WK Kellogg Co Chairman and CEO Gary Pilnick is taking heat online after suggesting that financially struggling Americans should eat cereal for dinner during a recent interview.
Pilnick appeared in an interview with CNBC last week in which he touted the brand’s latest ad campaign with the slogan: “Give the chicken the night off.” In the interview, he suggested that Americans in financial difficulty should opt for cereal as their weeknight dinner.
“The cereal category has always been quite affordable and tends to be a great destination when consumers are under pressure,” Pilnick said. “If you think about the cost of cereal for a family versus what they might otherwise do, it’s going to be a lot more affordable… Cereal for dinner is something that’s probably more trending now, and we would expect that to continue as that consumer is under pressure.”
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According to the most recent data from the Bureau of Labor Statistics, cereal prices in the United States have increased by about 28% since the beginning of 2020, while the company Kellogg’s has increased prices by more than 12% for all products during the fiscal year 2022-2023.
In March 2023, Kellogg announced that its North American cereal division would change to be called WK Kellogg Co., while the global snack brand would be called Kellanova.
WK Kellogg Co. saw net sales reach $2.76 million in 2023, up 2.5% year-over-year.
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“As an independent company, we are already experiencing the benefits of increased strategic focus and operational flexibility as we direct our organization, capital and resources to achieve our strategic objectives,” Pilnick said in a company statement at the time.
Naturally, Pilnick’s comments were met with opposition on social media.
Gary Pilnick, CEO of Kellogg’s, with a $5 million paycheck says poor families should eat “cereal for dinner.”
Grain prices have increased by 28% in the last 4 hours.
He won’t cut profits or accept a pay rise.
What do you think will happen to people who are denied a good diet? https://t.co/GBO1SV4B6J
— Prem Sikka (@premnsikka) February 27, 2024
Kellogs are among the least convenient foods for people in need.
— D10cat (@TriciaD11cat) February 27, 2024
WK Kellogg Co, fell more than 13.5% in the one-year period as of late Tuesday afternoon.