2011 in dates

Danone launched Dan’Cares, a new program offering basic healthcare coverage for employees (101,885 employees at December 31, 2011) around the world by 2013: hospitalization, surgery, childbirth, medical consultations and prescription medicines. After a test phase in 2010 to analyze healthcare access in 15 countries, the program was rolled out in 8 countries* in 2011, representing more than 50% of all employees.

*China, Spain, Indonesia, Mexico, Brazil, Poland, Russia, Saudi Arabia

In order to fight the effects of sarcopenia, the loss of skeletal muscle mass that accompanies aging, Nutricia has developed FortiFit, a nutritional product which helps regener­ate muscle mass and delays the loss of independence. Recommended by health professionals, FortiFit was launched across Austrian pharmaceutical networks and requires no prescription.

In early 2011, Danone unveiled Compact Fibre in six countries*. This fibre-based, high-calorie, high-protein nutritional supplement is designed for malnourished persons or those facing risks of becoming malnourished. It is sold in a 125ml bottle and the nutritional content is identical to that of the initial 200ml size, containing 300 kilocalories, 11.8 grams of protein and 4.5 grams of fibre.

*In Germany, the Netherlands, Sweden, Finland, Italy, Austria. The UK and Ireland followed in late 2011.

Danone’s Board of Directors, meeting on February 14, 2011, approved the appointment of Isabelle Seillier and Jean-Michel Severino as members of the Board of Directors. Jean-Michel Severino is a top civil servant with the French Ministry of Finance. He is a member of the Academy of Technology. Isabelle Seillier sits on the Board of Directors of Paris Europlace and is Chairman of JP Morgan in France. The Board noted that these appointments will increase the number of independent directors and women serving on it. 

February 2011 sees the launch of Hydration for Health Hub - an exciting new development for the growing Hydration for Health (H4H) Initiative - hosted on their new website www.h4hinitiative.com.

The new "expert opinion blog site" provides a platform for scientific and medical expert opinion on a wide range of subjects related to healthy hydration and healthy hydration advice. 

Danone kicks off its new global campaign for the Evian brand. In addition to using traditional media, the campaign relies largely on the evian.com site and a community strategy on social networks: several versions of the video can be seen on YouTube; a website dedicated to the new campaign (letsbabydance.evian.com) and an application, Baby Dance, invite consumers to participate in an unprecedented video - the longest ever made – wearing the Live Young T-shirt.

In April 2011, Danone opened a new dairy plant in Australia, where Danone is also gradually developing its baby nutrition and medical nutrition business activities.

April 1, Danone Baby Nutrition announced the opening of a Research Centre for Specialised Nutrition at Singapore’s Biopolis Research Park. The Danone Research Centre for Specialized Nutrition is the first in Asia Pacific to focus fully on child and maternal health, especially the impact of nutrition on gut bacteria, immune system and the overall growth and development of babies and children, to ensure a healthy start in life.

A team of twenty researchers already working with scientific experts from the Asia-Pacific, a strategic aera for Danone, with one-third of sales and more than half the world’s population.

As part of the Green Planet Happy Children programme, in partnership with the NGO SOS Villages d’Enfants, Danone has financed the construction of a photovoltaic plant in Mombasa, Kenya.
The facility, which opened 7 April 2011, is the second-largest in Kenya. Producing more than 300 kWh per day, it supplies power to the entire Mombasa SOS children’s village and the school. The plant also helps save €22,000 annually on energy costs, a sum reinvested in schools in the poorest Mombasa districts.

Jean-Philippe Paré was appointed Executive Vice President, Research and Development, with Danone on May 2, and member of the Executive Committee. Heading up a staff of 1,200 scientists and specialized developers, Jean-Philippe Paré is responsible for R&D serving all four Danone divisions (Fresh Dairy, Waters, Baby Nutrition and Medical Nutrition) and international research centers.

In June 2011, Danone opens a new Bonafont plant in Mexico. Bonafont pursues its goal to get closer its consumers, in rural zones through micro-plants, easy to implement and at very little cost. Eight micro-plants should be opened by 2015. Mexico’s leading bottled water brand, Bonafont holds 40% of the waters market and is yet still increasing, making Mexico one of the most important markets of the Waters division.

