Event-Driven Stocks

Kraft Foods Group, Inc.

Completed

Spin-offSpun off from Kraft Foods Inc

The two companies

Parent
Kraft Foods Inc
↓ spun off ↓
Spin-off
Kraft Foods Group, Inc.
Consumer Staples
Company hub →SEC filings ↗

Open either company's hub for its full SEC financials, ratios, ownership, filings, and every other event it's been part of.

Sector
Consumer Staples
Industry
Food and Kindred Products
Exchange
—
State of incorporation
Record date
September 19, 2012
Distribution date
October 1, 2012
Ratio
1:3
Parent sector
—
Form
10-12B/A
Filed
August 16, 2012

Financials — parent vs spin-off

SEC XBRL · latest year
Kraft Foods Inc

No XBRL financials available.

Kraft Foods Group, Inc.FY14
Revenue
$4.36B
Operating income
$1.89B
Net income
$513M
Total assets
$22.95B
Equity
$4.37B

Latest reported figures from each company's own SEC filings — the parent after the separation and the spin-off as a standalone. Full multi-year history on each company hub.

Spin-off signals

score 1/6 favorable · factors, not advice
  • Leverage (liabilities/assets)81%

    A heavy debt load loaded onto the spin-off is a known risk; a clean balance sheet is favorable.

  • Return on capital employed10%

    EBIT ÷ capital employed — the quality metric the spin-off scorecard research weighs most.

  • Operating margin43%

    Profitability of the standalone business, from its own SEC filings.

  • Tax-basis reportNone found

    A Form 8937 (basis allocation) accompanies tax-free §355 spin-offs — favorable for taxable holders.

  • Insider buying (post-spin)None recorded

    Officers/directors buying their own newly independent shares (Form 4) has historically preceded outperformance.

  • Time since spin-off13.7 years

    Studies find the spin-off return premium concentrates in roughly the first one to three years.

Factors the spin-off research literature (Greenblatt; Cusatis-Miles-Woolridge; Desai-Jain) associates with outcomes — computed from this company's own SEC filings, shown as factors, not a recommendation. The premium is debated and not guaranteed. How we compute these ↗

Filings & documents

Every entry traces to SEC EDGAR. The Information Statement is the primary source; the links below open the full filing and each company's complete filing history.

Information Statement ↗10-12B/A · the filing we parseAll documents in this filing ↗accession 0001193125-12-357703Kraft Foods Group, Inc. — all SEC filings ↗EDGAR company page

Spot an error in this record? Report it. Every correction is verified against the source filing before we change anything.