Danone plans to regain European edge

To address a lasting downturn in the European economy and consumer trends that have led to a significant decline in its sales in the region, Danone is preparing a cost reduction and adaptation plan to win back its competitive edge, the company says. The plan will be deployed over two years and is aimed at adjusting costs to this new context and generating savings of around €200 million in Europe. It will seek to reduce general and administrative costs for the group and its European subsidiaries, and adapt management organization in Europe.

Combined with ongoing productivity programs, this plan will free up resources to make Danone products and brands more competitive, according to the firm.