THE NEWS: Cereal and snack maker Kellogg Co.'s first-quarter net income fell 2 percent, hurt by weak European sales and higher raw material costs.
THE CONTEXT: The cereal and snack maker, known for its Frosted Flakes cereal and Keebler cookies, had cut its 2012 guidance on Monday because of high ingredient costs, weak consumer spending and an economic slowdown in Europe, problems a wide range of companies are facing.
WHAT'S NEXT: Kellogg's expects its $2.7 billion acquisition of Pringles will close this summer. The move should strengthen the company's footprint overseas; Pringles are sold in 140 countries.
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