8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of report (Date of earliest event reported): August 11, 2008

Kellogg Company

(Exact name of registrant as specified in its charter)

Delaware
(State or other jurisdiction of incorporation) 1-4171
(Commission File Number) 38-0710690
(IRS Employer Identification No.)

One Kellogg Square
Battle Creek, Michigan 49016-3599
(Address of principal executive offices, including zip code)

(269) 961-2000
(Registrant’s telephone number, including area code)

Not Applicable
(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2 below):

p Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

p Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

p Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

p Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

TABLE OF CONTENTS

Agreement with Mr. Montie

EX-99.1

Item 5.02. Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.

(b) On August 11, 2008, Jeff Montie, executive vice president, Kellogg Company, president, Kellogg International, announced his intention to leave the company effective September 30, 2008.

(c) On August 11, 2008, Kellogg Company (“Kellogg” or the “Company”) issued a press release announcing management changes intended to further broaden the experience of several of the Company’s senior executive leaders, including John Bryant, Brad Davidson and Paul Norman. The changes are effective immediately. A copy of the press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.

Mr. Bryant was promoted to executive vice president, chief operating officer and chief financial officer. Mr. Bryant will retain the role of chief financial officer. Previously, Mr. Bryant was executive vice president and chief financial officer, Kellogg Company, president, Kellogg North America. Changes to Mr. Bryant’s compensation are described below.

Biographical and other information about Mr. Bryant required by Item 5.02(c) of Form 8-K is contained in the Company’s Annual Report on Form 10-K for the fiscal year ended December 29, 2007, and such information is incorporated by reference herein.

(e) In connection with the promotions for Mr. Bryant, Mr. Davidson and Mr. Norman, the Compensation Committee of the Board of Directors of the Company made the following compensation determinations. The Compensation Committee approved a new base salary of $800,000 for Mr. Bryant (from $663,000). In addition, the Compensation Committee approved new 2008 target annual incentive plan (“AIP”) payment percentages of 115% for Mr. Bryant (from 90%); 90% for Mr. Davidson (from 70%); and 90% for Mr. Norman (from 70%). AIP opportunities are established as a percentage of an executive’s base salary with actual AIP payment each year ranging from 0% to 200% of the target opportunity. The financial metrics for 2008 AIP are based on internal operating profit, internal net sales, cash flow and individual performance. All AIP payments are made in cash.

In connection with Mr. Montie’s departure from the Company, the Company entered into an agreement with Mr. Montie pursuant to which (a) he will be on a leave of absence (i) during which he would receive severance pay and benefits under the Kellogg Company Severance Benefit Plan, and (ii) at the end of which he would be entitled to receive certain pension and retirement benefits under the Company’s plans as if he reached his earliest retirement age; (b) he will continue to vest in his 2006-2008 Executive Performance Plan (“EPP”) award; (c) he would forfeit his awards under the 2007-2009 EPP and 2008-2010 EPP; and (d) he will be subject to restrictive covenants, including non-compete and non-solicit obligations.

The above description of the agreement with Mr. Montie is qualified in its entirety by reference to the copy of the agreement filed herewith as Exhibit 10.1, which agreement is incorporated herein by reference.

Item 9.01. Financial Statements and Exhibits.

Exhibit 10.1.	Agreement with Mr. Montie, dated August 11, 2008
Exhibit 99.1.	Press Release

SIGNATURES

     Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	KELLOGG COMPANY
Date: August 11 , 2008	/s/ Gary H. Pilnick
	Name:	Gary H. Pilnick
	Title:	Senior Vice President, General Counsel, Corporate Development and Secretary

EXHIBIT INDEX

Exhibit 10.1.	Agreement with Mr. Montie, dated August 11, 2008
Exhibit 99.1.	Press Release

EX-10.1

Exhibit 10.1

SEPARATION AGREEMENT AND GENERAL RELEASE

          This Separation Agreement and General Release (“Agreement”) is hereby made and entered into by and between Jeffrey W. Montie (“Employee”), whose address is c/o One Kellogg Square, P.O. Box 3599, Battle Creek, MI 49016, and Kellogg Company, a Delaware corporation (“Kellogg”).

