HEINEKEN Holding NV : Heineken Holding N.V. 2012 Full Year results: continued growth in an exciting year

HEINEKEN Holding NV : Heineken Holding N.V. 2012 Full Year results: continued
                          growth in an exciting year

Amsterdam, 13 February 2013 - Heineken Holding N.V. today announced:

  *The net result of Heineken Holding N.V.'s participating interest in
    Heineken N.V. for 2012 amounts to €1,477 million;
  *Revenue increase of 7.4% to €18.4 billion (organic growth +3.9% consisting
    of total consolidated volume growth of 1.5% and increased revenue per hl
    of 2.4%);
  *Group beer volume grew 2.8% organically, with growth in 4 out of 5
    regions, driving a gain in global market share;
  *Strong Heineken® brand performance with volume growth of 5.3% in the
    international premium segment, further extending global segment
  *EBIT (beia) broadly in line with prior year, on an organic basis,
    reflecting upfront spend on business capability building and higher input
  *Following acquisition of APB and APIPL, HEINEKEN derives 64% of
    consolidated beer volume and 59% of EBIT (beia) from emerging markets (on
    a 2012 pro forma basis);
  *Net profit of Heineken N.V. more than doubled to €2.9 billion owing to a
    non-cash exceptional gain of €1.5 billion, related to revaluation of
    previously held equity interest in APB and APIPL;
  *Net profit (beia) grew 1.6% organically, reflecting the benefit of a lower
    effective tax rate (beia) and lower organic interest expense;
  *TCM2 delivered pre-tax savings of €196 million;
  *Free operating cash flow of €1.5 billion and a cash conversion ratio of
    80% reflects higher capital investment to drive future growth; and
  *Proposed total 2012 dividend of €0.89 per ordinary share, an increase of
    7.2% (2011:€0.83).

Key figures[1]                   FullYear FullYear Change% Organic
(in mhl or € million unless      2012        2011                   growth%
stated otherwise)
Group beer volume                 221.2      213.9     3.4        2.8
Total consolidated volume         202.0      194.4     3.9        1.5
Of which: Consolidated beer       171.7      164.6     4.3        2.4
Heineken® volume in premium      29.1   27.4    6.2        5.3
Revenue                          18,383      17,123      7.4        3.9
EBIT                              3,904      2,455     59
EBIT (beia)[2]                    2,912      2,697     8.0        -0.5
Net profit (beia)                 1,696      1,584     7.1        1.6
Net profit of Heineken Holding    1,477      717    106
Free operating cash flow          1,484      2,093     -29
Net debt/EBITDA (beia)[3]        2.8x    2.2x
EPS (in €)                        5.13     2.49    106

[1] For an explanation of the terms used please refer to the Glossary in the
Appendix. Unless otherwise stated, any reference to growth rates used
throughout the report is calculated on an organic basis and volume relates to
group beer volume.
[2] APB and APIPL no longer report with a 3-month delay. For comparison
purposes, the EBIT (beia) organic growth calculation is based on 12 months of
APB and APIPL share of net profit of Heineken N.V., assuming HEINEKEN's joint
venture share of 41.9% of APB and APIPL from the beginning of the year is
maintained. This includes corrections for accounting changes and fair value
adjustments. The 3-month period from 15 August to 14 November 2012 is excluded
from the calculation of organic volume and EBIT growth.
[3] 2012 includes APB and APIPL on a 12 month combined pro forma basis; 2011
includes the Galaxy Pub Estate on a 12 month pro forma basis.

Heineken Holding N.V. engages in no activities other than its participating
interest in Heineken N.V. and the management and supervision of and provision
of services to that company.


Top-line: HEINEKEN anticipates continued volume and revenue growth momentum in
2013. The higher growth regions of Africa, Latin America and Asia Pacific  are 
expected to more than offset volume  weakness in European markets affected  by 
continued economic uncertainty and government-led austerity measures. However,
HEINEKEN will continue to seek opportunities in Europe to drive positive price
and sales mix.

Global brands: The Heineken® brand is  expected to continue to outperform  the 
international premium  segment and  overall  beer market  in 2013  by  further 
leveraging HEINEKEN's  global marketing  scale, superior  brand campaigns  and 
strong execution in the marketplace. In 2013, the continued growth and planned
roll-out of HEINEKEN's  other premium  global brands  - Desperados,  Strongbow 
Gold, Amstel  Premium Pilsner  and  Sol -  are  expected to  support  top-line 

Marketing and selling expenses: HEINEKEN expects marketing and selling  (beia) 
expense as  a  percentage of  revenue  to remain  broadly  stable,  reflecting 
improved marketing  spend effectiveness  from  increased global  scale  (2012: 

Input costs:  HEINEKEN  forecasts  a  slight increase  in  input  cost  prices 
(excluding the effect of currency translation).

Total Cost Management 2 (TCM2): HEINEKEN  now expects to realise €525  million 
of cost  savings  under  the  TCM2 programme  covering  the  period  2012-2014 
(previously €500 million).  The increase  of €25  million reflects  identified 
cost synergies under the acquisition of Asia Pacific Breweries (APB) and  Asia 
Pacific Investment Pte Ltd (APIPL).

HEINEKEN expects to incur  approximately €100 million  of further upfront  GBS 
(Global Business Services) costs through to  the end of 2014 (with around  two 
thirds of this spend expected in 2013).

As a result of on-going productivity initiatives, HEINEKEN expects an  organic 
decline in the number of employees in 2013.

Effective tax rate: HEINEKEN expects the effective tax rate (beia) in 2013  to 
be in the  range of  27% to  29% (2012:  26.5%). The  higher tax  rate can  be 
primarily explained by the result of favourable outcomes with tax  authorities 
in 2012 and  the full year  consolidation of APB  and APIPL in  2013 which  is 
subject to a higher effective tax rate.

