Slide 1: Introduction to Nestlé in the USA
Introduction to Nestlé in the USA Joe Weller NestléNestlé Investor Seminar Seminar : Joe Weller Investor Name of chairman
Slide 2: Forward looking statements
This presentation contains forward looking statements which reflect Management’s current views and estimates. The forward looking statements involve certain risks and uncertainties that could cause actual results to differ materially from those contained in the forward looking statements. Potential
Slide 3: 2001 sales by segment
2001 sales by segment Nestlé S.A.: $57.2 BN Nestlé in the USA: $11.1 BN Excluding Alcon and Waters $6.6USA NICC USA $0.7 $1.2 Beverage $3.8 NPPC USA Confections $1.8 $0.7 NICC USA $1.5 Alcon USA $2.1 $3.8 Waters USA NPPC USA $1.8 Foreign Prepared Trade $0.3 Foods $42.5 Non - USA $0.6 $0.8 Nutrition
Slide 4: Corporate development: sales and strategic acquisitions
Corporate development Chef America $12 Purina 11 Strategic acquisitions Häagen Dazs 10 PowerBar Sales (Billions) Ortega 9 Alpo 8 Sunmark Kathryn Beich 7 Carnation David & Sons Sweet Success & Potatoes 6 Hills Bros. MJB Roast & Ground Coffee Stouffer 5 Libby’s canned meats 4 Nestle Contadina Tomato i
Slide 5: Major food companies 2001 US sales
Major food companies 2001 US sales 30 25.1 25 21.9 Sales ($BN) 20 15.2 15 1.4 Dryers 12.4 0.6 ChefAmerica 10.1 2.1 Waters 10 0.7 NICC 6.7 3.8 NPPC 5 6.6 Nestlé USA Divisions 0 Nestlé in the Unilever Con Agra Kraft General Sara Lee Mills USA The 2002 reported sales of the US companies will be reduced
Slide 6: Nestlé Investor Seminar : Joe Weller Name of chairman
Nestlé Investor Seminar : Joe Weller Name of chairman
Slide 7: Nestlé Investor Seminar : Joe Weller Name of chairman
Nestlé Investor Seminar : Joe Weller Name of chairman
Slide 8: Renovation / Innovation, Product Availability, Consumer Communications
Renovation / Innovation Product Availability Consumer Communications Low Cost – Highly Efficient Operations Nestlé Investor Seminar : Joe Weller Name of chairman
Slide 9: Culture and culture drivers
CULTURE CULTURE DRIVERS Fast and performance driven, Teamwork Consumer and customer focused, Alignment Competitive on the outside, Passion United and aligned on the inside. Balance Nestlé Investor Seminar : Joe Weller Name of chairman
Slide 10: BEST & GLOBE
BEST & GLOBE Nestlé Investor Seminar : Joe Weller Name of chairman
Slide 11: Nestlé Investor Seminar : Joe Weller Name of chairman
Nestlé Investor Seminar : Joe Weller Name of chairman
Slide 12: Sales growth, RIG and EBITA growth averages
’98 – ’01 ’93 – ’97 Average Average Sales growth + 4.7% + 1.3% RIG + 4.5% - 0.5% EBITA growth +11.7% + 0.3% Advertising % sales + 3.5% + 3.0% PFME % sales + 9.3% + 8.0% Nestlé Investor Seminar : Joe Weller Name of chairman
Slide 13: Number of Factories
80 Fewer factories = 70 big gains in Number of Factories 60 factory utilization 40 34 20 0 1991 2001 Does not include Purina Nestlé Investor Seminar : Joe Weller Name of chairman
Slide 14: Target 2004
Target 2004 Nestlé Investor Seminar : Joe Weller Name of chairman
Slide 15: The favorable evolution of COGS continues
The Favorable evolution of COGS continues Annual factory costs reduced $USD mio by $586 million by 2004 $700 586 586 $600 521 $500 451 $400 371 371 275 $300 190 $200 109 96 85 80 70 65 $100 43 43 66 81 $0 1997 1998 1999 2000 2001 2002 2003 2004 MH 97 TARGET 2004 Annual Incremental Savings Cumulative
Slide 16: Target 2004 Improving Customer and Channel Contribution
Target 2004 Improving Customer and Channel Contribution Nestlé Investor Seminar : Joe Weller Name of chairman
Slide 17: Target 2004: Project Fitness
Target 2004 Improving Customer and Channel Contribution Project Fitness Nestlé Investor Seminar : Joe Weller Name of chairman
Slide 18: Target 2004: Manufacturing consolidation
Target 2004 Improving Customer and Channel Contribution Project Fitness Manufacturing consolidation Nestlé Investor Seminar : Joe Weller Name of chairman
Slide 19: Nestlé Investor Seminar : Joe Weller Name of chairman
Nestlé Investor Seminar : Joe Weller Name of chairman
Slide 20: Fortune names Nestlé America's Most Admired Food Company
Fortune Magazine names Nestlé America’s Most Admired Food Company 2001 1. 1.Nestlé NestléUSA USA 2. 2.General GeneralMills Mills 3. 3.Sara SaraLee Lee 4. 4.HJ HJHeinz Heinz 5. 5.ConAgra ConAgra 2000 1999 1998 1997 1.1.Nestlé NestléUSA USA 1.1.Nestlé NestléUSA USA 1.1.Nestlé NestléUSA USA 1.1.Nestlé
Slide 21: Nestlé Investor Seminar : Joe Weller Name of chairman
Nestlé Investor Seminar : Joe Weller Name of chairman
Slide 22: Nestlé Investor Seminar : Joe Weller Name of chairman
Nestlé Investor Seminar : Joe Weller Name of chairman
Slide 23: Nestlé Investor Seminar : Joe Weller Name of chairman
Nestlé Investor Seminar : Joe Weller Name of chairman
Slide 24: Nestlé Investor Seminar : Joe Weller Name of chairman
Nestlé Investor Seminar : Joe Weller Name of chairman
Slide 25: Nestlé Investor Seminar : Joe Weller Name of chairman
Nestlé Investor Seminar : Joe Weller Name of chairman
Slide 26: Nestlé Investor Seminar : Joe Weller Name of chairman
Nestlé Investor Seminar : Joe Weller Name of chairman
Slide 27: Nestlé Investor Seminar : Joe Weller Name of chairman
Nestlé Investor Seminar : Joe Weller Name of chairman
Slide 28: Introduction to Nestlé in the USA
Introduction to Nestlé in the USA NestléNestlé Investor Seminar Seminar : Joe Weller Investor Name of chairman