          1. Employee’s Departure Date.

          Employee’s last day of active employment will be September 30, 2008, with a “Departure Date” of October 1, 2008. Except as otherwise expressly provided herein, Employee acknowledges that as of the Departure Date, the Employee’s participation will cease in all of the benefit plans of Kellogg and any of its subsidiaries, divisions or affiliates (collectively, the “Company”). Employee will be entitled to receive benefits, including any right to exercise any conversion privileges, that are vested and accrued prior to the Departure Date pursuant to benefit plans and programs of the Company.

          2. Consideration. In consideration for Employee entering into this Agreement and fully abiding by its terms, and assuming Employee has not revoked this Agreement as described in Paragraph 19 below, Kellogg agrees to provide Employee with the following consideration:

          (a). Severance Compensation and Benefits. Kellogg agrees to provide Employee severance compensation and benefits pursuant to the terms and conditions of the Kellogg Company Severance Benefit Plan (the “Plan”), a copy of which is attached to this Agreement as Exhibit A, and the terms of which are incorporated herein. Employee represents and warrants that Employee has read the Plan and understands its meaning and application. For purposes of the Plan, Employee agrees that Employee is, and shall receive benefits under the Plan as a Senior Executive who is a Direct Report of the Chief Executive Officer, except as otherwise provided in this Agreement. According to the Plan, Employee shall receive severance pay under the Plan equal to two years of base salary and two years of target bonus. Such amount shall be paid to Employee in equal installments from the Departure Date until June 2, 2016 (the “Severance Leave of Absence”) in accordance with Kellogg’s then-current payroll practices, provided that any installments that would otherwise be payable during the period beginning on the Departure Date and ending six months after such date (the “Six Month Period”) that exceed $460,000.00 (the dollar limit contained in Treasury Regulation §1.409A-1(b)(iii)) shall be paid in a lump sum in the first payroll period ending after the Six Month Period. The parties acknowledge that the delay in these installments is intended solely to comply with the requirements of Internal Revenue Code Section 409A and shall be interpreted to comply with those requirements.

          Employee will be eligible to retire from the Company under the Kellogg Company Pension Plan and the Kellogg Company Executive Excess Plan (the “Pension Plans”) subject to the terms of the Pension Plans and in accordance with this Paragraph 2(a), at the end of the Severance Leave of Absence, and if Employee elects to retire, Employee shall otherwise be eligible to receive retirement benefits which are provided at that time to salaried retirees of Kellogg Company in accordance with the terms of the benefit plans. The additional pension

Kellogg Company/Corporate Headquarters
One Kellogg Square/P.O. Box 3599/Battle Creek, Michigan 49016-3599 (269) 961-2000

benefit attributable to this provision shall be payable from the Kellogg Company Executive Excess Plan.

          (b). Health and Welfare Benefits. Employee shall receive health and welfare benefits during the Severance Leave of Absence in accordance with the Plan; provided, however, that if Employee becomes eligible for health and welfare benefit coverage by another employer’s health and welfare plan, coverage of Employee and his dependents under the Company’s health and welfare benefit plans shall terminate. Thereafter, if Employee has elected to retire under the Pension Plans, Employee and his eligible dependents, if any, shall be provided with retiree health benefits at a level equal to the health benefits provided, during such time, to Kellogg Company salaried retirees in accordance with the terms of the plan in effect at the time. The Company reserves the right to amend, modify and/or terminate any of its benefit plans, and Employee shall be subject to any such changes.

          (c). Other Payments. Employee shall also receive (i) a prorated target bonus under the Kellogg Company Senior Executive Annual Incentive Plan for performance year 2008 within 30 days of the Departure Date; and (ii) the actual award payable under the 2006-2008 Executive Performance Plan at the time other participants receive such payments.

