10 February 2010 | Jake Kanter
Pinnacle Foods Group has outsourced its indirect procurement to ICG Commerce in a three-year deal.
Pinnacle, one of the largest food firms in the US, will hand over spend categories including advertising, logistics, capital equipment, and plant-related supplies and services.
The financial terms of the deal were not revealed, including how much the company plans to save from the move.
CFO of Pinnacle Craig Steeneck said: “Our goal is to reduce costs associated with indirect spend, while keeping our internal resources laser-focused on generating productivity across our supply chain.”
The company’s brands include Mrs Butterworth’s and Lender’s Bagels.
It took over Birds Eye Foods last year in a $1.3 billion (£826.7 million) deal.
Consumer goods firms Kimberly-Clark, Chiquita and Whirlpool have also outsourced purchasing to ICG.