Check out Kraft’s cash hoard.

Kraft had almost $3 billion of cash on its books at the end of the third quarter, roughly four times what it had a year ago.

The world’s second-largest food maker might have disappointed
analysts with its third quarter sales and a profit outlook that implied a weaker-than-expected fourth quarter.  But when it comes to its battle to win Cadbury, at least the company is generating cash – expenses cuts helped Kraft generate $2.7 billion in cash in the first 9 months of 2009.

Also, Reuters Loan Pricing Corp reported on Tuesday that Kraft has arranged $9 billion in financing for a bid.

Sources have told Reuters that Kraft is not likely to raise its initial bid for Cadbury if it makes a formal offer by the Nov. 9 deadline. But analysts do think that shifting the offer to more cash and less Kraft stock — which is down 3 percent on Wednesday after the company posted lackluster third-quarter sales — could be a step in the right direction.

Also in the basket:

Warnaco beats estimates; Liz Claiborne misses

Molson Coors higher profit tops view, shares rise

M&S sees no repeat of blanket pre-Christmas promotions

Talking shop with Isaac Mizrahi (WWD)

(Reuters photo)