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Sara Lee Is No More — What’s the Company’s New Name?

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Mario Tama, Getty Images

Apparently someone doesn’t like Sara Lee: the company itself.

It’s announced it will abandon the name later this month and split into two entities, calling itself Hillshire Farm in North America.

Sara Lee bought Hillshire Farm in 1971, and the new business will include the Hillshire Farm, Jimmy Dean and Ball Park brands, plus the frozen desserts and other bakery products for which Sara Lee is known.

The second company resulting from the Sara Lee split will be D.E. Master Blenders 1753, an international coffee and tea company based in the Netherlands.

The newly-consolidated Hillshire Farm will focus on lunch meats and other packaged-meat products, with CEO Sean Connolly saying its a profitable move since carnivorous consumers are turning “disproportionately to brands” for their consistency and quality, adding they “don’t want mystery meat.”

But some experts are skeptical. Tim Ramey, a business analyst and former Sara Lee executive, said in a recent report, “There is furious rearrangement of deck chairs at Sara Lee … The company is shrinking and doesn’t have a great strategy for reversing that trend.”

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