Fresh Del Monte Produce Inc. -...

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Fresh Del Monte Produce Inc. Investor Relations Third Quarter 2017

Transcript of Fresh Del Monte Produce Inc. -...

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Fresh Del Monte Produce Inc.

Investor Relations

Third Quarter 2017

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Forward-Looking Statements

This presentation contains certain forward-looking statements regarding the intent, beliefs or current expectations of the Company or its officers with respect to the Company’s plans and future performance. These forward-looking statements are based on information currently available to the Company and the Company assumes no obligation to update these statements. It is important to note that these forward-looking statements are not guarantees of future performance and involve risks and uncertainties. All forward-looking statements in this presentation are based on information available to the Company on the date hereof, and the Company assumes no obligation to update any such forward-looking statements. The Company’s plans and performance may also be affected by the factors described in Item 1A. – “Risk Factors” in Fresh Del Monte Produce Inc.’s Annual Report on Form 10-K for the year ended December 30, 2016 along with other reports that the Company has on file with the Securities and Exchange Commission.

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• Fresh Del Monte At A Glance

• Strengths We Are Building On

• Strategic Direction

• Financial Overview

Agenda

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Fresh Del Monte At A Glance • 1892 - Del Monte® brand established

• 1989 - Fresh business separated from canned

• 1996 - Del Monte Fresh Produce acquired by current management; 1997 IPO NYSE

• 1996 - Introduced the first new pineapple variety in more than 15 years; the Del Monte Gold® Extra Sweet Pineapple

• 1999 - Expanded “value-added” to include fresh-cut fruit and vegetables

• 2004 - Acquired Del Monte Foods Europe

• 2008 - Acquired Caribana, substantially increasing Del Monte® branded banana and Del Monte Gold® pineapple production in Costa Rica

• 2013 and 2014 - Acquired tomato agricultural production land in Florida and Virginia

• 2013 and 2014 - Acquired additional production land in Costa Rica and Nicaragua and expanded Philippine banana production

• 2014 - Launched a protein line in our Dallas facility and rolled out protein salads and snack offerings that include fresh fruit and vegetables

• 2014 - Del Monte Fresh Produce opened its first distribution center and fresh-cut facility in Canada

• 2016 - Acquired blueberry and deciduous farms in South America

• 2017 - Announced new joint ventures with Del Monte Pacific Limited in retail and refrigerated grocery products

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South America

Colombia, Ecuador,

Central America and

Brazil

Europe and

AfricaNorth America

Middle East and

North Africa

Asia Pacific

One of the world’s leading vertically-integrated producers, distributors and marketers of fresh and fresh-cut fruit and vegetables as well as a leading producer and distributor of

prepared fruit and vegetables, juices, beverages, snacks and desserts in Europe, Africa, the Middle East and countries formerly part of the Soviet Union.

38,000 Employees

40 Worldwide Distribution Centers / 18 Fresh-Cut Operations / 16 F&B Stores

11 Owned / 7 Chartered Vessels

23 in North America 10 in North America

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Global Leadership Team

Name Title Years at FDP

Mohammad Abu-Ghazaleh Chairman and CEO 20

Youssef Zakharia President and COO 17

Richard Contreras Senior Vice President and CFO 18

Bruce A. Jordan Senior Vice President – General Counsel and Secretary 15

Marissa R. Tenazas Senior Vice President – Human Resources 20

Hans SauterVice President – Corporate Research & Development and

Agricultural Services29

Jorge PelaezVice President – CECAB (Colombia, Ecuador, Central America

and Brazil)31

Emanuel LazopoulosSenior Vice President – North America Sales, Marketing and

Product Management14

Paul Rice Senior Vice President – North America Operations 29

Sergio Mancilla Vice President – South America 20

Gianpaolo Renino Vice President – Europe and Africa 13

Mohammad Abbas Vice President – MENA (Middle East & North Africa) 10

Hector Rivera Vice President – Asia Pacific 6

Fresh Del Monte At A Glance – Experienced and Results Oriented

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Fresh Del Monte At A Glance - Continually Evolving Company

Then Now

Delivery System Truckload shipments2 Distribution Centers

(“DC’s”)

SourcingLimited Global basis

Commodity ProducerMore than 100

products

LogisticsChartered vessels

CustomersPredominantly retailers & wholesalers

Product Range

Owned & chartered vessels

Truckload shipments, Just in Time (“JIT”),

Direct Store Delivery (“DSD”)Global DC’s &

Fresh-Cut Operations (“FCO’s”)

