好時 (HSY) 2012 Q3 法說會逐字稿

Good morning.

早上好。

My name is Lisa and I will be your conference operator today.

我叫麗莎，今天我將擔任你們的會議操作員。

At this time I would like to welcome everyone to the Hershey Company third quarter 2012 results conference call.

現在我歡迎大家參加好時公司2012年第三季度業績電話會議。

All lines have been placed on mute to prevent any background noise.

所有線路均已靜音，以防止任何背景噪音。

After the speakers' remarks there will be a question-and-answer session period.

演講者發言後將進入問答環節。

(Operator Instructions)

（操作員說明）

Thank you.

謝謝。

I would now like to turn the call over to Mr. Mark Pogharian.

我現在想把電話轉給馬克·波加里安先生。

Please go ahead, sir.

請繼續，先生。

Thank you, Lisa.

謝謝你，麗莎。

Good morning, ladies and gentlemen.

早上好，女士們，先生們。

Welcome to The Hershey Company third quarter 2012 conference call.

歡迎參加好時公司 2012 年第三季度電話會議。

JP Bilbrey, President and CEO, Bert Alfonso, Senior Vice President and CFO, and I will represent Hershey on this morning's call.

總裁兼首席執行官 JP Bilbrey、高級副總裁兼首席財務官 Bert Alfonso 和我將代表好時參加今天早上的電話會議。

We also welcome those of you listening via the webcast.

我們也歡迎你們通過網絡廣播收聽。

Let me remind everyone listening that today's conference call may contain statements which are forward-looking.

讓我提醒各位聽眾，今天的電話會議可能包含前瞻性陳述。

These statements are based on current expectations which are subject to risk and uncertainty.

這些陳述基於當前的預期，但存在風險和不確定性。

Actual results may vary materially from those contained in the forward-looking statements because of factors such as those listed in this morning's press release and in our 10-K for 2011 filed with the SEC.

由於今天上午的新聞稿和我們向 SEC 提交的 2011 年 10-K 報告中列出的因素，實際結果可能與前瞻性陳述中包含的結果存在重大差異。

If you have not seen the press release, a copy is posted on our corporate website in the Investor Relations section.

如果您還沒有看過新聞稿，我們公司網站的投資者關係部分會發布一份副本。

Included in the press release is a consolidated balance sheet and a summary of consolidated statements of income prepared in accordance with GAAP.

新聞稿中包括根據公認會計準則編制的合併資產負債表和合併損益表摘要。

Within the notes section of the press release we have provided adjusted pro forma reconciliations of select income statement line items quantitatively reconciled to GAAP.

在新聞稿的註釋部分，我們提供了根據 GAAP 進行定量調節的選定損益表項目的調整後備考調節表。

As we've said within the note, the Company uses these non-GAAP measures as key metrics for evaluating performance internally.

正如我們在說明中所說，公司使用這些非公認會計原則衡量標準作為內部評估績效的關鍵指標。

These non-GAAP measures are not intended to replace the presentation of financial results in accordance with GAAP.

這些非公認會計原則措施無意取代根據公認會計原則列報的財務業績。

Rather, the Company believes the presentation of earnings excluding certain items provides additional information to investors to facilitate the comparison of past and present operations.

相反，該公司認為，不包括某些項目的收益的列報可以為投資者提供額外的信息，以便於比較過去和現在的業務。

We will discuss 2012 third-quarter results excluding net pretax charges of $34.9 million or $0.10 per share diluted, which are primarily related to the Project Next Century program.

我們將討論 2012 年第三季度業績，不包括 3,490 萬美元的稅前淨費用或攤薄後每股 0.10 美元，這些費用主要與 Project Next Century 計劃相關。

Our discussion of any future projections will also exclude the impact of these net charges, non-service related pension expense, and acquisition and integration costs related to the Brookside Foods.

我們對任何未來預測的討論也將排除這些淨費用、非服務相關養老金費用以及與布魯克賽德食品相關的收購和整合成本的影響。

With that out-of-the-way let me turn the call over to JP Bilbrey.

既然如此，我就把電話轉給 JP Bilbrey。

Thanks, Mark.

謝謝，馬克。

I want to thank all of you on the phone and webcast for joining us today.

我要感謝大家今天通過電話和網絡廣播加入我們。

I'm pleased with Hershey's third-quarter results.

我對好時第三季度的業績感到滿意。

As we anticipated, Hershey's US marketplace performance accelerated in the third quarter.

正如我們預期的那樣，好時美國市場的業績在第三季度有所加速。

Hershey chocolate, non-chocolate, mint and gum retail takeaway was up in the measured channel universe of xAOC + C-stores resulting in market share gains across all segments.

好時巧克力、非巧克力、薄荷和口香糖零售外賣在 xAOC + 便利店的測量渠道範圍內有所上升，導致所有細分市場的市場份額均有所增加。

Retail and core brand net sales volume trends continue to sequentially improve.

零售和核心品牌淨銷量趨勢繼續改善。

This growth is driven by the faster growing channels like convenience and dollar which are pacing ahead of the more traditional classes of trade.

這種增長是由便利性和美元等增長更快的渠道推動的，這些渠道領先於更傳統的貿易類別。

Before we get into the details, I'd like to give you an update on a couple of announcements we've had since our last conference call.

在我們討論細節之前，我想向您介紹自上次電話會議以來我們發布的幾項公告的最新情況。

On September 28, we acquired the remaining 49% stake in the Hershey Godrej joint venture.

9月28日，我們收購了合資公司Hershey Godrej剩餘的49%股權。

We're very excited about the opportunities that exist in India.

我們對印度存在的機會感到非常興奮。

The Mahalacto and Nutrine candy brands and the Jumbin Juice and Sofit soy based beverage brands are good businesses and in growing categories.

Mahalacto 和 Nutrine 糖果品牌以及 Jumbin Juice 和 Sofit 大豆飲料品牌都是不錯的業務，並且類別不斷增長。

Similar to what we've done in other international markets, we'll make disciplined brand building investments and improve upon selling capabilities and expand distribution.

與我們在其他國際市場所做的類似，我們將進行嚴格的品牌建設投資，提高銷售能力並擴大分銷。

We'll focus on expanding margins via aggressive cost control and margin enhancing innovation, while also evaluating the global Hershey portfolio to determine the best products for the India consumer and marketplace.

我們將專注於通過積極的成本控制和提高利潤的創新來擴大利潤，同時評估好時的全球產品組合，以確定最適合印度消費者和市場的產品。

We've learned a lot over the last five years and have gained valuable consumer insights that will serve us well.

在過去的五年裡，我們學到了很多東西，並獲得了寶貴的消費者洞察，這對我們很有幫助。

We believe we have the right brands, products and people to give us the ability to grow in the marketplace as we fully control our future.

我們相信，我們擁有合適的品牌、產品和人才，使我們有能力在市場上成長，同時完全掌控我們的未來。

Moving on to sustainable cocoa, earlier this year, we announced that Hershey's Bliss chocolates will be Rainforest Alliance certified and available to consumers by year end.

轉向可持續可可，今年早些時候，我們宣布好時 Bliss 巧克力將獲得雨林聯盟認證，並在年底前向消費者提供。

Bliss joined Hershey's Dagoba Organic Chocolate which is already 100% Rainforest Alliance certified and Scharffen Berger, which will source 100% certified cocoa by the end of 2013.

Bliss 加入了 Hershey's Dagoba 有機巧克力（已獲得 100% 雨林聯盟認證）和 Scharffen Berger（將在 2013 年底前採購 100% 經過認證的可可）。

Currently, certified cocoa accounts for less than 5% of the world's cocoa supply.

目前，經過認證的可可佔世界可可供應量的不到5%。

Earlier in the month, we announced that we'll source 100% certified cocoa for our global chocolate product lines by 2020.

本月早些時候，我們宣佈到 2020 年，我們將在全球巧克力產品線中採購 100% 經過認證的可可。

Hershey and its cocoa suppliers, as well as African governments, will work together to increase farmer knowledge, improve incomes and help cocoa communities increase the volume of certified cocoa.

好時及其可可供應商以及非洲各國政府將共同努力，增加農民的知識、提高收入並幫助可可社區增加認證可可的數量。

No company or single organization can solve this complex and long-term issue.

沒有任何公司或單一組織能夠解決這個複雜且長期的問題。

That's why Hershey will continue to work effectively with numerous public and private partners on a pre-competitive collaborative basis as we strive towards our 2020 goal.

這就是為什麼好時將繼續在競爭前合作的基礎上與眾多公共和私人合作夥伴有效合作，努力實現 2020 年的目標。

Over time we expect this will help farmers and lead to a more efficient cocoa supply chain as greater certified cocoa becomes available.

隨著時間的推移，我們預計這將幫助農民，並隨著更多經過認證的可可的出現而形成更高效的可可供應鏈。

The investments related to this commitment are included in the long-term targets that we discussed at our June investor update.

與此承諾相關的投資包含在我們在 6 月份投資者更新中討論的長期目標中。

As it relates to the third quarter, net sales growth of plus 7.5% was essentially in line with our expectations.

就第三季度而言，淨銷售額增長 7.5% 以上，基本符合我們的預期。

Net price realization was a 3.9 point benefit and volume, excluding the Brookside acquisition, was up 2.1 points.

淨價格實現效益提高了 3.9 個百分點，成交量（不包括 Brookside 收購）增長了 2.1 個百分點。

The organic volume gain was primarily driven by new products.

有機銷量的增長主要是由新產品推動的。

Core volume trends improved sequentially and were up slightly this quarter.

核心銷量趨勢環比改善，本季度略有上升。

From a profitability perspective, earnings came in a bit better than our expectations, due to the timing of SM&A expenses.

從盈利能力的角度來看，由於併購費用的時間安排，盈利略好於我們的預期。

In terms of Hershey's marketplace performance, Hershey's CMG, that's candy, mint, and gum, retail takeaway for the 12 weeks ending October 6, 2012, in channels that account for about 90% of our US retail business, was up plus 5.9% resulting in a 1.1 market share gain.

就好時的市場表現而言，截至 2012 年 10 月 6 日的 12 週內，好時的 CMG（即糖果、薄荷和口香糖）零售外賣在占我們美國零售業務約 90% 的渠道中上漲了 5.9%市場份額增加 1.1。

Year-to-date, Hershey US retail takeaway and market share is up 5.2% and 0.4 points respectively.

年初至今，好時美國零售外賣和市場份額分別增長了5.2%和0.4個百分點。

Year-to-date, the CMG category and the xAOC + C-store channels is up 3.8%.

今年迄今，CMG 品類和 xAOC + 便利店渠道增長了 3.8%。

As we approached midyear, the category began to lap the price increases instituted last year.

隨著年中的臨近，該類別開始追隨去年的價格上漲。

Additionally the gum category continues to under perform.

此外，口香醣類別繼續表現不佳。

Therefore, CMG category growth for the 12 weeks ended October 6, 2012, slowed and was up 2.2%.

