1. -SACHINDHAKRAO

2. AGENDA Introduction Brands Brand Development Finance SWOT Brand Development Finance SWOT

4. Nestlé formed a company in India and set up its first factory in 1961 at Moga, Punjab

5. Presently the world's largest and most diversified food company

6. Vision : Being the best in everything they touch & handle

7. Mission : Continuously excel to achieve and maintain leadership position in the chosen businesses; and delight all stakeholders by making economic value additions in all corporate functions

8. It has seven factories spread across the country. All the factories comply with the Nestle Quality Management Systems and have been certified by independent and reputed extemal bodies as being compliant as well as aligned with the external Standard for Quality Systems ISO 9001, the Food Safety Management Standard ISO 22000, the Environment Management Standard ISO 14001 and the Occupational Health and Safety Management Standard OHSAS 18001Nestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

9. Nestlé’s Processing Units in India Choladi (Tamilnadu) 1967 Moga (Punjab) 1961 Ponda (Goa) 1995 Samalkha (Haryana) 1993 Nanjangud (Karnataka) 1989 Bicholim (Goa) 1997 Pantnagar (Uttaranchal) 2006 Nestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

10. Brands 1) Milk Products and Nutrition Nestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

11. Brands 2) Beverages Nestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

12. Brands 3) Prepared Dishes and Cooking Aids Nestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

13. Brands 4) Chocolates and Confectionery Nestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

15. Delighting the consumer and developing products that enhance accessibility to nutrition.

16. ‘MAGGI’ brand pioneer of ‘Taste Bhi Health Bhi’

17. Completed 25 years – launched ‘Me and MeriMaggi’ – emotional relationship with consumer.

18. Instead of brand taking to consumers, allowed the consumers to talk abut their unique experience with the MAGGI & made consumer hero of communication.

19. MAGGI demonstrated its DNA and pioneered several new products specially for BOP

20. e.g. MaggiBhunaMasala– Low level of oil without andy added preservative , MaggiNutri-liciousPazzta– 100% made from Suzi (source of protein and Fibre), MaggiMasala-ae-Magic – a unique fortified taste enhancer, fortified with Iron, Iodine & Vitamin ANestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

22. Nestlé is the value leader in Instant Coffee with NESCAFÉ . Year 2009 was challenging for coffee business due to adverse climatic & weather conditions that were experienced in India

23. The business-group focused its efforts across the value chain, innovated and renovated to launch new products, along with strong in-store activities and impactful advertising campaigns

24. NESCAFÉ Cuppuccinohad a successful start, popularly priced pack supported the growth

25. South the limited edition NESCAFE SUNRISE Rich Mountain Blend received very good feedback and despite the challenging environment NESCAFE performed satisfactorily, achieving volume and market share growth in India.Nestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

27. Nestlé believes sweet snacking is an intrinsic part of people's lives

28. 2009 undertaken innovation and renovation to continue to delight the consumers and has grown the market for 'lighter eating‘ , now leader in the wafer-choco layer segment of the 'Chocolate and Confectionery' business

29. NESTLE KITKAT was relaunched with an improved taste delivery making it more chocolaty and crispy and to further improve penetration NESTLE KITKAT was also launched in a new unique single finger format at the price point of Rs. 5/-

30. NESTLE MUNCH saw the launch of the GURU pack at the higher price point of Rs.10/- and this coupled with the reintroduction of NESTLE CHOTU MUNCH at the price point of Rs. 2/- contributed to the brand performanceNestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

32. In recent years NESTLE MILKYBAR with its strong communication supported with successful innovations has continued to lead the growth in white confectionary segment

33. During the year, the portfolio was further extended with the launch of NESTLE MILKYBAR CHOKO CHOO (a unique combination of a brown centre enrobed in white choco-Iayer) and NESTLE MILKYBAR Crispy, leveraging the Company's leading position in the white confectionary segment

34. Company also became the leader in the Eclairs category with NESTLE ECLAIRS, and in the mint segment NESTLE POLO continued to grow its market shareNestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

35. Financial Analysis Source : Nestlé Annual Report Nestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

36. Financial Analysis Source : Nestlé Annual Report Nestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

38. A strong focus on innovation and a sharpening of focus on health and wellness is helping to sustain this growth

39. Nestle has a unique advantage as its parent has the largest R&D budget in the entire processed food industry globallyNestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

41. Maggicontinues to be a key volume driver for Nestle with 21.7% volume growth and 60% of incremental volumes for the company.

42. Milk Products & Nutrition volumes grew13.1%, or 300bp YoY.

43. Beverage volumes fell3.1% due to a decline in coffee exports and the slow down impact on institutional sales in the out of home business.

44. Chocolate and confectionery volumes grew 9.7% as a grammage cut in chocolates and frequent pack size changes impacted growth. Estimated that 16.7% CAGR in volumes over CY09-11 with all segments contributing to growth.Source: Company/MOSL Nestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

46. MARKET CAP - 7.0B

47. TOTAL REVENUE - 56.1B

48. EBITDA - 10.6BSource: Company/MOSL Nestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

50. Strong support from its parent company

51. The world’s largest processed food and beverage company

52. Strong brands like Nescafe, Maggi and KitKat

53. Continuously introducing new products for its Indian patrons on a frequent basis, thus expanding its product offeringsNestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

55. Complex supply chain managementNestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

57. Expansion- potential to expand to smaller towns and other geographies

58. Product offerings- The company has the option to expand its product folio by introducing more brands

59. Global hub- Cheaper manufacturing facility at India than in other parts of the worldNestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

61. Competition- immense competition from the organized as well as the unorganized sectors

62. Changing consumer trends- increased consumer spending on consumer durables resulting in lower spending on FMCG products

63. Sectored woes- Rising prices of raw materials and fuels, and interns, increasing packaging and manufacturing costsNestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

65. Initiated implementation of ‘Radio Frequency’ technology help to maintain higher inventory accuracy and improve traceability of materials, increasing efficiency and productivity in the warehouses and shop-floors.

66. Started implementation of a Nestle Group initiative under Nestle Continuous Excellence umbrella to improve business alignment, to focus on waste elimination and to improve employee visibility of company as a preferred employer.

67. Implementing an advanced sales automation, to connect distributors through a uniform, robust and integrated distribution management system, will increase transparency, speed, accuracy and efficiency in trade spends and market execution as the sales force will focus more on core functionsNestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

69. Its brands include Spert, Optifast and Resource, which are high end nutritional products targeting specific consumer and therapeutic needs.

70. This will consolidate Nestlé’s position in the health nutrition segmentNestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

71. Competitors Nestlé Brands Competitors Development Finance Acquisition SWOT Supply Chain

73. www.ibef.org

74. Nestle Annual report

76. Questions