invitation capital markets...

2016 Capital Markets Day

C&C Group plc | Slide 2

The presentation contains forward-looking statements, including statements about the C&C Group plc's (the “Group”)intentions, beliefs and expectations. These statements are based on the Group's current plans, estimates and projections,as well as the Group's expectations of external conditions and events. Forward-looking statements involve inherent risksand uncertainties, are based on certain assumptions and speak only as of the date they are made. The Group undertakesno duty to and will not necessarily update any such statements in light of new information or future events, except to theextent required by any applicable law or regulation. Recipients of this presentation are therefore cautioned that a numberof important factors could cause actual results or outcomes to differ materially from those expressed in any forward-looking statements.

Past performance is no guide to future performance and persons needing advice should consult an independent financialadviser.

Your attention is drawn to the ‘Principal Risks and Uncertainties’ set out on pages 14 and 15 of the Group's 2016 First HalfResults Announcement. The risks described, however, are not exhaustive and there may be other risks which may have anadverse effect on the business, financial condition, results or future prospects of the Group.

Bulmers Ltd of Clonmel, Ireland, a Group within the C&C Group plc, owns the trade mark BULMERS® in the Republic ofIreland. Bulmers Ltd is not connected with HP Bulmer Ltd of Hereford, UK. BULMERS ® Original Vintage Cider produced byBulmers Ltd of Clonmel, Ireland is sold outside the Republic of Ireland under the name MAGNERS® Original Irish Cider.

For further information see www.candcgroupplc.com

Disclaimer


0930 Presentations

1130 Coffee

1150 Presentations

1320 Q&A

1350 Lunch

1430 Close

Welcome | Agenda


Phil Tate

European CEO

Presentation Team


Mark BoulosChief Commercial Officer

Brian BeattieMarketing Director | All Ireland

Paul CondronMarketing Director | Scotland

Local Heroes Taking on Global Brands

Presentation Team


Chris BarrowChief Operating Officer

Partnership with Pabst

Presentation Team


Andrea PozziManaging Director | C&C Brands

Conor HardyCommercial Director | APAC

Growing Export Opportunity

Presentation Team


Export | Growth showing real momentum

Source: Company data / Estimates

Italy +8%

Spain +8%

France +3%

Portugal +18%

Africa entry to market


Consumer & Customer Trends

Video Clip

Phil Tate

European CEO

Local Heroes Taking on Global Brands

Mark Boulos | Chief Commercial Officer


Re-cap of Key Trends

TreatTried & Tested

Quality, Heritage,

Provenance

Brand Cut Though

Retailer Range


SO WHATFOR C&C?


Differentiation & The Importance of Portfolio


Tried & Tested | Premium Mainstream

• Premium mainstream – on-trend

• Quality, heritage, provenance

• €140m invested in the three power brands over the last 5 years (equal to 10% of the three brands’ net sales)(1)

• Significant prompted awareness (2)

o Magners: 86%o Tennent’s: 98%o Bulmers: 91%

Source: (1) Company data / estimates; (2) IPSOS MRBI/Bulmers Brand & Ad Research/Sept ’15; Hall & Partners, 2015

Local heroes – sets the brands apart from global mainstream peers


Treat | Boutique and Speciality


Treat | Boutique and Speciality

• Opportunity to price up and differentiate

• 8% of branded volumes now coming from boutique and speciality (1)

• Heverlee 15 khl in Ireland & Scotland – 265% growth in 2 years (2)

• Chaplin & Cork’s – €1m sales revenue in 12 months (1)

• Excited to take on Pabst Brewing Company portfolio

Source: (1) AC Nielsen, 52 w/e 30th Jan-16; (2) Company data FY 14 – FY 16


LOCAL HEROESTHE POWER

BRANDS

Tennent’s Lager


Scotland | Tennent’s Lager: A ‘Fabric’ Brand

• From Scotland’s oldest brewer, since 1556

• Integral brand in Scottish society

• In On-trade, at the heart of the bar.

• In Off-Trade, at the heart of the fixture.

