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  "documentTitle": "Nestlé S.A. (NESN)",
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  "authorName": "Third Point",
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  "presentationDate": "2017-06-25 00:00:00",
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  "notes": "Page 4 of a shareholder letter; contains specific critique of Nestlé's margin performance relative to peers.",
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      "text": "Nestlé's CY16 EBIT margin 15.3% (16% ex-items) is at the low end of its peers, nearly all of which are now targeting high-teens to low 20's margins.",
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      "text": "EBIT margin: 15.3%",
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      "text": "Jan has direct operating experience in four of Nestlé's key categories: coffee, baby food, medical nutrition, and dairy, as well as an unimpeachable record of substantial shareholder value creation.",
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      "text": "We believe Nestlé should adopt a formal margin target. The company has highlighted over CHF 7.5 billion of cost savings since 2012 but these savings have not fueled faster organic sales or earnings growth. Nestlé's CY16 EBIT margin 15.3% (16% ex-items) is at the low end of its peers.",
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      "text": "Third Point intends to play a constructive role to encourage management to pursue change with a greater sense of urgency. We believe Nestlé is positioned to create enormous value for shareholders over the next several years if the company focuses on: 1) Improving Productivity; 2) Returning Capital to Shareholders; 3) Re-shaping the Portfolio; and, 4) Monetizing its L'Oréal Stake.",
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