Interest rate: HEINEKEN forecasts an average  interest rate of around 4.5%  in 
2013 (2012: 5.4%) reflecting lower coupons on bond issuances in 2012.

Cash flow: Cash flow generation is expected to remain strong, further reducing
the level of net debt. In 2013, capital expenditure related to property, plant
and equipment is forecast  to be €1.5 billion  (2012: €1.2 billion)  primarily 
reflecting the consolidation of APB and continued investment in higher  growth 
markets to capture anticipated top-line growth. Increased investments in  2013 
will be  focused on  brewing capacity  expansions, the  upgrading of  existing 
production facilities and new commercial equipment. As a consequence, HEINEKEN
expects a cash conversion ratio of below 100% in 2013.

Acquisition of APB and APIPL: The acquisition of APB and APIPL is expected  to 
be marginally EPS accretive in the first year.

Total dividend for 2012

The Heineken N.V.  dividend policy  is to pay  out a  ratio of 30%  to 35%  of 
full-year net profit (beia). The payment of a total cash dividend of €0.89 per
share of €1.60  nominal value for  2012 (total dividend  2011: €0.83) will  be 
proposed to the annual meeting of shareholders of Heineken N.V. If approved, a
final dividend of €0.56 per  share will be paid on  8 May 2013, as an  interim 
dividend of €0.33 per share was paid on 4 September 2012. The payment will  be 
subject to a 15% Dutch withholding tax.

If Heineken N.V. shareholders approve the proposed dividend, Heineken  Holding 
N.V. will, according to its articles of association, pay an identical dividend
per ordinary share.  A final  dividend of €0.56  per ordinary  share of  €1.60 
nominal value will be payable  on 8 May 2013.  The ex-final dividend date  for 
Heineken Holding N.V. shares will be 29 April 2013.

Investor Calendar Heineken Holding N.V.
What's Brewing Seminar, London                 25 March 2013
Trading update for Q1 2013                     24 April 2013
Annual General Meeting of Shareholders (AGM)   25 April 2013
What's Brewing Seminar (location to be         28 June 2013
Half Year 2013 Results                         21 August 2013
What's Brewing Seminar, New York               6 September 2013
Trading update for Q3 2013                     23 October 2013
Financial Markets Conference, Mexico           5-6 December 2013
Press enquiries                                Investor and analyst enquiries
John Clarke                                    George Toulantas
Head of External Communication                 Director of Investor Relations
E-mail: john.g.clarke@heineken.com             Lucia Bergamini
John-Paul Schuirink                            Senior Investor Relations
Financial Communications Manager               E-mail: investors@heineken.com
E-mail: john-paul.schuirink@heineken.com       Tel: +31-20-5239590
Tel: +31-20-5239355

Editorial information:
HEINEKEN is a proud, independent global brewer committed to surprise and
excite consumers with its brands and products everywhere. The brand that bears
the founder's family name - Heineken® - is available in almost every country
on the globe and is the world's most valuable international premium beer
brand. HEINEKEN's aim is to be a leading brewer in each of the markets in
which it operates and to have the world's most valuable brand portfolio.
HEINEKEN wants to win in all markets with Heineken® and with a full brand
portfolio in markets of choice. HEINEKEN is present in over 70 countries and
operates more than 165 breweries with volume of 221 million hectoliters of
group beer sold. HEINEKEN is Europe's largest brewer and the world's third
largest by volume. HEINEKEN is committed to the responsible marketing and
consumption of its more than 250 international premium, regional, local and
specialty beers and ciders. These include Heineken®, Amstel, Anchor, Biere
Larue, Bintang, Birra Moretti, Cruzcampo, Desperados, Dos Equis, Foster's,
Newcastle Brown Ale, Ochota, Primus, Sagres, Sol, Star, Strongbow, Tecate,
Tiger and Zywiec. HEINEKEN's leading joint venture brands include Cristal and
Kingfisher. Pro forma 2012 revenue totaled €19,765 million and EBIT (beia) €
3,151 million. The number of people employed is over 85,000. Heineken N.V. and
Heineken Holding N.V. shares are listed on the Amsterdam stock exchange.
Prices for the ordinary shares may be accessed on Bloomberg under the symbols
HEIA NA and HEIO NA and on the Reuter Equities 2000 Service under HEIN.AS and
HEIO.AS. Most recent information is available on HEINEKEN's website:

This press release contains forward-looking statements with regard to the
financial position and results of HEINEKEN's activities. These forward-looking
statements are subject to risks and uncertainties that could cause actual
results to differ materially from those expressed in the forward-looking
statements. Many of these risks and uncertainties relate to factors that are
beyond HEINEKEN's ability to control or estimate precisely, such as future
market and economic conditions, the behaviour of other market participants,
changes in consumer preferences, the ability to successfully integrate
acquired businesses and achieve anticipated synergies, costs of raw materials,
interest-rate and exchange-rate fluctuations, changes in tax rates, changes in
law, pension costs, the actions of government regulators and weather
conditions. These and other risk factors are detailed in HEINEKEN's publicly
filed annual reports. You are cautioned not to place undue reliance on these
forward-looking statements, which are only relevant as of the date of this
press release. HEINEKEN does not undertake any obligation to release publicly
any revisions to these forward-looking statements to reflect events or
circumstances after the date of these statements. Market share estimates
contained in this press release are based on outside sources, such as
specialised research institutes, in combination with management estimates.

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Source: HEINEKEN Holding NV via Thomson Reuters ONE
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