Introduction to Unilever March 2009


• • • • • • • • Overview of Unilever Mission Geographic reach Categories and brands Strategic priorities Management & organisation Social responsibility Customer partnerships Slide 3-4 5 6-7 8 9-11 12 13-14 15-19 20-26 27 28

• Innovation driving growth • Local roots and global scale • Financial summary • Unilever financial performance • Commitment to shareholder value

• Legal structure, governance and shares 29-35 • Contact information 36


We meet everyday needs of nutrition. there are important factors that could cause actual results to differ materially from those expressed or implied by these forward-looking statements. Euronext Amsterdam and the US Securities and Exchange Commission. These forward-looking statements are based upon current expectations and assumptions regarding anticipated developments and other factors affecting the Group. including the Annual Report & Accounts on Form 20-F. These forward-looking statements speak only as of the date of this presentation. Further details of potential risks and uncertainties affecting the Group are described in the Group’s filings with the London Stock Exchange. nor are they guarantees of future performance. look good and get more out of life 2 . They are not historical facts. including ‘forward-looking statements’ within the meaning of the United States Private Securities Litigation Reform Act of 1995.Safe harbour statement This presentation may contain forward-looking statements. Our mission Unilever’s mission is to add Vitality to life. Because these forward-looking statements involve risks and uncertainties. hygiene and personal care with brands that help people feel good.

people use our products at key moments of their day Scale and geographic reach “Our deep roots in local cultures and markets around the world give us our strong relationship with consumers and are the foundation for future growth.a truly multi-local multinational” extract from Unilever’s Corporate purpose Western Europe | €13bn | 32% AACEE | €14.000 employees* *as at end 2008 3 .Adding Vitality to life 160 million times a day. We will bring our wealth of knowledge and international expertise to the service of local consumers .5billion Present in 150 countries around the world. in 150 countries.5bn | 36% The Americas | €13bn | 32% 2008 Turnover €40. 174.

Strong category positions Leading Category Positions World Number 1 Unilever’s Portfolio of Categories Home Care 18% 28% 19% Savoury Dressings Ice Cream Deodorants Spreads Tea Mass Skin World Number 2 Savoury. Dressings & Spreads 35% Laundry Daily Hair Care Local strength Personal Care Ice Cream & Beverages Household Cleaning Oral Care *as at end 2008 Business Overview Big global brands Top 25 brands = ¾ of Unilever’s sales *as at end 2008 4 .

Unilever’s strategic priorities Personal Care Developing & Emerging Markets Vitality A global management team Paul Polman Michael Treschow Chief Executive Officer Non-Executive Chairman Michael Polk Doug Baillie Harish Manwani Vindi Banga Geneviève Berger Sandy Ogg James Lawrence President Americas President Western Europe President Asia Africa & CE Europe President Foods. Home & Personal Care Chief R&D Officer Chief HR Officer Chief Finance Officer 5 .

with top leadership from 20 nations. More than 35% of managers worldwide are women. 6 . distinct. complementary roles Categories Deliver global platforms Responsible for: Brand development Innovation Research and Development Accountable for: Medium/long term market share Brand health Innovation metrics Category value creation Regions Execute on the ground Responsible for: Managing the business Deploying brands and innovations Customer management Accountable for: Growth Profit Cash flows Short term market shares Our people People are the heart of our business Harnessing.Regions and Categories Clear. developing and rewarding their skills. energy and commitment is our priority Unilever is one of the world’s most culturally diverse companies.

the highest standards of corporate behaviour towards everyone we work with. we believe. and the environment on which we have an impact • Eco-efficiency – reducing the impacts of our operations • Eco-innovation – reducing the impacts of our products • Sustainability programmes in agriculture and water • Our Code of Business Principles • Supporting local communities Unilever has led the food industry category of the Dow Jones Sustainability Indexes (DJSI) for the past 10 years. the communities we touch. Customer partnerships Unilever manages a number of partnerships globally 7 .Corporate responsibility To succeed also requires.

less transport. bringing unique ‘shopper insight’ to our partnership with customers Innovation Driving Growth Vitality Making foods healthier Bouillon jelly proprietary technology Stronger functional claims A unique slimming tea twice as rich in catechins to help maintain your silhouette Driving sustainability Detergent concentration technology for less water. higher margins Nutrition Family Goodness brings better nutrition for family growth For better taste and with less fat 8 .Customer partnerships Unilever has unparalleled reach across the store.