• Scotland’s No.1 beer brand

• Broad consumer appeal

Source: AC Nielsen, 52 w/e 30.01.16; CGA, 52 w/e 23.01.16


Scotland | Scotland’s Favourite Drink

Source: CGA, MAT to 08/08/15; AC Nielsen, MAT to 15/08/15


Scotland | Tennent’s Lager: On-Trade

• On the bar in 8 out of 10 pubs

• Almost 2 in every 3 pints of lager sold in Scotland

• Two-thirds of volume from more profitable On-Trade sector

• At the heart of our brand-led wholesale model

Source: CGA, 52 w/e 23.01.16; AC Nielsen, 52 w/e 30.01.16


Scotland | Tennent’s Lager: Off-Trade

In Scottish Takehome:

• Scaleo 65% bigger than Budweisero More than 3x size of Fosters

• Rate of sale o Higher than any Beer brand in the UKo 48% faster than Fosterso 60% faster than Stella Artoiso 85% faster than Carling

• Presenceo Highest levels of branded display space

in 9 of the last 13 periods in Multiple Grocers

Source: AC Nielsen, 52 w/e 30.01.16


Scotland | Tennent’s Lager: Platforms

Music FootballShareable

ContentPoint of

Purchase


Scotland | Tennent’s Lager: Agile Social & PR


Scotland | Tennent’s Lager: Brand Health

‘Brand consumed by people like me’

Source: Hall & Partners / Taylor Mackenzie, Jan-16

Bulmers Cider


Bulmers | Fundamentals

• Ireland’s original cider with over 80 year’s heritage

• No. 3 LAD brand (1)

• No.1 cider brand & No.1 packaged LAD brand with 44% share of packaged LAD (1)

• 91% on-trade and 47% off-trade cider share (1)

• Pint bottle available in 95% of Irish pubs with draught available in 7 out of every 10 pubs (1)

• Bulmers pint bottle outsells closest cider rival in excess of 6 to 1 in rate of sale (1)

• Most preferred LAD brand among 18-24 year olds(2)

Source: (1) Nielsen MAT Jan ’16; (2) IPSOS MRBI/Bulmers Brand & Ad Research/Sept ’15


Bulmers |Brand Strength: Pricing (Off)

200

220

240

260

280

300

320

340

360

380

4 W/E AUG 09/15 4 W/E SEP 06/15 4 W/E OCT 04/15 4 W/E NOV 01/15 4 W/E NOV 29/15 4 W/E DEC 27/15 4 W/E JAN 24/16

HEINEKEN

BUDWEISER

BULMERS

COORS

CARLSBERG

MOLSON CANADIAN

TOP 5 LAGERS AVERAGE PRICE

Strongest Retail Pricing in Market

Source: Nielsen Jan 16 Mults Pricing


Bulmers | Brand Strength: Packaged (On)

Packaged RoS On-Trade (litres) Packaged Distribution On-Trade %

-50

0

50

100

150

200

250

FEB 2

01

5

MA

R 2

01

5

AP

R 2

01

5

MA

Y 20

15

JUN

20

15

JUL 2

01

5

AU

G 2

01

5

SEP 2

01

5

OC

T 20

15

NO

V 2

01

5

DEC

20

15

JAN

20

16

-20

0

20

40

60

80

100

FEB 2

01

5

MA

R 2

01

5

AP

R 2

01

5

MA

Y 20

15

JUN

20

15

JUL 2

01

5

AU

G 2

01

5

SEP 2

01

5

OC

T 20

15

NO

V 2

01

5

DEC

20

15

JAN

20

16

Bulmers

Other Cider

Source: Nielsen Jan 16

Bulmers

Other Cider


Bulmers | Brand Strength: Draught (On)

