Royal Wessanen nv

Q2 2012

Amsterdam, 25 July 2012

www.wessanen.com @RoyalWessanen

2

What is organic?!

Strict criteria to be allowed to be labelled organicDemonstrably free from GMO, pesticides and growth hormonesStrict rules on animal welfareSevere restrictions on fertilisers, herbicides and pesticidesSevere restrictions on additives and processing aids

All about being produced and processed in line with organic principles

Organic products promote health and well-being

Holding benefits for the planet and for future generations

All about nutrition and taste !

Organic food is controlled by a unique European certification system

At Wessanen, our vision is to make our organic brands most desired in Europe

“Sustainability is an essential and

natural part of our daily work.”

Piet Hein Merckens (CEO)

• Q2 highlights

• Transformation 2009-12

• Strategy and strategic objectives

• Achievements 2010-12

3

Q2 highlights

Current subdued European economies and consumer confidence continues to be low

We set further steps in executing the strategic agenda in a consistent manner

We continued to invest in growth of our core brands and categories by driving innovation and activation

Q2 showing mixed results Grocery reconfirmed that we are on right track HFS disappointing Short term measures to improve profitability

2 strategic steps in transforming Wessanen into fully organic company

ABC divestment process has started Favory minority stake, obtaining full ownership

4

2.92.2

7.3

2.2

Q2 11 Q2 12

150.8

161.1

(2.0)%

EBIT (in € mln)

Revenue (in € mln)

Reported, Normalised

Autonomous third party revenue growth

5

Transformation 2010-12

0

400

800

1200

1600

2009 2010 2011 2011 ProForma

2011continuedoperations

KK, LR, Righi, PANOS

TOL NA

ABC

Frozen Foods

Kalisterra

Tree of Life UK

Clipper (March '12)

HFS

Grocery

55

712 706

1,586

From portfolio approach to focus on core

694

In € mln

581

Tangible steps taken 2010-12

1. A clear vision and mission in place

To make our organic brands most desired in Europe

2. Strategy and strategic direction clear

Strategic priorities 2012-14 in place

‘OGSM’ framework to align plans and objectives

3. Transition from a financial holding to a strategic orchestrator

6

7

Wessanen’s Strategy

ECONOMIC LOGIC Preferred brands that can

command a premium European scale (COGS,

innovation, expertise)

VEHICLES Own/build organic

pioneering brands in all relevant food channels

Focus on sizeable, growing markets and categories where organic creates value

Acquire businesses with strong brands and European potential

DIFFERENTIATORS Preferred brands and impactful innovation Superior product quality Orchestration of a fast, flexible and efficient value chain We are Europe’s No 1 and committed to Organic: our people have

credibility and expertise (OEC) and we provide the most comprehensive thought leadership, service, consumer insight, product range

ARENAS Healthy & sustainable nutrition through organic food in Europe

STAGING Boost growth of current

business and resolve ‘big bets’ (OGSM!)

At least one major acquisition p.a.

Divest non-core businesses at sensible speed

Strategic priorities 2012-14

8

Strategic focus Activities

Topline growth • Grow core brands

• Grow core categories

• Build strongholds in new markets

• Country specific growth strategies

• Launch fewer, bigger, better innovations

• Execute acquisitions shortlist

Profitability

improvement

• Central sourcing savings

• Pricing strategies towards customers

• Improve operational excellence with SAP

• Filling own factories

Enablers • Improve talent performance management / building connected

leadership

• Simplify how we are conducting business

• Activate Organic Expertise Centre (OEC), integrate Quality

Strategic objectives 2012-14

9

Strategic focus Activities

Topline growth • Brand activation

• Bjorg during ‘Atelier bio’ weeks in France

• Gayelord Hauser

Atelier bio nut Leclerc Albi

Strategic objectives 2012-14

10

Strategic focus Activities

Topline growth • Brand activation

• Ekoland in Amsterdam area

Atelier bio nut Leclerc Albi

Strategic objectives 2012-14

11

Strategic focus Activities

Topline growth • Category innovations

• Bjorg tea

• Zonnatura Kikker and nut bars

• Whole Earth chocolate spreads

• Ekoland fruit juices

Strategic objectives 2012-14

12

Strategic focus Activities

Topline growth • Acquisitions (Clipper)

• Assortment line-up and brand activation

• Preparing for European roll-out in early 2013

Clipper ‘Congo’ TV adaired in spring

Strategic objectives 2012-14

13

Strategic focus Activities

Profitability

improvement

• Gross margin improvement - in particular in Grocery - both in 2011

and 2012

• Deployment of SAP in France, the Netherlands, UK

• Germany and Clipper planned for

• Filling the factories in Germany with product categories such as

breakfast cereals and pasta sauces

Strategic objectives 2012-14

14

Strategic focus Activities

Enablers • Leadership programme in first half 2012 for top-65 of Wessanen

• Practical toolbox to accelerate the execution of the strategy

• 4 CBT teams to boost innovations

• OEC up-and-running

Ronald Merckx (CFO)

• Financials (p&l, net debt, cash flow, working capital)