因此，截至 2012 年 10 月 6 日的 12 週，CMG 類別增長放緩，增長了 2.2%。

Looking separately at chocolate, non-chocolate, and mint categories tell us a different story as each of these segments grew within or above the historical category growth rate of 3% to 4% in the third quarter.

分別觀察巧克力、非巧克力和薄荷醣類別，我們會發現不同的情況，因為第三季度這些類別中的每一個類別的增長率都在或高於 3% 至 4% 的歷史類別增長率。

Additionally, the category is beginning to lap the innovation and limited edition introduced by major manufacturers over the last few years.

此外，該類別開始追隨主要製造商在過去幾年推出的創新和限量版。

We've had a solid innovation pipeline that we estimate will be at least one point of our net sales algorithm on an annual basis.

我們擁有堅實的創新渠道，我們估計該渠道至少將成為我們每年淨銷售額算法的一個點。

Hershey Q3 FDMx CMG growth was plus 4.3% resulting in a market share gain of 1.3 points.

好時第三季度 FDMx CMG 增長了 4.3%，市場份額增加了 1.3 個百分點。

In Q3 the FDMx CMG category was flat.

第三季度，FDMx CMG 類別持平。

While the broader food group debates what is happening to trips and basket size in some channels, note that there's no evidence of retailers pulling back from the confectionery category in terms of aggregate levels of xAOC distribution points and programming.

雖然更廣泛的食品集團對某些渠道的旅行和購物籃尺寸發生的情況進行了爭論，但請注意，沒有證據表明零售商在 xAOC 分銷點和規劃的總體水平方面從糖果類別中撤出。

Importantly, the other measured channels, such as convenience, dollar stores and large mass customers are growing towards the high end of the historical category growth rate and represent about 55% of our US sales.

重要的是，其他可衡量的渠道，例如便利店、一元店和大批量客戶，正在向歷史類別增長率的高端增長，約占我們美國銷售額的 55%。

As it relates to Halloween orders, shipments and sell through is on track.

由於與萬聖節訂單有關，因此發貨和銷售均按計劃進行。

We believe we have the right mix of seasonal specific advertising, coupons and programming support that sets the stage for another winning season.

我們相信，我們擁有季節性特定廣告、優惠券和節目支持的正確組合，為另一個獲勝季節奠定了基礎。

We will not have a complete read on sell through for another couple of weeks, but our preliminary analysis indicates that our Halloween market share in xAOC is projected to increase for the fifth consecutive year and that we'll build on our 37% plus share of this important season.

我們在接下來的幾週內不會對銷售情況進行完整的解讀，但我們的初步分析表明，我們在 xAOC 的萬聖節市場份額預計將連續第五年增加，並且我們將在 37% 以上的份額的基礎上再接再厲。這個重要的季節。

For the 12 weeks ended October 6, 2012, xAOC+

截至 2012 年 10 月 6 日的 12 週，xAOC+

C-store chocolate category growth was up plus 3.6%.

便利店巧克力品類增長 3.6%。

xAOC+ C-store chocolate retail takeaway for Hershey improved sequentially as expected, and was up plus 4.5%, resulting in a gain of chocolate market share of 0.4 points, driven by core brands and our Rolo Minis and Hershey's Simple Pleasures new product launches.

受核心品牌以及我們的 Rolo Minis 和好時 Simple Pleasures 新產品發布的推動，好時的 xAOC+ 便利店巧克力零售外賣環比增長符合預期，增長了 4.5%，巧克力市場份額增加了 0.4 個百分點。

For the 12 weeks ended October 6, 2012, xAOC+

截至 2012 年 10 月 6 日的 12 週，xAOC+

C-store non-chocolate category growth was up about 3.5%.

便利店非巧克力品類增長約 3.5%。

Hershey's non-chocolate xAOC+

好時非巧克力 xAOC+

C-store retail takeaway was up 9.2%, resulting in a market share gain of 0.9 points.

便利店零售外賣增長9.2%，市場份額提升0.9個百分點。

The solid performance was driven by continued Twizzlers momentum as well as the new Jolly Rancher Crunch 'n Chew product which is getting good trial, and more importantly, repeat purchases.

強勁的業績得益於 Twizzlers 的持續增長勢頭以及新的 Jolly Rancher Crunch 'n Chew 產品，該產品得到了良好的試用，更重要的是，重複購買。

In the C-store class of trade, CMG third-quarter category growth was up plus 4.3%.

在便利店類別中，CMG 第三季度類別增長了 4.3%。

Total Hershey C-store performance was particularly strong with takeaway up plus 8.9% resulting in a share gain of 1.3 points.

好時便利店的整體表現尤其強勁，外賣上漲 8.9%，導致股價上漲 1.3 個百分點。

Hershey C-store performance was balanced with retail takeaway up 8.7%, 6.4%, and 24.6% in chocolate, non-chocolate, and mints.

好時便利店的業績表現均衡，巧克力、非巧克力和薄荷糖零售外賣分別增長 8.7%、6.4% 和 24.6%。

These gains were driven by new products, core brand advertising, and merchandising and programming, including a Reese's and Coca-Cola promotion, and a summer program to win free gasoline.

這些收益是由新產品、核心品牌廣告、商品推銷和計劃推動的，其中包括里斯和可口可樂促銷活動以及贏取免費汽油的夏季計劃。

As it relates to breath refreshment within convenience stores, we've gained mint market share for 56 consecutive quad weeks or about 4.3 years, and now have about a 42 share of category in this channel.

由於它與便利店內的口氣清新有關，我們連續 56 個四周（即大約 4.3 年）獲得了薄荷市場份額，現在在該渠道中擁有大約 42 個類別的份額。

As it relates to our 2012 innovation, recall it's balance between chocolate and sweets and refreshment.

由於它與我們 2012 年的創新相關，請回想一下它在巧克力、糖果和茶點之間的平衡。

The launch and rollout of new items such as Jolly Rancher Crunch 'n Chew, and Ice Breakers Duo occurred earlier in the year.

今年早些時候，Jolly Rancher Crunch 'n Chew 和 Ice Breakers Duo 等新產品的推出和推出。

We've reached ACV distribution targets on this products with trial and repeat on track versus our plans.

通過按照我們的計劃進行試驗和重複，我們已經達到了該產品的 ACV 分銷目標。

Rolo Minis and Hershey's Simple Pleasures were launched around midyear.

Rolo Minis 和 Hershey's Simple Pleasures 在年中左右推出。

Rolo Minis achieved fast distribution and is tracking ahead of expectations.

Rolo Minis 實現了快速分銷，並且進展超出預期。

Repeat is about 25% above our target and remains above that of similar hand to mouth products during the comparable time period.

重複率比我們的目標高出約 25%，並且在可比時期內仍高於類似的手口產品。

Rolo brand advertising started in mid-July for the first time in 25 years, resulting in sharp increases in dollar velocity for the Rolo based business and mini pack type.

Rolo 品牌廣告於 7 月中旬啟動，這是 25 年來的首次，導致基於 Rolo 的業務和迷你包裝類型的美元流通速度急劇增加。

Simple Pleasures, a late Q2 launch, is in line with our assumptions.

Simple Pleasures 在第二季度末推出，符合我們的假設。

Initial ACV distribution targets were reached in August and we ran a high value FSI that generated solid results.

最初的 ACV 分配目標已於 8 月份達到，我們運行了高價值 FSI，產生了堅實的結果。

Marketing plans are in place for the fourth quarter, and as we exit the year, we'll have a perspective on repeat purchases.

第四季度的營銷計劃已經到位，當我們結束這一年時，我們將對重複購買有一個看法。

As we close the year we'll be active in all classes of trade with solid brand building initiatives including core brand merchandising, programming and consumer promotions around Hershey s'mores tailgating, holiday and baking season, and a Reese's NCAA football and EA sports promotion.

年底時，我們將通過紮實的品牌建設舉措積極參與所有類別的貿易活動，包括核心品牌營銷、圍繞好時 s'mores 車尾聚會、節日和烘焙季的消費者促銷，以及 Reese's NCAA 橄欖球和 EA 體育促銷。

Additionally, full-year advertising expense will increase and is now expected to be up 13% to 15% in 2012.

此外，全年廣告費用將會增加，目前預計 2012 年將增加 13% 至 15%。

This investment will benefit our business in the near term and into next year.

這項投資將使我們的業務在短期內和明年受益。

Outside of the US, our international business on a local currency basis is on track.

在美國以外，我們以當地貨幣計算的國際業務正在步入正軌。

Year-to-date, the key markets of Mexico, China, and Brazil are all above planned and up double digits on a percentage basis versus last year.

今年迄今為止，墨西哥、中國和巴西等主要市場的業績均高於計劃，且與去年相比百分比增長了兩位數。

We're growing faster than the category in these markets and feel confident that the disciplined investments in go-to-market capabilities will benefit the Company in both the near and long-term.

我們的增長速度快於這些市場中的同類產品，並且相信對進入市場能力的嚴格投資將使公司在短期和長期內受益。

However, as I stated last quarter, given the strength of the US dollar in 2012, foreign currency exchange rates or FX is a headwind.

然而，正如我上季度所說，鑑於 2012 年美元走強，外幣匯率或外匯是一個阻力。

Therefore, we would expect full-year 2012 international sales growth, including the impacts of FX, to be just below the 15% to 20% growth we've realized in the last few years.

因此，我們預計 2012 年全年國際銷售增長（包括外彙的影響）將略低於我們過去幾年實現的 15% 至 20% 的增長。

Now to wrap up, I'm pleased with our performance given the macroeconomic challenges that consumers and retailers are facing.

現在總結一下，考慮到消費者和零售商面臨的宏觀經濟挑戰，我對我們的表現感到滿意。

Our advertising, consumer promotion, selling capabilities and merchandising have combined to help drive customer and consumer conversion, which has resulted in sequential volume improvement throughout the year.

我們的廣告、消費者促銷、銷售能力和推銷相結合，有助於推動客戶和消費者的轉化，從而導致全年銷量的連續增長。

We'll continue to make appropriate investments to ensure a healthy category while driving our everyday and seasonal business over the remainder of 2012 and into 2013.

我們將繼續進行適當的投資，以確保產品類別的健康發展，同時在 2012 年剩餘時間和 2013 年推動我們的日常和季節性業務。

Organic volume trends continued to sequentially improve.

有機銷量趨勢持續改善。

Additionally, the Brookside acquisition will be about a 1.75 to 2 point benefit in 2012.

此外，收購 Brookside 將在 2012 年帶來約 1.75 至 2 個百分點的收益。

Therefore, we've narrowed our full-year net sales growth outlook and now expect it to increase 8% to 9% including the impact of foreign currency exchange rates.

因此，我們縮小了全年淨銷售增長預期，目前預計增長8%至9%，其中包括外匯匯率的影響。

Now, Bert will provide further details but given our gross margin gains and SM&A profile over the remainder of the year, we have increased our full-year adjusted earnings per share diluted outlook and expect it to increase 14% to 15% versus 2011 and be in the $3.22 to $3.25 range.