-20

0

20

40

60

80

100

120

140

160

FEB 2

01

5

MA

R 2

01

5

AP

R 2

01

5

MA

Y 20

15

JUN

20

15

JUL 2

01

5

AU

G 2

01

5

SEP 2

01

5

OC

T 20

15

NO

V 2

01

5

DEC

20

15

JAN

20

16

Bulmers

-20

0

20

40

60

80

100

FEB 2

01

5

MA

R 2

01

5

AP

R 2

01

5

MA

Y 20

15

JUN

20

15

JUL 2

01

5

AU

G 2

01

5

SEP 2

01

5

OC

T 20

15

NO

V 2

01

5

DEC

20

15

JAN

20

16

Bulmers

Other Cider

Draught RoS On-Trade (litres) Draught Distribution On-Trade %

Other Cider

Source: Nielsen Jan 16


Bulmers video

Video Clip

Bulmers | Our Activity


Bulmers | Platforms

Point ofPurchase

MusicSocially RelevantDigital Content

Innovation


Bulmers | 360 Activation

Always On Digital

Year round Sponsorship & PR Strategy

PR & Sponsorship

Grow draught

Winning the fridge

Grow Innovation

Experiential & student


Magners Cider


Magners | Fundamentals

• Transformed the perception of cider in the UK, the world’s largest cider market, in 2005

• Now exported to over 50 countries worldwide

• c. 680 khl globally

• No. 5 cider brand globally

• No. 1 bottled apple cider brand in GB market

• No. 1 cider in Northern Ireland

Source: AC Nielsen, 52 w/e 30th Jan-16 & CGA, 52 w/e 23rd Jan-16


Magners | Recent Developments

• Stabilised the business

• The UK business makes c. €10m

• Invested in market share this year

• Rationalisation has hurt other brands

• In the GB off-trade, Magner’s Original is the only top 5 apple brand ahead of the market in both volume (+10%) and value (2%)

• Have momentum and platform for growth

• Exciting campaign and plans for next year

Source: Company data/Estimates; AC Nielsen, 12 w/e 30.01.16; Nielsen AdDynamix, 2015


Magners | This Year’s Campaign

Video

Video Clip

- 2nd largest media spend in the category

- On air for half the year

- From 1% share of voice to 45%

New Campaign


Summary

Our brand portfolio and business model

present us with enormous opportunities…

Trends Portfolio

21

Local heroes

3


Growing Export Opportunity

Conor Hardy | Commercial Director Asia Pacific


Photo Montage

Clip

International


► Export activity since 2002

► Started in USA & Europe

► More recent expansion in Asia & Africa

► Partnership approach

► Profitable model

► Sustained growth in volume and profit

Export | Historic Context

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

450,000

500,000

2005 2010 2015

HL

International Volumes (khl)

Source: Company data / Estimates including Export & North America

c. 450 khl


C&C International | Global Footprint

Sustained Expansion of International Business

54Markets Globally

40 Most Influential Cities

Magners51 markets; +6% vol growth YoY

Tennent’s31 markets; +34% vol growth YoY

WoodchuckUntapped Potential



Overview of C&C’s markets | Asia Pacific

Market size

• 45 kHL• Volume + 57% YOY• Volume Split: 58% Asia: 42% ANZ • DBM to NSV ratio 28%• Magners No 1 or No 2 position in Asian markets

C&C business model

• 16 Direct Markets• 3rd Party Distribution model • Contract packing - Australia • Regional Office – Singapore• Local management: 2 Commercial, 1 Marketing, 1 Operations

Key Regional Partners



Successful Brand Led Export Model Italy

Andrea Pozzi

Video Clip


International | Brand Led Export Strategy

The rise of the global marketplace is creating new opportunities for our brands

InnovationCraftAuthentic Exports New Flavours


International Cider | Growth Opportunity

Cider is still one of the fastest growing LAD categories globally

Source: Canadean 2015

Global Cider VolumeExcluding UK Market

mHl litres

+8%+11%

+5%

+12%

+15%

19%

7%

6%

8%

5%

3%

4%

1%

13%

9%

UK

South Afr.