Innovation Driving Growth Superior Technology Magnum Temptation An unrivalled multi-sensorial experience using cold roller technology Clinically proven to provide prescription strength moisturisation Vaseline Clinical Strength Hellmann’s Light Delicious light mayonnaise with only 3% fat With unique citrus fibre technology Comfort Fresh Technology Release Comfort with breakthrough technology Do the moves to release the freshness Innovation Driving Growth Rapid roll-out Dove Go Fresh Axe Dark Temptation 55 countries 52 countries New Lipton Pyramid Tea Hellmann’s with citrus fibre 30 countries 40 countries 9 .

Products available at various price-points Example – Ice Cream Premium Mid tier Family Value Innovation Driving Growth Science and Technology Strengths Some examples: Spray Technology Deodorants Skin Mildness and Moisturizing Product Processing e.g. Ice Cream Hair Technology Structured Oils and Emulsions Science of Tea 10 .

Local roots with global scale Our heritage and local expertise mean that D&E is in our DNA • Understanding of the local consumer • Brands and products across a wide range of income levels • Critical mass on the ground • Corporate reputation with local stakeholders and talent pool Leveraging our scale brings us advantages over local competition • Global portfolio of brands and categories • Dedicated R&D investment • Shared values and standards of behaviour Local roots Global scale The D&E opportunity • 1bn new consumers in next 10 years based on population and income growth • Consumer spending is growing faster in D&E than in the developed world • Rising per capita income gives disproportionate growth in per capita consumption for Unilever categories 11 .

6 The opportunity in our categories Annual per capita consumption (€) a In do ne si a C hi na Br az ne s Br az il In di a U SA In di hi n In do Detergents C Shampoo Source: Absolute value.6 Striving 2.5 Aspiring 2.The D&E opportunity D&E Population in 2008 (billions) Affluent 0. Euromonitor 2007 U SA ia il a 12 .

since early 1990s % 2004 Sales Other developed 3% % 2008 Sales Other developed 3% North America 23% D&E 36% North North America America 18% 21% Western Western Europe 32% D&E D&E 44% 47% Western Europe 38% 13 .a. 9% p.Growth Strategy: Priorities D&E Markets New consumers 1 billion new consumers in the next 10 years Consumer penetration Re-closable multi-use sachets Deo ministicks Mini cubes Trading consumers up Conversion in foods Loose Leaf Tea Standard teabags Pyramid teabags Packaged food opportunity A major driver of Unilever’s growth D&E underlying sales growth c.

disposals and one-off items 14 .9 2008 40.2 1.4 4. disposals and one-off items Unilever Financial Performance Total Unilever Turnover €bn Operating Profit €bn Operating Profit before RDIs** €bn Net Profit* €bn Net Profit before RDIs** Earnings per share* € Earnings per share before RDIs** € Net Cash Flow from operating activities €bn 5.2 5.07 1.3 3.8 4.87 1.3 1.7 3.7 2004 37.1 4.D&E Growth is Profitable 2008 Operating margin before RDIs* Unilever average * Restructuring.3 4.5 7.1 39.79 1.19 2.4 5.0 2005 2006 2007 38.32 1.5 4.39 3.6 5.5 €bn 0.2 5.2 4.9 * Continuing operations ** Restructuring.4 40.43 3.2 5.9 5.

