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UPDATE 1-Mondelez, D.E. Master Blenders to combine coffee businesses

(Adds details on results, cost cutting program, shares)

May 7 (Reuters) - Mondelez International Inc and Dutch coffee and tea company D.E Master Blenders 1753 BV said on Wednesday they would combine their coffee businesses, as the U.S. company focuses on snacks such as Cadbury chocolate and Oreo cookies.

Mondelez, which also announced a $3.5 billion cost-cutting program, said it would receive about $5 billion and a 49 percent stake in a new coffee company controlled by D.E Master Blenders that would have annual revenue of more than $7 billion.

Mondelez's coffee business generated about $3.9 billion in revenue in 2013, or about 11 percent of total revenue. D.E Master Blenders' coffee business had sales of about $3.4 billion.

Mondelez will contribute its Jacobs, Carte Noire, Gevalia, Kenco, Tassimo and Millicano brands to the new company, to be called Jacobs Douwe Egberts. D.E Master Blenders 1753 brands include Douwe Egberts, L'OR,Pil√£o and Senseo.

The new company does not include Mondelez's coffee business in France. Acorn Holdings BV, the owner of D.E Master Blenders, has made a binding offer for that business.

Acorn Holdings is owned by an investor group led by Germany's Joh A Benckiser Holding Co SARL, the investment vehicle of the Reimann family.

Mondelez, whose shares were up 5.8 percent before the start of trading on the Nasdaq, also reported a better-than-expected first-quarter adjusted profit of 39 cents per share.

Analysts had expected earnings of 35 cents per share, according to Thomson Reuters I/B/E/S.

Net revenue fell 1.2 percent to $8.64 billion, in line with the average estimate. Organic net revenue, which strips out acquisitions and other items, rose 2.8 percent.

Shares of Mondelez, which comprises the former snacks and food brands of the former Kraft Foods, closed at $35.22 on Tuesday.

D.E Master Blenders was spun off from Sara Lee Corp in 2012, before Sara Lee changed its name to Hillshire Brands Co.

(Reporting by Siddharth Cavale and Maria Ajit Thomas in Bangalore; Editing by Sriraj Kalluvila and Ted Kerr)