USA

Australia

Argentina

Spain

France

Germany

Ireland

Finland

Cider % of LAD

4

6

8

10

12

14

2009 2010 2011 2012 2013 2014


Successful ‘Asset Light’ Operating Model

Partnerships key to asset light model and growth

1. Long term deals with strong local and regional

players

2. Synergistic portfolio alignment

3. Leverage local expertise and in market brand

execution: driving ROI

4. Asset light model: high operating margins at

low cost to C&C

New agreement across France & Germany

Profit Share Deal in New Zealand

Magners distribution in Thailand


Export | Positive Growth Trajectory

+15%Europe Vol YoY

Year 1Africa

+66%Asia Vol YoY

+45%Aus/NZ Vol YoY

+20%FY16 Own Brand Vol Growth

24%FY16 Operating Margin

17%DBM to NSV

Source: Company data / Estimates before allocation of central overheads


Outlook | Positive Growth Trajectory

Meaningful growth - investing today for the future

Europe Build on strong foundations and expand footprint

Africa Enter Nigeria and South Africa

Asia Expand beer & cider footprint through local partnerships

Aus/NZ Consumer relevance & partnerships to drive growth

Strategy Seeding for long term, Innovation, leverage beer portfolio

Pabst Brewing Company

C&C Capital Markets Day

Agenda

Who we are

Why we will win

How we are doing

Flag

ship

Iconic American lager

Cra

ft

Leading innovative craft brands in the US

Loca

l Le

gen

ds

Market focused premium brands that appeal to regional consumers

Imp

ort

s an

d

Dis

trib

uti

on

Partner of choice for leading international brands

Oth

er

Nat

ion

al

Bra

nd

s High volume brands with low growth outlook

Oth

er

Broad range of heritage brands

National Brands Regional Brands

Business Overview

Pabst Brewing Company (‘PBC’), founded in 1844, is the largest independently-owned beer company in the US

• Majority owned by Great American Brewing Company (Eugene Kashper)

• Minority owned by TSG Consumer Partners

• Bought November 2014

2.5% volume share of the US beer market – 5th

largest player

1.5% profit share; c.45% EBITDA growth 2015

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US Beer market - evolution of the segments Super Premium + Craft = Premium American

Imports = International

Premium + Sub Premium = Value/Economy

16% 20%

60% 30%

24% 50%

20

16

20

25

Local and heritage

Drinking less but better quality

Demand for alternative alcohol

Searching for the new 'new'

Key Drivers

EBIT POOL $8bn $14bn

Portfolio led by the iconic PBR brandAn American Original Millennials Beer of Choice Award winning

Easy drinking yet flavorful lager first introduced in Milwaukee in 1844

Americas largest independently owned brewer; American owned since 1844

National brand known for being authentic, creative, hip and individualistic

Beer of choice for the millennial generation with strong ties to craft –PBR outsells Budweiser in states with strong craft beer consumption

46.3%

34.7% 34.3% 32.3%

% of Consumers Aged 21–34

PBR is aligned with the nation's leading craft markets

Winner 2015 Brewer of the Year in the Large Brewing Company Category at the Great American Beer Festival

Winner of 14 medals at the Great American Beer Festival including the 2012 Gold medal

Brewer of the Year – Great American Beer Festival

Strongly affiliated with craft Individualistic Image Cache

Proudly supports consumers individualism – trend setting – consumer driven

Local Grassroots appeal

Leads to Strong Craft Affiliation

PBR is the #1 complementary domestic beer to craft drinkers

8 out of 10 top craft markets are top PBR markets

150

143

134

132

131

128

124

122

92

Domestic Beer Index with Craft (key brands)

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Range of authentic brands with unique regional ties

Sales and Marketing platform restructured for growth

Key new hires since acquisitionPBC Executive Team

Eugene Kashper

Chief Executive Officer

Justin Beck

Chief of Staff

Cordell Sweeney

Chief Financial Officer

Rob Urband

Chief Legal Officer

Chris Barrow

COO

Gleb Lifshits

CEO, Small Town Brewery

Rich Pascucci

Chief Growth Officer

Brian Bousley

President, Pabst Brewing Co.

Greig Debow

President, Small Town Brewery

Terry Hopper

President, VHCC

Bruce Muenter

Chief Sales Officer

Neil Nersesian

EVP, Brewing Operations

Dan McHugh

Chief Marketing Officer, Heritage

Mark Beatty

Director of Imports

Samar Chand

Strategy Director

Hired post-acquisition in 2014

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwj81__sufjKAhXIaT4KHd_-BAcQjRwIBw&url=http://logodatabase.net/how+to+draw+red+bull+logo&bvm=bv.114195076,d.cWw&psig=AFQjCNFYiOvZ5nlBlErrI0FORJv9_zNq6Q&ust=1455580399727504


