Campbell Announces Major Step Forward in Sodium Reduction; Adds 48 Reformulated Soups to its Lower Sodium Portfolio

19/02/08 Campbell Soup Company announced a major new step in its innovative sodium reduction efforts by adding 36 reformulated ready-to-serve varieties under the name “Campbell’s Select Harvest” soups to its industry-leading portfolio of lower sodium products and reformulating its 12 condensed kids favorite soups to meet the government criteria for “healthy” foods.

Campbell will reduce the sodium in these 48 soups to the "heart-healthy" level of 480 milligrams of sodium per serving. This sodium reduction effort marks the next phase in the company’s ongoing commitment to reduce sodium across its portfolio and builds upon previous new and reformulated lower sodium products introduced over the last two years.

With the introduction of these new soups in Fall 2008, Campbell’s portfolio of low and reduced sodium soups will include more than 85 varieties across the condensed, ready-to-serve and microwavable platforms. Currently, Campbell’s low and reduced sodium soups and broths in total are now a $650 million business at retail, up from $100 million in 2003.

Douglas R. Conant, Campbell’s President and Chief Executive Officer, said, “This is another significant step in our leadership in sodium reduction. Our lower sodium products continue to outperform expectations, and we are bringing former consumers back to our soup franchise. Campbell’s sodium reduction innovations have led the industry and also have struck a chord with consumers who continue to demand great-tasting simple meals that are both convenient and nourishing. Clearly, we are building on our success with lower sodium soups.”

Conant continued, “Across our portfolio, developing lower sodium products without sacrificing taste is our top strategic priority. Our announcement today builds upon our breakthrough sodium reduction efforts over the past two years, but we will not rest here. Our journey to lower sodium across Campbell’s portfolio will continue with the goal of making soup the ultimate healthy simple meal.”

Today’s announcement reflects significant advances in Campbell’s sodium reduction efforts. Building upon the use of natural sea salt, Campbell’s sodium reduction technology leverages proprietary natural flavor enhancers and a range of sophisticated blending techniques to create great-tasting soups.

This latest sodium reduction innovation will impact the entire line of “Campbell’s Select” ready-to-serve soups, which will be restaged under the name “Campbell’s Select Harvest” in the Fall. The “Campbell’s Select Harvest” line will include new “light” soups, which will be at the "heart-healthy" sodium level, and will also feature high-quality ingredients, proprietary stocks and no artificial flavors.

Campbell will also reformulate 12 of its condensed kids favorite varieties, including “Campbell’s” Chicken & Stars soup and “Campbell’s” Noodle O’s soup. The kids soups will now meet the government criteria for “healthy” foods—controlled for fat, saturated fat, cholesterol and sodium, and providing a positive nutrient source. “Campbell’s” kids soups were initially reformulated during the company’s first sodium reduction phase in 2006 when the sodium content was reduced on average 25 percent. The current reformulation represents an additional 20 percent average sodium reduction to these kids soups.

During the last two years of the company’s sodium reduction initiatives, Campbell has taken the following steps:

* Campbell introduced 32 new or reformulated soups made with lower sodium natural sea salt in 2006. These included a line of 25% less sodium versions of “Campbell’s” top-selling Chicken Noodle, Tomato, and Cream of Mushroom soups; ready-to-serve “Chunky” and “Select Healthy Request” soups with up to 45% less sodium than their original counterparts, and 25% sodium reduction in the line of kids favorite soups.

* In 2007, Campbell launched 14 new or reformulated lower sodium soups, including ready-to-serve “Chunky” and “Select Healthy Request” soups with up to 50% less sodium than original varieties, and options in microwavable bowls; 25% sodium reduction in three “Campbell’s” cooking soups and two new “Campbell’s Soup at Hand” varieties with 25% less sodium.

* Campbell also reduced the sodium in “V8” 100% vegetable juice by 19% to the "heart-healthy" level; introduced two “Prego Heart Smart” pasta sauces with 25% less sodium than original varieties, and reduced the sodium by 25% in original and meatball varieties of “Campbell’s SpaghettiOs” pasta.

Conant will provide additional details on Campbell’s wellness strategy and portfolio of lower sodium products during an address to investors at the Consumer Analyst Group of New York (CAGNY) conference on Wednesday, February 20, 2008 at 10:45 a.m. ET.