Retailers, Club Stores, Convenience, Petro

Stations,Quick Serve Chains,

Foodservice

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Net Sales by Product

Bananas 75% Other Fresh 21% Other 4%

Net Global Sales of $1.2 Billion

Bananas 45% Other Fresh 46% Prepared Food 9%

Net Global Sales of $4.0 Billion

Fresh Del Monte At A Glance – Then and NowExpanded Products Platform

4%

6%

15%

75%

1996

Other

Melons

Pineapples

Bananas

9%3%

45%12%

13%

6%

6%

3% 2% 1%

2016Prepared Food

Other Fruit, Products &Services

Bananas

Gold Pineapple

Fresh-Cut Products

Non-Tropical Fruit

Avocados

Melons

Tomatoes

Vegetables

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International Expansion

Fresh Del Monte At A Glance – Then and Now

Net Global Sales of $1.2 Billion Net Global Sales of $4.0 Billion

North America $2,221.5 / Europe $673.1 / Middle East $569.8 / Asia $477.2

in Millions

Net Sales by Region 1996

Asia

Europe

Other

North America

49%

13%

35%

12%

17%

14%

2%

55%

2016

Asia

Europe

Middle East & NorthAfrica

Other

North America

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Strengths We Are Building On

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Looking Into The Future“By 2050, demand for food will rise 70 per cent yet our capacity to increase food production is declining.”

Source: Oxfam International, June 1, 2011

“We will need to double irrigation by 2050 to grow enough food to meet demand of an estimated population of 9 billion people”

Source: WWF (http://wwf.panda.org/what_we_do/how_we_work/conservation/freshwater/)

CONCLUSION

“Land is scarce and will become scarcer as the world has to double food output to satisfy increased demand by 2050. With limited land and water resources, this will automatically lead to increased valuations of productive land.”

Source: Joachin von Braun, International Food Policy Research Institute

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7,130

7,868

8,499

9,017

Source: The United Nations (2010)

6,000

6,500

7,000

7,500

8,000

8,500

9,000

9,500

2013 2023 2033 2043

Mill

ion

s

Global Population

Looking Into The Future

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

5.0

1900 1994 2050

Farm Acreage Per Capita

Source: Food, Land, Population, and the US Economy – Cornell

University / Instituto of Nazionale della Nutrizione (1994)

5.0

1.8

0.6

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We were the:

● FIRST to introduce premium gold pineapple

● FIRST to complete national distribution network

● FIRST to launch national fresh-cut fruit

● FIRST to achieve GlobalG.A.P.

We are the:

● ONLY true multi-national fruit company

Strengths We Are Building On – Industry Leader

Leader and Pioneer in Consumer and Industry Trends

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1.00

2.00

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5.00

6.00

7.00

1980

/81

1981

/82

1982

/83

1983

/84

1984

/85

1985

/86

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/87

1987

/88

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/90

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/91

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/99

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/00

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/01

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/02

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/03

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/04

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/05

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/06

2006

/07

2007

/08

2008

/09

2009

/10

2010

/11

2011

/12

2012

/13

P

Lbs

US Fresh Pineapple Per Capita Consumption

Introduction of Del Monte Gold® Extra Sweet Pineapple

Source: USDA- 2013 Fruit and Fruit and Tree Nut Yearbook

Most Innovative Fresh Produce Company

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Strengths We Are Building On – Research and Development

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A leading marketer of branded canned fruit in European markets and

the Middle East

A leading marketer of bananas, pineapples, deciduous fruit and vegetables in

the Middle East

#1

#3

#1

Marketer of fresh pineapples worldwide

Marketer of bananas worldwide

A leading marketer of branded grapes in the U.S.

A leading marketer of branded avocados in the U.S.

