Kraft takes legal action over contract split with Starbucks
Suburban Northfield-based Kraft foods has entered into arbitration with coffee giant Starbucks. The move comes after Starbucks announced it will end its distribution agreement with Kraft to supply packaged coffee to grocery stores.
Erin Swanson is a Kraft equity analyst at Morningstar. She said the disagreement shouldn't hurt Kraft's stocks.
“We haven’t made any changes to our investment opinion based on what’s going on. I think it’s going to take some time for these issues to be resolved, so I don’t think there’s going to be an impact on Kraft’s business over the near-term,” said Swanson.