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UK Media statement on half year sales

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Following the announcement of Nestlé SA’s 2010 half–year sales Paul Grimwood, Chief Executive and Chairman Nestlé UK & Ireland said: “The first six months of 2010 was as challenging as we expected however the UK and Ireland business has delivered a solid performance.

Last month, we expanded Nestlé’s presence in the UK with the acquisition of Vitaflo, a Liverpool–based global provider of clinical nutritional products, who will benefit from Nestlé’s commitment to innovation in nutrition, health and wellness.
Also in July, Olympic legend Sir Matthew Pinsent and World Champion diving sensation Tom Daley launched Nestlé’s biggest ever cross category promotion – the Get Set, Go Free campaign, which encourages families to try out a range of activities for free.

The business has plans in place for a strong second half of the year particularly focusing on the key Christmas period and big brand campaigns including a £7 million launch, Milky Bar’s biggest ever, for the new Milky Bar Raisin & Biscuit.”

Other highlights:

Continued media support for NESCAFÉ®, including a new 'romance' campaign for NESCAFE GOLD BLEND, helped the UK's #1 coffee brand drive sales up 2.4% versus the same period in 2009. (IRI value YTD to 24.07.10).

In confectionery, the big success of the year to date has been the chocolate block formats across the range out–performing the sector, up 48.5% YTD. Aero had a strong performance, up 4.8% this year and Rowntree’s continues to grow at 5.3% YTD through Randoms singles. (IRI value YTD to w/e 19.06.10)

Paolo Sangiori, MD of Nestlé Waters UK said; "Whilst enjoying the best summer for the category in four years, Nestlé Waters continues to drive category performance. Nestlé Pure Life and Buxton have consolidated their positions as the best branded value contributors in the market. Our market share is 170 bps ahead of last year to 13.6% YTD value share. (IRI Total Grocery 52 w/e 17 July and 4 w/e 17 July 2010).