http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwj087rS1fvKAhWsvoMKHVpICcwQjRwIBw&url=http://logonoid.com/diageo-logo/&bvm=bv.114195076,d.cWw&psig=AFQjCNGtU039TGOiAeU8is-zOh5GoeWLRA&ust=1455690972022964




https://www.linkedin.com/company/imperial-sugar-company?trk=ppro_cprof

https://www.linkedin.com/company/imperial-sugar-company?trk=ppro_cprof

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwiz0qvbhP_KAhVDOj4KHe7RB3QQjRwIBw&url=http://logok.org/heineken-logo/&bvm=bv.114195076,d.cWw&psig=AFQjCNHel4-JPzO50kCRnm0Vxj3sSBuZ2Q&ust=1455806697954179










Not Your Father's Root Beer the #1 craft SKU in the USTop 10 Craft SKU's for 13 Weeks Ending 01/02/2016 Not Your Father's Appeals to the New Craft Consumer

• NYF's Root Beer is a beer infused with natural spices and herbs

– High ABV, premium pricing and heavy flavor

– Appeals to the craft consumer

• PBC signed exclusive partnership agreement in early 2015, acquired Small Town Brewery in June 2015

– Small town brewery continues to be independently run

• Fits with Pabst's DNA as an alternate brand of beer, with a strong appeal to the craft consumer

– Root Beer is in favor with craft consumers and millennials, which aligns with the rest of the portfolio

Source: Nielsen (total volume actually double Nielsen capture), Beer Marketer's Insights

NYF's Priced at a Premium to Craft Category

NYF is attracting new consumersExpanding Portfolio OfferingAttracting New Consumers

Track record of attracting new consumers to the beer category

Brand Shifting

81%

Category Expansion

11%

New Buyers8%

117

2,695

GingerBeer

RootBeer

NYF 52 Week Volume Through Feb 6 (000s cases)

ACV (%)

28%

3.4%

Ginger beer is expected to have a market potential of c.60% of the root beer volumes

Clear partner of choice for multi-nationalsB

ran

ds

Co

mm

enta

ry

Leading Chinese import brand in the US

Exclusive distribution, marketing and import rights agreement

Leading US cider business with 6.3% share of the US cider market, owned by C&C

Sale and distribution rights acquired through a partnership agreement with Vermont Hard Cider

Option to acquire the business for a fixed price

Exclusive distribution agreement with Small Town Brewery signed in 2015 with an option to acquire

Option exercised and STB acquired in June 2015

STB founder Tim Kovac remains a significant stakeholder in charge of product development

Imports Cider Small Town Brewery

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwj8lpSbvqXKAhWJHT4KHdhsCiIQjRwIBw&url=http://www.tsingtaobeer.com/&psig=AFQjCNHen6TIiNxBVNYOsEk8Uo4iioRdmA&ust=1452729713314858

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwj8lpSbvqXKAhWJHT4KHdhsCiIQjRwIBw&url=http://www.tsingtaobeer.com/&psig=AFQjCNHen6TIiNxBVNYOsEk8Uo4iioRdmA&ust=1452729713314858



http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwjw5YXXxKXKAhXJXD4KHT7MBiEQjRwIBw&url=http://www.odessabrewfest.com/breweries/small-town&psig=AFQjCNFks6niZO9qUjLRIybFEX83aQB2ZA&ust=1452731489278491

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwjw5YXXxKXKAhXJXD4KHT7MBiEQjRwIBw&url=http://www.odessabrewfest.com/breweries/small-town&psig=AFQjCNFks6niZO9qUjLRIybFEX83aQB2ZA&ust=1452731489278491

PBC future mix to match industry – Net Revenue

Source: Company results and budget. High-End includes Smalltown, Cider, Imports, craft and innovation

PBC the fastest $ sales growth in 2015

Source: Nielsen; Total US xAOC+Convenience+Exchanges 2015 Full Year


0930 Presentations

1130 Coffee

1150 Presentations

1320 Q&A

1350 Lunch

1430 Close

Break


Brand Led Wholesale

Tom McCusker | Ireland Managing DirectorAlastair Campbell | Scotland Managing Director


