Chief Executive's Statement continued Contents Overview Report of the Executive Board Report of the Supervisory Board Financial statements Other information Heineken® and our other global brands Heineken® continues to lead in the International Premium Segment and we saw a solid performance in a number of key countries such as Nigeria, South Africa, Russia, Chile, Brazil and South Korea. And for the first time we surpassed 1 mhlforthe Heineken® brand in China. However, the performance of Heineken® was not at the level we have become accustomed to. This was driven almost exclusively by lower growth in key markets such as the U.S, Vietnam and France. We are confident that these markets continue to represent positive growth opportunities for the brand. Alongside Heineken®, we continued to invest in our global portfolio of premium brands-Amstel Premium Pilsener, Strongbow Gold cider, Sol and Desperados. Over time, our intention is to grow these brands using our unigue geographic spread. Transformation of ourglobal footprint For a number of years, we have invested in the geographies and segments that offer significant opportunities for future growth. During 2013, we completed the integration of Asia Pacific Breweries within HEINEKEN Asia Pacific. The business continues to perform strongly. In May, we announced a new greenfield brewery project in Myanmar and we have continued to invest in capacity expansion projects in Papua New Guinea and Vietnam. In Mexico, we gained share and increased profitability. In Africa Middle East, we continued to invest in capacity expansion projects in Nigeria, Ethiopia and the Democratic Republic of Congo. Despite the slower pace of growth in some emerging markets in 2013, we are confident in the long-term growth prospects of these markets. Our continued investment means that as growth accelerates, our brands and businesses will be in a strong position. Capitalising on the value of Europe Europe remains a dynamic region. We are focused on effective revenue growth management and a continued disciplined approach towards driving down costs. The region has become the Company's innovation hub. Through leveraging our leadership positions, strong distribution network and relationships with retailers, we have been able to launch record numbers of new products in a matter of months. This, combined with higher commercial investments, will continue to strengthen our market positions across the region. Fighting for the category The brewing industry is a vibrant, important contributor to economic and social life in many countries across the globe. However, in difficult financial times governments search to find ways of raising additional revenues. Whilst we expect to pay our share, for our industry this invariably means disproportionate increases in excise and other taxes. This puts an even greater financial burden on the brewer and increases prices for consumers. The reality is that such measures have a negative impact on investment and jobs across the agricultural, brewing, hospitality and associated industries. We have thus been more active in engaging governments and sharing with them the economic and social impact of excessive taxation. We have seen some positive outcomes from our efforts and we will continue to fight our case. Brewing a Better Future In the middle of the year, we recognised the importance of sustainabilityto our future by identifying Brewing a Better Future, our global sustainability strategy, as a core business priority. From water to C02 emissions and from sourcing to responsible consumption we are using our global scale throughout our value chain to find ways to make a positive impact in the communities where we operate and in society as a whole. Company Rules Nothing is more important than ensuring that we all work in accordance with the values that have made the Company so successful. We want to win and we want to do so the right way. In 2013 we began the process of training our employees to fully understand what is expected from them via our renewed Code of Business Conduct. It is important that all our employees are eguipped to make the right decisions, whatever their role and wherever they may operate. Thank you As I do every year, I want to thank all my colleagues around the world for their professionalism and commitment. It has been a challenging year but the passion for the business and the desire to win the right way remains as strong as ever. It is a privilege to work with such a dynamic and diverse group and to lead this exceptional Company. I would also like to thank every one of our consumers who make the choice to enjoy our brands, our business partners for their continuing support and all our stakeholders for their input into what we do and how we do it. Jean-Franqois van Boxmeer Chairman of the Executive Board/CEO Amsterdam, 11 February 2014 Heineken N.V. Annual Report 2013

Jaarverslagen en Personeelsbladen Heineken

Jaarverslagen | 2013 | | pagina 5