#1Leading the world of coffee MEFE David Rennie Head of Beverages SBU#2Disclaimer This presentation contains forward looking statements which reflect Management's current views and estimates. The forward looking statements involve certain risks and uncertainties that could cause actual results to differ from those contained in the forward looking statements. Potential risks and uncertainties include such factors as general economic conditions, foreign exchange fluctuations, competitive product and pricing pressures and regulatory developments. This presentation contains certain financial performance measures which are not defined by IFRS. Management believes that these non-IFRS measures provide additional useful information to assess the financial and operational performance of the Group. Such measures may not be comparable to similar measures presented by other companies and are explained and/or reconciled with our IFRS measures (Consolidated Financial Statements) in the Nestlé Group Alternative Performance Measures (APMs) document available on our Investor Website. 21 May 7, 2019 | Nestlé Investor Seminar 2019#3Coffee is a dynamic and growing category A fast-growing category (Value growth 2016-2018, CHF bn) 333 86 Retail +4% CAGR 83 5% 370 90 96 280 250 OOH +6% CAGR Significant category growth opportunities to target in next 5 years Portioned RTD* Soluble Premium R&G and Whole Beans Workplace CHF +5 bn CAGR +5% CHF +4.5 bn CAGR + 8% CHF +3.5 bn CAGR +3% CHF 1 bn CAGR +6% CHF +12 bn CAGR +5% CHF +4 bn * Excluding RTD Japan 31 May 7, 2019 | 2016 Hotels 2018 Nestlé Investor Seminar 2019 CAGR +3%#4With the three most iconic coffee brands, Nestlé now has the best portfolio to delight consumers around world NESCAFÉ NESPRESSO STARBUCKS® NESCAFE The world's preferred coffee brand Mainstream, everyday premium, approachable, versatile, universal Leading premium portioned coffee brand The everyday affordable luxury, stylish, European flair, undisputed superior quality NE PRO The iconic coffee shop brand American lifestyle, long cup, indulgent, convivial, innovative 4 May 7, 2019 Nestlé Investor Seminar 2019#5Nestlé leads the global Coffee category #1 coffee company 18.7 Estimated coffee sales Top 3 players (2018, CHF bn) #1 category for the Group Reported Nestlé sales 2018, CHF bn 2.1 16.4 #2 in US with Starbucks US retail coffee market 2018 45% Others 12.2 Other categories 81% 1.0 Coffee Shops 2.6 9% Foodservice JAB 11% Kraft Heinz 16% Nestlé + Starbucks 16.6 Retail 8.6 JAB Nestlé sales including Starbucks pro forma Source: Nestle data and estimates of coffee sales 51 May 7, 2019 | Nestlé Investor Seminar 2019 19% Coffee 19% Smuckers#65 strategic growth imperatives Strengthen our core business NESCAFÉ N Lead Embrace Accelerate in innovation the cold opportunity in OOH 6 | May 7, 2019 Nestlé Investor Seminar 2019 NESCAFE COLD BREW PURE BLACK PURE ARABICA- SMOOTH TASTE Slowly Infused Deliver the Starbucks plan#75 strategic growth imperatives Strengthen our core business NESCAFÉ N Lead Embrace in innovation the cold opportunity 7 | May 7, 2019 Nestlé Investor Seminar 2019 NESCAFE COLD BREW PURE BLACK -PURE ARABICA- SMOOTH TASTE Slowly