A leading marketer of poultry and meat products in Jordan

Marketer of fresh-cut fruit in the U.S., Japan, U.K., UAE and Saudi Arabia

Strengths We Are Building On – Leading Market Positions

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Strengths We Are Building On - The Del Monte® Brand

High Brand Recognition

• One of the most widely recognized food brands worldwide-over 90% awareness

• Leadership positions across several categories

• Global footprint

• One of the 2 top of mind brands when consumers are asked to remember a fresh produce brand

Broad Appeal • Transferability of brand to new products and new categories

• Ease of entry into new markets

• Greater acceptance at a lower cost of entry

Health & Wellness• No artificial ingredients

• Fresh, high quality products

• Better-for-you attributes

• Toddlers to retirees

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Strengths We Are Building On – Production and Sourcing

South

America

Sourcing

• Avocados

• Non-tropical

• Berries

Asia

• Bananas

• Pineapples

• Fresh-cut fruit

• Non-tropicalsColombia,

Ecuador, Central

America & Brazil

Sourcing

• Bananas

• Pineapples

• Melons

• Mangos

• Plantains

• IQF

• Coconuts

• Greenhouse:

Tomatoes, Bell

Peppers,

Cucumbers and

Other Vegetables

North America

• Fresh & Fresh-cut fruit

and vegetables

• Prepared Food

• Protein salads & snacks

Africa

Sourcing

• Bananas

• Pineapples

• Prepared Food

Europe

• Fresh & Fresh-cut fruit

and vegetables

• Prepared Food

Middle East & North Africa

• Fresh & Fresh-cut fruit and

vegetables

• Prepared Food

• Poultry & Meat

In 2016 - 45% of Our Fresh Produce was Grown on Company-Controlled Farms

107,300 Acres Under Production

Mexico

Sourcing

• Avocados

• Vegetables

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Strengths We Are Building On – Quality & Safety

Our Commitment to Best in Class Quality Assurance and Food Safety Systems

To demonstrate compliance with international regulations and standards on environmental protection, food safety and social accountability, our farms and our facilities are certified by one or more of the following standards:

• Global GAP

• ISO 14001 and ISO 9001

• SCS Sustainably Grown

• OHSAS 18001

• SIFAV

• Rainforest Alliance

• PrimusGFS

• FSSC / ISO 22000

• SQF

• Certifications carried out by external and internal parties are conducted on a regular basis

• On-going training in all areas of quality and safety

• Trained quality control professionals – Chemistry, Microbiology and Agricultural Services

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Strengths We Are Building On – Unmatched Scale and Scope A Key Differentiator - Quality Control, Lower More Stable Costs and Value-Added Services

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Our Growth Strategy

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• Leverage powerful, vertically integrated infrastructure

• Pursue strategy of diversification

‒ Expand geographic presence

‒ Enter new distribution channels

‒ Grow existing product lines

‒ Accelerate addition of new, higher margin products

• Minimize dependence on bananas

• Capitalize on Del Monte® brand with four new joint ventures

• Increase market share and leadership position

• Continue to improve efficiencies and control costs

Investing For Long-Term Growth

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Example: Del Monte® North America Fresh-Cut Growth

Strategy In Action – Grow Existing Products

$150

$200

$250

$300

$350

$400

$450

2008 2009 2010 2011 2012 2013 2014 2015 2016

Ne

t S

ale

s

in M

illi

on

s

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CO

NS

UM

ER

S

FO

OD

SE

RV

ICE

• Premeasured and customized packaging

• Health and wellness

• Food safety

• Desire for convenience

• Pre-washed and pre-packaged

• Healthy and on-the-go

• Ready-to-eat/use

Strategy In Action – Large Market Opportunity

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• Stringent food safety standards

• Grow most of our own raw material

• Cold chain control

• Value-added services

• Reliable year-round deliveries

• Complete infrastructure

Strategy In Action – Fresh-Cut Products Trends Play to Our Strengths

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Example: Del Monte® North America Avocado Growth

Strategy In Action – Grow Existing Products

$0

$50

$100

$150

$200

$250

2008 2009 2010 2011 2012 2013 2014 2015 2016

Ne

t S

ale

s

in M

illi

on

s

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Strategy In Action – Grow Existing Products

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Leverage Powerful Vertically Integrated Infrastructure

North America Europe & Africa

• Fresh-cut products• Juice varieties• Fruit Express• Ice Lollies• Prepared sauces and

meal replacements• Squeezies• Canned Gold

Pineapple

Middle East

• Fresh vegetables• Fresh juices• Canned juices • Frozen vegetables• Frozen french fries • Frozen meat

products• Chocolate covered

fruit• Hummus• Beans• Olives• Olive oil• Canned tuna• Catering services

Asia

• Fresh-cut vegetables• UHP avocados• Protein salads• Snacks• Field grown

tomatoes• Berries• Chilled juices• Hummus

Strategy In Action – Meeting Evolving Customer Needs

• Fresh-cut products

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Strategy In Action – New Products and Packaging

