Credibility:science at the heart of our business modelDavid GrahamFlorence JeantetFrédéric RenéRolf Smeets

Strong science at the heart of our business model

Scientific bodies

International organizations

Public health authorities

Health Care Professionals

AssociationsConsumers

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Relevant science is thebackbone

1

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Deepening the reach through dedicated

approaches for each stakeholder

2

Fresh Dairy Products Medical nutritionBaby nutrition

Leveraging our science

in the medical world

Dedicated approaches: example by division

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Waters

Be the most credible partner of each

player on the patient ecosystem

Using the pyramid of influence

to put healthy hydration on the

map

Leveraging our scientific

partnerships on nutritional products

HCP’s & Mum’sInsights

HCP’s & Mum’sInsights

HCP’s & Mum’sInsights

Credible Public health Partner

Engage HCP’sEducationRelevant Products

Medical

on the Most Relevant Early Nutrition issues

Science

Engage Regulatory bodiesPolicy MakersNGO/Stakeholders

Public Affairs

KOL’s Engagement

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Science in Baby Nutrition

Leverage through Academic Chairs

?

Publish

2010:50 full papers

3 book chapters~100 conference

presentations

Protect

GOS/FOS Patent

GOS/FOS+ PUFA allergy; premature

GOS/FOS respiratory tract infection

GOS/FOS allergy

GOS/FOS + LCPUFA + hydrolysates

GOS/FOS + AA+DHA2010

2009

2008

2007

2007

2002

WithIMMUNOFORTIS

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HCP’s & Mum’sInsights

HCP’s & Mum’sInsights

HCP’s & Mum’sInsights

Credible Public Health Partner

Engage HCP’sEducationRelevant Products

Medical

on the Most Relevant Early Nutrition issues

Science

Engage Regulatory bodiesPolicy MakersNGO/Stakeholders

Public Affairs

KOL’s Engagement

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8

Common Goal: Improving Health of Infants & Toddlers

HCPs

Regulatory

Our research

teams

Media

Scientific experts

GovernmOrganisations

Key opinion leaders = our cornerstone

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Leverage our science with KOLs

2- Share & Educate KOLsVisits to Research

1- Among PeersSymposia

Every year:

à800 KOLs DBN International Symposia

à150,000 HCPs National Symposia

In 2010:à 765 KOLs in our Research center

“You have the powerful tool, and we

have the problems in Africa. Building together will make

great things”

KOLs from Thailand, Nov 2010

How to reach the medical community

1- Among peers symposia

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Cascade down!

3- 4- Education HCPs & Mums Reps3- Medical Reps

Among peersSymposia

à3,000+ Med Reps highly trained

à >4M HCP visits pa

i-learn

Austria

Russia

How to reach the medical community

Pyramid of medical endorsement

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Fresh Dairy Products Medical nutritionBaby nutrition

Leveraging our science

in the medical world

Dedicated approaches: example by division

– 11 –

Waters

Be the most credible partner of each

player on the patient ecosystem

Using the pyramid of influence

to put healthy hydration on the

map

Leveraging our scientific

partnerships on nutritional

products

Trust is built thru long term top partnershipsExample: Danone Research microbiota and probiotics

Institut Pasteur

World leader in Microbiology & Immunity• P. Sansonetti• P. Cossart• M. Daeron• S. van der Werf• P. Glazer• S. Brisse

INRA

Top 5 Microbiota science WW:• J. Doré

Head of MetaHIT EU: • D. Erhlich

St. Louis University

Harvard

Top 5 Probiotics science in US:• L. Glimcher

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The “pope” in Microbiota science:• J. Gordon

Some common interesting historical links between the Institute and Danone

1851

1906

1919

1926

Louis Pasteur

Elie Metchnikoff

Isaac Carasso

Daniel Carasso

The “pope of Modern Microbiology”

Nobel prize and “father of modern yogurt”

