The stable outlook reflects our view that Nestle will maintain its leading global market positions in key categories, execute well its portfolio reshaping toward higher-growth categories and emerging markets, and continue implementing cost savings in low-growth markets. We believe the strong and diverse portfolio of brands and innovation capabilities will enable the group to offset potential volatile commodity costs and high price pressure from competitors and retailers. We see Nestle maintaining adjusted debt to EBITDA below 2.5x, given the very strong FOCF generation, and focusing on small-to-midsize acquisitions while calibrating sizable shareholder remuneration outflows. We could lower the rating if adjusted debt leverage rises permanently to about 3x. This could occur, for example, if Nestle were to enter a large