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Strategy In Action – North America

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Strategy In Action – Europe

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Strategy In Action – Middle East and North Africa

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Strategy In Action – Asia

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Expanding Global Footprint

Strategy In Action – New Growth Markets

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North America Europe & Africa Middle East

Asia

Colombia, Ecuador, Central America and Brazil South America

• France – Distribution center with

ripening facility and Fresh-Cut

center

• Kenya – Can manufacturing

line, fresh, frozen and PET juice

production lines, mango and

bean production, premium

canned pineapple

• Dubai – Food & Beverage Stores,

vending machines and fresh prep

kitchen facility

• Saudi Arabia – Food & Beverage

Stores, Canned juice operations,

frozen food production lines and

catering facility

• Turkey, Iraq, Russia and Ukraine

– Sales and marketing

• Jordan, Turkey and Saudi Arabia

– Vegetable farms

• Japan – Two fresh-cut facilities

• Korea – Distribution center and

fresh-cut facility

• Costa Rica – Additional pineapple

production

• Costa Rica – Juice processing

plant

• Chile – New packaging technology

• Chile – Blueberry production

• Canada – Distribution center,

fresh-cut, protein salad and

snack production facility

• Texas – Distribution center,

fresh-cut, protein salad and

snack production facility

• Delaware – Distribution center,

fresh-cut, protein salad and

snacks facility

• Florida and Virginia – Field

grown products

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Maximize: Logistics

• Refrigerated vessels, containers and trucks• Banana infrastructure• Higher-margin products essentially ride for free

Agricultural land • Increase our own production versus independent growers

Distribution centers, fresh-cut and protein facilities • Streamline operations, further leverage sales capabilities

Strategy In Action – Leveraging Infrastructure

Maximizing Revenues From Our Existing Infrastructure to Increase Volume and Reduce Costs

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Strategy In Action – Leveraging Infrastructure

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Financial Performance – Bananas

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in Millions

2012 2013 2014 2015 2016 2016 2017

Price / Box 14.14$ 14.52$ 14.80$ 14.33$ 14.47$ 14.93$ 13.53$

Net Sales 1,545$ 1,693$ 1,805$ 1,868$ 1,812$ 424$ 409$

Gross Profit* 90$ 62$ 109$ 77$ 159$ 40$ 6$

Gross Profit Margin 6% 4% 6% 4% 9% 9% 1%

* Excludes asset impairment & other charges.

3rd QuarterFull Year

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Financial Performance – Other Fresh Produce

37

in Millions

2012 2013 2014 2015 2016 2016 2017

Net Sales 1,545$ 1,639$ 1,745$ 1,826$ 1,853$ 434$ 468$

Pineapples 513$ 510$ 577$ 525$ 495$ 123$ 119$

Fresh-Cut 391$ 408$ 381$ 467$ 517$ 135$ 159$

Non-Tropical 264$ 296$ 284$ 271$ 260$ 45$ 38$

Avocados 68$ 99$ 130$ 175$ 230$ 67$ 90$

Gross Profit* 207$ 194$ 211$ 209$ 237$ 62$ 45$

Gross Profit Margin 13% 12% 12% 11% 13% 14% 10%

* Excludes asset impairment & other charges.

3rd QuarterFull Year

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Financial Performance – Prepared Food

38

in Millions

2012 2013 2014 2015 2016 2016 2017

Sales 332$ 353$ 378$ 363$ 347$ 92$ 75$

Gross Profit* 46$ 35$ 45$ 57$ 65$ 17$ 8$

Gross Profit Margin 14% 10% 12% 16% 19% 19% 11%

* Excludes asset impairment & other charges.

3rd QuarterFull Year

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Selected Financial Highlights

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Financial Performance – Summary Data

40

in Millions

2012 2013 2014 2015 2016 2016 2017

Net Sales 3,421$ 3,684$ 3,928$ 4,057$ 4,012$ 950$ 953$

Gross Profit 342$ 290$ 365$ 342$ 461$ 119$ 58$

% margin 10% 8% 9% 8% 12% 13% 6%

Operating Income 161$ (28)$ 174$ 91$ 244$ 44$ 17$

Net Income 143$ (34)$ 142$ 62$ 225$ 35$ 12$

EPS - GAAP 2.46$ (0.61)$ 2.53$ 1.17$ 4.33$ 0.68$ 0.23$

EPS Adjusted* 2.54$ 1.57$ 2.74$ 2.43$ 4.74$ 1.17$ 0.24$

2012 2013 2014 2015 2016 2016 2017

Operating Cash Flow 173$ 109$ 231$ 231$ 332$ 341$ 184$

Capital Expenditures 80$ 160$ 149$ 132$ 147$ 98$ 103$

Total Debt 126$ 251$ 267$ 254$ 232$ 138$ 280$

* Excludes asset impairment & other charges.