現在，Bert 將提供更多詳細信息，但考慮到我們今年剩餘時間的毛利率增長和 SM&A 情況，我們提高了全年調整後攤薄每股收益預期，預計與 2011 年相比將增長 14% 至 15%，在 3.22 美元至 3.25 美元範圍內。

As we look to 2013 we'll continue to focus on core brands and innovation in both the US and key international markets.

展望 2013 年，我們將繼續關注美國和主要國際市場的核心品牌和創新。

In January, we'll launch Brookside branded products in the broader US food, drug, and mass channels.

一月份，我們將在更廣泛的美國食品、藥品和大眾渠道推出 Brookside 品牌產品。

Therefore, we expect 2013 net sales growth to be within our 5% to 7% long-term target including the impact of foreign currency exchange rates.

因此，考慮到外匯匯率的影響，我們預計2013年淨銷售額增長將在5%至7%的長期目標之內。

As we stated earlier this year, we remain focused on gross margin.

正如我們今年早些時候所說，我們仍然關注毛利率。

We have solid productivity and cost savings initiatives in place, and while early in the planning cycle, we don't expect input cost inflation next year.

我們制定了可靠的生產力和成本節約計劃，在規劃週期的早期，我們預計明年的投入成本不會上漲。

Therefore, we expect to achieve gross margin expansion in 2013 and growth in adjusted earnings per share diluted in the 8% to 10% range consistent with our long-term target.

因此，我們預計 2013 年毛利率將實現擴張，調整後每股收益將增長 8% 至 10%，與我們的長期目標一致。

I'll now turn it over to Bert, who will provide some additional details on our financial results.

我現在將其交給伯特，他將提供有關我們財務業績的一些其他詳細信息。

Thanks, JP and good morning, everyone.

謝謝，JP，大家早上好。

Hershey posted another quarter of quality results with consolidated net sales of $1.75 billion, up 7.5% versus the prior year, generating adjusted earnings per share diluted of $0.87.

好時公佈了又一個季度的優質業績，綜合淨銷售額為 17.5 億美元，比上年增長 7.5%，調整後每股攤薄收益為 0.87 美元。

The 7.5% net sales gain was driven primarily by the continued growth of our core brands and new products.

7.5% 的淨銷售額增長主要得益於核心品牌和新產品的持續增長。

Net price realization, primarily in the US, was a 3.9 point benefit in line with our estimates, and volume excluding a 2.3 point benefit from Brookside was up 2.1 points.

淨價格實現（主要在美國）增長了 3.9 個百分點，符合我們的預期，排除 Brookside 帶來的 2.3 個百分點的增長，成交量增長了 2.1 個百分點。

The organic volume gain was driven by new products.

有機銷量的增長是由新產品推動的。

Core brand volume trends have improved sequentially throughout the year and were slightly up in the third quarter.

核心品牌銷量趨勢全年持續改善，第三季度略有上升。

In addition, foreign currency exchange rates were a 0.8 point headwind.

此外，外幣匯率也出現0.8個點的逆風。

Adjusted gross margin in Q3 increased 70 basis points.

第三季度調整後毛利率增長 70 個基點。

Net price realization, supply chain efficiencies and productivity improvements were partially offset by increased commodity costs.

淨價格實現、供應鏈效率和生產率的提高被商品成本增加部分抵消。

Versus last year, input costs were about $30 million higher in the quarter and relatively in line with our expectations.

與去年相比，本季度的投入成本高出約 3000 萬美元，與我們的預期相對一致。

We have good visibility into our cost structure for the remainder of the year.

我們對今年剩餘時間的成本結構有很好的了解。

And we continue to expect higher input costs in Q4 versus last year.

我們仍然預計第四季度的投入成本將高於去年。

However, our current inflation outlook for the full year is slightly better than our previous forecast.

然而，我們目前的全年通脹前景略好於我們之前的預測。

Combined with our cost savings and productivity programs, as well as year-to-date price realization, we now expect adjusted gross margin to increase 120 to 140 basis points for the full year versus our previous estimate of 100 to 120 basis points.

結合我們的成本節約和生產力計劃，以及年初至今的價格實現，我們現在預計全年調整後毛利率將增加 120 至 140 個基點，而我們之前的估計為 100 至 120 個基點。

In the third quarter adjusted earnings before interest and taxes or adjusted EBIT increased about 6%.

第三季度調整後息稅前利潤或調整後息稅前利潤增長約6%。

This resulted in an adjusted EBIT margin of 19.3%, a 30 basis point decline versus last year, due to planned investments in brand building and go to market capabilities.

由於計劃投資於品牌建設和進入市場能力，調整後息稅前利潤率為 19.3%，比去年下降 30 個基點。

Specifically, advertising expense increased about 12% versus the year ago period.

具體而言，廣告費用較去年同期增長約12%。

We are now planning a slightly higher investment in advertising in the fourth quarter and expect full-year 2012 advertising expense to increase 13% to 15% versus 2011.

我們現在計劃在第四季度稍微增加廣告投資，預計 2012 年全年廣告費用將比 2011 年增加 13% 至 15%。

This is greater than our previous estimate of a low double digit percentage increase.

這高於我們之前估計的兩位數百分比增長。

Adjusted SM&A, excluding advertising, also increased about 12% versus last year.

調整後的 SM&A（不包括廣告）也比去年增長了約 12%。

Although less than our previous estimate of a 15% to 20% increase for Q3, we will continue to invest in non-advertising brand building and go to market capabilities in both the US and international markets.

儘管低於我們之前預計的第三季度 15% 至 20% 的增長，但我們將繼續投資於非廣告品牌建設，並拓展美國和國際市場的市場能力。

In the fourth quarter we would expect another meaningful increase in adjusted SM&A resulting in low double digit percentage increase for the full year.

在第四季度，我們預計調整後的 SM&A 會再次出現有意義的增長，從而導致全年出現兩位數的低百分比增長。

Now let me provide an update on our international businesses.

現在讓我介紹一下我們國際業務的最新情況。

On a local currency basis, net sales increased meaningfully in China and Brazil.

以當地貨幣計算，中國和巴西的淨銷售額大幅增長。

In addition, local currency and sales increased in Mexico although at a more moderate rate.

此外，墨西哥的當地貨幣和銷售額有所增長，但增幅較為溫和。

The investments we've made in these key markets are enabling our brands to gain momentum in the marketplace.

我們在這些關鍵市場所做的投資使我們的品牌能夠在市場上獲得動力。

We will continue to make disciplined investments in these markets in Q4, and 2013, to further drive distribution, brand awareness and trial.

我們將在第四季度和 2013 年繼續在這些市場進行嚴格的投資，以進一步推動分銷、品牌知名度和試用。

Given the strong US dollar in 2012, net sales in our businesses outside of the US and Canada including the impact of foreign exchange, are expected to increase 10% to 15%, although still on pace to reach $1 billion by 2015 as previously communicated.

鑑於 2012 年美元走強，我們在美國和加拿大以外業務的淨銷售額（包括外彙的影響）預計將增長 10% 至 15%，儘管如之前所述，到 2015 年仍有望達到 10 億美元。

On September 28 we completed the acquisition of the 49% stake in the Hershey Godrej joint venture that we did not own.

9月28日，我們完成了對我們不擁有的Hershey Godrej合資企業49%股權的收購。

We are very excited about the opportunities that exist in India.

我們對印度存在的機會感到非常興奮。

In the coming weeks we plan to pay off the existing local debt, which will essentially offset the additional losses we will occur from owning 100% of the business.

在未來幾週內，我們計劃償還現有的地方債務，這將基本上抵消我們因擁有 100% 的業務而產生的額外損失。

And as JP stated, we will now concentrate our efforts on building capabilities and portfolio development for Hershey India.

正如 JP 所說，我們現在將集中精力為好時印度公司建設能力和產品組合開發。

Moving down the P&L, Q3 interest expense was $24.5 million, up 6.5% versus the prior period.

從損益表來看，第三季度利息支出為 2,450 萬美元，較上一期增長 6.5%。

For the full year 2012, we expect interest expense to be approximately $95 million to $100 million.

2012 年全年，我們預計利息支出約為 9500 萬至 1 億美元。

The adjusted tax rate for the third quarter was 36.1% or 190 basis points higher than the prior year.

第三季度調整後稅率為36.1%，比上年同期高190個基點。

Recall that in previous quarter we discussed the timing of certain tax items that adversely impacted the third quarter year-over-year.

回想一下，在上一季度，我們討論了對第三季度同比產生不利影響的某些稅收項目的時間安排。

We continue to expect the full-year tax rate to be about 35%.

我們繼續預計全年稅率約為35%。

In the third quarter of 2012, weighted average shares outstanding on a diluted basis were 228.6 million, versus 229.8 million in 2011, leading to adjusted earnings per share diluted of $0.87, up 3.6% versus a year ago.

2012 年第三季度，攤薄後的加權平均流通股為 2.286 億股，而 2011 年為 2.298 億股，調整後每股攤薄收益為 0.87 美元，比去年同期增長 3.6%。

Now let me provide a quick recap of our year-to-date results.

現在讓我快速回顧一下我們今年迄今的業績。

Net sales increased 8.4%, adjusted gross margin was 44% year-to-date versus 42.6% last year.

年初至今淨銷售額增長 8.4%，調整後毛利率為 44%，去年為 42.6%。

Net price realization of productivity gains were partially offset by higher commodity costs.

生產力收益的淨價格實現被較高的商品成本部分抵消。

Advertising increased approximately 12% on a year-to-date basis.

年初至今，廣告投放量增長了約 12%。

Adjusted EBIT increased 14.4% resulting in an adjusted EBIT margin gain of 110 basis points from 18.4% to 19.5%.

調整後息稅前利潤增長 14.4%，調整後息稅前利潤率增加 110 個基點，從 18.4% 增至 19.5%。

Adjusted earnings per share diluted for the nine-month period increased 17.4% to $2.50 per share.

九個月期間稀釋後的調整後每股收益增長了 17.4%，達到每股 2.50 美元。

Turning to the balance sheet and cash flow, at the end of the third quarter net trading capital increased versus last year's third quarter by $96 million.

談到資產負債表和現金流，第三季度末淨交易資本比去年第三季度增加了 9600 萬美元。

Accounts receivable was up $29 million, primarily due to higher September sales.

應收賬款增加 2,900 萬美元，主要是由於 9 月份銷售額增加。

Our accounts receivable aging remains extremely current.

我們的應收賬款賬齡仍然非常嚴重。

Inventory increased by $72 million year-over-year, primarily due to the timing of strategic purchases of key ingredients that we discussed in the second quarter.

庫存同比增加 7200 萬美元，主要是由於我們在第二季度討論的關鍵原料的戰略採購時機。

We will continue to work through these inventories in the fourth quarter and expect that year-end 2012 inventory will be at or below the 2011 ending levels.

我們將在第四季度繼續處理這些庫存，預計 2012 年年底庫存將等於或低於 2011 年年底水平。

Finally, accounts payable increased $5 million.

