Method and apparatus (50) for reducing food products (96). The apparatus (50) includes a casing (62), an impeller (60) adapted for rotation within the casing (62), and a cutting device (82). The casing (62) has axial and circumferential openings (66,68) for product (96) entering and exiting, respectively, the casing (62). The impeller (60) includes a drum (72), paddles (74) mounted to the drum (72), and pockets defined by and between adjacent pairs of paddles (74) that are radially aligned with the circumferential opening (68) of the casing (62) as each pocket travels past the circumferential opening (68). The cutting device (82) includes a knife (84) disposed at the circumferential opening (68) of the casing (62) and oriented perpendicular to the axis of the impeller (60). The knife (84) lies on a sector of the casing (62) and has a cutting edge (85) located within an interior of the casing (62) so that the knife (84) extends into the path of the paddles (74) and passes through relief slots (90) defined in the paddles (74) as the impeller (60) rotates.