Business Model | Right for the Future

1. Owning route to market = owning the customer relationship

2. Great portfolio – a brand for every occasion

3. Ability to access value in growing niche & premium segments

4. Ideal partner for world beer brand owners

5. Adding value to the customer through service, investment and range


Core Market Overview

Characteristics C&C ModelFragmented

On trade profit pool bias

Strong pub culture

High per capita consumption

Heritage & provenance important

Local legislatures

Brand led wholesale

Strong brands in geographies

Developing niche & premium range

Drive World Beers

Full service offering

Attractive Profit Pools Strong Market Position


Model | Consumer & Customer Centric

Consumer driven range

Unparalleled customer

reach

Scale drives competitive

offering

Order flexibility

One Stop Shop

Investment


Ireland | Consumer & Customer Centric

Reach 9 depots / 13k customers / 75 Trucks

100 front line sales , 30 call centre

On-Trade, Horeca, Convenience

Scale 16m units sold per annum

Flexibility 20k face to face calls

15k proactive calls a month via Call Centre

One-Stop 2,400 SKUs stocked

Investment Loan book €22m, 500 accs and €5m in

outlet

Source: Company data/Estimates


Ireland | Dynamics

2

1

3

CompetitionNew Entrants Cider & BeerCraft proliferation

Weather

BrandTake home premium too high

Pint Bottle highest margin LAD2 Formats Bottle & Draught

Draught tap a target

Big Brands ChallengeTop 3 lager brands Heineken -2%Budweiser -11% Carlsberg -3%

Cultural Challenges

ConsumersChanging consumersNew Energy & New Entrants 3 x Draught brands

5

4

6

Source: Nielsen On-Trade MAT Jan 2016

Market C&C Specifc


Build Revenue

Ireland | Grow the Business

CommercialDelivery

Bulmers Stabilisation

Niche & PremiumBrand Potential

Excellence inWorld Premium


Ireland | Bulmers Stabilisation

Excellent in outlet

Activation

Compelling Economics

On Trade

Re-livery and back bar

Distribution

Dual Stocking

Take Home Pricing

Appropriate Premium

18 to 24’sFlavours,

sponsorships and Light


Ireland | Niche & Premium Brand Potential

Volume Stockists

Source: Nielsen 52 weeks MAT Jan ’16 and Company data/Estimates

NI LAD On -6% Heverlee NI No 1 Premium +78%

8 khl

15 khL brand including Scotland


Ireland | Excellence in World Premium

ABI Brands Wine – No 1 in Ireland 10% Share and 900k cases

NAB’S | No. 3 energy drinkFastest growing +35%

No. 2 packaged lager: 18% share; growing in declining segment

91% distribution

Outsells nearest competitor 13:1

No. 5 in Take Home and no can format!

Source: Company data/Estimates and Nielsen MAT Jan 16


Ireland | Commercial Delivery

at the heart

New management

Team

Sales force fully

operational and focused

OptimiseCSC and on

line ordering

Specialityand brand

focus

In outlet activation


Scotland | Consumer & Customer Centric

Reach 7,500+ Direct Customers

40+ Field Sales Team

90 Trucks, 6 Depots, 5,000+ deliveries a week

Flexibility On-line, Sales Call & Service Centre

One-Stop Full range: 2,500+ SKUs

Investment Loan book €35m, 1000+ outlets


Scotland | Challenges Behind Us

► Recent challenges easing

• Drink Driving: -6% impact on draught • Business Integration

► New momentum

• ‘Tennent’s – Proudly Serving Scotland’• ‘Leading with Service’ culture company-wide• Sales Focus – Maximising every opportunity• New management team

Sales Director – Alan Hay (ex AG Barr)

► Scotland business recovering with market

-2

-6 -6-5

-8

-2

Aug to Nov'14

Dec to Feb'15

Mar to May'15

Jun to Aug'15

Aug to Nov'15

Dec to Jan'16

Scottish Draught Beer

First year of LegislationPre-Legislation First 8 weeks Lapping Legislation

Source: CGA, 52 w/e 23.01.16; Company data / estimates


Scotland | Tennent’s: At the heart of it

► Strengthening brand health

• Spontaneous Brand Awareness: 71% (18-24yo), +10% on Aug 2013

► On-Trade Growth

• On-Trade Share Gain = +0.2% MAT• Stockists over twice of nearest competitor

► Off-Trade Premiumisation

• Tennent’s Lager in Glass - ‘Retro’ Limited Edition +25% GM premium & 40% New Consumers

