Kraft Foods Fact Sheet

7
2009 Fact Sheet

Transcript of Kraft Foods Fact Sheet

Page 1: Kraft Foods Fact Sheet

2009 Fact Sheet

Page 2: Kraft Foods Fact Sheet

The New Kraft Foods at a Glance/2009 Consumer Sector Data

$48.1Total

Snacks $ 10.4 22%

Beverages $ 8.3 17%

Cheese $ 6.8 14%

Grocery $ 4.1 8%

Convenient Meals

$ 4.8 10%

www.kraftfoodscompany.com

Confectionery and Snacks now make up the majority of our portfolio.*

Grocery 8%

Convenient Meals10%

Snacks 22%

Confectionery 29%

Cheese 14%

Beverages 17%

*2009ProFormanetrevenues$48billionarebasedontheacquisitionofCadburyplcandthedivestitureofthePizzabusiness.Seereconcilingschedule.

More than half of our business is outside North America.*

Developing Markets26%

North America49%

Europe25%

Pro Forma Net Revenuesin Billions*

Percentage of Pro Forma Net Revenues*

Confectionery $ 13.7 29%

Page 3: Kraft Foods Fact Sheet

The combination of Kraft Foods and Cadbury creates a global powerhouse in snacks, confectionery and quick meals.

Top Institutional Holders* (Shares in Millions)

Name Shares* % of KFT**Berkshire Hathaway Inc. 138.3 8.0%State Street Global Advisors (U.S.) 73.7 4.3%Capital Research Global Investors 59.8 3.5%Capital World Investors 58.9 3.4%BlackRock Institutional Trust Company, N.A. 51.7 3.0%Vanguard Group, Inc. 50.2 2.9%Van Kampen Asset Management 23.8 1.4%T. Rowe Price Associates, Inc. 15.1 0.9%Northern Trust Investments, N.A. 12.4 0.7%Aberdeen Asset Managers Ltd. 12.0 0.7% *As of December 31, 2009 per 13F filings**Based on shares outstanding as of March 11, 2010

• Wearetheworld’ssecondlargestfoodcompanywithannualrevenuesof$48billion.

• Millionsoftimesaday,inmorethan160countries,consumersreachfortheirfavoriteKraftFoodsbrands. And, in the U.S., our products are present in more than 99 percent of households.

• Weproudlymarket11brandswithrevenuesexceeding$1billion,including:Kraft, Jacobs, LU, MaxwellHouse, Cadbury, Trident, Milka, Nabisco and its Oreo brand, Philadelphia, and Oscar Mayer.Approximately70brands haverevenuesgreaterthan$100million.Morethan40ofourbrandsareatleast100yearsold.

• Morethan80percentofourrevenuescomefromproductsthatholdtheNo.1sharepositionintheirrespective categories. And, more than 50 percent of our revenue is driven by categories where our market share is twice the size of the nearest competitor.

• Wemakeadeliciousdifferencebyfightinghungerandsupportinghealthylifestyles.Overthepast25years, we’vedonatednearlyabilliondollarsincashandfood.

• OurcompanyisamemberoftheDowJonesIndustrialAverage,Standard&Poor’s500,theDowJones SustainabilityIndexandEthibelSustainabilityIndex.Tolearnmoreaboutoursustainabilityinitiatives, visit http://kraftfoodscompany.com/About/sustainability.

Page 4: Kraft Foods Fact Sheet

Our Strategies for Growth

The Company defines Free Cash Flow as Net Cash provided by Operating Activities less CapitalExpenditures.NetCashprovidedbyOperatingActivitieswas$3.6,$4.1and$5.1billionfor2007through2009,respectively.CapitalExpenditureswere$1.2,$1.4and$1.3billion for 2007 through 2009, respectively.*

*Totals may not sum due to rounding.

NetRevenues(US$ in Billions)

$41.9

$35.9

200920082007

$40.4

$2.8

$2.3

200920082007

FreeCash Flow(US$ in Billions)

$3.8

$1.90$1.70

200920082007

DilutedEarningsPer Share

$2.03

$1.12$1.04

200920082007

DividendsPer Share

$1.16

Drive down costs without compromising

quality

Build a high-performing organization

Reframe our categories

Exploit our sales

capabilities

Weunderstandthatactionsspeaklouderthanwords,soatKraftFoods:

•Weinspiretrust.•Weactlikeowners.•Wekeepitsimple.•Weareopenandinclusive.

