Company: KHC
Filing Date: 2025-03-28
Form Type: DEF 14A
Source: 0001308179-25-000266
Chunk: 59

Company: Kraft Heinz Co
Filing Date: 2025-03-28
Form: DEF 14A
Chunk 59
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 comparing the Company’s performance on a consistent basis for purposes of business decision making by removing the impact of certain items that management believes do not directly reflect the Company’s underlying operations. The non-GAAP financial measures provided in this Proxy Statement should be viewed in addition to, and not as an alternative for, results prepared in accordance with GAAP. The non-GAAP financial measures presented may differ from similarly titled non-GAAP financial measures presented by other companies, and other companies may not define these non-GAAP financial measures in the same way. These measures are not substitutes for their comparable GAAP financial measures. The following information for Organic Net Sales, Adjusted Operating Income, Adjusted Net Income, Adjusted EPS, Free Cash Flow, Free Cash Flow Conversion, and Net Leverage is provided to reconcile these non-GAAP financial measures, which are disclosed in this Proxy Statement, to their most comparable GAAP measures. The Company believes:

| ● | Organic Net Sales, Adjusted Operating                                                                                      
 Income, Adjusted Net Income, and Adjusted EPS provide important comparability of underlying operating results,             
 allowing investors and management to assess the Company’s operating performance on a consistent basis; and                 |
| ● | Free Cash Flow, Free Cash Flow Conversion, and Net                                                                         
 Leverage provide measures of the Company’s core operating performance, the cash-generating capabilities of the Company’s   
 business operations, and are factors used in determining the Company’s borrowing capacity and the amount of cash available 
 for debt repayments, dividends, acquisitions, share repurchases, and other corporate purposes.                             |

Management believes that presenting the Company’s non-GAAP financial measures is useful to investors because it (i) provides investors with meaningful supplemental information regarding financial performance by excluding certain items, (ii) permits investors to view performance using the same tools that management uses to budget, make operating and strategic decisions, and evaluate historical performance, and (iii) otherwise provides supplemental information that may be useful to investors in evaluating the Company’s results. The Company believes that the presentation of these non-GAAP financial measures, when considered together with the corresponding GAAP financial measures and the reconciliations to those measures, provides investors with additional understanding of the factors and trends affecting the Company’s business than could be obtained absent these disclosures. ORGANIC NET SALES Organic Net Sales is defined as net sales excluding, when they occur, the impact of currency, acquisitions and divestitures, and a 53rd week of shipments. The Company calculates the impact of currency on net sales by holding exchange rates