Infused Accelerate in OOH Deliver the Starbucks plan#8Origins to reinforce our coffee authenticity and superiority N NESCAFE GOLD Origins Master Origin UGANDA-KENYA Subtle & Spicy Handpicked beans from Uganda & Kenya revealing delicate spicy notes Nescafé Gold Origins 18 markets, 2018-2019 8 | May 7, 2019 | Nestlé Investor Seminar 2019 MASTERED BY CRAFTSMEN INSPIRED BY THE LAND NESPRESSO. NESCAFE Dolce Gusto AB PERU ESPRESSO 80 12hxC Master Origins Global, September 2018 Nescafé Dolce Gusto Absolute Origins Global, March 2018-2019 NEW#9Bringing new sensory experiences to coffee lovers Offering the first soluble plant-based mixes A delicious alternative to dairy NESCAFE GOLD Indulgent milk & cold based experiences Coffee shop inspired ranges Almond latte If a portion is top 200 6 Mugs PLARE Nescafé plant-based mixes EMENA & LATAM, July 2019 91 May 7, 2019 Nestlé Investor Seminar 2019 RESPRESSO NESCAFE Dolce Gusto NEU FLAT WHITE NEANT COFFEE PROFILE I VELVETY & SMOOTH ARABICA & ROBUSTA SELECTION 16x Nespresso Barista Creations Global, April 2019 Nescafé Dolce Gusto Flat White Global, Sept. 2018#10Driving sustainability as a competitive advantage Reviving high-quality coffee production in regions where it was under threat Engaging with consumers on our coffee sourcing practices 10| ONIN NESCAFE CLÁSICO TRIBUTO A ELIEZER ALBORES caficultor de CHIAPAS Leading on responsible aluminum sourcing & recycling N This was a Nestesso capsule CARANDACHE Gene Nespresso revival 2019 May 7, 2019 | Nestlé Investor Seminar 2019 Grown Respectfully Global campaign 2018 Caran d'Ache June 2018#115 strategic growth imperatives Strengthen our core business NESCAFÉ 11 | May 7, 2019 Nestlé Investor Seminar 2019 Lead Embrace in innovation the cold opportunity NESCAFE COLD BREW PURE BLACK -PURE ARABICA- SMOOTH TASTE Slowly Infused Accelerate in OOH Deliver the Starbucks plan m#12Leverage patented technology to make the difference in the cup Delivering superior taste Patent Offering healthier and more sustainable choices Leading new trends Patent Patent NESCAFE COLD BREW PURE BLACK SMOOTH TASTE HONG 10smon NESCAFE COLD BREW NESCAFE COLD NESCAFE COLD BREW INFUSION DE CAFE BREW PURE BLACK -PURE ARABICA- TASTE SABOR SUAVE Extracción lenta SMOOTH Slowly Infused Proprietary in-house manufacturing of Cold Brew 12 May 7, 2019 | Nestlé Investor Seminar 2019 NESCAFE GOLD DARK LATTE 金咖啡 12 STICKS NOTIPECAHPUR FROM COFFEE TERAN RESHAYA NESCAFE Latte Caramel C 20 STICKS KOM PRACAMPUL PENY COFFEE M ✔Tidak Pahit Perfectly Roasted Coffee with Brown Sugar Indulgent mixes with reduced fats & sugar Connectivity for enhanced personalized coffee experience#13Create gaps in machine design and functionality Upgrading the long cup coffee experience Connected system for full personalization On-the-go coffee smart mug NESPRESSO MIN NESPRESSO Nespresso Vertuo Global 13 May 7, 2019 | Nestlé Investor Seminar 2019 Nescafé Dolce Gusto Esperta Global, March 2019 NESCAFE. É by Nescafé India, Oct. 2018#145 strategic growth imperatives Strengthen our core business NESCAFÉ 14 | May 7, 2019 Nestlé Investor Seminar 2019 Lead Embrace in innovation the cold opportunity NESCAFE COLD BREW PURE