最後，應付賬款增加了 500 萬美元。

We expect net trading capital to improve in the fourth quarter as we cycle through the peak seasonal period of our business.

隨著我們業務旺季的周期，我們預計第四季度淨交易資本將有所改善。

In terms of other specific cash flow items capital additions including software were $66 million in the third quarter and $214 million year-to-date.

就其他具體現金流項目而言，包括軟件在內的資本增加第三季度為 6600 萬美元，年初至今為 2.14 億美元。

The Q3 amounts included $9 million of Project Next Century capital expenditures.

第三季度金額包括 900 萬美元的下世紀項目資本支出。

For 2012 we are targeting total capital additions to be in the $280 million to $300 million range.

2012 年，我們的目標是總增資額在 2.8 億至 3 億美元之間。

This range includes base ongoing CapEx of $215 million to $230 million plus Project Next Century CapEx of approximately $65 million to $70 million.

該範圍包括 2.15 億至 2.3 億美元的基本持續資本支出，加上約 6500 萬至 7000 萬美元的下世紀項目資本支出。

Depreciation and amortization was $53 million in the third quarter.

第三季度折舊和攤銷為 5300 萬美元。

This includes accelerated depreciation related to Project Next Century of about $3 million and adjusted operating depreciation and amortization of $50 million in the quarter.

其中包括與下世紀項目相關的約 300 萬美元的加速折舊以及本季度調整後的運營折舊和攤銷 5000 萬美元。

In 2012 we are forecasting total operating depreciation and amortization of about $220 million including accelerated depreciation and amortization related to Project Next Century of about $20 million.

我們預計 2012 年營業折舊和攤銷總額約為 2.2 億美元，其中包括與下世紀項目相關的加速折舊和攤銷約為 2,000 萬美元。

Dividends paid during the quarter were $83 million.

本季度支付的股息為 8300 萬美元。

Also during the quarter we repurchased approximately $279 million worth of common shares to replace shares issued in connection with stock option exercises.

此外，在本季度，我們還回購了價值約 2.79 億美元的普通股，以替換因股票期權行使而發行的股票。

We did not acquire any shares in the third quarter related to the $250 million outstanding repurchase program.

我們在第三季度沒有收購任何與 2.5 億美元未完成回購計劃相關的股票。

Cash on hand at the end of the quarter was $466 million.

本季度末手頭現金為 4.66 億美元。

The Company continues to generate substantial free cash flow and has a strong balance sheet.

該公司持續產生大量自由現金流，並擁有強勁的資產負債表。

Therefore, as mentioned in this morning's press release, we have increased our quarterly dividend by 10.5%.

因此，正如今天上午的新聞稿中提到的，我們將季度股息增加了 10.5%。

This action reflects our confidence in the long-term growth of our business.

這一行動反映了我們對業務長期增長的信心。

Let me now provide an update on Project Next Century.

現在讓我提供有關“下世紀計劃”的最新情況。

I am pleased to announce that construction and line installation is complete.

我很高興地宣布施工和線路安裝已經完成。

And the plant is operational and our current focus is on line performance optimization.

該工廠已投入運營，我們當前的重點是生產線性能優化。

The forecast for pretax GAAP charges and nonrecurring project implementation costs related to the program has been increased from a range of $160 million to $180 million to $190 million to $200 million, primarily due to a non-cash pension settlement charge during the third quarter.

與該計劃相關的稅前 GAAP 費用和非經常性項目實施成本的預測已從 1.6 億至 1.8 億美元上調至 1.9 億至 2 億美元，這主要是由於第三季度的非現金養老金結算費用。

As required by US GAAP, the settlement charge occurred because employee withdrawals from pension plans exceeded certain accounting threshold levels.

根據美國公認會計準則的要求，結算費用是由於員工從養老金計劃中提取的款項超過了一定的會計閾值水平而產生的。

During the third quarter we reported Project Next Century charges of $26 million pretax, of which $13 million was related to non-cash pension settlement charges.

第三季度，我們報告了 Project Next Century 費用為 2600 萬美元的稅前費用，其中 1300 萬美元與非現金養老金結算費用有關。

As previously communicated, by 2014, we continue to expect ongoing annual savings to be approximately $65 million to $80 million.

正如之前所傳達的，到 2014 年，我們預計每年將持續節省約 6500 萬至 8000 萬美元。

Now to summarize, we are pleased with our third quarter and year-to-date results.

現在總結一下，我們對第三季度和今年迄今為止的業績感到滿意。

Over the remainder of the year, we plan to make incremental investments in our brands and business capabilities.

在今年剩餘時間內，我們計劃對我們的品牌和業務能力進行增量投資。

As stated earlier, full-year 2012 adjusted SM&A expenses, excluding advertising, are expected to increase low double digits versus the prior year, in line with previous estimates.

如前所述，2012 年全年調整後的 SM&A 費用（不包括廣告）預計將比上年增長兩位數，與之前的估計一致。

Full-year advertising expected to increase 13% to 15% versus the prior year.

全年廣告預計比上年增長 13% 至 15%。

Halloween has gotten off to a good start, and the Brookside acquisition expected to contribute 1.75 to 2 point net sales benefit in 2012 as our initial supply chain performance has enabled us to optimize product sales mix.

萬聖節已經有了一個良好的開端，布魯克賽德收購預計將在 2012 年貢獻 1.75 至 2 個百分點的淨銷售收益，因為我們最初的供應鏈績效使我們能夠優化產品銷售組合。

Therefore we've narrowed our full-year net sales growth outlook and now expect net sales to increase 8% to 9% including the impact of foreign currency exchange rates.

因此，我們縮小了全年淨銷售額增長預期，目前預計淨銷售額將增長 8% 至 9%（包括外幣匯率的影響）。

As previously communicated, while input costs will be higher in 2012, we have good visibility into our fourth quarter input costs.

正如之前所傳達的，雖然 2012 年的投入成本將會更高，但我們對第四季度的投入成本有很好的了解。

As a result, price realization, improving volumes and strong productivity will result in full-year adjusted gross margin expansion of 20 to 140 basis points.

因此，價格的實現、產量的提高和強勁的生產力將導致全年調整後毛利率擴大 20 至 140 個基點。

Additionally we expect Brookside acquisition to be slightly accretive for the full year.

此外，我們預計 Brookside 的收購將在全年略有增長。

Therefore we now expect 2012 earnings per share diluted growth of 14% to 15% or $3.22 to $3.25 per share.

因此，我們現在預計 2012 年稀釋後每股收益將增長 14% 至 15%，即每股 3.22 至 3.25 美元。

As we look to 2013, we assume that the economic environment for retailers and consumers will continue to be challenging.

展望 2013 年，我們認為零售商和消費者的經濟環境將繼續充滿挑戰。

However, we will continue to focus on our core brands and leverage Hershey's scale at retail in the US as well as continued growth in key focus markets.

然而，我們將繼續專注於我們的核心品牌，並利用好時在美國的零售規模以及關鍵重點市場的持續增長。

The Brookside integration and capacity expansion is on track and ready for broader launch early next year.

Brookside 整合和產能擴張已步入正軌，並準備在明年初進行更廣泛的啟動。

Overall we believe that the investments we're making will enable us to deliver predictable and consistent top line and earnings growth.

總體而言，我們相信我們正在進行的投資將使我們能夠實現可預測且一致的營收和盈利增長。

Therefore, our current expectation for 2013 is for net sales growth to be within our 5% to 7% long-term target, including the impact of foreign currency exchange rates.

因此，我們目前對2013年的預期是淨銷售額增長在5%至7%的長期目標之內，其中包括外匯匯率的影響。

We have solid productivity and cost saving initiatives in place, and while early in the planning cycle, we do not expect input cost inflation in 2013.

我們制定了可靠的生產力和成本節約計劃，在規劃週期的早期，我們預計 2013 年投入成本不會上漲。

Therefore, we expect to achieve gross margin expansion in 2013 and growth in adjusted earnings per share diluted in the 8% to 10% range consistent with our long-term target.

因此，我們預計 2013 年毛利率將實現擴張，調整後每股收益將增長 8% 至 10%，與我們的長期目標一致。

We will now open it up for Q&A.

我們現在將開放它進行問答。

(Operator Instructions)

（操作員說明）

Jonathan Feeney, Janney Capital Markets.

喬納森·費尼，詹尼資本市場。

Good morning.

早上好。

Thanks very much.

非常感謝。

I wanted to dig in a little bit on the thought about 2013 long-term guidance, because when I look at -- and I'm kind of a broken record on this, but when I look at the trajectory of what costs have done, and how strong the pricing has been, and now with volume working a little bit better, and obviously raising Q4, can you tell me, are there any explicit factors I'm missing as to why you wouldn't see more gross margin expansion in 2013?

我想深入探討一下關於 2013 年長期指導的想法，因為當我看到——我在這方面有點打破記錄，但是當我看到成本所造成的軌跡時，定價有多強勁，現在銷量有所好轉，並且明顯提高了第四季度的水平，你能告訴我，我是否遺漏了任何明確的因素來解釋為什麼你不會看到更多的毛利率擴張2013年？

Because when you do the arithmetic, you get to a little bit more aggressive gross profit growth trajectory.

因為當你進行算術時，你會得到更激進的毛利潤增長軌跡。

Yes, Jonathan, this is Bert.

是的，喬納森，這是伯特。

We haven't really given a range on gross margin expansion.

我們還沒有真正給出毛利率擴張的範圍。

And we typically wouldn't this time of year.

每年的這個時候我們通常不會這樣做。

We are signaling that we certainly expect gross margin expansion, and frankly, we think it will be at a pretty good level.

我們表示，我們當然預計毛利率會增長，坦率地說，我們認為這將處於一個相當不錯的水平。

But I think we're going to maintain what we typically do, is to give a lot more color around that and provide a range in January.

但我認為我們將保持我們通常所做的事情，即圍繞這一點提供更多的色彩，並在一月份提供一個範圍。

But right now, I think what we're trying to provide in terms of information or some color is the fact that it's not an inflationary year, which the last two years have been, and that we still have strong productivity coming through.

但現在，我認為我們試圖提供的信息或某種色彩是這樣一個事實：今年不是通貨膨脹的一年，而過去兩年都是這樣，而且我們仍然擁有強勁的生產力。

Great.

偉大的。

And if I could just ask one follow-up, the competitive landscape, gaining some significant share here, does that maybe give you caution going into 2013?

如果我可以問一個後續問題，即競爭格局，在這裡獲得一些重要份額，這是否會讓您在進入 2013 年時保持謹慎？

Picking up 1.1 points of share this quarter is excellent.

本季度提升 1.1 個百分點的份額非常出色。

Are you going to be able to sustain that and how are you feeling in the marketplace in Halloween competitively?

您是否能夠維持這種狀態？您在萬聖節的市場競爭中感覺如何？

First of all, we feel good about Halloween.

首先，我們對萬聖節感覺很好。

The programming that we would have expected to be out has all materialized.

