February 2/Downers Grove, Ill./Wall Street Journal -- Surging sales at Sara Lee Corp.'s European beverage business helped to offset various charges and weak meat sales in North America. Even so, the package-food company's second-quarter earnings fell 44%.
Like other consumer-product makers, Sara Lee has raised prices in response to higher commodity costs. However, cost-cautious shoppers pushed back, causing Sara Lee's sales volume to decline. The company has said it will look to increase its market share by introducing new products, rather than lowering prices.