Full Year

Full Year 3rd Quarter

Nine Months

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$1.82 $2.54

$1.57

$2.74 $2.43

$4.74

$1.17

$0.24

Excludes asset impairment and other charges.

2011 2012 2013 2014 2015 2016 2016 20173rd Quarter

Financial Performance – Earnings Per Diluted Share

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$192 $232

$178

$244 $219

$340

$87 $37

Excludes asset impairment and other charges.

2011 2012 2013 2014 2015 2016 2016 20173rd Quarter

Financial Performance – Adjusted EBITDA

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in Millions

$197 $173 $109

$231 $231

$332 $341

$184

2011 2012 2013 2014 2015 2016 2016 2017Nine Months

Financial Performance – Operating Cash Flow

43

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in Millions

$719 million spent under stock repurchase program between 2010 and Q3 2017

Dividend Policy• Quarterly cash dividend of $0.15 per

ordinary share

$126

$251 $267 $254 $232

2012 2013 2014 2015 2016

Debt

$80

$160 $149

$132 $147

$98 $103

2012 2013 2014 2015 2016 2016 2017

Cap-Ex

Nine Months

Financial Performance – Debt and Cap-Ex

We Have Continued Investing in Diversification and Expansion Without Adding Significant Debt

44

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• Clear growth strategy – outstanding execution and momentum

• Positioned like no one else – vertically integrated and innovative

• Respected – global “mega” brand that speaks to health and wellness, quality and convenience

• Global player

• Commitment to long-term value

Investment Highlights

Strong Foundation Built on Diversification

WE ARE THE ULTIMATE health & wellness company

45

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Appendix

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Appendix – Income Statement

47

in Millions

2012 2013 2014 2015 2016 2016 2017

Net Sales 3,421$ 3,684$ 3,928$ 4,056$ 4,012$ 950$ 953$

Cost of Sales 3,079 3,392 3,562 3,714 3,550 831 894

Restructuring and Other Charges 1 2 1 - - - -

Gross Profit 342 290 365 342 461 119 58

% Margin 10% 8% 9% 8% 12% 13% 6%

SG & A 177 176 176 184 187 49 41

Gain (Loss) on Sale of Assets - (5) (4) 2 - (1) -

Asset Impairment & Other Chgs. 3 137 11 70 30 25 1

Operating Income 161 (28) 174 91 244 44 17

% Margin 5% -1% 4% 2% 6% 5% 2%

Interest Expense (2) (2) (3) (4) (3) - (1)

Other, Net (4) 13 (14) (11) (4) (3) -

Tax (Expense) Benefit (12) (17) (14) (14) (12) (6) (4)

Net Income 143$ (34)$ 142$ 62$ 225$ 35$ 12$

% Margin 4% -1% 4% 2% 6% 4% 1%

EPS - GAAP 2.46$ (0.61)$ 2.53$ 1.17$ 4.33$ 0.68$ 0.23$

EPS Adjusted * 2.54$ 1.57$ 2.74$ 2.43$ 4.74$ 1.17$ 0.24$

* Excludes asset impairment & other charges.

Full Year 3rd Quarter

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48

(1) Asset impairment and other charges, net, for the quarter ended September 29, 2017 included charges in South America and North America due to natural disasters. Asset impairment and other charges, net, for the nine months ended September 29, 2017 also included insurance proceeds related to previously announced flooding in South America offset by impairment charges in Asia. Asset impairment and other charges, net, for the quarter ended September 30, 2016 included $18.7 million incompensatory expense related to the President/COO's transition, of which $9.8 million is in cash. The remaining charges relate to poultry goodwill impairment in the Middle East, impairment charges related to drought conditions in Brazil and underutilized assets in Central America as well as other charges in Europe. Asset impairment and other charges, net, for thenine months ended September 30, 2016 included impairment charges in Asia and Central America.

