PHILADELPHIA, Feb. 9, 2010 (GLOBE NEWSWIRE) -- As part of an initiative to reduce costs and drive margin improvement, Pinnacle Foods Group, a consumer products company famous for brands such as Vlasic, Mrs. Butterworth's and Duncan Hines, has signed a three-year contract with ICG Commerce, the procurement outsourcing specialist. ICG Commerce will support Pinnacle with spend management across a range of categories, the largest of which include advertising, logistics, capital equipment, and plant-related supplies and services.
"Our goal is to reduce costs associated with indirect spend, while keeping our internal resources laser-focused on generating productivity across our supply chain," said Craig Steeneck, CFO of Pinnacle Foods Group. "We chose to partner with ICG Commerce because of their expertise in the consumer products industry, and their focus on delivering realized savings."
Consumer products companies are challenged right now with growing margins in a conservative market environment. Procurement outsourcing is surfacing as the next generation of cost savings for many companies, helping to deliver as much as a margin point or more in savings which can be reinvested in marketing and new product innovation or taken straight to the bottom line. Pinnacle joins a number of other leading consumer product companies including Kimberly-Clark, Chiquita and Whirlpool who have partnered with ICG Commerce to reduce cost on indirect and other non-core spend while focusing internal resources on core spend areas and business activities.
"Our goal is to drive a fundamental shift in the way today's companies achieve financial agility and fund growth," said Carl Guarino, CEO ICG Commerce. "We're excited about partnering with Pinnacle Foods in support of their goals to reduce costs and improve productivity."
About ICG Commerce, Inc.
ICG Commerce, the procurement outsourcing specialist, is driving a fundamental change in the way today's businesses achieve financial agility and fund growth. ICG Commerce is the only procurement outsourcing specialist with superior market intelligence integrated into an operational approach, resulting in hundreds of millions of dollars in realized savings. ICG Commerce is a privately held company and member of Internet Capital Group's (Nasdaq:ICGE) network of partner companies.
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