The “creator of Danone yogurt” with Institut Pasteur ferments

“Mr Danone” did a training at Institut Pasteur

The long dating collaboration was transformed into a scientific partnership in 2005 to strengthen & promote

probiotics & Immune Health, and for Innovation

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Top notch collaborations

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2010: First Microbe for Health SymposiumInstitut Pasteur Danone Research 2011: the IRT Lyon Biotech

366 participants from 27 countries 2011, joined creation of the IRT Lyon Biotech (One of the only 5 selected IRT from the French Government) Grand Emprunt

Caroline Ash

Claudia Lupp

At Danone dairy we have a selective approachin building our international experts board

Expert Board

Christopher Duggan

USA

PEDIATRICIAN Director Clinical Nutrition, ServiceChildren's Hospital Boston

OlivierGoulet

Chairing,France

PEDIATRICIAN Head of Paediatric, Gastro, Hepato & Nutrition, Necker-Enfants Malades University Hospital, Paris

PiotrSocha

Poland

PEDIATRICIANChildren Memorial Health Institute, Dpt Gastro, Hepato & Immuno in Warsaw

LuisMoreno

Spain

PEDIATRICIANAnd public health specialistUniversity of Zaragoza

Stanley Zlotkin

Canada

PEDIATRICIANHead, Division of Gastro & Nutrition Hospital for Sick Children, Toronto

Gina Toussaint

Mexico

PERINATOLOGY NUTRITIONISTHospital Infantil de México Federico Gómez

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Nutri - Brasil Infancia Study (2007)

Local co-construction to understand needs

When data are lacking we propose to measure nutritional intake precisely with the support of Health Authorities and Local Universities

è 3,111 children aged between 2 and 6 and spread over 9 city areas- nutritional intake / compared

with recommendations- anthropometric data

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Danonino, has local tailored made formulas

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Trust with the consumer through endorsement

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Japan

Poland

Russia

Austria

Mexico

Country Endorser Country Endorser

Medical nutrition

Be the most credible

partner of each player on the

patient ecosystem

Baby nutrition

Leveraging our science

in the medical world

Dedicated approaches: example by division

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Waters

Using the pyramid of influence

to put healthy hydration on the

map

Fresh Dairy Products

Leveraging our scientific

partnerships on nutritional products

Carer

Pharmacist KOL / stakeholder

Allergy

Oncology

Metabolics

Patients in HospitalNeuro

Patients

The patient universe

Health care practitioner community/hospital

Medical care provider, including medical nutrition

Governments & regulatory bodies

Patient / Medicalassociation

Public / Private payer

Faltering Growth

Gastro

Frail Elderly

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Relationship building awareness

Patient care

Medical Credibility

The foundation of our credibility is strong science

Reimbursement screening

Treatment guidelines scientific publications

Evidence clinical trialsStrong Science

KOL Support

HCP Support

Patient Assoc.

Patient

Payers

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Our medical nutrition universe

Focus on disease conditions with strong science

Our products address special nutritional requirements of patients (individuals not in good health)

These nutritional requirements cannot be adequately met by modifying the normal diet

FSMPs / Medical foods typically used under medical supervision

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Carer

Pharmacist KOL / stakeholder

Stakeholder map constantly evolving

Health care practitioner community/hospital

Medical care provider, including medical nutrition

Governments & regulatory bodies

Patient / Medicalassociation

Public / Private payer

Patients

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Why do KOLs / experts want to work with us

Long standing relationship to build Science and develop Solutions for patients together- Joined research and clinical trials- Organization of scientific symposia- Agreement on medical protocols- Advisory boards on disease areas and solutions

KOL

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Metabolics – an example of building science and develop solutions for patients together

In most countries, newborn children are given a 'heel-prick' test to detect a number of rare inborn conditions (e.g. PKU). Where such disorders are present, food proteins cannot be absorbed properly, and brain damage may occur unless a special diet is strictly observed

‘A safe diet and a normal life for people with inborn errors of metabolism’

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Why do public and private payers work with us

Cost effectiveness of treatment as addition to medical benefits becomes more important