BLACK PURE ARABICA SMOOTH TASTE Slowly Infused Accelerate in OOH Deliver the Starbucks plan m#15Continue to create competitive gaps in Asia China ASEAN Japan PREMIUM NESCAFE Cold brew 冷萃拿铁 精选冷萃咖啡提取液 进口奶源&阿拉比卡咖啡豆 净含量:280毫升 #1 in China Nescafé Cold brew 15 May 7, 2019 | Nestlé Investor Seminar 2019 NESCAFE Smoovlatte Smooth and aromatic cafe latte Minuman Kopi S Mix Coffee Drink 甘さひかえめ NESCAFE GOLD BLEND. コク深め 嚴鮮 香港 #1 in ASEAN #1 in Japan (Take Home)#16A focused strategy to grow fast in the US Authenticity Sensory experiences COFFEE Healthy lifestyles MOCHA 16 ORIGINAL USDA ORGANIC CHAMELEON COLD-BREW ORGANIC COLD-BREW COFFEE BLENDED WITH ORGANIC WHOLE MILK & LIGHTLY SWEETENED NESCAFE. COLD Whipped CHILLED COFFEE FLATTE SHAKE ME 10+TIMES TO FROTH NESCAFÉ COFFEE PROTEIN SMOOTHIE COFFEE, OATS, ALMOND BUTTER, COCOA 15 PLANT ORIGINAL NATURALLY FLAVORED WITH OTHER NATURAL FEAVES 46 FL OZ (14 0T/1.36 L) Chameleon Cold Brew with organic milk US, 2018 May 7, 2019 | Nestlé Investor Seminar 2019 DRINK 10 FL OZ (296 mL) Cold Whipped Latte US, Jan. 2019 BROX SHO Coffee Protein Smoothie US, Jan. 2019#175 strategic growth imperatives Strengthen our core business NESCAFÉ 17 May 7, 2019 Nestlé Investor Seminar 2019 Lead Embrace Accelerate in innovation the cold opportunity in OOH NESCAFE COLD BREW PURE BLACK -PURE ARABICA SMOOTH Slowly Infused TASTE Deliver the Starbucks plan m#18Incremental 50 bn cup opportunity to target in 5 priority channels Workplace 18 May 7, 2019 Nestlé Investor Seminar 2019 ELEVEN 7 Hotel Convenience Travel Education#19Enriching consumers' experiences with our 3 leading brands Coffee shop experience Basic NESCAFE Alegria NESCAFE NESCRI Soluble only solutions NESCAFE CLASSIC NESCAFE. AZERA INTENSO 100 19 May 7, 2019 | Nestlé Investor Seminar 2019 17 U 브 NESCAFE SELEZIONE Hilove Combi solutions (soluble + R&G) za italiana dal 1912 GOOG CIMBALI Beans solutions Portioned solution on the go Branded solutions 0000 0000 NESPRESSO 0000 6000 Premiumization#20Create customer value and enrich consumer experiences Connected system with integrated telemetry, dispenser & payment Re-defining experience for self-served/paid consumption Bringing Starbucks experience to offices and hotels NESPRESSO NESCAFE Coffee Coffee ffee- WE PROUDLY SERVE TM 201 Nespresso Momento Global, 2019 May 7, 2019 | Nestlé Investor Seminar 2019 Nescafé Corner China, Malaysia, Turkey, France, 2018 We proudly serve Starbucks Accelerated rollout China & Brazil, 2019#215 strategic growth imperatives Strengthen our core business NESCAFÉ Lead in innovation Embrace the cold opportunity 21 May 7, 2019 Nestlé Investor Seminar 2019 NESCAFE COLD BREW PURE BLACK -PURE ARABICA SMOOTH TASTE Slowly Infused Accelerate in OOH Deliver the Starbucks plan#22We have built a unique coffee portfolio with the Starbucks deal We have acquired a successful USD 2 bn business... STARBUCKS® HOUSE BLEND MEDIUM ROAST RICH WITH TOFFEE NOTES GROUND GROUND 100% ARABICA COFFEE GEMAHLENER RÖSTKAFFEE CAFE MOULU GEMALEN KOFFIE CAFE MOLIDO AAETMENOL KADEX 221 May 7, 2019 Nestlé Investor Seminar 2019 and licensed in perpetuity and globally the Starbucks brands... R R AUSTRAUA Seattle's Best COFFEE.. Seattle's