我們預期的節目已經全部實現。

The early sell through, while is not the whole season, we certainly are seeing sell through.

早期的銷售雖然不是整個季節的，但我們肯定會看到銷售。

As I said in my comments, we expect to grow share in Halloween once again.

正如我在評論中所說，我們期望在萬聖節再次增加份額。

So from a Halloween standpoint, we feel as though we're very much on track.

因此，從萬聖節的角度來看，我們感覺我們已經步入正軌。

We've also had good results from our innovation that we've had, most of ours has been in the second half of the year.

我們的創新也取得了良好的成果，大部分是在下半年。

You know that from a competitive standpoint, there was a lot of innovation early in the first quarter.

你知道，從競爭的角度來看，第一季度初期有很多創新。

And then we get off to the start of the year with good innovation, as well.

然後我們也以良好的創新開始了今年的開局。

So, we'll have Brookside, which will be expanding in the US, and we're very excited about that.

因此，我們將擁有 Brookside，它將在美國擴張，我們對此感到非常興奮。

As you know, we've had the manufacturing expansion project that doubles our capacity on Brookside as we go into 2013.

如您所知，進入 2013 年，我們已經實施了製造擴張項目，使布魯克賽德工廠的產能翻了一番。

And then we feel good about our overall new product pipeline.

然後我們對我們的整體新產品線感到滿意。

So, it's always our goal to grow share.

因此，增加份額始終是我們的目標。

And we also feel -- the one thing I would just end on is, we also feel good about the progress we're making in our conversion.

我們還覺得——我要結束的一件事是，我們也對我們在轉變方面取得的進展感到滿意。

As we said, we hope to be back to about 100% on volume growth somewhere around the first of the year, and all indications with sequential improvement each quarter would suggest that's going to happen.

正如我們所說，我們希望在今年年初左右銷量增長能恢復到 100% 左右，並且每個季度連續改善的所有跡像都表明這種情況將會發生。

Great.

偉大的。

Thank you very much.

非常感謝。

You bet, thank you.

你打賭，謝謝。

Alexia Howard, Sanford Bernstein.

亞歷克西婭·霍華德，桑福德·伯恩斯坦。

Good morning everyone.

大家，早安。

As I look out to 2013, you mentioned the last couple of years were inflationary years and we've seen the price increase go through in 2011 and 2012.

在我展望 2013 年時，您提到過去幾年是通脹年，我們看到 2011 年和 2012 年價格上漲。

For next year I'm assuming the algorithm will change with less price growth and more volume growth.

明年，我假設算法將隨著價格增長的減少和數量增長的增加而改變。

Could you maybe just talk about the 5% to 7% top line growth, roughly how much you expect to be price and mix effects by trading consumers up to higher price products both as volume?

您能否談談 5% 到 7% 的收入增長，您預計通過向消費者交易更高價格的產品以及數量，您預計價格和混合效應會產生多少？

Well, I don't think we'll comment on exactly what we think the split will be, but we would hope that as we get into 2013, volume growth of course will be an important piece of the overall growth.

好吧，我不認為我們會具體評論我們認為的分割情況，但我們希望，當我們進入 2013 年時，銷量增長當然將成為整體增長的重要組成部分。

And we continue to be on track for that to happen.

我們將繼續朝著實現這一目標的方向前進。

As Bert mentioned, as you think about gross margin, and we're not giving specific guidance, but we do believe if you look at the overall commodity complex, with the exception of dairy, which there's no futures market on, we have good visibility.

正如伯特提到的，當你考慮毛利率時，我們沒有給出具體的指導，但我們確實相信，如果你看看整個商品綜合體（乳製品除外，因為乳製品沒有期貨市場），我們有很好的能見度。

And we would expect while there will be volatility it will move more in a more modest range and probably more sideways than it has for a while.

我們預計，儘管會出現波動，但其波動幅度將在更溫和的範圍內，並且可能比一段時間內更加橫盤整理。

But we continue to believe that we're still in a longer-term bull market, but you might see a bit of moderation here for a while.

但我們仍然相信，我們仍處於長期牛市中，但您可能會在一段時間內看到一些溫和的走勢。

And then just a quick follow-up.

然後進行快速跟進。

On the commodity cost outlook for 2013, how locked in are you for next year at this point?

關於 2013 年大宗商品成本展望，目前您對明年的預期如何？

Obviously, I think, you have longer-term forward looks on cocoa, but the dairy market is pretty volatile here.

顯然，我認為，您對可可有更長期的前瞻性，但這裡的乳製品市場相當不穩定。

Can you just give us a sense for how confident you are that the other numbers will be pretty flat to down?

您能否告訴我們您對其他數字將持平或下降的信心有多大？

Yes, Alexia, we don't provide specific hedging figures for competitive reasons, and obviously, many of our competitors don't provide any information whatsoever.

是的，Alexia，出於競爭原因，我們不提供具體的對沖數據，顯然，我們的許多競爭對手不提供任何信息。

What I would say is our K says we're normally in that 3 to 24 month range.

我想說的是，我們的 K 表示我們通常處於 3 至 24 個月的範圍內。

The fact that we're already signaling that we're fairly confident around gross margin expansion is that we have reasonable coverage within the amount of information that we're able to provide.

事實上，我們已經表明我們對毛利率擴張相當有信心，因為我們在能夠提供的信息量範圍內擁有合理的覆蓋範圍。

And you've seen that the commodities have seemed to level out a little bit.

您已經看到，大宗商品似乎已經趨於平穩。

Cocoa was a little higher than it was recently, but sugar, spot prices, and the spot price obviously is not indicative of how you might project this, but peanuts were a little better, sugar is a little better, dairy is the one that's going the other way based on higher corn.

可可比最近略高，但糖、現貨價格和現貨價格顯然並不代表你如何預測這一點，但花生好一點，糖好一點，乳製品是最好的另一種方法是基於高等玉米。

But overall I would say even energy, the basket itself is a bit more stable to down and we hope -- we're expecting to benefit from that.

但總的來說，我想說，即使是能源，籃子本身也更加穩定，我們希望——我們期望從中受益。

Great.

偉大的。

Thank you very much for that.

非常感謝你。

I'll pass it on.

我會把它傳遞下去。

Thank you.

謝謝。

David Palmer, UBS.

大衛·帕爾默，瑞銀集團。

Good morning guys.

早上好傢伙。

Couple questions.

幾個問題。

In the measured channel data it looks like extensions Rolo Minis, Simple Pleasures, which is not an extension but a brand, and then Jolly Ranchers varieties, those are doing great.

在測量的渠道數據中，看起來像是擴展的 Rolo Minis、Simple Pleasures（這不是擴展，而是一個品牌），然後是 Jolly Ranchers 品種，這些品種都表現出色。

Something like a few points of growth in total from those.

這些總共有幾個點的增長。

Air Delights doesn't seem to be lapping as well, which surprised me.

Air Delights 似乎也沒有搭圈，這讓我感到驚訝。

Could you comment on the sources of innovation lift?

您能否評論一下創新提升的來源？

Obviously you can see more of your Business than we can.

顯然，您比我們能看到更多您的業務。

I think your comments are correct in that we feel really good about those most recent innovations.

我認為您的評論是正確的，因為我們對這些最新的創新感到非常滿意。

I think with regard to Air Delight, we're still trying to work through our communication messages.

我認為關於 Air Delight，我們仍在努力解決我們的溝通信息。

We think the product is a terrific product.

我們認為該產品是一個很棒的產品。

It's a form that does well in a number of different countries around the world.

這種形式在世界上許多不同的國家都表現良好。

We do well with it in Brazil.

我們在巴西做得很好。

And so we're really working through what we think the messaging is.

因此，我們確實正在研究我們認為的信息傳遞內容。

So I wouldn't say that it's something that we're not committed to because we're very committed to getting it figured out, but I think it's also different enough and new enough that it's going to continue to take some work for us.

所以我不會說這是我們不致力於的事情，因為我們非常致力於解決它，但我認為它也足夠不同和足夠新，它將繼續為我們帶來一些工作。

And so that would be my comment there.

這就是我的評論。

We feel really good about the emphasis we've put on the breath freshener and non-chocolate business we have this year.

我們對今年對口氣清新劑和非巧克力業務的重視感到非常滿意。

As you mentioned, in non-chocolate, we're up about 9.2% versus the category, up 3.5% in the most recent 12 weeks, and in breath freshener about 20% with the category up about 13% across xAOC.

正如您提到的，在非巧克力領域，我們比同類產品增長了約 9.2%，在最近 12 週內增長了 3.5%；在口氣清新劑領域，我們的 xAOC 增長了約 20%，該類別增長了約 13%。

So those have worked really hard for us.

所以這些對我們來說真的很努力。

And then we're very excited about what we have coming in 2013.

我們對 2013 年的成果感到非常興奮。

So again, we've talked about our philosophy on innovation.

我們再次討論了我們的創新理念。

And we want to make sure that we stick with these things that we advertise in the second year and really look at them as long-term as possible.

我們希望確保我們堅持第二年宣傳的這些東西，並真正盡可能長期地看待它們。

Churn is not really good for the category and if we can have stickier innovation, it's really better for everybody.

客戶流失對該類別來說並不是什麼好事，如果我們能夠進行更具粘性的創新，那對每個人來說都更好。

And we feel good about the things that we've been doing over the last several years and certainly this most recent freshman class of innovation.

我們對過去幾年所做的事情以及最近的新生創新感到滿意。

Thank you.

謝謝。

And second question on Brookside in particular, it looks like ACV is 37% in measured channels.

特別是關於 Brookside 的第二個問題，看起來 ACV 在測量渠道中為 37%。

And it was representing about 70 basis points of your sales in the last 12 weeks.

它代表了過去 12 週銷售額的約 70 個基點。

I'm trying to think about how you're thinking about the potential lift of this product as it seems that it would be able to be doubled, at least, in distribution and then maybe an advertising push or marketing push might get even more, so one to two points of lift from that product?

我正在嘗試思考您如何看待該產品的潛在提升，因為它似乎能夠至少在分銷方面增加一倍，然後也許廣告推動或營銷推動可能會得到更多，那麼該產品的提升一到兩個點？

How are you thinking about what that can do for you in '13?

您如何看待這可以在 13 年為您帶來什麼？

Thanks.

謝謝。

Well, I really like the way you're thinking about it.

嗯，我真的很喜歡你思考這個問題的方式。

And just to give you a sense of our own confidence as I said in my earlier comment, we have doubled our manufacturing capacity for the brand.

正如我在之前的評論中所說，只是為了讓您感受到我們自己的信心，我們將該品牌的製造能力提高了一倍。

It's been exceeding our expectations so far.

到目前為止，它已經超出了我們的預期。

And so we have outside of Costco, really the US expansion coming in 2013, and then we're hopeful that this brand can play even broader than that, although we are taking it one step at a time.

因此，我們在 Costco 之外，實際上將於 2013 年在美國進行擴張，然後我們希望這個品牌能夠發揮更廣泛的作用，儘管我們正在一步一步地邁出一步。

But we're very positive about the contribution Brookside will make.

