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"The first quarter of 2011 saw a number of high-impact events ranging from civil unrest and natural disasters to extreme volatility in raw material prices," the maker of KitKat chocolate bars and Nespresso portioned coffee said in a statement.
"Nonetheless, our strong momentum, both in organic growth and our drive for improved efficiency and effectiveness, enables us to confirm our full-year guidance," the group said.
Food groups are grappling with soaring costs for raw materials such as coffee, cocoa, milk, grain and crude oil and are betting on price increases and cost savings to offset the hit.