          (d). Taxes. Employee acknowledges and agrees that: (i) usual and customary withholding for tax purposes will be withheld from any payments made to Employee pursuant to this Agreement, to the extent required by law, and (ii) all tax liability, with respect to any and all payments or services received by Employee under this Agreement (other than employer withholding and employer payroll taxes) will be Employee’s responsibility.

          3. No Other Compensation or Benefits Owing. Employee acknowledges and agrees that, except as otherwise expressly provided for in this Agreement, Employee is not and will not be due any other compensation or benefits whatsoever from the Company and the Company shall have no further obligations of any kind or nature to Employee. For avoidance of doubt, Employee hereby releases, waives and forfeits any and all right, title and interest in and to any payment (a) under the 2007-2009 and 2008-2010 Executive Performance Plans (or any other Executive Performance Plan), (b) any shares pursuant to any unvested restricted stock award, and (c) any other payments under the Kellogg Company Senior Executive Annual Incentive Plan (and any other Annual Incentive Plan).

          4. No Other Representations. Employee represents and warrants that no promise or inducement has been offered or made except as herein set forth and that Employee is entering into and executing this Agreement without reliance on any statement or representation not set forth within this Agreement by the Company, or any person(s) acting on its behalf.

          5. Non-Assignment of Rights. Employee represents and warrants that Employee has not sold, assigned, transferred, conveyed or otherwise disposed of to any third party, by operation of law or otherwise, any action, cause of action, debt, obligation, contract, agreement, covenant, guarantee, judgment, damage, claim, counterclaim, liability or demand of any nature whatsoever relating to any matter covered in this Agreement.

          6. Non-Compete. In further consideration of the foregoing, Employee agrees that for a period of three years beginning with the second anniversary of the Departure Date (the “Restricted Period”), Employee shall not, without the prior written consent from the Chief Executive Officer of Kellogg:

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          (a). directly or indirectly, accept any employment, consult for or with, or otherwise provide or perform any services of any nature to, for or on behalf of any person, firm, partnership, corporation or other business or entity that manufactures, produces, distributes, sells or markets any of the Products (as herein defined) in the Geographic Area (as herein defined).

          (b). directly or indirectly, permit any business, entity or organization which Employee, individually or jointly with others, owns, manages, operates, or controls, to engage in the manufacture, production, distribution, sale or marketing of any of the Products in the Geographic Area.

For purposes of this Paragraph, the term “Products” shall mean (i) ready-to-eat cereal products, toaster pastries, cereal bars, granola bars, crispy marshmallow squares, frozen waffles, frozen pancakes, fruit snacks, cookies, crackers, ice cream cones, meat substitutes, (ii) any other grain-based convenience food or (iii) any other product which the Company manufactures, distributes, sells or markets at the Departure Date. With respect to (iii) above, such products shall not include products which the Company reasonably determines insignificant to the Company. The term “Geographic Area” shall mean any territory, region or country where the Company sells any Products at any time during the applicable Restricted Period.

          7. Non-Solicitation. In further consideration of the foregoing, Employee agrees that, for a period of two years beginning with the date of this Agreement, Employee shall not, without the prior written consent of the General Counsel of Kellogg, directly or indirectly employ, or solicit the employment of (whether as an employee, officer, director, agent, consultant or independent contractor) any person who is or was at any time during the previous year an officer, director, representative, agent or employee of the Company.

          8. Non-Disparagement of the Company. Employee agrees not to engage in any form of conduct or make any statements or representations that disparage, portray in a negative light, or otherwise impair the reputation, goodwill or commercial interests of the Company, or its past, present and future subsidiaries, divisions, affiliates, successors, officers, directors, attorneys, agents and employees.

          9. Employment Status. Employee understands and agrees that (i) Employee’s active employment with the Company ends effective at the end of business on September 30, 2008; and (ii) the Company has no obligation to reinstate, rehire, reemploy, recall, or hire Employee in the future.

