The world's biggest branded and packaged food industry group, Switzerland-based Nestlé S.A. announced on April 23, 2012, that it has agreed a $11.85 billion (€9 billion) binding bid for the infant nutrition business of U.S. pharmaceutical company Pfizer Inc. (AA/Stable/A-1+). In our view, Nestlé's financial measures will likely weaken but only decrease marginally below the minimum guidelines we consider to be commensurate with the ratings on the group. We are affirming our 'AA/A-1+' long- and short-term ratings on Nestlé and its related entities. The stable outlook reflects our expectation that Nestlé will uphold a conservative financial policy, continue to generate significant free cash flow, and maintain a financial risk profile that is in line with the current ratings. On April
