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Campbell Outlines Progress on Strategies, Sets Stage for Long-Term Growth

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Reiterates Fiscal 2012 Guidance

Expects to Return to Sales and Earnings Growth in Fiscal 2013

CAMDEN, N.J.–(BUSINESS WIRE)–Jul. 24, 2012–
Campbell Soup Company (NYSE:CPB) will outline its progress on its
growth strategies and its plans to return to growth in fiscal 2013 at a
meeting with investors led by President and Chief Executive Officer
Denise Morrison. A web cast of the presentation will be available at
beginning at 9:00 a.m. Eastern Daylight Time today.

Morrison said, “We’ve made progress in this fiscal year, and we will
continue to advance our core strategies for growth in fiscal 2013. Our
strategic framework is a roadmap to drive smart, meaningful and
successful change at Campbell. We will tend very carefully to our core
business, while we shift our center of gravity toward new consumer
groups, new consumer needs, new consumer platforms and new geographies.”

Campbell’s three growth strategies focus on:

Morrison and other members of Campbell’s management team will outline
plans to continue to implement these strategies in the upcoming fiscal

U.S. Simple Meals

Mark Alexander, President Campbell North America, will outline plans to
stabilize and profitably grow North America soup and simple meals by
leveraging all the drivers of consumer demand across its portfolio,
including new product innovation, compelling marketing and
merchandising. Campbell plans to introduce more than 50 new products in
its U.S. Simple Meals business in fiscal 2013—ranging from new varieties
of “Chunky” and “Campbell’s” condensed soups to delicious new soups
under the “Campbell’s Go” platform and “Campbell’s” Skillet Sauces.

Alexander said, “We’ve made a step change in our innovation efforts.
When you look at what we have on tap for fiscal 2013, you’ll see that
our newly implemented innovation program is really starting to bear
fruit, helping us fill our pipeline with new products that appeal to our
loyal consumers while also reaching new ones.”

In addition, the company will also highlight new advertising to promote
enhancements to its line of “Chunky” soups with the return of its Mama’s
Boys campaign featuring NFL player Victor Cruz.

Global Baking & Snacking

Irene Chang Britt, Campbell’s Senior Vice President of Global Baking and
Snacking, will share her perspective on opportunities to drive growth
through increased collaboration across Campbell’s businesses in North
America and Asia Pacific.

As an example, Pepperidge Farm recently launched “Jingos!” snack
crackers, a product based on the same bold flavor profiles as “Arnott’s”
“Roadies,” introduced last year in Australia.

Britt said, “We’ve invested both dollars and people into innovation and
collaboration, and it is paying dividends. This has led to a track
record of growth and share gains in our core markets and will fuel the
opportunity to grow beyond our core.”

U.S. Beverages

Alexander will also outline fiscal 2013 plans for U.S. Beverages,
including efforts to drive the “V8” 100% vegetable juice business and to
fuel continued growth in the “V8 V-Fusion” franchise. Campbell will
introduce the first line extensions to “V8” 100% vegetable juice in
nearly 10 years, and will also launch “V8 V-Fusion” Iced Teas in lemon
and peach flavors, among other new product innovations.

Reiterates Fiscal 2012 Guidance

Excluding acquisition costs associated with the planned purchase of
Bolthouse Farms, Campbell remains on track to deliver results consistent
with its previous guidance, with fiscal 2012 sales growth expected to be
near the low end of the previously forecast range of 0 to 2 percent;
adjusted EBIT expected to decline at a level near the low end of the
previously forecast range of 7 to 9 percent; and adjusted EPS expected
to decline at a level near the upper end of the previously forecast
range of 5 to 7 percent.

Return to Growth in Fiscal 2013

Craig Owens, Senior Vice President and Chief Financial Officer and Chief
Administrative Officer, said, “We expect improvement across our entire
portfolio next year. We are doing the right things to continue to
improve our trajectory, including a significantly enhanced innovation
pipeline. We are making progress with our strategies and are vigorously
working to deliver further progress in fiscal 2013.”