          10. Disclosure of Any Material Information. As of the date Employee signs this Agreement, Employee represents and warrants that Employee has disclosed to Kellogg any information in Employee’s possession concerning any conduct involving the Company or any of its officers, directors, representatives, agents or employees that Employee has any reason to believe may be unlawful, or violates Company Policy or would otherwise reflect poorly on the Company in any respect.

          11. Return of Property. Employee agrees to return to the Company, no later than the Departure Date, all property of the Company, regardless of the type or medium (i.e., computer disk, CD-ROM) upon which it is maintained, including, but not limited to, all files, documents, correspondence, memoranda, customer and client lists, prospect lists, subscription lists, contracts, pricing policies, operational methods, marketing plans or strategies, product development techniques or plans, business acquisition plans, employee records, technical

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processes, designs and design projects, inventions, research project presentations, proposals, quotations, data, notes, records, photographic slides, photographs, posters, manuals, brochures, internal publications, books, films, drawings, videos, sketches, plans, outlines, computer disks, computer files, work plans, specifications, credit cards, keys (including elevator, pass, building and door keys), identification cards, and any other documents, writings and materials that Employee came to possess or otherwise acquired as a result of and/or in connection with Employee’s employment with the Company. Should Employee later find any Company property in Employee’s possession, Employee agrees to immediately return it. Employee further agrees not to maintain any copies of said property or make any copies of said property available to any third-party.

          12. Non-Admission of Liability. Employee understands and agrees that this Agreement does not and shall not be deemed or construed as an admission of liability or responsibility by the Company for any purpose. Employee further agrees that nothing contained in this Agreement can be used by Employee or any other past, present or future employee of the Company in any way as precedent for future dealings with the Company or any of its successors, officers, directors, attorneys, representatives, agents or employees.

          13. Releases, Representations and Covenants. In consideration of the compensation and benefits provided pursuant to this Agreement, the sufficiency of which is hereby acknowledged, Employee, for Employee and for any person who may claim by or through Employee, irrevocably (except with respect to Paragraph 19 below) and unconditionally releases, waives and forever discharges the Company and its past, present and future subsidiaries, divisions, affiliates, successors, and their respective officers, directors, attorneys, agents and employees, from any and all claims or causes of action that Employee had, has or may have, known or unknown, relating to Employee’s employment with and/or termination from the Company up until the date of this Agreement, including but not limited to, any claims arising under Title VII of the Civil Rights Act of 1964, as amended, Section 1981 of the Civil Rights Act of 1866, as amended, the Civil Rights Act of 1991, as amended, the Family and Medical Leave Act, the Age Discrimination in Employment Act, as amended by the Older Workers Benefit Protection Act of 1990, the Americans with Disabilities Act, the Employee Retirement Income Security Act; claims under any other federal, state or local statute, regulation or ordinance; claims for discrimination or harassment of any kind, breach of contract or public policy, wrongful or retaliatory discharge, defamation or other personal or business injury of any kind; claims of representation, misrepresentation, or negligent representation, and any and all other claims to any form of legal or equitable relief, damages, compensation or benefits (except as set forth in subparagraph (d), below), or for attorneys fees or costs. Employee additionally waives and releases any right Employee may have to recover in any lawsuit or proceeding against the Company brought by Employee, an administrative agency, or any other person on Employee’s behalf or which includes Employee in any class.

               (a). No Representation by Kellogg. Employee acknowledges that no Kellogg employee, including any attorney or human resource representative, has provided advice or counsel to Employee regarding the circumstances surrounding Employee’s separation from employment with Kellogg, including the negotiation of any term or provision set forth in this Agreement. Employee acknowledges that Employee’s decision to execute this Agreement is without reliance upon any statements made by any employee or representative of Kellogg.