On July 4th, Danone announced the création, together with other businesses (Crédit Agricole, Schneider Electric, Caisse des Dépôts subsidiary CDC Climat and La Poste) of the Livelihoods Fund. The purpose of the carbon asset investment fund is to restore ecosystems through carbon offset projects and help poorer rural communities develop by leveraging local resources. With support from the companies under their CO2 reduction policy, Livelihoods, in partnership withNGOs, supplies financial resources to allow villages to carry out projects with high social and environmental value.

A new approach for understanding obesity and undernutrition was rewarded on July 13th, 2011, on the occasion of the Asian Congress of Nutrition in Singapore. American research scientist Jeffrey I. Gordon received the Danone International Prize for Nutrition for his outstanding discoveries about the relationships that exist between human gut microbiome (microbial genes found in the intestines), diet and nutritional status. Jeffrey I. Gordon is director of the Center for Genome Sciences and Systems Biology at Washington University School of Medicine.

On July 13, Danone opened its first baby nutrition factory in Mexico, the sixth-best-performing country market in baby food and the Number 2 Latin American market after Brazil. With over 2 million births in 2011, Mexico ranks 12th worldwide.

The 2011 edition of the Evian Masters women’s golf tournament organised by Danone took place in Evian 21-24 July. The international competition also helps Danone support the fight against leukodystrophy, a degenerative brain disease. On the side-lines of the main competition, the Group holds a football game, with all proceeds being donated to the European association dedicated to battling this disease.

In August 2011, Danone strengthened its position in China by opening a new medical nutrition factory in Wuxi. This site joins the 20 other plants the group already has in this country, all activities taken together. Construction of this new factory demonstrates Danone’s business growth in the Chinese market, particularly in baby nutrition and medical nutrition. With leading brands like Mizone and Robust, China is also one of the key countries for the Waters division.

In August 2011, Dannon updated its Greek yogurt offer in the U.S. by launching the Oikos brand, reinforcing the Group’s presence in that country, in a fast-growing segment.

Oikos’ taste and creamy texture soon won over the American public, one that still shows limited consumption of fresh dairy products. Between the first and second half of 2011, Greek yogurt sales nearly doubled (+88%). A year after its unveiling, the range already represents 10% of Dannon’s U.S. dairy sales.

In September 2011, the Danone Ecosystem Fund approved plans for a sales school in Algeria. The goal is to make it possible for young Algerians not having a degree to obtain long-term employment through a skills-training/work-experience programme in the sales field.

Classes began in early 2012 and, by 2015, four “Miftah Ennajah” schools should be positioned across the country. 

On September 1, Dannon opened a research and development centre dedicated to innovation at the White Plains, NY, headquarters. The site will help catalyse collaboration between R&D, marketing, raw materials purchasing and supplier relations. The objective is to bring together all activities having direct impact on organisation optimisation, innovation and the sales offer on the still-underdeveloped U.S. dairy market.

On September 1, Danone launched the Down to Earth blog, focusing on four themes: nature, nutrition, ecosystem and social business. Designed as a forum for sharing innovative experiences and views on key issues related to sustainable business, Down to Earth is a blog, a Facebook page, a Twitter account and a YouTube channel. 

September 21, Danone announced the successful launch of a €500 million 5-year bond issue.  Funds raised will enable Danone to diversify its sources of finance and extend the maturity of its debt at favorable market conditions.

The 2011 Planetworkshops were held in Evian the 26, 27 and 28 September. At this sixth gathering, discussions focused on sustainable development and the changes needed in business and society. More than 900 opinion leaders from 65 countries, including government officials, business leaders, NGOs and associations, laypersons, researchers and the media, gathered for three days. As an event partner, Danone was naturally in attendance.

September 29, Danone and the IUF (International Union of Food, Agricultural, Hotel, Restaurant, Catering, Tobacco and Allied Workers) signed the first worldwide agreement on health, safety, working conditions and stress. By signing this agreement on health and safety, working conditions and stress, Danone and the IUF go one step further, addressing concerns that are shared by employees in all countries. It has been drawn up based on the best practices seen in mature countries and in the emerging economies. Danone has more than 100,000 employees throughout the world, with more than half working in the emerging countries.

Danone announces the appointments to the Executive Committee Thomas Kunz named Executive Vice President, Fresh Dairy Products Francisco Camacho named Executive Vice President, Waters

As the sixth danone.communities project, the El Alberto mission has two objectives: to provide drinking water to 130,000 people from the indigenous community of the State of Hidalgo, Mexico, at a very affordable price (9 Mexican pesos, or 53 eurocents, per 20 litres,) and ensure sustainable income for some 200 indigenous women selling the water.
Following the creation of a start-up in May 2011, this activity was launched on  October 4 with the opening of the water treatment plant.

