General Mills plans to raise prices for hundreds of items as much as 20% in mid-January, according to a letter to trade customers obtained by CNN.
The letter, which an employee of a grocery wholesaler shared with CNN, warns General Mills’ trade customers that price increases are coming on hundreds of SKUs across dozens of brands, including Cheerios, Pillsbury products, Yoplait yogurt and more.
"The current operating environment is as dynamic as we've experienced in at least a decade, resulting in significant input cost inflation, labor shortages, and challenges servicing the business," General Mills said in the letter. It estimates that its own input costs will rise 7% to 8%
An executive at the wholesaler that leaked the letter told CNN that he expects his company will pass the General Mills increases on to the retailers it services, who will probably pass it through to consumers.
