Italian confectioner Ferrero, known for brands like Nutella and Kinder, is buying the century-old U.S. cereal company WK Kellogg in a deal valued at approximately $3.1 billion. Kellogg was founded in Battle Creek, Michigan, in 1906. It makes Froot Loops, Special K, Frosted Flakes and Rice Krispies. Kellogg has been struggling with falling U.S. cereal consumption as consumers opt for protein bars and other products. But industry watchers say its large distribution network and relations with grocers are appealing to Ferrero. The deal still needs the approval of WK Kellogg's shareholders.