Apr 2017 Financial News

Unilever Caribbean Limited - Notice to Shareholders - Accelerating Sustainable Shareholder Value Creation

Apr 10, 2017

Notice to Shareholders of Unilever Caribbean Ltd.: Accelerating Sustainable Shareholder Value Creation

Aligned to the Unilever announcement made this week, Unilever Caribbean Limited would like to share some key information with local shareholders. Following a strategic review of the global business, Unilever announced the next stage in our journey as a long-term, sustainable growth company. Key highlights of this review are:

• Reconfirming our commitment to a proven long-term model of compounding growth and sustainable value creation
• Accelerating the Connected 4 Growth business transformation programme and targeting underlying operating margin improvements over the next 3 years
• Active portfolio management continuing, including a decision to exit Spreads

Pablo Garrido: Chairman Statement

“The global review that has taken place across Unilever has defined clear actions that will continue to drive long-term shareholder value creation for Unilever Caribbean Ltd. The Board is in full support of these actions.”

Lucy Walsh: Managing Director Statement

“Unilever Caribbean Ltd. remains committed to delivering long-term sustainable value for our shareholders. This value is built on a strong portfolio of brands with market-leading positions in many of our markets across the Southern Caribbean. Our business model has delivered consistent, competitive, profitable and responsible growth, resulting in attractive returns for our shareholders. As the world around us changes at a rapid pace, we must adapt accordingly and set our ambitions higher. This was the main driver for the implementation of our global business transformation programme – Connected 4 Growth – which we embarked upon last year.

Both globally and here at Unilever Caribbean Ltd., we have made good progress against our Connected 4 Growth programme, and our recent global review highlighted opportunities to take this faster and further. We will accelerate our current efforts and launch a number of initiatives at a corporate level with the ambition of significantly improving our underlying operating margin, simplifying our business and improving our strategic flexibility.

The review also highlighted an opportunity for accelerated development of our portfolio. In 2015, Unilever set up a separate Baking, Cooking and Spreads unit to allow greater focus on the challenges we faced in this category. The unit has responded well to this focus, reducing costs, increasing cash generation and holding market share. However, the underlying category remains challenged in developed markets and we have now taken the decision to launch a process to divest this business globally.

Despite tough market conditions across the Southern Caribbean in 2017, we remain confident in our strategy and plan to build a stronger business in both the short and medium-term.”

Thank you.
The Management Team

For further inquiries, please contact:
Mark Beepath, Corporate Secretary
Unilever Caribbean Limited
Tel: 1 (868) 663 1787
mark.beepath@unilever.com

Source:
The Trinidad and Tobago Stock Exchange Limited
Monday April 10, 2017