Our operating principles of Sustainable Growth
and Manage for Cash keep us focused on the right metrics.

In late 2007 and 2008, we made several acquisitions that gave us strong growth platforms in promising markets. All of the companies we acquired were established players in categories that respond well to brand building.

• In Russia, we purchased United Bakers, gaining manufacturing and distribution capabilities in cookies, crackers and cereal.
• In China, we purchased Navigable Foods, an established biscuit manufacturer.
• In Australia, we purchased Specialty Cereals Pty. Limited, a natural foods company.
• In the U.S., we made several acquisitions, including Bear Naked, Inc. and its granolas and trail mixes; the assets of IndyBake Products LLC and Brownie Products Co., including two snacks manufacturing facilities; and the trademarks and recipes of Mother’s Cake & Cookie Co., a regional brand with a loyal consumer following in the western U.S.

We also reinforced our commitment to corporate responsibility by publishing our first global Corporate Responsibility Report. This report provides an overview of Kellogg Company’s deep commitment to preserving the environment, improving our marketplace and our workplace, and making positive contributions to the global community. The credit for these and all of our 2008 accomplishments belongs to our employees, whose passion for our business and commitment to our K Values is the core of our culture at Kellogg. We’d like to thank every member of the Kellogg family for their loyalty, hard work and dedication.