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DKSH 2014, July, 10th Taiwan Challenging Case Hang Pack 15g New Product Launch in modern trade Denise Chang Marketing Manager, DKSH Taiwan Ltd.

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DKSH Page 2 Background Fishermans Friend business was only in pharmacy channel and sales are stable in 2011. 2010: 9,635 Lof 2011: 11,293 Lof Market expansion in 2012 into modern trade all channels to explore volume growth opportunity. Market expansion launched 15g hang packs into CVS, PCS, Hypermart in 2012 Aug. Challenge Cases Hang Pack 15g New Product Launch in modern trade in 2012, Aug

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DKSH Page 3 4P Mixes for market expansion Main ChannelsFamily Mart/ OK/ Hi Life Watsons Cosmed Pharmacy Secondary channels PCS, Supermarket, Pharmacy, Hypermarket Hyper market, Pharmacy. X FlavorExtra Strong Sugar Free Lemon Extra Strong gm15g25g50g PackagingHang PackFoil pack in TinFoil pack 25gX2 in Tin RSPNT$38NT$85NT$125

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DKSH Page 4 15g Hang Packs Competition PX and CVS requested package size change to list in FF. Ricola, Nn Jiom, Valdas pack size is much bigger than Fisherman Friends hang pack.

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DKSH Page 5 FF 15g Promotion Packaging ItemHang PackTin Box gm 15gX2 twin pack, 15gX1, 15g+mini Tin CVS 25gX1 25gX2 25g+5g 50g Channels PX mart, CVS, PCS PCS, Hyper Pharmacy (Promotion Pack)

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DKSH Page 6 Current Distribution by package Extra Strong LemonExtra Strong Channel Type (outlets) Account Outlet No. Tin (25g) Tin 25gX2 Tin (50g) CVS (2968) Hi Life1293VV Family Mart800delisted OK875VV Hyper (103) Carrefour62 VVVV VVVV VV RT-Mart22 A-mart19 S/M (71)Matsusei71VV Personal Care (899) Watson's448VVV Cosmed364VVV Poya87 Department Store (28) Mitsukoshi13VV City Super6VV Jason's7VV SOGO2VV PX (667)PX667delisted Wholesaler (1633)Pharmacy1633VVVV Total6369

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DKSH Page 7 TVC & Radio campaign Mini tin & merchandising in OK CVS Merchandisin g in supermarket Merchandising in pharmacy Consumer lucky draw promotion 2013 ~2014 Marketing Mix 2013 ~ 2014 FF Marketing Mix Rx channel: B1G1 CVS: B1G1 Hang Pack B1G1 2012, Aug Hangpack new launch 2014 Feb.40g stop 2014Aug, 50g new launch 2014 HP delisted in PX,Family Mart New Product Development

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DKSH Page 8 TVC

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DKSH Page 9 Failure Cases Market expansion to all channels with 15g hang pack. PackageFlavor2011 Sales2012 Sales2013 Sales2014 Sales YTD Tin 25g&40g&50gOriginal11,293 LOF10,998 LOF2,957 LOF2,848 LOF Hang Pack 15g Original2,049 LOF5,521 LOF2,332 LOF Lemon2,448 LOF7,263 LOF842 LOF Total:11,293 LOF15,595 LOF17,837 LOF6,022 LOF Growth % 38% 14% 19% Remark: 2014 monthly average dropped 19% v.s. 2013, dropped 8 % v.s. 2012.

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DKSH Page 10 Hang Pack Case Hang Pack dropped since 2013, Aug. 52.8% HP: PX single pack delisted. HP: B1G1. CVS: HiLife. Mini tin CP CVS:OK. HP: PX Twin pack delisted. 40g Tin stop 50g Tin New Launch Hang Pack new listing and delisting in modern trade key accounts 2012, Aug, 2012, Nov. 2012,De c. 2013, May 2013, July 2013, Aug, 2014,F eb 2014,M arch 2014,April2014,June OK CVS new list Hi Life CVS, Carrefor e Hyper PX mart Cosmed. PX delist twin pack Family Mart CVS list List in PX, single pack list Watson s listing PX delisting Family Mart delist lmn Family Mart delist original. Accu outlet no. 8752252328326163416408345313864 3064 PX returns, delisted.

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DKSH Page 11 Key Task: Back to the Basics and rebuild FF market

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DKSH Page 12 1.To focus on pharmacy channel. Pharmacy channel wholesalers will be managed by DKSH Health Care to leverage health cares influence power for better in-store execution. 2.To prioritize distribution expansion launching new zip lock products in selected effective modern trade channels. PCS, Watsons, Cosmed. CVS Back to the Basics Focus on Pharmacy Channel First. CVS, PCS Core: Pharma cy

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DKSH Page 13 Products / Price v.s. Channels in 2015 Main Channels OK, Hi Life PCS, Watsons Cosemd Watsons Cosmed Pharmacy Secondary channels Supermarket, Pharmacy, Hypermarket CVS, Hyper market, Pharmacy. X FlavorExtra Strong Sugar Free Lemon Mint / Sweet Lime / Grapefruit Extra Strong gm15g25g 50g PackagingHang PackZip lock packFoil pack in Tin Foil pack 25gX2 in Tin RSPNT$38 (avg $19 B1G1 free)$49NT$85NT$125 License Issue?

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DKSH Page 14 Shelf display for ZIP Check out rental / merchandising 2015 Marketing Mix 2015 FF Marketing Mix Rx channel: B1G1 CVS: B1G1 Hang Pack Depletion 2014~2015 Hangpack stock depletion 2015 ZIP new launch 2014 Q4 25g (license issue?) New Product Development ZIP Bus or print ads

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DKSH Thank you for your attention