• Tennent’s ‘Black T’ +61% GM premium to Tennent’s Lager Cans

60.6%

61.1%

61.3%

Latest 12 Months v. LY v. 2YA

MAT 2YA MAT YA MAT TY

Tennent’sOn-Trade Scotland - Share Growth: Top 10 Brands

Source: Hall & Partners, 2015 Vs. 2013; CGA, 52 w/e 23.01.16; AC Nielsen, 52 w/e 30.01.16; Dunnhumby, Feb-16


Scotland| Tennent’s: Leveraging the Brand

Growing the core brand

Brand Activation in outlet

On-Trade Fount

Innovation

On-Trade Glassware Revision &

POS

Advertising, PR & Social

Media

TakehomeRange

Extension into Glass


Scotland | Building from the Core

► Magners: #2 Brand in On-Trade

► #2 Apple Cider in Off-Trade

► Cider back in growth in On-Trade

► Magners +9.7% MAT Value growth

► Investing in growth

• €1.25m + new ‘Ice Cold’ Fount• On-Trade ROS campaigns• Winning draught taps from #1

-0.1

2.0

5.0

9.7

Total Cider

Strongbow

Magners

Volume & Value Trends in ScotlandMAT to Dec v. 1 Year Ago

Volume Trend

Value Trend

On-Trade Cider

Source: CGA, 52 w/e 23.01.16


Softs Drinks Wines SpiritsCider Beer

Scotland | A Winning Portfolio

Own Brands

Speciality Brands

World Premium Brands

Customer & Consumer Driven Portfolio


Scotland | Supporting the Free Trade

► Through Investment

• On-Trade price freeze

• Loan investment of €35m

• Investing at Point-of-Purchase

• Brand marketing – Drives consumer choice

► Through Service

• Service excellence

• Customer choice

• Expert team

• Flexible ordering


Scotland| On the Front Foot

1. Challenges behind us

2. Trading environment improving

3. Exceptional brand portfolio

4. The right model

5. Well placed for growth

Kenny Neison

Group Chief Financial Officer


FY16 Closing Update

Earnings EBIT: €103m

Cash FCF/EBITDA > 90% (exc Exceptionals)

Capital €76m buy back

LeverageNet Debt/EBITDA modestincrease to c. 1.4x for FY16

Positives NegativesExport volume +20% ‘Perfect Storm’ in Ireland & Scot.Magners Original CCB +1% US share lossSupply chain cost

Receivables Securitization Agreement: c €25 m usedUnderlying conversion 70%

20.8m shares €3.63 per share6% of register

Buy back funded through cash flowNet Debt in line with FY15Balance sheet flexibility retained

NOTE: The above numbers are unaudited and may be subject to change.


FY17 Perspective…..

EarningsRecovery& Growth

Cost Reduction

€15m target (Oct 2015)

InvestmentMagners complete relaunch ‘In Outlet’ – Scot. & Ireland

Funding for Niche premium Significant increase in spend

TradingLandscape

One Offs: Weather, drink driving Pabst in US

Momentum: Export & CCB Stable platforms in core

Earnings Recovery

& Growth

2

1

3



Cost Reduction Plans

Actioned

Plant Rationalisation: 4 to 2Direct Delivery Activity IncreaseSupport function consolidation

Input Environment

Outlook benign

Phasing

Annualised impact FY18 €20m

Cost

Maximum €10mNet of asset disposals

40%

20%

20%

20%

Manufacturing Distribution

Procurement Overheads

€15m Cost Saving Programme



Cost Reduction Plans

Video Clip

Video | Billy Mason


Forward Earnings Profile

1. Volume growth

2. Margin expansion through cost reduction, net of re-investment

3. Underlying EBIT recovery

Magners Build on momentumExport Build on momentumCore Invest behind stable platforms & into improved environmentsUS Growth through Pabst footprint

