May I first and foremost thank you for the confidence you have placed in me.

I set off for Peru, with my wife and very young children, almost 30 years ago. Back then, a modest trainee with the Sales Department, I was very far from imagining that one day I would face the great responsibility that will be mine at the close of this Shareholders’ Meeting.

In the intervening years, I have lived and worked in seven different countries, and have been privileged to come to know our Company very well: its modus operandi and its system of values in particular. At a personal level, I can identify strongly with Nestlé. As Helmut Maucher, our Honorary Chairman, said: ours is a company in which the focus will always be on people and products, rather than on systems. Furthermore, our principles and practice have always combined long-term strategy with vigorous action in the short term.

I shall be taking the helm of a company that is in superb shape, a company that knows where it is going, and how to get there
Paul Bulcke, CEO Nestlé S.A

Ladies and Gentlemen, I look forward to assuming my new mission. I shall be taking the helm of a company that is in superb shape, a company that knows where it is going, and how to get there. Nestlé has enjoyed extraordinary growth under the leadership of Peter Brabeck. Even better, you are about to entrust me with a company where everything is in place, ready to continue and expand on what has been achieved thus far. In opting to focus on nutrition, health and wellness, you have, Mr Chairman, laid the foundations for solid growth and exceptional financial results.

We have four key strengths that will help us achieve our goals, each of which also represents a significant competitive advantage. Firstly, we have very strong brands, and a vast range of products to meet the needs of every age group at any time. Second, Nestlé manages an unrivalled system of research and development. Third, our operations have been at a global level for decades, and we have acquired an in-depth knowledge of our markets. Finally, and this is the most important factor, we can count on competent, motivated employees who fully embrace our strong corporate culture.

It is up to us to reinforce and exploit these competitive advantages, for they permit us to stand apart from our competitors, and provide sustainable, profitable growth. Our world is a fast-changing one, it is true. But let us not forget that change is also a driver for new opportunities.
Of these opportunities, four are particularly promising. Nutrition springs to mind first of all, with its value-added products across our range as a whole, and the flagship role played by Nestlé Nutrition.
And then there are the emerging and developing nations with their growing populations and purchasing power; these countries represent prime markets for Nestlé, which aims to expand in those locations to better serve lower income groups.
Our Group must also use its leadership to exploit the numerous possibilities available in the out-of-home market, which is currently enjoying steady growth.

And finally, we know that a good number of consumers appreciate the pleasure of high-end or even luxury products, as demonstrated by the impressive success of Nespresso.

Nestlé is ideally positioned to capitalise on these opportunities. It will not be plain sailing all the way - far from it, as the financial turmoil of early 2008 demonstrates. But I know I can count on my colleagues on the Executive Board, a very tight-knit, professional team with exceptional experience. I can also count on some 280,000 men and women throughout the entire world, whose skills and loyalty require no further comment.

I know, of course, that any new leader is seen as a person of change. Rest assured I have no intention of changing the Group’s strategy. We are heading in the right direction, one that will open the door to huge potential for development – for many years into the future. I have no plans to alter our chosen course. It is clear, however, that there is still room for improvement. We can become more efficient across all our operations, and in every country in which we do business. Accelerate the implementation of decisions, insist on uncompromising quality, everywhere and at all times, make our system more disciplined and more flexible, keep our eyes open and firmly fixed on a changing world – all this will be part of the scope of my job, and that of the Group management.
 
And so I embark on my new function with great confidence. I am certain that, in the eyes of the consumer, we will succeed in further reinforcing Nestlé's position as the world’s leading company in the field of nutrition, health and wellness. We will remain true to our principles, and we will continue to act with our usual sense of responsibility to our workforce, and to the Company in general. It is this, Ladies and Gentlemen, our Shareholders, which will see us attain, year after year, the financial results you are entitled to expect from Nestlé.

Thank you for your attention.

Disclaimer

This speech might not reflect absolutely all exact words spoken.

This speech 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 risks and uncertainties include such factors as general economic conditions, foreign exchange fluctuations, competitive product and pricing pressures and regulatory developments.