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April 24, 2015 2015 Annual Shareowners Meeting Page 1 of 13 April 24, 2015 Honoring Active Duty Employees SUSAN LANTRY MICHAEL VOLRATH ANTHONY DICOLA ELIZABETH KENNEDY DANIEL BOYINGTON JORDELL SARVER BEN DJABARE VERNER KIERNAN ISSAHAKU ATCHULO JORDAN LEPLEY DAVID PICARD LORTONI BUTLER 2015 Annual Shareowners Meeting Page 2 of 13 April 24, 2015 2015 Annual Shareowners Meeting Page 3 of 13 April 24, 2015 Forward‐Looking Statements This presentation contains, or incorporates by reference, “forward‐looking statements” with projections concerning, among other things, the Company’s global growth and efficiency program (Project K), the integration of acquired businesses, the Company’s strategy, and the Company’s sales, earnings, margin, operating profit, costs and expenditures, interest expense, tax rate, capital expenditure, dividends, cash flow, debt reduction, share repurchases, costs, charges, rates of return, brand building, ROIC, working capital, growth, new products, innovation, cost reduction projects, workforce reductions, savings, and competitive pressures. Forward‐looking statements include predictions of future results or activities and may contain the words “expects,” “believes,” “should,” “will,” “anticipates,” “projects,” “estimates,” “implies,” “can,” or words or phrases of similar meaning. The Company’s actual results or activities may differ materially from these predictions. The Company’s future results could also be affected by a variety of factors, including the ability to implement Project K as planned, whether the expected amount of costs associated with Project K will exceed forecasts, whether the Company will be able to realize the anticipated benefits from Project K in the amounts and times expected, the ability to realize the anticipated benefits and synergies from the Pringles acquisition in the amounts and at the times expected, the impact of competitive conditions; the effectiveness of pricing, advertising, and promotional programs; the success of innovation, renovation and new product introductions; the recoverability of the carrying value of goodwill and other intangibles; the success of productivity improvements and business transitions; commodity and energy prices; labor costs; disruptions or inefficiencies in supply chain; the availability of and interest rates on short‐term and long‐term financing; actual market performance of benefit plan trust investments; the levels of spending on systems initiatives, properties, business opportunities, integration of acquired businesses, and other general and administrative costs; changes in consumer behavior and preferences; the effect of U.S. and foreign economic conditions on items such as interest rates, statutory tax rates, currency conversion and availability; legal and regulatory factors including changes in food safety, advertising and labeling laws and regulations; the ultimate impact of product recalls; business disruption or other losses from war, terrorist acts or political unrest; and other items. Forward‐looking statements speak only as of the date they were made, and the Company undertakes no obligation to update them publicly. Agenda • Leadership Team • Overview and Strategy • Corporate Responsibility 2015 Annual Shareowners Meeting Page 4 of 13 April 24, 2015 Global Leadership Team John Bryant Chairman of the Board & Chief Executive Officer, Kellogg Company Amit Banati President, Asia Pacific Margaret Bath Senior Vice President, Research, Quality & Technology Larry Bruck Vice President, Global Marketing Jim Cali Senior Vice President, Global Snacks Category Kris Charles Vice President, Global Communications & Philanthropy Wendy Davidson President, U.S. Specialty Channels David Denholm Chief Executive Officer, Kashi Ron Dissinger Senior Vice President, Kellogg Company Chief Financial Officer Brigitte Schmidt Gwyn Vice President, Global Government Relations Alistair Hirst Senior Vice President, Global Supply Chain Chris Hood President, Europe Brian Huff President, U.S. Snacks Sammie Long Senior Vice President, Global Human Resources Andrew Loucks President, U.S. Frozen Foods Maria Fernanda Mejia President, Latin America Paul Norman Senior Vice President, Kellogg Company Chief Growth Officer Gary Pilnick Senior Vice President, General Counsel & Secretary Corporate Development Brian Rice Senior Vice President, Kellogg Company Chief Information Officer Carol Stewart President, Canada Doug VanDeVelde Senior Vice President, Global Breakfast Category Strategy for Growth Win in Breakfast Become a Global Snacks Leader Grow Frozen Foods Win in Emerging Markets 2015 Annual Shareowners Meeting Page 5 of 13 April 24, 2015 Win in Breakfast New Ways to Engage • Two‐way dialogue ‒ Nutrition ‒ Sustainability ‒ Community • Transparency Visit www.openforbreakfast.com 2015 Annual Shareowners Meeting Page 6 of 13 April 24, 2015 Global Snacks Leader Grow Frozen Foods 2015 Annual Shareowners Meeting Page 7 of 13 April 24, 2015 Win in Emerging Markets Project K Continuing to make good progress: • Building supply chain of the future • Moving to our global business services model • Reinvesting savings for growth 2015 Annual Shareowners Meeting Page 8 of 13 April 24, 2015 Long‐Term Operating Principles Grow Comparable Net Sales Improve Price / Mix Sustainable Growth Drive Innovation Grow Brand Building Grow Comparable Net Earnings Grow Comparable Gross Profit Dollars/ Margin Overhead Discipline Reduce Core Working Capital Manage For Cash Increase Return on Invested Capital Prioritize Capital Expenditure Improve Financial Flexibility 50‐Year Dividend History $2.00 New Annualized Dividend $2 Dividends per Share Adjusted for stock splits $2 $1 $1 $0 1965 1975 2015 Annual Shareowners Meeting 1985 1995 2005 2015 Page 9 of 13 April 24, 2015 Kellogg Company Daily Stock Price $70 $60 Share Price $63.85 $50 On Apr. 23, 2015 $40 $30 4/23/10 4/23/15 Heritage of Corporate Responsibility Marketplace FPO Workplace Environment Community Responsible Sourcing 2015 Annual Shareowners Meeting Now available at www.kelloggcompany.com Page 10 of 13 April 24, 2015 Global Signature Cause Because we believe in the power of breakfast, Kellogg set a goal to provide 1 billion servings* of cereal and snacks, more than half of which are breakfast, to children & families in need by the end of 2016. * The goal of 1 billion servings is based on an approximate serving size of one ounce. Kellogg Lives United Battle Creek campaign total: $3 million Companywide campaign total: $6.4 million 2015 Annual Shareowners Meeting Page 11 of 13 April 24, 2015 Battle Creek Vision BC Vision In Summary, We Are… • Executing our strategy • Making progress on Project K and reinvesting the savings • Making a difference in our communities • Building the Kellogg of tomorrow 2015 Annual Shareowners Meeting Page 12 of 13 April 24, 2015 2015 Annual Shareowners Meeting Page 13 of 13
