Cadbury will not suffer lasting damage to its reputation following two major product recalls in less than a year, chief executive Todd Stitzer insisted this week.

Stitzer told The Grocer the cost of recalling Easter eggs earlier this month due to incorrect nut allergy labelling was "immaterial".

He refused to be drawn on the investigations into the discovery of salmonella at its Marlbrook plant - though he admitted the resulting recall last June cost the company £35m, £5m more than the predicted £30m.

But he added: "Will the two recalls affect customer confidence? No. If you look at consumer activity during last year's recall, it was high going into the recall, it dropped and it's now back at the high levels it was before the recall."

He was speaking as

Cadbury revealed 2006 pre-tax profit fell 12% to £738m on sales up 4% at £6.63bn.