Campbell expects to return to growth in sales, adjusted EBIT and
adjusted net EPS in fiscal 2013. The growth rates for fiscal 2013,
before considering the positive impact of the Bolthouse Farms
acquisition, are expected to be below the company’s long-term targets of
net sales growth of between 3 and 4 percent, adjusted EBIT growth of
between 4 and 6 percent and adjusted net EPS growth of between 5 and 7

Campbell plans to provide more specific guidance for fiscal 2013 when it
reports fourth-quarter results on Sept. 4, 2012.

A detailed reconciliation of adjusted financial information to the
reported information is included at the end of this news release.

About Campbell Soup Company

Campbell Soup Company is a global manufacturer and marketer of
high-quality foods and simple meals, including soup and sauces, baked
snacks and healthy beverages. Founded in 1869, the company has a
portfolio of market-leading brands, including “Campbell’s,” “Pepperidge
Farm,” “Arnott’s” and “V8.” Through its corporate social responsibility
program, the company strives to make a positive impact in the workplace,
in the marketplace and in the communities in which it operates. Campbell
is a member of the Standard & Poor’s 500 and the Dow Jones
Sustainability Indexes. For more information, visit

Cautionary Note Regarding Forward-looking Statements

This release contains “forward-looking statements.” Forward-looking
statements can be identified by words such as “anticipates,” “intends,”
“plans,” “believes,” “estimates,” “expects” and similar references to
future periods. Examples of forward-looking statements include, but are
not limited to, statements we make on our ability to execute our
business strategies successfully, on our expectations that we can
accelerate innovation across our portfolio, and on the expected impact
of the Bolthouse acquisition. Forward-looking statements are based on
our current expectations and assumptions regarding our business, our
industry and other future conditions. Forward-looking statements are
subject to inherent uncertainties, risks and changes in circumstances
that are difficult to predict. Our actual results may differ materially
from those contemplated by the forward-looking statements. Important
factors that could cause actual results to differ materially from those
in the forward-looking statements include our ability to realize the
anticipated benefits from the Bolthouse acquisition, the impact of
strong competitive response to our marketing strategies, risks
associated with trade and consumer acceptance of the company’s
initiatives, including innovation, renovation and new products and the
other factors described in “Risk Factors” in the company’s most recent
Form 10-K and subsequent SEC filings. We undertake no obligation to
update these statements to reflect new information or future events.

of GAAP and Non-GAAP Financial Measures

Fiscal Year Ended
July 31, 2011

Campbell Soup Company uses certain non-GAAP financial measures as
defined by the Securities and Exchange Commission in certain
communications. These non-GAAP financial measures are measures of
performance not defined by accounting principles generally accepted in
the United States and should be considered in addition to, not in lieu
of, GAAP reported measures.

The company believes that
financial information excluding certain transactions not considered to
be part of the ongoing business improves the comparability of
year-to-year results. Consequently, the company believes that investors
may be able to better understand its earnings results if these
transactions are excluded from the results.


Adjusted EBIT

(dollars in millions)   2011
Earnings before interest and taxes, as reported $ 1,279
Add: Restructuring charges (1)     63
Adjusted Earnings before interest and taxes   $ 1,342


Adjusted Diluted Net Earnings per Share

Diluted net earnings per share, as reported



Add: Restructuring charges (1)     0.12
Adjusted Diluted net earnings per share   $ 2.54

(1) In 2011, the company announced a series of initiatives to improve
supply chain efficiency and reduce overhead costs across the
organization to help fund plans to drive the growth of the business. The
company also announced its intent to close its office in Moscow and exit
the Russian market. In 2011, the company recorded pre-tax restructuring
charges of $63 million ($41 million after tax or $.12 per share) related
to these initiatives.

Source: Campbell Soup Company

Campbell Soup Company
Anthony Sanzio (Media)
Driscoll (Analysts/Investors)

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