Kraft-Heinz Deal Shows Brazilian Buyout Firm’s Cost-Cutting Recipe (WSJ)
At Kraft, as it has elsewhere, 3G plans to implement something called zero-based budgeting, an austerity measure that requires managers to justify spending plans from scratch every year. The technique has triggered sweeping cost cuts at 3G-related companies including Heinz—from eliminating hundreds of management jobs to jettisoning corporate jets and requiring employees to get permission to make color photocopies.
Kraft a Menu at the Buffett Buffet With Warren’s Latest Deal (Bloomberg)
His latest deal, the merger of Kraft Foods Group Inc. and H.J. Heinz Co., adds some intriguing possibilities to a day spent eating an all-Berkshire diet...LUNCH: Head out of the office. Sitting all day is bad for you, after all. Burger King’s brand-new Canadian tax domicile aside, Chicken Fries are back on the menu at the fast-food chain. Add a classic Whopper, or maybe an Oreo shake, or a Dairy Queen Blizzard might be another option. To drink? Coke. Always Coke. Stuck at work? Grab a Lunchables. Calories: About 1,510.
3G Capital, Warren Buffett’s Favorite Partner in Deals Worth Billions (Dealbook)
Warren E. Buffett has made a habit of criticizing ruthless Wall Street bankers and rapacious private equity firms over the years. As recently as last month, he railed against both in his annual letter to his shareholders at Berkshire Hathaway. Yet for Mr. Buffett, a genteel billionaire who has managed to put a friendly face on big business, one private equity firm stands apart from the rest. 3G Capital, the Brazilian private equity firm co-founded by the billionaire financier Jorge Paulo Lemann, has in recent years emerged as Mr. Buffett’s preferred business partner in striking multibillion-dollar deals. On Wednesday, 3G and Berkshire Hathaway teamed up to orchestrate a merger between Kraft, the big processed food maker, and Heinz, which the two companies own. Combining the companies will create a global food and beverage behemoth worth nearly $100 billion.
Dov Charney in S.E.C. Investigation, American Apparel Says (NYT)
American Apparel learned last month that the S.E.C. had begun an investigation “with respect to matters arising from” the internal review into Mr. Charney’s conduct, according to its filing. The retailer said it “intends to cooperate fully” with the S.E.C. investigation. A person briefed on the status of the investigation but not authorized to speak publicly said the matters related to Mr. Charney’s handling of company finances. The board shared its findings with the S.E.C., that person said.
I Drank So Much Soda as a Child That My Veins Collapsed (HuffingtonPost)
"When I say I drank a lot of Mountain Dew, I really mean it was the only thing I drank. For several months of my childhood, I had unlimited access to the neon-green sugar bomb, and I took a swig whenever I was thirsty. After I blacked out, I couldn't remember the last time I'd had a drink of water. It had been months."
Greek hopes to tap €1.2bn from EU fund dashed (FT)
Athens’ hope that it could alleviate a mounting cash crisis by seeking the return of €1.2bn in disputed funds from its bank rescue were dashed when the government was informed it had no legal claim on the money.
Major Central Banks Agree on Guidelines for Forex Market (WSJ)
Representatives from the foreign-exchange committees of the Federal Reserve Bank of New York, the Bank of Japan and the Bank of England among others have signed off on an eight-page document that explicitly bans traders from sharing client identities and information and disclosing data that could allow someone to deduce that information.
Buyout Firms Feel Pinch From Lending Crackdown (WSJ)
After resisting at first, banks have lately been falling in line with guidance regulators set in 2013, which sought to limit how much debt banks could extend for corporate takeovers. The shift is now stinging private-equity firms, whose bread-and-butter business is debt-laden buyouts.
$43K buys a private jet to college visits (CNBC)
Magellan Jets will offer 10-hour flight cards for college-bound students starting at $43,500, the company said on Wednesday. The package—which is sold from March 25 to June 30—is designed to reduce the complications that come with scheduling multiple visits to potential schools.
Farrah Abraham reveals plans to become a plastic surgeon (UPI)
Abraham, 23, is best known for her role in the MTV reality series Teen Mom and for her controversial adult film Farrah Superstar: Backdoor Teen Mom. Her experiences promoting the film and its sequel in the porn industry led Abraham to pen an erotic novel, her second book, which she plans to turn into a series. "I've taken a break after finishing the trilogy that I finished and I don't know if I'll do literary soon," she told E! News. "But then there's other novelty toys that I'm producing, and who knows, there's other stuff always." "Hopefully in five years I can go back to school," she added. "I really want to get my doctorate and I want to do plastic surgery. So that's just something on top of all of the other things I want to do, but that would probably be my end goal."