J.M. Smucker Cuts Coffee Prices

J.M. Smucker Co. on Tuesday said it would cut prices on most of its coffee brands in the U.S. by another 6% to reflect continued declines in raw coffee prices.

The packaged-food company, whose coffee brands include Folgers and Dunkin' Donuts, has seen its market share increase in the coffee aisle in recent quarters as consumers have responded to lower pricing and promotions.

However, the company's K-Cup coffee pods aren't included in the latest price-cutting plans.

Steve Oakland, head of Smucker's U.S. food and beverage business, said in a news release that for the past several quarters, "lower green coffee costs were reflected in promotional pricing for the majority of our packaged coffee products, and we do not anticipate those prices changing significantly."

In February, Smucker sharply raised its per-share earnings guidance for the fiscal year ended in April as its quarterly profit jumped 15%, handily beating Wall Street expectations on continued momentum in its coffee business.

The company plans to release its earnings for the April quarter June 9.

Write to Tess Stynes at [e-mail]

(END) Dow Jones Newswires

May 24, 2016 10:55 ET (14:55 GMT)

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