• Frozen Foods

• Discontinued operations - ABC

15

Q2 2012 key figures

In € mln Q2 2012 Q2 2011

Revenue ¹ 150.8 161.1

Autonomous growth (2.0)%

Gross contribution 59.9 62.5

As % of revenue 39.7% 38.8%

Normalised EBIT ¹ 2.2 7.3

As % of revenue 1.5% 4.5%

EBIT ¹ 2.2 2.9

Result discontinued operations (net of tax) 2.2 4.1

Net result ² 3.1 5.4

Earnings per share (EPS) ² 0.04 0.07

16¹ Continuing operations; ² Attributable to Wessanen equity holders

Bridge - revenue growth

145

155

165

175

17

(6.4)%

In € mln

(4.6)% 2.6% 0.7% (4.3%(0.7)%

€161.1 €4.2€(7.4) €1.0 €(6.9)€(1.0) €150.8

Q2 figures per segment

In € mln Revenue Normalised EBIT

Q2 12 Q2 11 Q2 12 Q2 11

Grocery 71.7 65.9 5.2 6.5

HFS (Health Food Stores) 52.0 68.9 (1.1) 2.0

Frozen Foods 29.1 29.7 0.6 1.1

Non-allocated * (2.0) (3.4) (2.5) (2.3)

Wessanen 150.8 161.1 2.2 7.3

Discontinued operations

ABC $64.7 $49.9 $4.9 $6.5

18

* Eliminations for inter-segment revenue (between Grocery and HFS)

Cash flow Q2

19

In € mln

(0.4)I ncrease working

capital (* )

(0.7)Net I nvestments

(* )

Sources

(0.3)Discontinued operations

Uses

Cash flow from

earnings (* )

Dividends paid

(1.6)

I ncrease of net debt

Derivatives and FX

4.7

4.4

(6.1)

-40

-20

0

20

40

Q4 08 Q2 09 Q4 09 Q2 10 Q4 10 Q2 11 Q4 11 Q2 12 20

Working capital

0

20

40

60

80

Q4 08 Q2 09 Q4 09 Q2 10 Q4 10 Q2 11 Q4 11 Q2 12

20

4 quarter average working capital

q-on-q movement working capital

Cont. operations ABC

Net debt and leverage ratio

0

75

150

Q2 10 Q3 10 Q4 10 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12

0

2

4

Q2 10 Q3 10 Q4 10 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12

21

Net debt

Leverage ratio

€62.0 mln

2.1x

In € mln

Frozen Foods

Full ownership Favory Convenience Food Group

Acquired 35.9% stake held by Rabo Capital

Partly deferred consideration of €5 million

Further strategic alignment and process integration to improve results

To execute strategy and maximise shareholder value.

Autonomous revenue (2.4)% (volume (5.8)%, price/mix 3.4%)

Ongoing focus on price, competitive environment with more

promotions

EBIT of (€0.6 mln) lower y-on-y

Operating expenses (incl. marketing) in line with last year

Implemented price increases could not fully compensate increased

purchase price of raw materials

Beckers focused on brand activation in out-of-home and retail channels

22

Discontinued operations - ABC

Divestment process officially started, signing targeted in Q4

Q2 2012 another strong quarter

Autonomous growth 30.1% (volume 18.8%; price/mix 11.3%)

Daily’s and Little Hug both grew volumes strongly

RTD cocktail market continued to rapidly grow

• Frozen pouches segment driver

Little Hug clearly gaining market share in single-serve fruit drinks

• Segment growing modestly

EBIT lower at US$ 4.9 million

Strong increase marketing investments

• Supporting 2 key seasonal holidays (Memorial Day, 4th of July)

23

ABC - Daily’s

24

TV commercials

Mobile website

7w sweepstake

4th of Julycoupon

Retailer Support64th of July promotion

ABC - Little Hug

26

What did we change in last two years ?!• New Brand Name• New graphic design for cases• New bottle with logo• New higher quality box material• New Kiwi-Strawberry flavour• New Improved taste enriched with vitamins B / E• New communication of product attributes• New levels of advertising support• New straws added

New more convenient packaging

CouponsEmbossed barrel &

new brand logo on cap

Piet Hein Merckens (CEO)

Closing remarks

27

Closing remarks

Clarity, alignment and commitment regarding strategy Strategic priorities are set out, and being executed Good progress made in transforming role of HQ from financial

holding to strategic orchestrator Clear steps to create focus Better connected leadership throughout the company

Consumer confidence and reduced spending impacted growth Mixed results between and in different channels Short term measures will improve business results

Sharpened strategic focus and change in Group composition

cause us to assess our organisation structure and cost base

28

Royal Wessanen nv

Appendix - Sustainability

30

Attractiveness organic food markets

European organic food an attractive, growing segment Size €21 bn; 2011 growth around 6% <3% of total European food market

Increasing consumer appreciation

Still low per capita consumption

European Union <€30> p.a.

Consumers increasingly convinced of benefits of organic foodregarding health, taste and environment

Grocery and HFS channels developing at different growth path Decline percentage of households shopping in HFS channel in

the Netherlands halted

31

32

What is organic?!

