To Press Releases listVevey,November 17, 2005
At today's meeting, the Board of Directors of Nestlé S.A. approved a new share buyback program of CHF 3 billion, to start with immediate effect. This program underlines Nestlé's commitment to manage its capital structure actively for the benefit of both the Company and its investors.
Share buybacks for cancellation and the annual dividend are complementary tools that allow shareholders to share in the benefits that should accrue from Nestlé's focus on improving its operating performance, particularly in its Food and Beverage business. Given the Group's outstanding cash flow performance and the declining net debt, Nestlé does not expect this buyback program to have an impact on its AAA debt rating.
Proposals to cancel the shares will be submitted to shareholders at future Annual Meetings
At the same meeting, the Board decided to propose to the General Meeting of April 6, 2006 to elect Mrs. Naina Lal Kidwai, Deputy Chief Executive Officer of Hong Kong and Shanghai Banking Corporation India (Mumbai), Mr. Jean-René Fourtou, Chairman of the Supervisory Board of Vivendi Universal (Paris) and Mr. Steven George Hoch, Senior Partner of Highmount Capital (Boston) as Directors of Nestlé S.A.
Mr. Nobuyuki Idei of Sony Group (Tokyo) has decided not to seek reelection as a Director. The Board expresses to Mr. Idei its appreciation of the wise counsel and broad experience he brought to the Company.
- Media: François-Xavier Perroud, Tel.: +41-21-924 2596
- Investors: Roddy Child-Villiers, Tel.: +41-21-924 3622