Summary of Important Points from General Mills Conference Call

Overview of Q4 Result: • Net sales in fourth quarter increased 8 percent to $4.4 billion; driven by growth in new businesses • Segment operating profit of $722 million, which was 2 percent below last year's result• Adjusted diluted EPS declined 12 percent to $0.53 • Gross margin was down 80 basis points to the range of 31.6 percent and 36.1 percent; driven by the additions of Yoki and Yoplait Canada• Advertising and media expense increased 5 percent • Total expense at $115 million, driven by annual increase in pension expense. Guidance for 2014 • Expect increase cash returns to shareholders• Total capital investments expected to be around $700 million• Targeted sales for the year is above $18 billion • Operating profit is projected to grow at a mid-single-digit rate• Adjusted diluted earnings per share expected to increase at a high single-digit rate to a range of $2.80 to $2.90 per share• Significant ad campaigns behind Big G stalwarts including Lucky Charms, Reese's Puffs, Cheerios• Expanding the Cheerios franchise in Canada with new Honey Nut Cheerios hardy oak crunch• Expanding the Fiber One franchise with an almond and cluster variety• Increase consumer marketing activity focused on the cholesterol-lowering benefits of the whole grain oats cereal• New flavors will be introduced with new package sizes and new points of distribution • Strong product news and innovation on Old El Paso and Wanchai Ferry internationally General Mills (NYSE: GIS) opened on Wednesday at $48.07.