(2) Gain on sale of assets, net, of $0.6 million for the quarter ended September 29, 2017 and $1.5 million for the nine months ended September 29, 2017 primarily related to maritime equipment sales, which is included in Gain (loss) on disposal of property, plant and equipment, net. Loss on sale of assets, net, of $0.7 million for the quarter ended September 30, 2016 primarily related to a loss on maritime equipment sales and a gain of $8.5 million for the nine months ended September 30, 2016 primarily related to the sale of surplus lands in Central and South America, which is included in Gain (loss) on disposal of property, plant and equipment, net.

September 29, September 30,

2017 2016

Non-GAAP Measures (per share):

Reported net income - Diluted 0.23$ 0.68$

Asset impairment and other charges, net (1) 0.02$ 0.48$

Loss (gain) on sale of assets, net (2) (0.01)$ 0.01$

Comparable net income - Diluted 0.24$ 1.17$

Quarter Ended

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Appendix – Non-GAAP Measures

49

The Company's results are determined in accordance with U.S. generally accepted accounting principles (GAAP). Some of the information presented in this press release reflects adjustments to GAAP measures such as amounts related to restructuring, asset impairment charges, gain on sales of assets and certain other special items, if any. Management believes these adjustments provide a more comparable analysis of the ongoing operating performance of the business. These adjustments result in non-GAAP financial measures and are referred to in this press release as comparable operating income, comparable net income and comparable net income per share. Because all companies do not use identical calculations, our presentation of these non-GAAP financial measures may not be comparable to similarly titled measures used by other companies.

Comparable operating income and comparable net income provide us with an understanding of the results from the primary operations of our business. We use comparable operating income and comparable net income to evaluate our period-over-period operating performance because management believes they provide more comparable measures of our continuing business as they adjust for special items that are not reflective of the normal earnings of our business. These measures may be useful to an investor in evaluating the underlying operating performance of our business because these measures:

1. Are used by investors to measure a company's comparable operating performance; 2. Are financial measurements that are used by lenders and other parties to evaluate creditworthiness; and3. Are used by our management for various purposes, including as measures of performance of our

operating entities and as a basis of strategic planning and forecasting.

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Appendix – Cash Flow

50

in Millions

2012 2013 2014 2015 2016 2016 2017

Net Income* 145$ (34)$ 145$ 66$ 226$ 215$ 126$

Non-Cash Charges 73 210 93 150 93 77 63

Working Capital (45) (70) (7) 14 13 49 (5)

Operating Cash Flow 173 109 231 231 332 341 184

Capital Expenditures (80) (160) (149) (132) (147) (98) (103)

Acquisitions/Disposals 10 (10) (11) 7 (42) (41) 4

Changes in Debt (88) 127 16 (19) (26) (119) 52

Dividends (23) (28) (28) (26) (28) (20) (23)

Share Repurchase (13) (95) (131) (117) (108) (69) (96)

Equity Securities (3) 8 - - - - -

Proceeds From Share Issuance - - - - - - -

Proceeds from Stock Options 10 44 49 35 12 6 -

Other, Net 7 8 15 12 3 (1) (8)

Net Change in Cash (7)$ 3$ (8)$ (9)$ (5)$ (2)$ 10$

* Excludes noncontrolling interest.

Full Year Nine Months

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Appendix – Balance Sheet

51

in Millions

2012 2013 2014 2015 2016 2016 2017

ASSETS

Cash & Short Term Investments 40$ 43$ 34$ 25$ 20$ 23$ 30$

Accounts Receivable 354 398 414 417 412 409 407

Inventory & Other 532 575 593 544 529 501 540

CURRENT ASSETS 926 1,016 1,041 986 961 933 977

Property, Plant & Equipment 1,025 1,101 1,170 1,215 1,272 1,252 1,322

All Other Assets 583 472 464 395 420 414 422

TOTAL ASSETS 2,533$ 2,589$ 2,675$ 2,596$ 2,653$ 2,599$ 2,721$

LIABILITIES

Current Liabilities 362$ 383$ 409$ 382$ 369$ 375$ 370$

Long Term Debt 124 249 265 253 232 137 280

Other Liabilities 216 207 213 211 236 226 228

TOTAL LIABILITIES 702 838 887 845 837 739 877

SHAREHOLDER'S EQUITY 1,831 1,751 1,788 1,751 1,816 1,860 1,843

LIAB. & SHAREHOLDER'S EQUITY 2,533$ 2,589$ 2,675$ 2,596$ 2,653$ 2,599$ 2,721$

Full Year Nine Months