Nestlé was founded in 1867 on the shores of Lake Geneva in Vevey, Switzerland and its first

product was “Farine Lactée Nestlé”, an infant cereal specially formulated by Henri Nestlé to
provide and improve infant nutrition. From its first historic merger with the Anglo-Swiss
Condensed Milk Company in 1905, Nestlé has grown to become the world’s largest and most
diversified food Company, and is about twice the size of its nearest competitor in the food and
beverages sector.

Nestlé’s trademark of birds in a nest, derived from Henri Nestlé’s personal coat of arms, evokes
the values upon which he founded his Company. Namely, the values of security, maternity and
affection, nature and nourishment, family and tradition. Today, it is not only the central element
of Nestlé’s corporate identity but serves to define the Company’s products, responsibilities,
business practices, ethics and goals.

In 2004, Nestlé had around 247,000 employees worldwide, operated 500 factories in approx. 100
countries and offered over 8,000 products to millions of consumers universally. The Company’s
transparent business practices, pioneering environment policy and respect for the fundamental
values of different cultures have earned it an enviable place in the countries it operates in.
Nestlé’s activities contribute to and nurture the sustainable economic development of people,
communities and nations. Above all, Nestlé is dedicated to bringing the joy of ‘Good Food,
Good Life’ to people throughout their lives, throughout the world.

About Nestle Group:

Since Henri Nestlé first developed his successful infant cereal “Farine Lactée”, we have built our
business on the conviction that to have long-term success for our shareholders, we not only have
to comply with all applicable legal requirements and ensure that all our activities are sustainable,
but additionally we have to create significant value for society.

At Nestlé we call this Creating Shared Value.

The new version of our Corporate Business Principles will be handed over to each of our
280’000 employees by the end of 2010 and accompanied by basic learning and training tools.

As of 2011, a modular training programme will be rolled out on the various components of the
Corporate Business Principles. The depth and focus of the trainings will be established in
accordance with the materiality for the different functions within the company. For example, the
training on the human rights components will focus on managers and employees in countries of
higher human rights risks as a priority, with the aim to having completed the first training cycle
by the end of the year.

Our Corporate Business Principles will continue to evolve and adapt to a changing world, our
basic foundation is unchanged from the time of the origins of our Company, and reflects the
basic ideas of fairness, honesty, and a general concern for people.

Nestlé is committed to the following Business Principles in all countries, taking into account
local legislation, cultural and religious practices:

1. Nutrition, Health and Wellness

Our core aim is to enhance the quality of consumers lives every day, everywhere by
offering tastier and healthier food and beverage choices and encouraging a healthy
lifestyle. We express this via our corporate proposition Good Food, Good Life.
Nestlé Nutritional Profiling System (pdf, 438 kb)

2. Quality Assurance and product safety

Everywhere in the world, the Nestlé name represents a promise to the consumer that the
product is safe and of high standard.
Nestlé Quality Policy (pdf, 86 kb)

3. Consumer Communication
We are committed to responsible, reliable consumer communication that empowers
consumers to exercise their right to informed choice and promotes healthier diets. We
respect consumer privacy.
Nestlé Consumer Communications Principles (pdf, 123 kb)

4. Human rights in our business activities

We fully support the United Nations Global Compact’s (UNGC) guiding principles on
human rights and labour and aim to provide an example of good human rights’ and
labour practices throughout our business activities.
International Labour Organisation

5. Leadership and personal responsibility

Our success is based on our people. We treat each other with respect and dignity and
expect everyone to promote a sense of personal responsibility. We recruit competent and
motivated people who respect our values, provide equal opportunities for their
development and advancement, protect their privacy and do not tolerate any form of
harassment or discrimination.
Nestlé Management and Leadership Principles (pdf, 533 kb)
Nestlé Code of Business Conduct (pdf, 77 kb)

6. Safety and health at work

We are committed to preventing accidents, injuries and illness related to work, and to
protect employees, contractors and others involved along the value chain.
Nestlé Policy on Health and Safety at Work (pdf, 2 Mb)

7. Supplier and customer relations

We require our suppliers, agents, subcontractors and their employees to demonstrate
honesty, integrity and fairness, and to adhere to our non-negotiable standards. In the same
way, we are committed towards our own customers.
 Nestlé Supplier Code (pdf, 303 kb)
Supplier code in 18 languages

8. Agriculture and rural development

We contribute to improvements in agricultural production, the social and economic status
of farmers, rural communities and in production systems to make them more
environmentally sustainable.
Nestlé Policy on Environmental Sustainability (pdf, 2 Mb)

9. Environmental sustainability
We commit ourselves to environmentally sustainable business practices. At all stages of
the product life cycle we strive to use natural resources efficiently, favour the use of
sustainably-managed renewable resources, and target zero waste.
Nestlé Policy on Environmental Sustainability (pdf, 2 Mb)

10. Water
We are committed to the sustainable use of water and continuous improvement in water
management. We recognise that the world faces a growing water challenge and that
responsible management of the world’s resources by all water users is an absolute
necessity.
Nestlé Water Report (pdf, 3 Mb)

Nestlé continues to maintain its commitment to follow and respect all applicable local
laws in each of its markets.