               (b). No Pending Claims/Withdrawal of Claims. Employee represents and warrants that, as of the date Employee signs this Agreement, Employee has no charges,

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claims or lawsuits of any kind pending against the Company or any of its past, present and future subsidiaries, divisions, affiliates, successors, or their respective officers, directors, attorneys, agents and employees that would fall within the scope of the Release set forth in this Paragraph 13. To the extent that Employee has such pending charges, claims or lawsuits as of the date Employee signs this Agreement, Employee agrees to seek and obtain immediate dismissal with prejudice and provide written confirmation immediately (i.e., court order, and/or agency determination) as a condition precedent to the Kellogg’s obligations under this Agreement on and after the date Employee signs this Agreement (including, but not limited to, providing any compensation or benefits under this Agreement).

               (c). Covenant Not to Sue. To the maximum extent permitted by law, Employee agrees not to sue or to institute or cause to be instituted any action in any federal, state, or local agency or court against the Company, including, but not limited to, the claims released in this Paragraph 13.

               (d). Remedies for Breach. If Employee breaches any portion of this Agreement, or disavows any portion of the Release, Employee shall forfeit any payments or benefits whatsoever under this Agreement and Employee acknowledges and agrees that in addition to any damages, Employee will be obligated, to the maximum extent permitted by law, to reimburse Kellogg for all amounts paid to Employee pursuant to this Agreement and under the Plan, and Employee shall be liable for all expenses, including costs and reasonable attorney’s fees, incurred by any entity released in defending the lawsuit or claim, regardless of the outcome. Employee also hereby agrees and acknowledges that if he or she breaches this Agreement, because it would be impractical and excessively difficult to determine the actual damages to the Company as a result of such breach, any remedies at law (such as a right to monetary damages) would be inadequate. Employee, therefore agrees that, if he or she breaches this Agreement, the Company shall have the right (in addition to, and not in lieu of, any other right or remedy available to it) to a temporary and permanent injunctive relief from a court of competent jurisdiction, without posting any bond or other security and without proof of actual damage.

               (e). Exclusion for Certain Claims. Notwithstanding the foregoing, Kellogg and Employee agree that the Release shall not apply to any claims arising after the date Employee signs this Agreement, nor shall anything herein prevent Employee or the Company from instituting any action to enforce the terms of this Agreement. In addition, Employee and Kellogg agree that nothing herein shall be construed to prevent Employee from enforcing any rights Employee may have under the Employee Retirement Income Security Act of 1974 to recover any vested benefits.

          14. Preservation of Company Confidential Information. Employee acknowledges and agrees that previously executed Company confidentiality or non-disclosure agreements, if any, will continue to remain in effect after the Departure Date. In addition, Employee agrees that he or she shall not (without first obtaining the prior written consent in each instance from Kellogg) during the term of this Agreement or thereafter, disclose, make commercial or other use of, give or sell to any person, firm or corporation, any information received directly or indirectly from the Company or acquired or developed in the course of Employee’s employment, including, by way of example only, trade secrets (including organizational charts, reporting relationships, employee information such as credentials, individual performance, skill sets, salaries and background information), ideas, inventions, methods, designs, formulas, systems, improvements, prices, discounts, business affairs, products, product specifications, manufacturing processes, data and know-how and technical information

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of any kind whatsoever unless such information has been publicly disclosed by authorized officials of the Company.

          15. Cooperation. Employee agrees to cooperate truthfully and fully with the Company in connection with any and all existing or future investigations or litigation of any nature brought against the Company involving events that occurred during Employee’s employment with the Company. Employee agrees to notify the Company immediately if subpoenaed or asked to appear as a witness in any matter related to the Company. The Company will reimburse Employee for reasonable out-of-pocket expenses and, if approved in advance by the General Counsel of Kellogg, reasonable attorney’s fees incurred as a result of such cooperation.

          16. General.

               (a). Severability. If any provision of this Agreement is found by a court of competent jurisdiction to be unenforceable, in whole or in part, then that provision will be eliminated, modified or restricted in whatever manner is necessary to make the remaining provisions enforceable to the maximum extent allowable by law.

               (b). Successors. This Agreement shall be binding upon, enforceable by, and inure to the benefit of Employee and Kellogg, and Employee’s personal or legal representatives, executors, administrators, successors, heirs, distributees, devisees and legatees, and to any successor or assignee of Kellogg, but neither this Agreement, nor any rights, payments, or obligations arising hereunder may be assigned, pledged, transferred, or hypothecated by Employee.

