Kraft Heinz pauses work to split the company as new CEO says ‘challenges are fixable’

Kraft Heinz on Wednesday said that it is pausing work on its previously announced plans to split the company.

Shares of the company fell 6% in premarket trading.

CEO Steve Cahillane, who joined Kraft Heinz in January, said in a statement that many of the company’s issues are “fixable and within our control.”

“My number one priority is returning the business to profitable growth, which will require ensuring all resources are fully focused on the execution of our operating plan,” he said. “As a result, we believe it is prudent to pause work related to the separation and we will no longer incur related dis-synergies this year.”

Kraft Heinz also plans to invest $600 million to fuel a turnaround of its U.S. business. The company plans to spend the money on its marketing, sales, and research and development. The investment will also go towards “product superiority and select pricing,” according to Cahillane.

In September, the company announced plans to split, reversing much of the blockbuster $46 billion merger from a decade ago that created one of the biggest food companies in the world.

Warren Buffett, who helped mastermind the deal, said that he was disappointed in the decision. Berkshire Hathaway has since taken a formal step toward unwinding its 28% stake in Kraft Heinz.

In December, Kraft Heinz announced Cahillane’s hiring. He previously led Kellogg through its own breakup and then headed spinoff Kellanova until its sale to Mars.

This is breaking news. Please refresh for updates.