History
1866-1905

In the 1860s Henri Nestlé, a pharmacist, developed a food for babies who were unable to
breastfeed. His first success was a premature infant who could not tolerate his mother's milk or
any of the usual substitutes. People quickly recognized the value of the new product, after
Nestlé's new formula saved the child's life, and soon, Farine Lactée Henri Nestlé was being sold
in much of Europe.

1905-1918

In 1905 Nestlé merged with the Anglo-Swiss Condensed Milk Company. By the early 1900s, the
company was operating factories in the United States, Britain, Germany and Spain. World War I
created new demand for dairy products in the form of government contracts. By the end of the
war, Nestlé's production had more than doubled.

1918-1938
After the war Government contracts dried up and consumers switched back to fresh milk.
However, Nestlé's management responded quickly, streamlining operations and reducing debt.
The 1920s saw Nestlé's first expansion into new products, with chocolate the Company's second
most important activity

1938-1944

Nestlé felt the effects of World War II immediately. Profits dropped from $20 million in 1938 to
$6 million in 1939. Factories were established in developing countries, particularly Latin
America. Ironically, the war helped with the introduction of the Company's newest product,
Nescafé, which was a staple drink of the US military. Nestlé's production and sales rose in the
wartime economy.

1944-1975

The end of World War II was the beginning of a dynamic phase for Nestlé. Growth accelerated
and companies were acquired. In 1947 came the merger with Maggi seasonings and soups.
Crosse & Blackwell followed in 1960, as did Findus (1963), Libby's (1971) and Stouffer's
(1973). Diversification came with a shareholding in L'Oréal in 1974.

1975-1981

Nestlé's growth in the developing world partially offset a slowdown in the Company's traditional
markets. Nestlé made its second venture outside the food industry by acquiring Alcon
Laboratories Inc..

1981-1995

Nestlé divested a number of businesses1980 / 1984. In 1984, Nestlé's improved bottom line
allowed the Company to launch a new round of acquisitions, the most important being American
food giant Carnation.

1996-2002

The first half of the 1990s proved to be favorable for Nestlé: trade barriers crumbled and world
markets developed into more or less integrated trading areas. Since 1996 there have been
acquisitions including San Pellegrino (1997), Spillers Petfoods (1998) and Ralston Purina
(2002). There were two major acquisitions in North America, both in 2002: in July, Nestlé
merged its U.S. ice cream business into Dreyer's, and in August, a USD 2.6bn acquisition was
announced of Chef America, Inc.

2003 +

The year 2003 started well with the acquisition of Mövenpick Ice Cream, enhancing Nestlé's
position as one of the world market leaders in this product category. In 2006, Jenny Craig and
Uncle Toby's were added to the Nestlé portfolio and 2007 saw Novartis Medical Nutrition,
Gerber and Henniez join the Company.

Nestlé India is a subsidiary of Nestlé S.A. of Switzerland. With seven factories

and a large number of co-packers, Nestlé India is a vibrant Company that
provides consumers in India with products of global standards and is committed
to long-term sustainable growth and shareholder satisfaction.

The Company insists on honesty, integrity and fairness in all aspects of its
business and expects the same in its relationships. This has earned it the trust
and respect of every strata of society that it comes in contact with and is
acknowledged amongst India's 'Most Respected Companies' and amongst the
'Top Wealth Creators of India'.

Nestle India
Nestle India is a subsidiary of Nestle S.A. of Switzerland. Nestle India manufactures a variety of
food products such as infant food, milk products, beverages, prepared dishes & cooking aids, and
chocolates & confectionary. Some of the
famous brands of Nestle are NESCAFE, MAGGI, MILKYBAR, MILO, KIT KAT, BAR-ONE,
MILKMAID, NESTEA, NESTLE Milk, NESTLE SLIM Milk, NESTLE Fresh 'n' Natural Dahi
and NESTLE Jeera Raita.

Nestle was founded in 1867 in Geneva, Switzerland by Henri Nestle. Nestle's first product was
"Farine Lactee Nestle", an infant cereal. In 1905, Nestle acquired the Anglo-Swiss Condensed
Milk Company. Nestle's relationship with India started 1912, when it began trading as The
Nestle Anglo-Swiss Condensed Milk Company (Export) Limited, importing and selling finished
products in the Indian market.

After independence, in response to the then economic policies, which emphasized local
production, Nestle formed a company in India, namely Nestle India Ltd, and set up its first
factory in 1961 at Moga, Punjab, where the Government wanted Nestle to develop the milk
economy. In Moga, Nestle educated and advised farmers regarding basic farming and animal
husbandry practices such as increasing the milk yield of the cows through improved dairy
farming methods, irrigation, scientific crop management practices etc. Nestle set up milk
collection centres that ensured prompt collection and paid fair prices. Thus, Nestle transformed
Moga into a prosperous and vibrant milk district.

In 1967, Nestle set up its next factory at Choladi (Tamil Nadu) as a pilot plant to process the tea
grown in the area into soluble tea. Nestle opened its third factor in Nanjangud (Karnataka) in
1989. Thereafter, Nestle India opened factories in Samalkha (Haryana), in 1993 and two in Goa
at Ponda, and Bicholim in 1995 and 1997 respectively. Nestle India is now putting up the 7th
factory at Pant Nagar in Uttarakhand.

Today, Nestle is the world's largest and most diversified food company. It has around 2,50,000
employees worldwide, operated 500 factories in approximately 100 countries and offers over
8,000 products to millions of consumers universally.