On October 5, Danone opened a new Business Unit, Danone BOP India, focused on the development and sale of products aimed for the “base of pyramid” in this country and adapted to local nutritional needs. The first two Fundooz products for young children are milk based and fortified with key nutrients like Vitamin A, Iron, Zinc and Iodine. Available between 5 and 10 indian roupies (€ 0,07 and € 0,14), Yum Creamy and Yum Chuski, are retailed in nearly 1200 outlets including kiranas, small traditional shops.

Danone Nations Cup World Final 2011 edition runs from October 6 to 9 in Spain. Brazil won the tournament against Thailand at Santiago Bernabéu, Madrid. The Danone Nations Cup, whose ambassador is Zinedine Zidane, is the biggest football world cup for children aged 10 to 12. 2.5 million kids from 40 countries participate, and they all share the human values of this event every year. 

Danone has acquired call options representing around 1.02% of its share capital to cover part of its obligations under former stock-option plans and thus limit future dilution of its capital. Danone ended its allocation of stock options, replacing them with performance shares. To meet its legal obligations, Danone currently holds treasury shares for the express purpose of covering these stock-options programs. To date, the treasury shares had been earmarked for gradual release into circulation on the market as beneficiaries of stock-option plans exercised their options, with the last plans set to expire in October 2017.

On the occasion of the "Annual Meeting of the New Champions", Schwab Foundation has announced the appointment of the association, "1001 fountains for tomorrow” through Chay Lo, Cambodian co-founder of the association, as "Social Entrepreneur of the Year 2011" for Asia.

danone.communities began supporting 1001 Fontaines in 2008. This association funds installation of treatment units that produce safe drinking water, which is then bottled and distributed to isolated populations, mainly in Cambodia. Since then, 54 treatment units have been created which now enable nearly 70,000 people in poor villages of this country.

In November 2011, researchers presented two clinical studies on Souvenaid at CTAD*, an international conference on Alzheimer’s disease held in San Diego. Their Souvenir II study confirms that the product has a positive effect on memory in patients with early symptoms of Alzheimer’s. Nutricia, Danone’s Medical Nutrition division, looks forward to introducing Souvenaid to doctors and patients in the near future.

* Clinical Trials on Alzheimer’s Disease

Danone Research, the Pasteur Institute and the French National Institute for Agricultural Research organized a second Microbes for Health Symposium, held in Paris in December 1st and 2nd. The event attracted nearly 400 scientists from around the world (and 28,000 people followed the Symposium on Twitter) during two days to share the latest discoveries on intestinal microbiota, and the links with human health. The Pasteur Institute and Danone, longtime collaborators, are bound by a research partnership since 2004.

To cut 30% of Danone’s carbon footprint by 2012, we asked SAP to invent an IT solution that could measure the footprint of every entity in the group along with 35,000 products—a necessary baseline for reducing CO₂ emissions. The calculation included upstream agricultural production, supplier location, type of transport, packaging life cycle and many other variables. By quantifying the impact of the various links in the chain, the SAP solution lets us make the right decisions at local level.

In early December 2011, the EVE programme held its second conference in Evian. A Danone idea supported by partner companies (Crédit Agricole SA, KPMG, L’Oréal, SNCF, Schneider Electric), EVE is a women’s leadership programme seeking to build strong and inspiring individuals in sufficient numbers in the business world to enable them to generate change. The meeting drew 280 managers of major companies.

At December 31, 2011, Danone has reduced its carbon footprint by -27.5% since 2008. Danone confirms its goal: a 30% reduction in total CO₂ emissions on all its activities by 2012.

As of December 31, 2011, 40,000 Danoners had been trained through the Danone Leadership College (DLC) in 51 countries, according to the CODE leadership values defined by the Group (Committed, Open, Doer and Empowered/Empowering). The objective of this program, which was launched in 2008, is to increase the autonomy and accountability of all Group’s employees and to make Danone a “Great Place to Grow” (where everyone can learn and develop). The DLC’s main strength is the employees’ involvement in their subsidiary’s strategy, the managerial ability, and individual and collective leadership ability.

The Danone People Survey 2011, an internal survey of all group employees taken every two years, obtained a record response rate of 87%. The Survey is a way for the employees to express their needs and expectations for making Danone a place for professional and personal growth.