Best COFFEE Seattle's Seattle's Best Best COFFEE COFFEE 6TH AVENUE STRO PORTSIDE BLEND POST ALLEY SASE ECAST in all CPG formats excl. RTD & all OOH channels STARBUCKS on the go STARBUCKS#23We have moved fast - from acquisition to launch in 6 months August July - Sept. Sept. - November March 2019 Deal closed Priority markets & launch range agreed Launch plan approval Launch 23 May 7, 2019 | Nestlé Investor Seminar 2019 Products validated TM STARBUCKS BLONDE ESPRESSO ROAST ESPRESSO STARBUCKS ZISPR 190#24Expanding fast in new formats and new markets STARBUCKS STA UC BLONDE ESPRESSO RAST NESPRESSO SUCCINO TM STARBUCKS® Cappuccino RICH & CREAMY 100% ARABICA COFFEE 6X 6X NESCAFE Dolce Gusto® STARBUCKS® HOUSE BLEND MEDIUM ROAST GROUND STARROCKS CAPPUCCINO PUCCINO RICH WITH TOFFEE NOTES GROUND 100% ARABICA COFFEE ENER RÖSTKAFFEE-CAFE MOULU GEMALEN KOFFIE قبرة مطحونة . AAETMENOL KARET. Starbucks by Nespresso Starbucks by Nescafé Dolce Gusto Starbucks R&G and WB 24 | May 7, 2019 | Nestlé Investor Seminar 2019#25Continue to win in the US 5 25 Authenticity PREMIUM SELECT COLLECTION COSTA RICA LATIN AMERICAN BLEND Complex with a soft lemony sweetness and smooth chocolatey texture STARBUCKS MEDIUM ROAST WHOLE BEAN 100% ARABICA COFFEE NET WT 902/275 G REWARDS Sensory experiences Healthy lifestyles BRD STARBUCKS REWARDS STARBUCKS® COLD BREW COFFEE- BLACK MAKES 2 PITCHERS JUSS AND WATER & STEEP IN FRIDGE GROUND COFFEE NET WT 8.6 OZ (243) COLD BREW METHOOTHURNE WATE BOLD COLD KEURIG 10 K-CUP PODS STARBUCKS® PLUS COFFEE WITH 2X CAFFEINE* DARK ROAST GROUND COFFEE + COFFEE EXTRACTS 10-0.43 0Z (12.3 g)/EA | NET WT 4.3 OZ (123 g) Premium select 2019 May 7, 2019 | Nestlé Investor Seminar 2019 Cold brew pitcher packs Sept. 2018 Plus K-Cups 2018-2019 STARBUCKS REWARDS NATURALLY FOUND COFFEE EXTRA (UT)#26Starbucks coffee is coming home 26 6 ATTE CHIATO LATTE MACCHIATO STARBUCKS® Latte Macchiato STARBUCKS Cappuccino RICH & CREAMY 100% ARABICA COFFE STARBUCKS® Caramel hiato MEL 6X Serving Suggestion NESCAFE Dolce Gusto GROU GROUND GROUND TARBUCKS® AFFE ERONA ARK ROAST COCOA STARBUCKS® BLONDE WHOLE BEAN ESPRESSO ROAST STARBUCKS STARBUCKS® HOUSE BLEND MEDIUM ROAST ROUND 0% ARABICA COFFEE MALINER STATE CAFE MOULU-GEMALEN KOFFIE قبرة مظمون - None SMOOTH & SWEET NOTES BLONDE ROAST STARBUCKS PIKE PLACE ROAST MEDIUM ROAST GROUND Sana COFFEE CAFE MOLIDO HAUTE-CAFE MOULU SINCE 71 SMOOTH WITH CHOCOLATE NOTES RICH WITH TOFFEE NOTES GROUND 100% ARABICA COFFEE GEMAHLENER BOSTKAFFEE-CAFE MOULU GEMALEN KOFFIE CAFE MOLIDO AMADE- May 7, 2019 WHOLE BEAN 100% ARABICA COFFEE GANZE KAFFEEBOHNEN-CAFE EN GRAINS: CAFE EN GRAND OFFEN حنواب بن كاملة محمد Nestlé Investor Seminar 2019 STARBUCKS® VERANDA BLEND MELLOW & COCOA NOTES Americano 12 X 100% ARARICA COFFEE AMERICANO NESCAL Dolce COLOMBIA CAFFE VERONA. STARBUCKS BLONDE ESPRESSO ROAST TARB RBUCKS STAR STARBUC ork STARBUCKS STARBUCKS SINCE STARBUCKS 71 PIACE#27Key takeaways Nestlé #1 globally with the 3 leading brands Significant growth opportunities across brands, channels and markets Leading innovation capabilities and strong pipeline Moving at speed to capture the growth 271 May 7, 2019 Nestlé Investor Seminar 2019