Central and Eastern Europe (continued) Austria Poland Russia Romania 30 Report of the Executive Board Regional Review Consolidated beer volume: 4-3 million hectolitres Market share: 47-4% Market position: 1 The beer market was 3.0 per cent lower, due to extra sales in 2008 driven by the European Football Cup and softer volumes in the on-trade during 2009. The shift towards off-trade and lower margin beer in cans continued. Heineken Austria's EB1T (beia) grew mid single digit thanks to better pricing and the positive effects of cost savings, despite lower volume. As the Company focused on higher margin segments, market share declined due to the growth of the low end of the market. This trend also affected volumes of mainstream brands, Zipfer, Goesser and Puntigamer. The Heineken brand grew 3.7 per cent. Consolidated beer volume: TI.4 million hectolitres Market share: 35.0% Market position: 2 Consolidated beer volume: 12.8 million hectolitres Market share: n.9% Market position: 3 Consolidated beer volume: 5.2 million hectolitres Market share: 29.5% Market position: 2 After years of strong volume growth, the Polish beer market fell 10 per cent, affected by the challenging economy, an excise duty increase and higher selling prices. The Zywiec Group gained market share, thanks to a positive performance in the off-trade segment. The Warka brand, positioned in the mainstream segment, grew and Desperados volumes more than doubled. Both the Heineken and Zywiec brands declined, affected by above-average declines in the international and national premium segments. Both reported revenue and EBIT (beia) in euro were substantially lower, mainly due to the average 23 per cent devaluation of the zloty versus the euro, which accounted for a negative translation impact of EUR37 million. Organically, EBIT (beia) declined. The Russian beer market decreased double digit affected by the severity of the recession that drove consumers to switch from economy beers into low-priced vodka. The premium beer segment performed relatively well. Heineken Russia adjusted its commercial strategy. The new strategy focuses on four key national brands and six regional brands, whilst commercial support for non-strategic brands was reduced. Prices of the key premium brands were increased ahead of the competition. Underperforming SKUs were rationalised. Due to the recession and the initial effect of the new commercial strategy, volume of Heineken Russia decreased 17 per cent, but profitability increased substantially. Reported EBIT was significantly up, despite being negatively affected by the weak rouble, which accounted for a total translation impact in excess of EUR 10 million. Strong progress was made with cost reductions. Amongst others, Heineken Russia closed the Stepan Razin Brewery in St. Petersburg and a brewery in Novotroitsk. Per January 1st, 2010, excise duty on beer tripled and Heineken Russia passed the increase on in its prices. The beer market decreased 11.3 per cent driven by the off-trade channel, which was negatively affected by declining purchasing power and less money transfers by Romanians working abroad. Heineken Romania's volume decreased in line with the market. Goldenbrau outperformed the market, but Heineken, Ciuc and Bucegi brands declined faster than the market. Higher selling prices could not fully offset the effect of lower volume and, therefore, revenue and EBIT declined organically. In addition, the devaluation of the lei negatively affected reported EBIT in euro by more than EUR7 million. Heineken Romania continues to focus on long-term brand building, sales execution and cost reduction. In 2009, three malteries were closed and in January 2010 the closure of the Hateg Brewery was announced. Annual Report 2009 - Heineken N.V.

Jaarverslagen en Personeelsbladen Heineken

Jaarverslagen | 2009 | | pagina 30