               (c). Controlling Law and Venue. Employee agrees that the laws of the State of Michigan shall govern this Agreement. Employee also agrees that any controversy, claim or dispute between the parties, directly or indirectly, concerning this Agreement or the breach of thereof shall only be resolved in the Circuit Court of Calhoun County, or the United States District Court for the Western District of Michigan, whichever court has jurisdiction over the subject matter thereof, and the parties hereby submit to the jurisdiction of said courts.

               (d). Waiver. No claim or right arising out of a breach or default under this Agreement can be discharged by a waiver of that claim or right unless the waiver is in writing signed by the party hereto to be bound by such waiver. A waiver by either party hereto of a breach or default by the other party of any provision of this Agreement shall not be deemed a waiver of future compliance therewith and such provision shall remain in full force and effect.

               (e). Notices. All notices, requests, demands and other communications regarding this Agreement shall be in writing and delivered in person or sent by registered or certified mail, postage prepaid, return receipt requested, and properly addressed as follows:

To Kellogg:	Kellogg Company
	One Kellogg Square
	P.O. Box 3599
	Battle Creek, MI 49016
	Attention: General Counsel

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With a copy to:

Kellogg Company

One Kellogg Square

P.O. Box 3599

Battle Creek, MI 49016

Attention: General Counsel

                    To Employee: At the address set forth in the preamble of this Agreement.

          17. Entire Agreement/Amendment. Employee agrees that this Agreement, including any Exhibits attached hereto, constitutes the entire agreement between Employee and Kellogg, and that this Agreement supersedes any and all prior and/or contemporaneous written and/or oral agreements (including the agreements between Employee and the Company dated August 30, 2000, March 29, 2005, and July 23, 2007) relating to Employee’s employment with the Company and termination therefrom. Employee acknowledges that this Agreement may not be modified except by written document, signed by Employee and the General Counsel of Kellogg.

          18. Knowing and Voluntary Action. Employee acknowledges that Employee has been advised to consult an attorney before signing this Agreement. Employee further acknowledges that Employee has read this Agreement and any Exhibits attached hereto; has been given a period of at least twenty-one (21) days to consider this Agreement; understands its meaning and application; and is signing of Employee’s own free will with the intent of being bound by it. If Employee elects to sign this Agreement prior to the expiration of twenty-one (21) days, Employee has done so voluntarily and knowingly, without any improper inducement or coercion by the Company.

          19. Revocation of Agreement. Employee further acknowledges that Employee may revoke this Agreement at any time within a period of seven (7) days following the date Employee signs this Agreement. Notice of revocation shall be made in writing addressed to Kellogg in accordance with Paragraph 16(e) above. Such revocation must be received by Kellogg by the close of business of the first day following the end of the seven (7) day revocation period. This Agreement shall not become effective until after the time period for revocation has expired.

          IN WITNESS WHEREOF, the parties have executed and agreed to this Agreement.

EMPLOYEE	KELLOGG COMPANY
/s/ Jeffrey W. Montie Jeffrey W. Montie	By:	/s/ A.D. David Mackay A.D. David Mackay

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EX-99.1

Exhibit 99.1

	Media Contact:
	Kris Charles 269-961-3799
	Analysts Contact:
	Joel Wittenberg 269-961-2078

KELLOGG COMPANY ANNOUNCES EXECUTIVE CHANGES

BATTLE CREEK, Mich., Aug. 11, 2008 — Consistent with the company’s plans to achieve sustainable, dependable performance over the long-term, Kellogg Company (NYSE: K) today announced the promotion of several executives. These moves demonstrate the depth of talent and continuity among Kellogg’s Global Leadership Team.

