Mondelez 2012 Annual Report Download - page 37

Table of Contents
Developing Markets
2012 compared with 2011:
Net revenues increased $34 million (0.2%), due to higher net pricing (5.1 pp) and favorable volume/mix (1.9 pp), mostly offset by
unfavorable foreign currency (5.6 pp) and the impact of prior year’s accounting calendar changes (1.2 pp). In Central and Eastern
Europe, net revenues decreased driven by unfavorable foreign currency and the impact of prior year’s accounting calendar
changes (including the 53 week of shipments in 2011), partially offset by higher net pricing across most of the region and
favorable volume/mix. In Middle East and Africa, net revenues increased driven by favorable volume/mix and higher net pricing
across most of the region, partially offset by unfavorable foreign currency and the impact of prior year’s accounting calendar
changes. In Latin America, net revenues decreased driven by unfavorable foreign currency, unfavorable volume/mix primarily in
Mexico and Venezuela and the impact of prior year’s accounting calendar changes, partially offset by higher net pricing across the
region. In Asia Pacific, net revenues increased due to higher net pricing across most of the region, favorable volume/mix primarily in
China, Southeast Asia and Australia/New Zealand, partially offset by unfavorable foreign currency.
Segment operating income increased $64 million (3.2%), due primarily to higher net pricing, favorable volume/mix, lower Integration
Program costs and a gain on the sale of a property in Russia, partially offset by higher raw material costs, higher advertising and
consumer promotion costs, unfavorable foreign currency, an asset impairment charge related to a trademark in Japan, higher other
selling, general and administrative expenses, higher manufacturing costs, Spin-Off Costs incurred, the impact from prior year’s
accounting calendar changes and costs incurred for the 2012-2014 Restructuring Program.
2011 compared with 2010:
Net revenues increased $2,201 million (16.4%), due to higher net pricing (7.4 pp), favorable volume/mix (4.0 pp), favorable foreign
currency (3.0 pp), our Cadbury acquisition (2.8 pp), and the impact of accounting calendar changes (including the 53 week of
shipments in 2011) (0.1 pp), partially offset by the impact of the 2010 divestiture of certain Cadbury confectionery operations in
Poland and Romania (0.9 pp). In Central and Eastern Europe, net revenues increased, driven by higher net pricing across the
region, the impact of accounting calendar changes (including the 53 week of shipments in 2011), favorable foreign currency and
our Cadbury acquisition, partially offset by the impact of divestitures and unfavorable volume/mix. In Middle East and Africa, net
revenues increased, driven by higher net pricing across the region, our Cadbury acquisition, favorable volume/mix and the impact
of accounting calendar changes, partially offset by unfavorable foreign currency. In Latin America, net revenues increased, driven
by higher net pricing across the region, favorable volume/mix across most of the region, our Cadbury acquisition and favorable
foreign currency, partially offset by the impact of accounting calendar changes. In Asia Pacific, net revenues increased, due
primarily to favorable volume/mix, favorable foreign currency, our Cadbury acquisition and higher net pricing across most of the
region, partially offset by the impact of accounting calendar changes.
Segment operating income increased $470 million (30.7%), due primarily to higher net pricing, favorable volume/mix, favorable
foreign currency, our Cadbury acquisition due to the incremental January 2011 operating results, 2010 asset impairment charges
related to trademarks in China, lower acquisition-related costs and lower Integration Program costs. These favorable variances
were partially offset by higher raw material costs, higher manufacturing costs, higher other selling, general and administrative
expenses (net of a gain on the sale of land) and higher advertising and consumer promotion costs.
34
For the Years Ended
December 31,
2012
2011
$ change
% change
(in millions)
Net revenues
$
15,655
$
15,621
$
34
0.2%
Segment operating income
2,067
2,003
64
3.2%
For the Years Ended
December 31,
2011
2010
$ change
% change
(in millions)
Net revenues
$
15,621
$
13,420
$
2,201
16.4%
Segment operating income
2,003
1,533
470
30.7%
rd
rd
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