但我們對布魯克賽德將做出的貢獻非常積極。

Thank you.

謝謝。

Ken Goldman, JPMorgan.

肯·戈德曼，摩根大通。

Hi, good morning.

早上好。

Can you talk a little bit more detail about how you performed in C-stores in some states like California where retail gasoline costs were higher?

您能否更詳細地談談您在加州等汽油零售成本較高的州的便利店的表現？

I'm just curious to what degree you were hurt by that or maybe you even picked up some velocity by consumers filling up more often.

我只是很好奇你受到了多大程度的傷害，或者也許你甚至因為消費者更頻繁地加油而獲得了一些速度。

Just curious how that went.

只是好奇那是怎麼回事。

Well, I'm not sure that I can add a lot of value on California specific.

嗯，我不確定我是否可以為加州的具體情況增加很多價值。

If you look at total CMG, the category in the 12 weeks is up about 4.3.

如果您查看總 CMG，您會發現該類別在 12 週內上漲了約 4.3。

Hershey was up about 8.9.

好時股價上漲約 8.9 美元。

We gained 1.3 share points in that timeframe.

在此期間，我們獲得了 1.3 個股點。

And so we continue to hear very positive things from the C-store channel as we talk to operators.

因此，當我們與運營商交談時，我們不斷從便利店渠道聽到非常積極的消息。

And so I would just say, Ken, that these guys are positive.

所以我只想說，肯，這些人都是積極的。

I would anticipate that if gasoline -- we have pretty consistently said that we don't believe gasoline prices in our category have really negatively impacted how we've been doing.

我預計，如果是汽油，我們一直表示，我們不認為我們類別中的汽油價格確實對我們的業績產生了負面影響。

Now, as we see that the price of oil is moderating and gasoline may come down a quarter or more, if we've been wrong about that all along, then I guess we should get a nice tailwind from that, but -- so those would be my only real comments.

現在，當我們看到石油價格正在放緩，汽油價格可能會下降四分之一或更多時，如果我們一直以來都錯了，那麼我想我們應該從中得到一個不錯的順風車，但是 - 所以那些將是我唯一真實的評論。

But I feel good about the way we continue to perform.

但我對我們繼續表現的方式感到滿意。

More importantly, that channel feels good about the way they're performing.

更重要的是，該頻道對他們的表現感覺良好。

Ken, this is Mark.

肯，這是馬克。

The only other thing I would add, JP mentioned that C-store CMG takeaway was up 4.3%.

我唯一要補充的是，JP 提到便利店 CMG 外賣上漲了 4.3%。

And that's with gum being a mid-single digit tailwind for the category.

口香糖是該類別的中個位數推動因素。

So that means chocolate, non-chocolate, and mints in C-stores grew greater than the historical growth rate of 3% to 4%.

因此，這意味著便利店中的巧克力、非巧克力和薄荷糖的增長高於 3% 至 4% 的歷史增長率。

Thank you.

謝謝。

And then one follow-up, regarding gum, there, Mark, are you guys seeing anything?

然後是關於口香糖的後續行動，馬克，你們看到了什麼嗎？

There's been some innovation in the category, there's been some more focus from the branded leaders on value items.

該類別出現了一些創新，品牌領導者更加關注有價值的產品。

I realize gum isn't a huge deal for you, obviously you'd rather it do better than worse, but are you seeing any signs of life in the category?

我意識到口香糖對你來說並不是什麼大事，顯然你希望它做得更好而不是更糟，但是你看到這個類別有任何生命跡象嗎？

Anything from the leaders, that is giving you some hope there?

領導們有什麼給你帶來希望的嗎？

Or is it just too early to tell?

或者現在說還為時過早？

Ken, I don't think that we see anything different than the comments that probably all of us have batted around.

肯，我認為我們看到的評論與我們所有人可能都討論過的評論沒有什麼不同。

It's a category that innovation is important.

這是一個創新很重要的類別。

When there's innovation there tends to be advertising.

當有創新時，往往就會有廣告。

And those are the basic drivers within the category.

這些是該類別中的基本驅動因素。

And so if we begin to see something different there, than the expectation may be different.

因此，如果我們開始在那裡看到不同的東西，那麼預期可能會有所不同。

Thank you very much.

非常感謝。

Thanks, Ken.

謝謝，肯。

Thank you very much.

非常感謝。

Matthew Grainger, Morgan Stanley.

馬修·格蘭傑，摩根士丹利。

Morning everyone, thanks.

大家早上好，謝謝。

Just two questions on Asia.

只有兩個關於亞洲的問題。

First, just wanted to get your latest thoughts on capacity utilization levels in the region and in China specifically and how you might choose to address your capacity needs?

首先，我只是想了解您對該地區和中國產能利用率水平的最新想法，以及您可能會選擇如何滿足產能需求？

Whether you think that's something you anticipate reaching a decision on during the next few quarters?

您是否認為這是您預計在接下來的幾個季度內做出決定的事情？

And just to revisit the JV in India, and your decision to buy out your partner's interest there?

回顧一下印度的合資企業，您決定買斷合作夥伴在那裡的權益嗎？

In the past you've talked about having some concerns about the quality of the brands and the pricing power that they had in the market.

過去您曾談到對品牌的質量及其在市場上的定價能力有一些擔憂。

And I guess just in the context of those prior comments, just wanted to get your thoughts on the benefits of bringing those brands into your overall portfolio.

我想在之前的評論中，我只是想了解您對將這些品牌納入您的整體產品組合的好處的看法。

Well, let me address Asia first.

好吧，讓我首先談談亞洲。

So, we've made a long-term commitment to our Asia business, more importantly, China.

因此，我們對亞洲業務，更重要的是中國業務做出了長期承諾。

The joint venture project that we have with Lotte in our factory outside of Shanghai is essentially fully utilized.

我們與樂天在上海以外的工廠的合資項目基本上得到了充分利用。

And we continue to look at our Asia footprint for manufacturing, we are at a point where we need greater capacity to meet the needs of our domestic business.

我們繼續關注我們在亞洲的製造業足跡，我們正處於需要更大產能來滿足國內業務需求的時刻。

So, where that plant has supplied product to some of the other Asian markets in addition to China, we'll probably think of that more as a China domestic plant, and then look at how we expand manufacturing under some combination of a new footprint.

因此，如果該工廠向除中國以外的其他一些亞洲市場供應產品，我們可能會更多地將其視為中國國內工廠，然後看看我們如何在新足蹟的某種組合下擴大製造。

And there's several options that we're looking at there that could include additional manufacturing in China for China or in Southeast Asia.

我們正在考慮多種選擇，其中可能包括在中國為中國或東南亞增加生產。

And as those things become clearer to us, certainly we'll communicate what that is.

隨著這些事情對我們來說變得更加清晰，我們當然會傳達那是什麼。

In our India business, first of all, we simply feel good about being in control of our own destiny there.

在我們的印度業務中，首先，我們對在那裡掌控自己的命運感到很高興。

And we've commented on the background of that some.

我們已經評論了其中一些的背景。

We have a portfolio there that doesn't really have any of the Hershey brands with the exception of Hershey syrup which does very, very well in the Indian market.

我們在那裡的產品組合實際上沒有任何好時品牌，除了在印度市場表現非常非常好的好時糖漿之外。

And so we're in a couple of states in the South.

所以我們在南方的幾個州。

We have a very basic sugar confectionery portfolio with the exception of a couple of very interesting beverage brands, which we are optimistic about growing.

除了幾個非常有趣的飲料品牌外，我們擁有非常基本的糖果產品組合，我們對這些品牌的增長持樂觀態度。

And so what we're really focused on is building out our sales capability to broaden our footprint, bring what we feel are stronger brands, Mahalacto is a good brand.

因此，我們真正關注的是建立我們的銷售能力，以擴大我們的足跡，帶來我們認為更強大的品牌，Mahalacto 是一個很好的品牌。

And we believe that we can communicate some brand benefits behind that.

我們相信我們可以傳達其背後的一些品牌優勢。

And so really, distribution penetration in a broader geography, increasing our sales capability and then communicating with consumers around those brands, which we feel bring benefit, and then expanding the Hershey portfolio as appropriate in those markets, is really what our plan is.

事實上，我們的計劃實際上是在更廣泛的地理區域進行分銷滲透，提高我們的銷售能力，然後與這些品牌的消費者進行溝通，我們認為這會帶來好處，然後在這些市場中適當擴大好時產品組合。

I think India is a country for us where it's more of a journey than an event.

我認為印度對於我們來說更像是一段旅程而不是一場活動。

And so, that's really how we think about it.

所以，這就是我們的想法。

Okay.

好的。

That's helpful.

這很有幫助。

Thank you.

謝謝。

Chris Growe, Stifel Nicolaus.

克里斯·格羅，斯蒂菲爾·尼古拉斯。

Good morning.

早上好。

This is Dan in for Chris.

這是丹代替克里斯。

This is actually Dan for Chris.

這實際上是克里斯的丹。

We were curious, do you expect heavy SG&A spending again next year?

我們很好奇，您預計明年會再次出現大量 SG&A 支出嗎？

Should we think about it at a rate much faster than sales growth?

我們是否應該以比銷售增長快得多的速度來考慮它？

Yes.

是的。

I think when we were last talking about that from a future perspective was back in June.

我想我們上次從未來的角度談論這個問題是在六月份。

And given our plans, particularly outside of the US, although to some degree in the US as well, we think of SG&A as an investment area over the next couple of years, which would be a bit higher than what we're projecting for sales growth in that five to seven range.

考慮到我們的計劃，特別是在美國以外的地區，儘管在某種程度上也在美國，我們認為 SG&A 作為未來幾年的投資領域，這將比我們預計的銷售略高一些增長在五到七範圍內。

The reasons for that really are more in terms of sales capability and sales force expansion in markets such as China, continuing to do our market research and putting infrastructure on the ground as we expand the five global brands into more of the countries where we operate.

其原因實際上更多地在於中國等市場的銷售能力和銷售隊伍的擴張，隨著我們將五個全球品牌擴展到更多我們開展業務的國家，我們繼續進行市場研究並建立基礎設施。

So, could be somewhat comparable to what we're seeing this year in terms of an annual rate.

因此，就年率而言，可能與我們今年看到的情況相當。

So, I would say, yes, slightly above what we think of as sales growth.

所以，我想說，是的，略高於我們認為的銷售增長。

Let's say in the next year or two, when you look at the back half I guess of the five-year plan that we talked about in June, we would expect by that point to be getting leverage out of SG&A.

假設在未來一兩年內，當你看一下我們在 6 月份討論的五年計劃的後半部分時，我們預計到那時我們將從 SG&A 中獲得槓桿作用。

Okay, and then just a quick follow up.

好的，然後快速跟進。

Is there anything unique in the phasing of the SG&A investment?

SG&A 投資的分階段有什麼獨特之處嗎？

Is it going to support -- is it going to be lumpy at all or is it going to be relatively even through the year?

