The JM Smucker company has announced that it wiil be merging the Proctor and Gamble owned Folgers brand into its company, a deal valued at over 3 billion dollars. As part of the deal Smucker will assume Folgers’ 350 million dollar debt but the will be acquiring the leader in retail coffee. Folgers has always been know as THE name in cheap coffee but they have been able to maintain market share in a day of growing appreciation of gourmet coffee. Folgers is actually a billion dollar brand name and will do much to strengthen the overall name of Smuckers. Smucker wants to dominate their niche and by growing the value of their brands from 1 billion in 2002 to approximately 15 billion today I’d say they are doing a pretty good job. Smuckers with the addition of Folgers now has ten number one brands with names like Jif, Crisco and Pillsbury in their stable.
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