Board of directors for Kraft Foods OKs grocery biz spinoff

NORTHFIELD, Ill. — Kraft Foods' board of directors approved the spinoff of its North American grocery business.

Kraft Foods will complete the spinoff of its North American grocery business on Oct. 1 through a pro rata dividend of all outstanding shares of Kraft Foods Group common stock it owns to its shareholders of record as of the close of business on Sept. 19.

In related news, the board also declared a regular quarterly dividend of 29 cents per share of common stock. This cash dividend is payable on Oct. 15 to Kraft Foods stockholders of record as of the close of business on Sept. 19.