2 Forward-looking statements This slide presentation contains forward-looking statements that there are two critical aspects of Kraft Foods' financial turnaround, including returning to sustainable growth and improving transparency, accountability and decision-making; the five ways we're improving transparency, accountability and decision-making, in particular, that we are reorganizing European operations for faster decision-making and for better trade-offs, revising cost assignment methodology and moving to LIFO to reduce accounting costs; our U.S. beverages key initiatives, including that we will invest in value-oriented marketing, increase top-line momentum of powdered beverage stick and premium coffee platforms and improve profitability of ready-to-drink and mainstream coffee; our U.S. cheese key initiatives, including that we will apply an adaptive pricing model for more consistent profit delivery, enhance product mix through incremental marketing behind advantaged categories and segments, and that we will leverage our scale to create retail advantage; our U.S. convenient meals key initiatives, including our focus on quality, marketing and innovation around sandwiches, that we will sustain top-line momentum of pizza, and grow our margins through "end to end" productivity opportunities; our Grocery initiatives, including focusing our resources on fewer, bigger core platforms, leverage in-store presence with better trade planning and execution tools, and streamline overhead and manufacturing through "end-to-end" initiatives; our U.S. snacks initiatives, including continuing to revitalize core cookie and cracker brands by further investments and building margin-accretive platforms that leverage core equities, grow share in nuts through quality upgrades and participation in growing segments, selectively invest in bars, and invest to optimize manufacturing infrastructure; our Canada and North American Foodservice key initiatives, including growing vol/mix, leveraging scale, optimizing our Canadian manufacturing network, improving product mix by focusing on Kraft brands, and building profit margins by leveraging growth in profitable customer segments; our Europe key initiatives, including focusing where we make money, investing behind the highest margin opportunities, pruning less profitable product lines, improving effectiveness at retail, eliminating inefficient trade spending, driving portfolio availability, reducing costs by streamlining overheads and manufacturing, and integrating our Kraft Foods and LU businesses; our Developing Markets key initiatives, including growing through locally relevant business models, continuing to focus investments behind priority categories, brands and markets and expanding in traditional trade channels; our 2009 goal to build profit margins and market share; and our long-term goals with regard to organic revenue growth, manufacturing, overhead leverage, cash flow leverage, tax rate, and long-term EPS growth. These forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those predicted in any such forward-looking statements. Such factors, include, but are not limited to, continued volatility of input costs, pricing actions, increased competition, our ability to differentiate our products from private label products, increased costs of sales, FDA or other regulatory actions or delays including widespread product recalls, unanticipated expenses such as litigation or legal settlement expenses, our indebtedness and ability to pay our indebtedness, the shift in our product mix to lower margin offerings, our failure to expand into emerging markets, risks from operating internationally and tax law changes. For additional information on these and other factors that could affect our forward- looking statements, see our filings with the SEC, including our most recently filed Annual Report on Form 10-K and subsequent reports on Forms 10-Q and 8-K. We disclaim and do not undertake any obligation to update or revise any forward-looking statement in this slide presentation. | 
