Read the below excerpt from Hersheys Annual Report and answer the following questions:

1. Which section of the annual report does the above excerpt represent? Justify your answer.
2. What is the relevance of this section to you as an analyst?

OUTLOOK The outlook section contains a number of forward-looking statements, all of which are based on current expectations. Actual results may differ materially..... Excluding the Brookside acquisition, we expect volume to be slightly up for the full year 2012, resulting in net sales growth of about 5% to 7%, including the impact of foreign currency exchange rates.... We expect reported gross margin to increase approximately 90 basis points in 2012.... We expect full-year adjusted earnings per share-diluted, including the adjustment for non-service related pension expenses, to increase 9% to 11%.... Cash Flows from Investing Activities ... We anticipate total capital expenditures, including capitalized software, of approximately $280 million to $295 million in 2012... Excerpt from Hershey's MD&A, Annual Report (2011) OUTLOOK The outlook section contains a number of forward-looking statements, all of which are based on current expectations. Actual results may differ materially..... Excluding the Brookside acquisition, we expect volume to be slightly up for the full year 2012, resulting in net sales growth of about 5% to 7%, including the impact of foreign currency exchange rates.... We expect reported gross margin to increase approximately 90 basis points in 2012.... We expect full-year adjusted earnings per share-diluted, including the adjustment for non-service related pension expenses, to increase 9% to 11%.... Cash Flows from Investing Activities ... We anticipate total capital expenditures, including capitalized software, of approximately $280 million to $295 million in 2012... Excerpt from Hershey's MD&A, Annual Report (2011)