Clinical implications of malnutrition: Increase infections, complications, mortality

Huge cost impact of malnutrition: € 1.7 billion in the Netherlands

Develop treatment guidelines on malnutrition: Stuurgroep ondervoeding ‘10

Benefits of treatment: reduction infections, length of stay in hospital, re-admission

Cost saving in treatment: Belly surgery (€ 40 mln) and Home care (€ 13 mln)

Public/private payers

Dutch example

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We work with patient associations

Pat assoc

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Working with Patient Support Groups e.g.: Carers UKWe generate new science on disease areas

We bring scientific credibility which facilitates access to policy makers

Reaching more patients to generate awareness on solutions

Spreading the word:

Fresh Dairy Products Medical nutrition

Dedicated approaches: example by division

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Be the most credible partner of each

player on the patient ecosystem

Leveraging our scientific

partnerships on nutritional products

Waters

Using the pyramid

of influenceto put healthy

hydration on the map

Baby nutrition

Leveraging our science

in the medical world

A perfect storm developed in early 2007…

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What they say

Polluting Responsible

We realized we had a credibility gap

Nature’s Best

How we see ourselves

HealthyExpensive

Superfluous

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Our conviction pyramid

The battle for

NATURAL WATER

OURBRANDS

WATER

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The battle for water: 2 pillars

The battle for

NATURAL WATER

OURBRANDS

WATER

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1. We don’t drink enough Water 2. Water is the healthiest beverage

Hydration for Health Initiative:…to put healthy hydration on the map

100 invited KOLS(20 countries)

Nutritionalcongress presence

HCP website

33

The battle for water, Indonesian example

Health& educationauthorities

Leading scientists

Local scientists,Health Care Professionals

coaches & journalists

Consumers

Select strategicpartners

1

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Formation of an Advisory Board

Leading scientists

Select strategicpartners

1

Prof. HardinsyahDr. Parindungan Dr. Sudung Dr. Budi

RoleBring insightsRaise profile of the importance of hydrationStrengthen credibility

OutputsScientific studies and communications tools

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First hydration study in Indonesia

Health& educationauthorities

Local scientists,Health Care Professionals

coaches & journalists

Consumers

Leading scientists

Select strategicpartners

1

Health issue & evidence

2

Bogor Agricultural Institute

University of Airlangga

University of Hasanudin

INDONESIANS DON’T DRINK ENOUGH!!

46.1% mildly dehydrated

50% of respondents unawareof need to drink at least 2 L/day

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First hydration study in Indonesia:3 recognized partners, 4 regions, 1,200 subjects

Engage KOLs & HCPs: hydration chart

Local scientists,Health Care Professionals

coaches & journalists

Health& educationauthorities

Leading scientists

Consumers

Select strategicpartners

1

Health issue & evidence

2

KOLengagement

& mobilisation

3

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HCP awareness programme across 6 major cities

5,000 HCPs in Jakarta, Surabaya, Makassar,Bandung, Semarang, P. Baru

HYDRATION & HEALTH SYMPOSIA

KOLs / Health experts Medical Associations

HCPs participants

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Consumer Media Coverage generated

Health& educationauthorities

Leading scientists

Local scientists,Health Care Professionals

coaches & journalists

Consumers

Professor Armstrong (guest Lecture wascovered by leading Television : METRO TV

Select strategicpartners

1

Health issue & evidence

2

Consumeractivation

4

KOLengagement

& mobilisation

3

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Credibility: A long-term process towards fundamental shifts in policy and action

Health& educationauthorities

Leading scientists

Local scientists,Health Care Professionals

coaches & journalists

Consumers

INCREASEDINFLUENCE

StrongerPartnerships

Visibility,Reputation

5

6

Select strategicpartners

1

Health issue & evidence

2

Consumeractivation

4

KOLengagement

& mobilisation

3

Water incorporated intoNational food pyramid in 2010

“Drink at least 2 litresof Water a day”

40