•Wetellitlikeitis.•Weleadfromtheheadand the heart.•Wediscuss.Wedecide.Wedeliver.

www.kraftfoodscompany.com

Page 5: Kraft Foods Fact Sheet

www.kraftfoodscompany.com

Financial Highlights Consolidated Results

Selected Financial Data - Three Year Review (in millions of dollars, except per share and employee data)

Summary of Operations: 2009 2008 2007 Netrevenues $40,386 $41,932 $35,858Costofsales 25,786 28,088 23,656Operatingincome 5,524 3,843 4,176Operatingmargin 13.7% 9.2% 11.6%Interestandotherexpense,net 1,237 1,240 604Earningsfromcontinuingoperationsbeforeincometaxes 4,287 2,603 3,572Provisionforincometaxes 1,259 755 1,080Earningsfromdiscontinuedoperations,netofincometaxes - 1,045 232Net earnings 3,028 2,893 2,724 Noncontrolling interest 7 9 3 Net earnings attributable to Kraft Foods 3,021 2,884 2,721 BasicEPSattributabletoKraftFoods: Continuingoperations 2.04 1.22 1.56 Discontinued operations - 0.70 0.15 Net earnings attributable to Kraft Foods 2.04 1.92 1.71 DilutedEPSattributabletoKraftFoods: Continuingoperations 2.03 1.21 1.56Discontinuedoperations - 0.69 0.14 Net earnings attributable to Kraft Foods 2.03 1.90 1.70 Dividendsdeclaredpershare 1.16 1.12 1.04Dividendsdeclaredasa%ofBasicEPS 56.9% 58.3% 60.8%Dividendsdeclaredasa%ofDilutedEPS 57.1% 58.9% 61.2%Weighted-average shares - Basic 1,478 1,505 1,591 Weighted-averageshares-Diluted 1,486 1,515 1,600 Net cash provided by operating activities 5,084 4,141 3,571 Capitalexpenditures 1,330 1,367 1,241Free cash flow* 3,754 2,774 2,330 Depreciation 905 963 873Property,plantandequipment,net 10,693 9,917 10,778Inventories, net 3,775 3,881 4,238 Totalassets 66,714 63,173 68,132Long-term debt 18,024 18,589 12,902 Total debt 18,990 20,251 21,009 Total long-term liabilities 29,251 29,773 23,574 TotalKraftFoodsShareholders’Equity 25,876 22,295 27,407Totalequity 25,972 22,356 27,445Book value per common share outstanding 17.51 15.18 17.87 Market price per Common Stock share - high / low 29.84-20.81 34.97-24.75 37.20-29.95ClosingpriceofCommonStockatyearend 27.18 26.85 32.63Price / earnings ratio at year end - Basic 13 14 19 Price / earnings ratio at year end - Diluted 13 14 19 Sharesoutstandingatyearend 1,478 1,469 1,534 Number of employees 97,000 98,000 103,000

*TheCompanydefinesFreeCashFlowasNetCashprovidedbyOperatingActivitieslessCapitalExpenditures.

Page 6: Kraft Foods Fact Sheet

Net Revenues by Consumer Sector for the Twelve Months ended December 31, 2009($ in millions, except percentages) (Unaudited)

Confectionery $4,638 $9,090 $13,728 12.0% 28.5%

Snacks 10,404 27 10,431 26.9% 21.7%

Beverages 8,029 246 8,275 20.7% 17.2%

Cheese 6,796 - 6,796 17.5% 14.1%

ConvenientMeals 4,816 - 4,816 12.4% 10.0%

Grocery 4,071 - 4,071 10.5% 8.5%

Kraft Foods $38,754 $9,363 $48,117 100.0% 100.0%

* Kraft Foods acquired Cadbury plc on February 2, 2010. Cadbury pro forma data, shown above, is adjusted from IFRS to U.S.GAAPandtranslatedtoUS$fromlocalcountries’currencies.

Reconciliation of Pro Forma Net Revenues

As RevisedAcquisition of Cadbury plc*

Pro Forma Combined* As Revised

Pro Forma Combined*

Corporate Offices Kraft Foods Inc. Three Lakes Drive Northfield,IL60093

Investor Relations [email protected] 1-847-646-5494 www.kraftfoodscompany.com/investor

Media [email protected] 1-847-646-4538

Key Contacts

Transfer Agent Investment Plan for Kraft Foods c/o Wells Fargo Shareowner Services P.O.Box64874 St.Paul,MN55164-0874 [email protected] 1-866-655-7238Consumers

[email protected] 1-800-323-0768

www.kraftfoodscompany.com

Net Revenues Percentage of Net Revenues

Page 7: Kraft Foods Fact Sheet

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raft

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apan

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raft

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ryst

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ight

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mar

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197

3.

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int

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with

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8 Kra

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nc. b

ecom

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par

t of

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. whi

ch

purchasesKraftfor$12.9billion.

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chas

es

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eral

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