General Mills profit tops view; 2010 outlook strong

The company said on June 8 that it expected the rate of U.S. retail net sales growth to "moderate" in 2010 from 2009 levels, when it hiked prices to counter higher commodity costs. It forecast low commodity inflation for the year.

General Mills expects its international segment to post a mid-single-digit sales increase on a constant currency basis. It expects bakeries and food service unit sales to be "below" 2009 levels, the company said.

General Mills shares were up $1.73 at $57.75, while Kellogg shares were up $1.09 at $47.66 and Kraft shares rose $1.40 to $26.74 on the New York Stock Exchange.

(Additional reporting by Bhaswati Mukhopadhyay in Bangalore; Editing by Himani Sarkar, Derek Caney, Leslie Gevirtz)