FY17 Consensus

€109 million

Share Buy BackImpact

+6%

FY17 EPS Growth

+15%+ =



Forward Cash & Leverage Profile

Exceptional Cash

Seek to offset with asset disposal proceeds

WorkingCapital

Expand receivable facility to cover Gleesons

Capex Plastic line at Clonmel only major project

CashGeneration

Underlying FCF/EBITDA 60 - 70%

Capital Returns

Complete €100m (€25m o/s) programme by July ‘16Maintain long term progressive dividend policy

Return Capital AND Retain Financial Flexibility

Hold Leverage @

c.1.4x

Surplus Cash

c.€40mSource: Company data/Estimates


Capital Allocation

Preference Alternative

Absent the Right Deal

1. Return FY17 Surplus Cash: c.€40m

2. Leverage to 2x by FY18 and return capital (per June 2015)

3. Dividend cover to 2x

Invest for Growth

EconomicsStack

RightStrategically



Capital Allocation | M&A

Attractive Less Appealing

Vertical into Route to market: E&W

Horizontal: E&W

Bolt-On deals: Ireland & Scotland

Niche premium: GB & Ireland

Underperforming assets

Vertical into retail: E&W

Non GB or Ireland assets

Risky by scale transactions


Capital Allocation | Discipline

Execution is less certain than opportunity

Growth opportunities the priority….but not at any cost

Cheap Money

Valuations

Are

High

Craft Impact

Last Orders’ Effect

Capital Discipline is Key

Speculation

SpiritMatthew ClarkCarlsbergPeroni & Grolsch

Reality

€130m of share buy backSustained dividend increases


Summary | How we see it

Difficult year behind us… now in right shape for a positive run

► Underlying earnings growth: boosted by investment & cost reduction

► EPS: enhanced through current share buy back activity

► Sustained cash generation

► Potential consolidation activity requires careful balance sheet management

‒ €100m share buy back to complete July 2016‒ Leverage to be maintained around 1.4x in FY17‒ Absent a deal, surplus cash will be returned in FY17‒ Absent a deal, guidance of 2x leverage dividend cover by FY18 unchanged


Summary Aligned to Shifting Consumer Preferences

Stephen Glancey | Chief Executive Officer


C&C| Heritage & Provenance


C&C| Brand Provenance


C&C| Inherent Cashflow Characteristics


€137 million15 year average annual EBITDA


International Cider | Growth Opportunity

Cider is still one of the fastest growing categories globally

Source: Canadean 2015

4

6

8

10

12

14

2009 2010 2011 2012 2013 2014

Global Cider VolumeExcluding UK Market

mHl litres

+8%+11%

+5%

+12%

+15%


UK | The Home of Cider

60m consumers

€40bn alcohol industry

€20bn LAD market

London | A World City


UK | Size isn’t everything

Source: Published Annual Report Data; Company data/Estimates

Revenue £m EBIT %

Molson Coors 1,372 5.3

Heineken 1,224 4.2

ABI UK 1,159 3.0

Carlsberg UK 992 1.8

SAB Miller 262 11.9

Greene King 193 15.5

Marstons 169 12.2

Fullers 123 7.1

C&C Brands 57 13.1


Scotland & Ireland

► Cultural challenges in FMCG model

► Future proofing the model


Innovation is Key

Source: Company data/Estimates based on brands launched in last 5 years

Innovation represents 4% of own

brand volume


Capable Partner in World Beers

Scale

Deliver 512 khl of ABI brands

Scotland (FY14 – FY 16 Vol)

ABI agency +10%Market -9%

Ireland (FY14 – FY 16 Vol)

ABI agency +118%Market +1%



Investing| Smarter Ways of Investing


USA| Pabst – The Right Partner


International | Volume Performance


0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

450,000

500,000

2005 2010 2015

International Volumes (khl)

c. 450 khl


Short-Term Focus

Revenue growth in core markets

Export volume growth

Deliver cost reduction plan

Cash Generation


The Road Ahead

1. Cider growth category

2. Core brand strength

3. Consolidation cycle

4. Inherent balance sheet strength

5. Positive long-term outlook

invitation capital markets...

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