Welcome to the

Nine-Month Sales
Conference
Nine-Month Sales
Conference

Paul Bulcke
Nestlé CEO
2010 2011 2012 2013

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Nine-Month Sales
Conference

Wan Ling Martello

Chief Financial Officer
 This presentation contains forward looking
statements which reflect Management’s current
views and estimates. The forward looking
statements involve certain risks and
Disclaimer uncertainties that could cause actual results to
differ materially from those contained in the
forward looking statements. Potential risks and
uncertainties include such factors as general
economic conditions, foreign exchange
fluctuations, competitive product and pricing
pressures and regulatory developments.

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 • Sales up 4.0% to CHF 68.4 billion

• Organic growth of 4.4%

Highlights
• Real Internal Growth 3.0%

• All geographies contributing to positive growth

• Outlook confirmed: around 5% organic growth with

an improvement in margins and underlying
earnings per share in constant currencies

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 6.6
5.6 5.6
Operating 5.2 5.1
4.4
4.0
Segments
2.1 2.0 2.1
1.5
0.7

Zone Zone Zone Nestlé Nestlé Other

Europe Americas AOA Waters Nutrition

Sales 11.4 20.8 14.1 5.7 7.5 9.0

CHF bn
rounded
% OG % RIG

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 6.9
6.1
5.0 5.0
Product 4.4
3.5
3.9

Categories 2.3

0.5
0
Powdered & Milk Products Prepared Dishes Confectionery PetCare
Liquid Beverages & Ice Cream & Cooking Aids

Sales 15.0 13.2 10.3 7.2 8.3

CHF bn
rounded
% OG % RIG

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 6.9

5.8
5.1

Regional % OG

Performance % RIG
1.9 2.0

0.9

Europe Americas AOA

Sales 18.7 29.6 20.0

CHF bn
rounded

Each region includes Zones, Nestlé Waters, Nestlé Nutrition, Nestlé Professional, Nespresso and NHSc,

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Europe
Region* Sales CHF 18.7 bn
OG 0.9%
RIG 1.9%

Zone Sales CHF 11.4 bn

OG 0.7%
RIG 2.1%

*Figures include Zones, Nestlé Waters, Nestlé Nutrition, Nestlé Professional, Nespresso and NHSc

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Americas
Region* Sales CHF 29.6 bn
OG 5.1%
RIG 2.0%

Zone Sales CHF 20.8 bn

OG 5.2%
RIG 1.5%

*Figures include Zones, Nestlé Waters, Nestlé Nutrition, Nestlé Professional, Nespresso and NHSc

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Asia, Oceania & Africa
Region* Sales CHF 20.0 bn
OG 6.9%
RIG 5.8%

Zone Sales CHF 14.1 bn

OG 5.6%
RIG 5.1%

*Figures include Zones, Nestlé Waters, Nestlé Nutrition, Nestlé Professional, Nespresso and NHSc

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 • Broad based performance – all regions and
Summary categories contributing

• Growth momentum continues

• Outlook confirmed: around 5% organic growth with

an improvement in margins and underlying
earnings per share in constant currencies

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Enhancing our
competitiveness
to drive performance

Paul Bulcke
Nestlé CEO
 EBIT (in % NPS)
TOP margin (in % NNS)
14.6 14.8
14.3 15.0 15.2
14.0
14.4
12.9 13.5

Delivering 12.5 12.6

over time 7.4

8.3
7.5 10 year
6.2 6.2 6.2 Average
5.9
5.1
OG
4.5 + 6.1%
Nestlé Model 4.1

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

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 Competitive Growth
advantages Nutrition, drivers
Health and
Wellness Emerging
People
Consumers

Worldwide
Out-of-home
presence

Our Roadmap
Our ambition
Research and is to be the leader in Nutrition, Premiumisation
development Health and Wellness,
Driving and the reference
for financial performance,
performance trusted by all stakeholders

Consumer
Portfolio engagement

Innovation Presence
Operational
efficiency Operational
pillars

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New Reality

Many
challenges

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New Reality

Many
opportunities

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 Grasp
Make choices
opportunities

Engage with
Our priorities Value what
consumers value
the community
and stakeholders

Have
Embrace digital
the best people

Expand
the boundaries of nutrition

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 Strengthening portfolio
Focus on…
Allocating resources

Mastering complexity

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 Strengthening portfolio
Focus on…
Allocating resources

Mastering complexity

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R&D and
Innovation

60/40 +
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 Portfolio
management

Acquisitions

M&A
2001 2007 2010 2011 2012

2000 2003 2004 2009 2010 2012

South Africa

Divestitures

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 Portfolio management

Scope Criteria Decisions

Strengthening 1800 cells • Strategic fit

• Products • Profitable • Invest ?
Drive
portfolio • Brands growth • Fix ?
• Categories • Resource • Divest ? returns
• Markets intensity

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 Strengthening portfolio
Focus on…
Allocating resources

Mastering complexity

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Investing for
growth

Capabilities

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Investing for
growth

Capacities

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A strong
global
presence

Factories R&D Factory: new/expansion New R&D Illustrative

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Capital
Expenditure
5%

Return

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 Strengthening portfolio
Focus on…
Allocating resources

Mastering complexity

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 Category Geography

Europe Americas Asia

Powdered and Liquid Beverages
Oceania
Water Africa

Milk products and Ice cream

Nutrition and HealthCare

Prepared dishes and Cooking aids

Mastering Confectionery

PetCare

complexity Nestlé Waters

Globally Managed Nestlé Nutrition

Businesses
Nestlé Professional

Nespresso

Nestlé Health Science (NHS)

Separately governed
operations Joint Ventures F&B: CPW (Cereals), BPW (Beverages)

Joint Ventures Pharma: Galderma, Inneov

GLOBE, NCE, NBS,…

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Mastering
complexity

From size... to scale… to competitive advantage

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 Strengthening portfolio
Enhancing our
competitiveness
Allocating resources
to drive
performance
Mastering complexity

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 Enhancing our competitiveness to drive performance

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Appendix

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 CHF per 9m 2012 9m 2013 (%)*

US Dollar (1) 0.94 0.94 -0.5

Weighted Euro (1) 1.20 1.23 +2.3
Average
£ Sterling (1) 1.48 1.45 -2.6
Exchange Rates
Real (100) 49.06 44.29 -9.7

Mex. Peso (100) 7.11 7.38 +3.8

Yen (100) 1.18 0.97 -18.1

* % rounded

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 (%) 1Q 2013 HY 2013 9m 2013

Zone Americas -2.6 -2.4 -4.4

FX Impact on All Zone Europe +1.2 +1.3 +0.9

Businesses Zone AOA -1.0 -1.4 -3.7

Nestlé Nutrition -1.9 -1.8 -3.9

Nestlé Waters +0.9 +0.8 -0.4

Other +0.2 +0.3 -1.0

Total -0.9 -0.9 -2.5

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