Croatia's Podravka to cull 660 products, restructure bakery business

After completing a market-by-market analysis of the company's product sales and profitability, the managing board has passed a resolution on the discontinuation of 660 products, Podravka said in a bourse filing, adding that the review of its product portfolio continues.

The total annual sales of the products that will be discontinued added up to 11.5 million kuna ($1.97 million/1.5 million euro) in 2011. The move will have a positive effect on gross margins amounting to 1.2 million kuna.

The board also approved plans to restructure Podravka's bakery business in a bid to cut production costs and improve profitability.

(1 euro=7.5396 Croatian kuna)