     Brad Davidson, currently Senior Vice President, Kellogg Company and President, Kellogg U.S. Snacks and Canada, is promoted to Senior Vice President and President, Kellogg North America. Brad joined Kellogg in 1984. He has held a number of sales leadership positions in Canada and the U.S. and has been in his current role for five years. Under Brad’s leadership, the Kellogg Snacks business has been successfully transformed, achieving excellent results over the past several years. It is now one of the company’s largest business units.

     Paul Norman, currently Senior Vice President, Kellogg Company, and President, U.S. Morning Foods, is promoted to Senior Vice President and President, Kellogg International. Paul joined Kellogg in 1987 and has held leadership roles in Kellogg’s Canada, Mexico and U.K. businesses. Paul’s strategic guidance and insights have enabled Kellogg’s U.S. Morning Foods, Kashi and Frozen Foods businesses to achieve excellent growth during a very challenging cost-inflationary environment. His breadth of international and domestic experience will help accelerate and strengthen the company’s presence in rapidly growing, emerging markets.

     John Bryant, currently Executive Vice President, Chief Financial Officer and President, Kellogg North America, is promoted to Chief Operating Officer, Kellogg Company. John joined the company in 1998 and has led both the Kellogg North America and Kellogg International business units. He retains the title of Chief Financial Officer, Kellogg Company.

     “John’s in-depth knowledge about both the financial and operational elements of our business gives us great confidence in our ability to drive sustainable growth” said David Mackay, President and Chief Executive Officer, Kellogg Company. “He will assist our efforts tremendously as we seek to maintain our competitive stance in a highly challenging global economy.”

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     Jeff Montie, previously, Executive Vice President, Kellogg Company and President, Kellogg International, Global Innovation, Marketing and Sales has made the decision to leave the company.

     “Jeff has been a valued member of our global leadership team. His marketing talents and management abilities greatly benefited Kellogg throughout his more than 20-year career with the company,” Mackay said. “We are grateful for Jeff’s commitment to helping the company achieve global success. We wish him all the best as he moves forward.”

     The company also announced the following promotions:

     Juan Pablo Villalobos, currently Senior Vice President, Kellogg Company, and President, Latin America, is promoted to Senior Vice President and President, U.S. Morning Foods. During his 17 years with Kellogg, Juan Pablo has gained extensive knowledge of the company’s Latin American business. Under his leadership, the Latin American business unit has consistently achieved high single-digit growth.

     Todd Penegor, currently Chief Financial Officer, Kellogg Europe, is promoted to Vice President, Kellogg Company, and President, Kellogg U.S. Snacks, and will join the Global Leadership Team. Todd, who joined Kellogg in 2001, previously served as Chief Financial Officer for Kellogg’s Snacks for five years, giving him firsthand knowledge and understanding of the business.

     Mark Baynes, Global Chief Marketing Officer, is promoted to Global Chief Marketing Officer and Vice President, Kellogg Company, and joins the company’s Global Leadership Team. He is responsible for overseeing the company’s brand-building initiatives and ensuring that worldwide marketing efforts are closely linked to the company’s long-term, strategic growth objectives.

     Commenting on these moves, Mackay said, “These new assignments demonstrate the depth of our management bench and are part of our continuing commitment to growing talent from within the organization. The strength of our leadership team gives us great confidence in our ability to continue driving sustainable performance in a highly challenging environment.”

     The changes are effective immediately with a transition period. Additional announcements to fill the vacant positions will be made in the near future.

     With 2007 sales of nearly $12 billion, Kellogg Company (NYSE:K) is the world’s leading producer of cereal and a leading producer of convenience foods, including cookies, crackers, toaster pastries, cereal bars, frozen waffles, and meat alternatives. The company’s brands include Kellogg’s, Keebler, Pop-Tarts, Eggo, Cheez-It, Club, Nutri-Grain, Rice Krispies, Special K, All-Bran, Mini-Wheats, Morningstar Farms, Famous Amos, Ready Crust and Kashi. Kellogg products are manufactured in 19 countries and marketed in more than 180 countries around the world. For more information, visit the Kellogg Company web site at www.kelloggcompany.com.

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