CANDY WARS

Cadbury Vows to Fight Takeover

In the case of Kraft and Cadbury, ifs and buts are not merely candy and nuts, but the potential makings of a $50 billion "global powerhouse." Kraft Foods Inc., the second-largest food company, is persisting in its takeover bid for Cadbury PLC, despite Cadbury's rejection of its $16.7 billion bid. After the bid, Cadbury shares shot up as much as 42 percent, while the company scrambled to cut costs and lift its profit margins, with the hopes of generating enough cash to pursue its own acquisitions. And now, it has escalated to war: Cadbury said that Kraft's bid undervalued the company, and has vowed to fight the offer. “It’s a jewel,” said one person close to Cadbury. “And it has a global footprint that people will die for.”