Feb. 26--Executives at Cadbury are set to embarrass Britain's fat cat bankers.

They are voluntarily freezing their salaries despite another successful year in which profits grew 30pc.

Chief executive Todd Stitzer said: "I and my fellow directors will be taking a freeze on our annual salaries in 2009, but we had a strong year in 2008 and there will be bonuses."

The hike in profits, up from £254m to £400m, has enabled Cadbury to join an elite band of recession-resilient firms who are actually increasing full year dividends.

Cadbury recommended a final dividend of 11.1p which takes the full year payout up 6pc to 16.4p.

It plans to maintain its progressive dividend policy paying out a ratio of between 40pc to 50pc of underlying earnings.

Sales of its Dairy Milk, Crunchy, Wispa, Green & Blacks and Trident remained resilient despite the deepening recession and the shares rose 20p to 529p.

"Consumers spending more time at home and stocking up on chocolate and other affordable luxuries has prompted strong revenue growth and significant improvement in operating margin," Stitzer said.

"But the impact of fewer trips to the supermarkets and less travel has had an impact on gum."

Investors ignored a warning from Stitzler that the business is not immune from the bitter economic environment.

While underlying sales growth rose 7.4pc the Cadbury chief warned that targets for 2009 would have to be trimmed.

"We expect to deliver revenue growth around the lower end of our 4-6pc goal range and to make good progress towards our goal of midteens margins by 2011," he said.

It will use the forthcoming sale of its Australian drinks business to pay down its next debt repayment of £537m due in June.

Net debts have shrunk from £3.2bn to £1.9bn following last year's spin off the Dr Pepper drinks business.

A TINY Aim company looks set to beat Cadbury, Mars and Hershey to bag a landmark deal in China. Confectioner Sweet China has signed a letter of intent with the state- owned Guan Sheng Yuan that should result in a fullblown distribution agreement.

SWC (flat at 2 3/4p) is trying to raise the cash needed cash to finance the new operation.

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