Strict criteria to be allowed to be labelled organicDemonstrably free from GMO, pesticides and growth hormonesStrict rules on animal welfareSevere restrictions on fertilisers, herbicides and pesticidesSevere restrictions on additives and processing aids

All about being produced and processed in line with organic principles

Organic products promote health and well-being

Holding benefits for the planet and for future generations

All about nutrition and taste !

Organic food is controlled by a unique European certification system

“Sustainability is an essential and

natural part of our daily work.”

33

Wessanen Business principles

Compliance with laws: being a responsible partner in society, acting with integrity towards all stakeholders and others who can be affected by our activities

Environment: in line with commitment to sustainable development, we will do all that is reasonable and practicable to minimise adverse effects on the environment

Product safety: we aim at all times to supply safe products and services

Free market competition: we support free market competition as basis of conducting business; we observe applicable competition laws and regulations

Child, bonded and forced labour: under no circumstances we are making use of forced or bonded labour; we do not employ children in violation of relevant conventions of ILO

Human rights: we support and respect human rights and strive to ensure that our activities do not make it an accessory to infringements of human rights

We expect suppliers and business partners to comply with the above principles

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Commitment to minimise environmental impact

Committed to minimising impact on environment by measuring and monitoring the effects of our operations

All our organic products are free of GMO

We are working on reducing our CO2 footprint and usage of water

Additionally, organic products do not use pesticides, therefore contributing to a decrease

ISO 14001 is an internationally recognised standard for embedding processes to analyse and reduce our impact on the environment

Additional information at www.wessanen.com for

sustainability, such as

GRI G3 table | Performance fact sheet

35

Wessanen’s supply chain

36

Palm oil - member RSPO

Palm oil is important, versatile raw material for food

Only be cultivated in tropical areas of Asia, Africa and South America

Concerns that demand causing expansion of plantations into eco-sensitive areas

Since March 2011 Member of Roundtable on Sustainable Palm Oil (RSPO)

Global multi-stakeholder initiative

Encouraging sustainable production/use palm oil

Wessanen commits to organisation’s objectives

In 2011, we developed policy to govern palm oil sourcing and guidelines for implementation in

partnership with our suppliers

Committed to switching palm oil to RSPO certified sustainable palm oil during 2012-13

RSPO certified segregated palm oil for organic

GREEN PALM certificates for conventional

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Organic Expertise Centre (OEC)

We established our internal expertise - named OEC - in 2010 To stimulate exchange of knowledge / experience that is widely available

within Wessanen To educate and inspire our internal / external stakeholders in organic values

Specialists join forces and work on pan-European issues

To legitimise our position in organic world by championing the organic case

Focal areas will be: Training (incl. training package for newcomers) and founding Organic Academy Knowledge building by teaming up with external researchers and experts Lobbying to promote organic food Communication for more general awareness / knowledge of organic food

38

Employee engagement 2012 Leadership development programme

Top-65 Focus on strategy execution, connected leadership

Employee turnover is key focus area

Competency model deployed Defines behaviour expectations for all employees Translates ambitions/values into behaviour conventions

and skills

0

40

80

120

2009 2010 2011

Injury severity rate

0%

25%

50%

75%

100%

Executives Managers Associates

Men Women

0

2

4

6

8

2009 2010 2011

Injury frequency rate

Appendix - Financials

39

Revenue Q2 - €151 mln

19%

47%

34%

40

GroceryRevenue €71.7 mlnEBIT €4.3 mln

Frozen FoodsRevenue €29.1 mlnEBIT €0.6 mln

HFS (Health Food Stores)Revenue €52.0 mlnEBIT €(1.1) mln

Non-allocated & eliminationsRevenue € (2.0)mlnEBIT € (1.6)mln

Discontinued operations - ABCRevenue $64.7 mlnEBIT $4.9 mln

41

64.749.9

Revenue breakdown per segment

52.0

68.9(5.9)%

HFS

Autonomous third party revenue growth

71.1

65.9

2.0%

Grocery

Autonomous third party revenue growth

29.129.7

(2.4)%

Frozen Foods

Autonomous third party revenue growth

30.1%

Discontinued operations – ABCin US$

Autonomous third party revenue growth

42

145

155

165

175

Q2 11 Grocery HFS Frozen Foods I ntersegment Q2 12

Bridge - segment revenue growth

€150.8

In € mln

€(16.9)€5.8

€1.4€(0.6)

€161.1

Bridge - EBITE development y-on-y

0

5

10

Q2 11 Grocery HFS Frozen Foods Corporate Q2 12

43

In € mln

€7.3

€2.2

€(1.3)

€(3.1)

€(0.2)€(0.5)

Financials Q2 / guidance 2012

Financials Q2

Net financing costs €(0.9) mln (Q2 2011: €(1.0) mln)

Income tax expenses €(0.5) mln (Q2 2011: €(1.0) mln)

Capex €(1.6) mln (Q2 2011: €(2.2) mln)

Guidance FY2012

Net financing costs €(3-4) mln

Effective tax rate around 35%

Capex €6-8 mln

Depreciation and amortisation €10-11 mln

Non-allocated expenses (incl. corporate) €11-12 mln

44