MONDELEZ INTERNATIONAL INC Common Stock (MDLZ)

The #1in candy, biscuits and chocolates, and #2 in gum. This has over 40% coming in from emerging markets, and the emerging market consumer is a secular growth area for the next decade at least. It is also an area that has lower private label competition. They just recently launched chocolate into China. The company is focused on improving their operating margins. Dividend yield of 1.77%.

(A Top Pick April 14/15. Up 17.31%.) A play on the emerging consumer in developing countries. Over 40% of their operating profit comes from there. The leader in chocolate and biscuits, and the number 2 in gum. Well positioned as consumers in those countries get wealthier and their GDP per capita increases. The company is focused on improving margins.

(Top Pick Oct 6/15, Down 4.69%) He is sticking with it. It has operational synergies, operational facilities that are synergistic. They have fewer SKUs (Down from 74k). Management are doing the right things here. They have a lot of emerging market exposure. If you get stability from emerging markets that will give it a boost.

This is a good example of a stock that has not done well because of international sales. If the US dollar pulls back, this headwind should go away. They have taken steps to rationalize their purchasing so as to increase margins.

(Top Pick Dec 9/14, Up 16.89%) She continues to like it. They are the Cadbury part of Kraft Foods. Consumption of snack foods in developing markets is much lower and so is a place for growth. They faced significant currency headwinds, but the market saw past it because they improved margins. It is a great play.

In all the right products with high growth associated with them. Think about candy, gum and biscuits. They give 4% to 5% growth. This company has a lot of great growth opportunities ahead of them. Dividend yield of 1.57%.

(A Top Pick Oct 6/15. Up 0.52%.) They have to clean up production lines and reduce the number of units they sell. There are a lot of products to sell and it is too big a stable and they are paring it down by a 3^rd. There are a lot of efficiencies to happen. Exposed on the emerging-market side, which needs to have a little bit of caution. There are a lot of opportunities for them to do very well no matter what happens in the market.

A spinoff from Kraft and is the snack food area. Has some challenges because people are more and more looking for healthier alternatives. They have good European exposure, and that has been a challenging market. The valuation is just a little stretched for him.

He thought it was too expensive, but if it comes back a little more he would be interested.

This has very quick growth. About 44% of the growth comes from emerging markets. Over time that will surface in value. Dividend yield of 1.51%.

They used to have 74k SKUs and are going to reduce this by a third, maintaining focus on core brands. They are improving their manufacturing facilities, some of which are very old and inefficient. They have identified levers to pull. It is making higher highs and made a higher low recently. 1.5% dividend. About 7% less volatile than the S & P. They are going to pull in $2.5 to 3 billion from selling off some of their brands.

(A Top Pick Sept 11/14. Up 24.29%.) Sold his holdings at around $38. At that point, he was rotating from some of the consumer staples names into the more cyclical names. Still a decent name. A little bit expensive.

44% is emerging markets. They are number one in chocolates and candies; number two in gum. Emerging markets are less private label centric so there is less competition. There is big potential in those countries. They have two active shareholders now and will keep management on track.

He likes Mondelez. It has a lot of emergent market exposure. They have marginal expansion that is structurally happening. Feels that it has good growth in terms of the market. He likes it right now.

There is some thought this could be a take out candidate. A very popular stock with brokers right now, because they are undertaking a very ambitious cost cutting program, which is expected to raise margins significantly. He is skeptical in the medium and long term success of that. Not something he would chase at these prices.