P&G's new coffee company will employ more than 1,200

Coffee's hot and Cincinnati-based Procter & Gamble plans to create an independent company to capitalize on it.

The Folgers Coffee Company , which will be headquartered in Cincinnati, will employ more than 1,200 at four sites.  P&G will create the company by spinning off its Folgers business, which had sales of $1.6 billion last year.

The spin-off will allow it to focus more attention on the coffee business, where the main brand is Folgers, the leading retail coffee brand in North America. "This separation allows The Folgers Coffee Company to further develop and leverage its brand portfolio in a coffee-specific business model," says P&G Chief Executive A.G. Lafley.

Writer: David Holthaus
Source: Doug Shelton, Procter & Gamble

Enjoy this story? Sign up for free solutions-based reporting in your inbox each week.