Sara Lee Names Campbell's Connolly As Meats Business CEO

Sara Lee Corp. (SLE) named Sean Connolly as chief executive of its North American retail and food service business, in advance of his appointment as the head of the North American meats business once the spinoff of Sara Lee's international coffee and tea business is completed later this year.

Connolly, 46 years old, is the president of Campbell Soup Co.'s (CPB) North America segment and will join Sara Lee Jan. 17.

Separately, Campbell Soup said it appointed Mark Alexander, 47, as Connolly's replacement. He is currently president of Campbell International.

Once a hodgepodge of household products and food brands, Sara Lee has worked to sell off businesses and narrow its focus for the past few years. The company is currently in the process of splitting apart as it plans to separate its international coffee and tea business from North American operations that include processed-meat brands like Jimmy Dean and Hillshire Farm. The spinoff is slated for the second quarter of this year.

"The North American meats business, with its leading brands and strong market position, has tremendous opportunities for growth as a pure-play company," Connolly said. "I look forward to working with an experienced and talented team to build this successful new company and create value for shareholders."

Campbell Soup, meanwhile, is attempting a turnaround for its namesake soup business, where sales have been flagging for about two years as consumers have gravitated to other simple meals, such as frozen pizza, and the company faced growing competition from General Mills Inc.'s (GIS) Progresso soup.

Campbell Soup Chief Executive Denise Morrison said Alexander, who started at the company in 1989, has management experience with the soup business in the U.S., Canada, Europe, Asia and Australia, and was instrumental in the company's development of a new strategic framework.

Sara Lee's shares closed Thursday at $18.87, while Campbell closed at $31.81.

 
   -By Ben Fox Rubin, Dow Jones Newswires; 212-416-3108; [e-mail]