Commitment to shareholder value “… our road to sustainable. governance and shares Unilever was formed in 1930 from two companies: Margarine Unie (Netherlands) Lever Brothers (UK) It was a full business merger. creating long term value for our shareholders. over a 3 year rolling period.Unilever NV (Netherlands) and Unilever PLC (UK). profitable growth. This works through an equalisation agreement and other contracts between the two companies 15 . our people. Peer group in 2008 Avon Beiersdorf Cadbury Schweppes Clorox Coca-Cola Colgate Danone Heinz Kao Kraft Kimberley Clark Lion L’Oréal Nestlé Orkla Pepsico Procter & Gamble Reckitt Benckiser Sara Lee Shiseido Unilever’s TSR position relative to the peer group over a rolling 3 year period 1998 0 7 14 21 2000 2002 2004 2006 2008 Legal structure. operating as a single business entity Two separate legal parent companies were maintained: . amongst a peer group of 20 other companies. and our business partners” extract from Unilever’s Corporate purpose Unilever measures its Total Shareholder Return.

com 16 .unilever.Legal structure Unilever NV and PLC have separate legal identities but operate as a single entity NV share holders Directors PLC share holders NV Equalisation PLC ‘One Unilever’ Operating Units Legal structure Unilever firmly believes in maintaining high standards of Corporate Governance These have evolved in response to developments in Europe (UK Combined Code. NYSE listing rules) Unilever operates a unified board: the boards of NV and PLC comprise the same directors There is a majority of independent. Dutch Corporate Governance Code) and the US (Sarbanes Oxley. non-executive directors on the board. The Chairman is non-executive The boards have ultimate responsibility for the business as a whole Details of current arrangements can be found in the report and accounts in the investor centre at www.

There are 1 310 156 361 PLC ordinary shares in issue.91 For details of proposed changes to dividend schedule – please see Share listings Exchange Share Ticker Dividend per share – 2008* Amsterdam Unilever NV UNA €0. Each ADR represents 1 underlying ordinary PLC share.99 Unilever PLC NY UL $0. The combined share count excluding treasury stock. Unilever PLC ordinary shares are listed on the London Stock Exchange and as American Depositary Receipts in New York.Share listings Unilever NV ordinary shares or certificates (depositary receipts) are listed on the stock exchanges in Amsterdam and as New York shares on the New York Stock Exchange. There are 1 714 727 700 NV ordinary shares in issue. each with a nominal value of 3 1/9 Notes: *Relates to interim and final dividends per ordinary share Final 2008 dividends subject to AGM approval US dividends based on exchange rate on 4 Feb 2009 17 .unilever.789 million at the end of 2008. Further information can be found in the investor centre at www. for calculating basic EPS. The equalisation agreement between NV and PLC is such that each NV ordinary share has the same rights and benefits as each PLC ordinary share.unilever.16. each with a nominal value of €0.61 New York Unilever NV NY UN $0. was 2.77 London Unilever PLC ULVR £0.

unilever. Actual tax treatments will depend on specific 18 . available on the investor centre at www. US residents should consult their local tax advisers. The information shown is generally applicable to a typical US resident. Share Unilever NV (Netherlands) Unilever PLC (UK) Local withholding tax 15% eligible for credit Against US income tax None US tax Max 15% Max 15% Effective tax on dividends Max 15% Max 15% Further information can be found in the Unilever Annual Report & Accounts.Share listings and ownership Share listings as a percentage of capital NV NY 10% Share ownership* by country at the end of 2008 Other 33% UK 32% PLC ADR 5% PLC 38% NV 47% Netherlands 12% USA 23% Taxation on dividends for US residents This information is intended to provide general guidance only. gives information on how to purchase Unilever 19 .unilever.Further information and contact details More information on Unilever is available at The shareholder centre at www. The IR team can be contacted by telephone as follows: + 44 (0) 20 7822 6830 Or by e-mail at: investor.

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