它會支撐——它會變得不穩定，還是會在全年中相對平穩？

This year it was a bit lumpy, I would say in terms of year-on-year growth.

我想說，就同比增長而言，今年有點不穩定。

We started in the first quarter, it was single-digit and then I think we were at about 10% to 12% for the last couple of quarters and we expected to be somewhere in that range in the fourth quarter.

我們從第一季度開始，它是個位數，然後我認為我們在過去幾個季度的增長率約為 10% 到 12%，我們預計第四季度將達到這個範圍。

So, I think you're going to see it be mostly even but there is some lumpiness and you saw that this year in the first quarter.

所以，我認為你會看到它基本上是均勻的，但有一些凹凸不平，你在今年第一季度就看到了這一點。

Okay.

好的。

Thanks a lot.

多謝。

Robert Moskow, Credit Suisse.

羅伯特·莫斯科，瑞士信貸。

Hi, thank you.

嗨，謝謝你。

Great quarter.

很棒的季度。

Thank you.

謝謝。

I wanted to know a little more specifics on India and China.

我想了解有關印度和中國的更多細節。

Can you tell me specifically what you're investing in for 2013 for China?

您能具體告訴我2013年您在中國的投資是什麼嗎？

And what kind of a step up could that deliver in terms of sales?

這會給銷售額帶來什麼樣的提升？

Or do we really have to wait until '14 before the platform gets significantly bigger?

或者我們真的要等到 14 年平台才會變得更大嗎？

And then secondly, as you talk to your US retailers about global brands and your commitment behind these global brands, has that helped you gain distribution for hard candy items that may not have been emphasized as big as before?

其次，當您與美國零售商談論全球品牌以及您對這些全球品牌背後的承諾時，這是否有助於您獲得硬糖產品的分銷，而這些產品可能沒有像以前那樣受到重視？

Let me talk about China first.

我先說中國。

And then we'll talk a bit about the global brands and how that's worked for us.

然後我們將討論一些全球品牌及其對我們的影響。

We're still very much in an invest mode in China on several fronts.

我們在中國的幾個方面仍然處於投資模式。

So, you may recall in June we talked about expanding our five global brands.

所以，您可能還記得六月份我們討論過擴大我們的五個全球品牌。

Certainly in China, the expansion of our portfolio is very important.

當然，在中國，擴大我們的產品組合非常重要。

Kisses is really a primary portfolio brand for us today.

Kisses 確實是我們今天的主要投資組合品牌。

And so we will be expanding that portfolio beginning in 2013.

因此，我們將從 2013 年開始擴大該產品組合。

We're also increasing our sales capability and coverage as we put more feet on the street and we're increasing our advertising across more cities than we've had before.

隨著我們在街上的腳步不斷增加，我們的銷售能力和覆蓋範圍也在不斷提高，並且我們在比以前更多的城市增加了廣告投放。

So, those are three pretty big fundamental investments that we'll continue to make in China.

因此，這是我們將繼續在中國進行的三項相當大的基礎性投資。

And then I think if you come back to one of Bert's comments earlier, if you look at our current five-year plan and you start to look at the real leverage on these investments, it's really going to be more in the second half of that five-year plan, although we expect strong net sales performance out of that kind of portfolio expansion.

然後我認為，如果你回到伯特早些時候的評論之一，如果你看看我們當前的五年計劃，並開始考慮這些投資的真正槓桿作用，那麼下半年的槓桿作用確實會更大五年計劃，儘管我們預計這種投資組合擴張將帶來強勁的淨銷售業績。

So, while I don't want to project a specific number, category growth, obviously across those key markets plays into that, but this is a market we want to win in and really grow our business, and so we're very dedicated to that.

因此，雖然我不想預測具體數字，但類別增長顯然在這些關鍵市場中發揮了作用，但這是我們希望贏得併真正發展我們業務的市場，因此我們非常致力於那。

In terms of global brands, the one example that I would give you is Walmart has a program in some of their different markets where they put in an American type portfolio in the stores.

就全球品牌而言，我給你舉的一個例子是沃爾瑪在一些不同的市場有一項計劃，他們在商店裡放置了美式產品組合。

So, brands like Reese's in Japan have benefited from that.

因此，像日本 Reese's 這樣的品牌已經從中受益。

Part of our portfolio has benefited from that in Europe.

我們的部分投資組合受益於歐洲的投資。

And you see other retailers, which have similar types of programs where they have US sections and US brands, Costco certainly is another brand that does that in some of their Asian markets, as well.

你會看到其他零售商也有類似類型的計劃，其中有美國部分和美國品牌，好市多當然是另一個在一些亞洲市場也這樣做的品牌。

So where we have customers and retailers that we work well with here, and they have some of those specific kinds of programs.

因此，我們有與我們合作良好的客戶和零售商，他們有一些特定類型的計劃。

Our brands tend to benefit from that.

我們的品牌往往會從中受益。

Okay.

好的。

Thank you very much.

非常感謝。

Jason English, Goldman Sachs.

賈森·英格利希，高盛。

Good morning folks.

各位早上好。

Wanted to ask really quickly on advertising, you're on track this year to have grown advertising investment at nearly 30% CAGR since 2006.

想快速詢問廣告方面的問題，今年您的廣告投資有望自 2006 年以來以近 30% 的複合年增長率增長。

This comes at a time when many staples companies are talking about opportunities to find efficiency savings in this line.

在此之際，許多主要原材料公司都在談論在該領域尋找效率節約的機會。

First, can you talk about the returns you're getting out of this investment?

首先，您能談談您從這項投資中獲得的回報嗎？

And second, do you believe you're close to a point where we could start to get some margin leverage on advertising spend going forward?

其次，您是否認為我們已經接近可以開始在未來的廣告支出上獲得一些利潤槓桿了？

First of all, let me just talk about that decision philosophically is we believe that it's been very good for the category, and certainly a key driver of why our category has maybe performed differently than some other areas of the store, because of support would then be with strong in-store merchandising.

首先，讓我從哲學上談談這個決定，我們相信這對該類別非常有利，並且肯定是我們類別的表現可能與商店其他某些區域不同的關鍵驅動因素，因為支持將擁有強大的店內銷售。

It brings people into the stores.

它把人們帶進商店。

So, we feel good about the philosophy that we've had about being a brand building company and being able to invest in those brands.

因此，我們對我們作為一家品牌建設公司並能夠投資這些品牌的理念感到滿意。

And also remember in that number, we're expanding advertising across a broader part of our portfolio and in markets that we've never made advertising investments before.

還要記住，在這個數字中，我們正在將廣告擴展到我們投資組合的更廣泛部分以及我們以前從未進行過廣告投資的市場。

So, there's a lot of different parts to that.

所以，這有很多不同的部分。

The other comment I would make is we are very rigorous about measuring the ROI of our advertising.

我要說的另一條評論是，我們非常嚴格地衡量廣告的投資回報率。

We have sophisticated models that help us understand lift and certainly isolate that.

我們擁有復雜的模型，可以幫助我們理解升力並確定其隔離。

We wouldn't continue to be advertising the way we are if we didn't think we weren't getting a good return on investment.

如果我們認為自己沒有獲得良好的投資回報，我們就不會繼續以現在的方式做廣告。

And then because of the level of investment we're making in the category, we're actually getting a higher GRP delivery versus the actual dollars that we're investing.

然後，由於我們在該類別中的投資水平，與我們投資的實際美元相比，我們實際上獲得了更高的 GRP 交付。

So, there's also efficiencies beyond the dollars that you see our actual GR delivery rates are higher actually even than the spend.

因此，除了金錢之外，還有效率，您會看到我們的實際 GR 交付率實際上甚至比支出還要高。

So, that's another way to think about leverage that we're getting off of that advertising.

因此，這是考慮我們從廣告中獲得的影響力的另一種方式。

No.

不。

I appreciate the philosophy.

我很欣賞這種哲學。

I appreciate it quite a bit.

我非常欣賞它。

It's a healthy sort of investment.

這是一種健康的投資。

But it must come with some degree of diminishing returns as you continue to ramp it.

但當你繼續增加它時，它必然會帶來一定程度的收益遞減。

Is there a point where you say enough is enough?

你有沒有說夠了？

We've reached the steady-state?

我們已經達到穩定狀態了嗎？

Are you close to that point?

你接近那個點了嗎？

On some brands -- so think of it as an S-curve and there's a point on that S-curve by which you move from growth levels to maintenance levels, and then a point where the variable spend wouldn't be very efficient.

對於某些品牌，可以將其視為 S 曲線，在該 S 曲線上有一個點，您可以通過該點從增長水平轉向維持水平，然後在該點可變支出不會非常有效。

So, we're just continuously reviewing what is the right point along that curve.

因此，我們只是不斷地審查該曲線上的正確點是什麼。

And then also remember that as we've introduced innovation around our core brand -- innovation, a lot of that has been around core brands, so you also get a halo effect.

然後還要記住，當我們圍繞我們的核心品牌引入創新時，很多創新都是圍繞核心品牌進行的，所以你也會得到光環效應。

You get an efficient use of being able to move that advertising from purely core into some of the innovation and also try to tweak the investment that way.

您可以有效地將廣告從純粹的核心轉移到一些創新中，並嘗試以這種方式調整投資。

There's a point by which the advertising doesn't have an effective return.

到了一定程度，廣告就不會產生有效的回報。

We certainly don't feel as though we've reached that point.

我們當然不覺得我們已經達到了這一點。

And I'll reassure you that we're quite rigorous in making sure that we don't waste a single dollar.

我向您保證，我們非常嚴格地確保我們不會浪費一美元。

Great.

偉大的。

Thanks a lot, guys.

非常感謝，伙計們。

I'll pass it on.

我會把它傳遞下去。

Ken Zaslow, Bank of Montreal.

肯·扎斯洛，蒙特利爾銀行。

Good morning, everyone.

大家，早安。

I may have missed it, but can you just talk about why you're SM&A was actually lower than your expectations?

我可能錯過了，但你能談談為什麼你的 SM&A 實際上低於你的預期嗎？

Did it have to do with any investments internationally, and have you -- have your international investments been lower or higher than your initial expectations?

這是否與任何國際投資有關？您的國際投資是否低於或高於您最初的預期？

If you could just address those two issues?

如果你能解決這兩個問題嗎？

Ken, I think overall, it was a bit of timing between the quarters.

肯，我認為總的來說，這是兩個季度之間的一個時機。

And so we're focused on completing some of that work in the fourth quarter.

因此，我們專注於在第四季度完成部分工作。

And it's a mix of US and international, so it's not really more pronounced in one or the other.

它是美國和國際的混合體，因此在其中一個或另一個中並不是更明顯。

There continues to be sales force expansion and that is primarily an international focus.

銷售隊伍持續擴張，這主要是國際化的焦點。

But market research around product launches and some of the work that we're doing around advertising new brands, those are the primary areas.

但圍繞產品發布的市場研究以及我們圍繞新品牌廣告所做的一些工作，這些是主要領域。

And so, while we thought we would be a bit higher in the third quarter, we think some of that sort of levels off in the fourth.

