibers from recycled paper, said yesterday that it acquired All-Seal Insulation Inc. of Fort Wayne, Ind., for about $700,000 in cash and stock. GreenStone, based in Cabin John, said All-Seal, which conducts business under the name of Paper Technologies, recorded revenue of about $1.4 million last year. Greenstone reported $13.9 million in revenue and profits of $700,000 in the first nine months of last year.