Introduction

F&N

F&N is amongst the region’s and Malaysia’s oldest companies and its brand enjoys the rare distinction of being a market leader and household name in many categories. A well loved brand in Malaysia, today, F&N has spread its wings to more than 20 countries worldwide and established itself as a regional player. From purveyors of carbonated soft drinks, the F&N Group is one of Malaysia’s diversified blue chip companies with leadership of the nation’s soft drinks, dairies and glass industries.The Group has grown from strength to strength with an annual turnover in access of RM3.7 billion from its core business in the manufacture, sale and marketing of soft drinks, dairies, non-carbonated beverages, glass packaging as well as property. With a unique blend of quality and innovative products that have stood the test of time, the F&N brand has resonated with Malaysians for over 127 years. The company has come a long way since 1883 when John Fraser and David Chalmers Neave formed The Singapore Straits Aerated Water Company. Years later, F&N was consolidated and the company’s love affair with the food and beverage industry began. Our corporate milestones include, among others, the pioneering and launching of the sweetened condensed filled milk in 1973, launching of a complete range of ice–cream products in 1974, the launch of 100 Plus isotonic drinks in 1984 , and the acquisition of Nestlé’s canned milk business in Thailand and Malaysia in 2007. Not one to rest on their laurels, F&N continues to soar to greater heights and remains committed to upholding the highest standards of corporate governance through integrity, transparency and accountability. F&N also remains responsible to their employees, business partners, stakeholders and the community; the company implements various initiatives to ensure responsible practices are carried out in all areas of the F&N business.

1.

Innovation, Creativity.

o Creativity: ideas going beyond the current boundaries, whether those boundaries are based on technology, knowledge, social norms, or beliefs

o Innovation

A process of intentional change made to create value by meeting opportunity and seeking advantage

The management has taken it into consideration to have an innovation on a Nestle (M) product in Thailand. Under the agreement, F&N will continue to manufacture and distribute Carnation, Bear Brand, Bear Brand Gold, Ideal Milk and Milkmaid in Singapore, Thailand, Malaysia, Brunei and Laos, until 2037. The new deal is also to secure business expansion over the next two decades as well as to enter emerging markets such as Myanmar, China, Cambodia, and Laos.The licenses, which were originally granted by Nestle in 2007 under a 310-million ringgit deal until 2017, saw the F&N Group acquiring Nestlé’s canned liquid milk, UHT and chilled dairy and juice business, in addition to acquiring relevant Nestle production facilities and equipment in Thailand, and the Tea Pot brand.According to F&N's Ng Jui Sia, chief executive officer for non-alcoholic beverages, the 22-year license agreement for Nestle brands in Asean will strengthen them in the marketplace. "F&N's strengths in manufacturing and route-to-market in liquid milk in Thailand, Malaysia were further enhanced via the new agreement.