因此，雖然我們認為第三季度的業績會更高一些，但我們認為第四季度的業績會趨於平穩。

So it's not really, to be honest, focused in one market versus another, other than, again, with that caveat of sales force expansions primarily outside of the US.

因此，說實話，它並不是真正專注於一個市場而不是另一個市場，除了再次強調主要在美國以外的銷售隊伍擴張的警告之外。

So just to be clear, your rate of investment internationally has not changed in any way?

需要澄清的是，你們的國際投資率沒有發生任何變化嗎？

And there's nothing that gives you any evidence that you should be slowing or increasing or, your commitment to international has not waned at all?

沒有任何證據表明您應該放慢或增加速度，或者您對國際化的承諾根本沒有減弱？

No.

不。

I would say, as I said, while the rate itself of investments are higher, just given the different base outside of the US, the planned investments and how we're thinking about it in terms of completing this year and working on the things that will help us to grow next year aren't really different.

我想說，正如我所說，雖然投資率本身較高，但考慮到美國以外的不同基礎、計劃的投資以及我們如何考慮今年完成的工作和開展的工作明年將幫助我們成長並沒有什麼不同。

Right.

正確的。

Really appreciate it.

真的很感激。

Thank you.

謝謝。

Yes.

是的。

Andrew Lazar, Barclays.

安德魯·拉扎爾，巴克萊銀行。

Morning everyone.

大家早上好。

I know that M&A, particularly on the international side, is a high priority for use of cash.

我知道併購，特別是國際併購，是現金使用的重中之重。

It has been for a while and I know your midterm international goals in terms of the sales that you're looking for would certainly require some activity in that level, or in the M&A side over the next couple years.

已經有一段時間了，我知道您所尋求的銷售方面的中期國際目標肯定需要在該級別或未來幾年的併購方面進行一些活動。

I'm just curious, any change there that you're seeing in either the pipeline that's out there, availability of potential assets or changes in multiples that change your thinking there?

我只是很好奇，您在現有管道、潛在資產的可用性或倍數變化中看到的任何變化會改變您的想法嗎？

Really just trying to get a sense if anything has changed there since we haven't talked much about that today.

實際上只是想了解一下那裡是否發生了變化，因為我們今天沒有太多談論這一點。

Yes, I don't know that there's been a significant change.

是的，我不知道發生了重大變化。

We continue to have discussions around M&A opportunities in the areas that we discussed in the past.

我們繼續圍繞我們過去討論過的領域的併購機會進行討論。

Local brand, good sales force capability and distribution.

本土品牌，良好的銷售能力和分銷能力。

And those types of things.

還有那些類型的事情。

I would say that the multiples are not that different.

我想說的是，倍數並沒有那麼不同。

They continue to be higher in Asia then you would find in other markets for the obvious reasons.

由於顯而易見的原因，亞洲的價格繼續高於其他市場。

Expectations around higher growth rates.

圍繞更高增長率的預期。

We're continuing to focus on a use of cash in the M&A space.

我們將繼續關注併購領域的現金使用。

We don't include it in the model.

我們不將其包含在模型中。

We've kind of given some feel for the size of it on our aspirational $10 billion number that we put out there.

我們已經對我們提出的 100 億美元目標的規模有了一定的了解。

But I would say it's steady as she goes.

但我想說的是，隨著她的發展，一切都很穩定。

We're hopeful that we can make M&A part of our value creating formula.

我們希望能夠使併購成為我們價值創造公式的一部分。

And that's the way we think about it.

這就是我們的想法。

Thanks.

謝謝。

And just a quick follow-up, just maybe an update on how the joint venture if you will, that you've got with Ferrero around some of the distribution and warehousing and things.

只是一個快速的跟進，如果你願意的話，也許可以更新一下你與費列羅在一些分銷和倉儲等方面的合資企業的情況。

And how has that played out?

結果如何？

Has it delivered on what your hopes had been and to the extent that there's some other opportunity along those lines, would this experience suggest that there's more that can be done, whether it's with that player or other ones down the line?

它是否實現了你的希望，並且在某種程度上還有其他機會，這種經歷是否表明還有更多可以做的事情，無論是與該球員還是其他球員？

I would say that it's progressing well.

我想說，進展順利。

We talked about the development of a distribution center in Canada.

我們討論了加拿大配送中心的發展。

We're executing against both parties, are pleased with the progress we've made.

我們正在對雙方進行執行，對我們所取得的進展感到滿意。

In terms of carrying the product together.

在攜帶產品方面。

And we're realizing the savings that we thought we would.

我們正在實現我們預期的節省。

It logistics based.

它以物流為基礎。

I agree with you that those are the types of opportunities that we think are available to us in other markets.

我同意您的觀點，我們認為我們在其他市場也可以獲得這些類型的機會。

As you said, whether it's with Ferrero or someone else, these pre-competitive collaborative arrangements that save money for both parties, I think you'll see more of that in the future.

正如你所說，無論是與費列羅還是其他人，這些賽前的合作安排都為雙方節省了資金，我想你將來會看到更多這樣的情況。

Great.

偉大的。

Thanks very much.

非常感謝。

David Driscoll, Citi Research.

大衛·德里斯科爾，花旗研究部。

Great, thank you.

太好了謝謝。

Good morning, everyone.

大家，早安。

Congratulations on the results.

祝賀結果。

And I'd like to start off with going back to Brookside a little bit.

我想首先回到布魯克賽德。

I think you mentioned this earlier but I missed it, the timing of the new lines that you're adding, when do they come on stream?

我想你之前提到過這一點，但我錯過了，你添加的新線路的時間安排，它們什麼時候上線？

Well, we are building inventories now in anticipation of our launch in the US.

好吧，我們現在正在建立庫存，以期在美國推出。

That's still enabling us to meet what is a growing existing business.

這仍然使我們能夠滿足不斷增長的現有業務。

And in early Q1, is when that will really be up and running at capacity.

在第一季度初期，該系統將真正啟動並滿負荷運行。

So that's why we have the US launch happening in the first quarter is because we'll have the ability then to feed demand behind that expansion and distribution build.

這就是我們在第一季度在美國推出的原因，因為我們將有能力滿足擴張和分銷建設背後的需求。

Will you have the full slate of the Brookside product lineup included in the, quote unquote, first quarter launch?

您是否會在第一季度發布的產品中包含所有 Brookside 產品系列？

The line as it exists today will certainly be fully available and we're always looking at what the total portfolio for Brookside could be.

目前的線路肯定會完全可用，我們一直在關注 Brookside 的總投資組合可能是多少。

And then just continuing on this, the current Brookside in the United States is mostly in Costco.

然後繼續這樣下去，目前美國的Brookside大部分都是在Costco。

And so the incremental focus would be getting all the other food classes of trade, I think that's the primary focus of it.

因此，增量重點將是獲得所有其他食品類別的貿易，我認為這是其主要重點。

How does C-store and other classes of trade fit in with Brookside?

便利店和其他類別的貿易如何適應布魯克賽德？

The initial launch will be focused on the channels that you described.

最初的發布將集中在您所描述的渠道上。

But we believe Brookside, especially because of its hand to mouth usage, has a place in C-store.

但我們相信 Brookside 在便利店中佔有一席之地，特別是因為它的手到口使用。

And we're evaluating what those packages ought to look like.

我們正在評估這些包應該是什麼樣子。

Final question, is this a mix positive product for the portfolio?

最後一個問題，這對於投資組合來說是一個混合積極的產品嗎？

Yes.

是的。

Brookside is a very attractive product for us from a gross margin standpoint.

從毛利率的角度來看，Brookside 對我們來說是一個非常有吸引力的產品。

Very good.

非常好。

I appreciate that and my other questions have been answered.

我很感激，我的其他問題也得到了解答。

Thanks.

謝謝。

I'll pass it along.

我會把它傳遞下去。

Thanks a lot David.

非常感謝大衛。

Operator, we have time for one more question.

接線員，我們還有時間再問一個問題。

Bryan Spillane, Bank of America.

布萊恩·斯皮蘭，美國銀行。

Good morning.

早上好。

Just a question on the volume trends or the volume trajectory for your base Business.

只是關於您的基礎業務的銷量趨勢或銷量軌蹟的問題。

If you look at volume growth, excluding new products and excluding acquisitions in the US, it looks like it's improved a bit sequentially.

如果你看一下銷量增長，不包括新產品和美國的收購，你會發現它似乎比上一季度有所改善。

If you could just give us a little bit of color in terms of where it stands now relative to where your expectations were related to elasticity, taking a lot of pricing in the last year and half, and how do you feel about the volume -- kind of where volumes have recovered relative to the pricing you've taken?

如果你能給我們一些關於現在的情況相對於你的預期與彈性相關的情況的一些信息，在過去一年半的定價中，以及你對數量的看法 -相對於你所採取的定價，銷量已經恢復到什麼程度？

And then as you look into 2013, part of the model is going to depend upon that volume improving.

然後當你展望 2013 年時，模型的一部分將取決於銷量的改善。

What gives you the confidence that that occurs in '13?

是什麼讓您對 13 年發生的事情充滿信心？

Thank you.

謝謝。

I would tell you that we're about where we thought we would be.

我想告訴你，我們已經到達了我們所想的位置。

And I use the word about, this is not a perfect science.

我用“關於”這個詞，這不是一門完美的科學。

So as we would look over this whole time frame since we took the pricing, I really emphasize what we've said all along, that we think by the end of 2012, we'll have achieved conversion to volume.

因此，當我們回顧定價以來的整個時間框架時，我真的強調我們一直以來所說的話，即我們認為到 2012 年底，我們將實現銷量轉換。

And so we've seen some quarters where -- versus the model it might be up or down slightly, but actually, we feel pretty good about where it's at.

因此，我們看到在某些季度，與模型相比，它可能會略有上升或下降，但實際上，我們對它所處的位置感覺很好。

It was up in this most recent quarter, so we feel good about that and we think it will continue in 4Q to where ultimately we're predicting it to be.

它在最近一個季度有所上升，所以我們對此感覺良好，我們認為這種情況將在第四季度繼續達到我們最終預測的水平。

You saw that in the mix numbers across the total Business.

您在整個業務的混合數字中看到了這一點。

And our core brands really are tracking again, about where we thought we'd be.

我們的核心品牌確實再次追踪我們的預期。

So, we don't feel any differently than what we've been communicating.

因此，我們的感覺與我們一直在溝通的沒有任何不同。

Okay, operator.

好的，接線員。

Okay.

好的。

There are no further --

沒有更多的——

Thank you for joining us to for today's conference call.

感謝您參加我們今天的電話會議。

Matt Miller and myself will be available for any follow-up questions that any analysts and investors will have.

馬特·米勒和我本人將隨時回答分析師和投資者提出的任何後續問題。

Thank you so much.

太感謝了。

This concludes today's conference.

今天的會議到此結束。

You may now disconnect.

您現在可以斷開連接。