Confidential S&OP March th March 2010

2 Confidential

Agenda 1.Unconstraint Forecast FY 2010 by Quarter 2.Supply Update 3.Production Output 4.Supply Capacity 5.Scorecard

Confidential Agenda 1.Unconstraint Forecast FY 2010 by Quarter 2.Supply Update 3.Production Output 4.Supply Capacity 5.Scorecard

Confidential The activities for the balance of 2010 Dulac & Dupro Price increase of 5% from May 2010 Dugro  Q2 National Campaign (consumer contest + roadshow + ATL support) in Apr & May 2010 Dugro 1kg price promo (RM19.90 –rebate of RM1.30) from April to May 2010 for all channels  April +25% over Past 6 month AMS  May +20% over Past 6 month AMS Dugro 1.5kg Promo in June 2010 (RM28.50 – rebate of RM1.50), explore to have clearance plan with Giant in Apr. +10% over Past 6 month AMS on Dugro 1kg for the month of June 2010 (rebate of 50cent to non IKA, GT & CMH selling at RM20.90)

Confidential The activities for the balance of 2010…. cont Dugro  Q3 Dugro 1.1kg promo in July 2010 funding from A&P  + 25% over Past 6 month AMS Launch of Strawberry 1kg (RM5mil gross from mid June to end Dec 2010) Q3 Campaign with Dugro 1kg with the pricing of RM20.90 (Rebate RM0.50)  Aug +25% over Past 6 month AMS  Sept +20% over Past 6 month AMS

Confidential The activities for the balance of 2010…. cont Dugro  Q4 Dugro 1kg price promo (RM19.90 – funding between RM1.3) from Oct – Nov for all channels  Oct +20% over Past 6 month AMS  Nov +15% over Past 6 month AMS No pricing promo in Dec 2010

Confidential The activities for the balance of 2010 ….cont MG  Q2 MG Gum premium promo in May & June 2010 Phase Out the MG IFFO, Gum & Mamil Mama start from July 2010 base on the stocks available in Trade and Distributor  Q3 Start phasing in the new stocks to distributor by mid Sept 2010 for Malaysia (BN will only launch in 2011)

9 Confidential Forecast Unconstraint FY 2010 Vs Budget  Data with January & February 2010 actual. Assumption sales closing lower in Mar 10.  Forecast base on all the activities assumption

10 Confidential Forecast Unconstraint FY 2010 Vs FY2009 Actual  Decline trending from Mamex due to high inventory in trade (average > 3 months stocks holding in trade & 1 month stocks holding at distributor.

Confidential Agenda 1.Review Last Month Minutes 2.Unconstraint Forecast FY 2010 by Quarter 3.Supply Update 4.Production Output 5.Supply Capacity 6.Scorecard

12 Confidential Supply Update – Malaysia  Next available date in 2 nd week of May. Working to pull ahead the production by end Apr and available by 1 st week of May.  Reasons being: 1.1 torn bag of Malt Flavor at production area during handling 2.There was no buffer stocks as the initial forecast is lower than the actual requirement. 3.Moving forward, will keep 1 bag (25kg) as safety stock for contingency plan. Open bag shelf life for Malt Flavor is 3 months as confirmed by QFS.

13 Confidential Supply Update – Specialty 1.HA : 90 cartons will be airfreight and ETA on 15/Apr. Balance will be sea ship and ETA mid May. 2.AR : Please refer to next slides

14 Confidential AR volumes MY = 1216 kg p.a. or 240 tins per month! VN = 5120 kg p.a Risks = VN cuts their volumes ! Argentina Artwork

15 Confidential AR Status – No Success in Argentina or Australia Argentina No Halal Recipe – No DHA/AA, Low Vit B1 400 gm; label 24 months expiry MOQ:4800 kg or 4 years stock! Australia No Halal Recipe – No DHA/AA, Low Vit B1 900 gm, printed Insufficient capacity MOQ : 13.5 tons

16 Confidential Next Steps Do we proceed with MY ?

17 Confidential Forecast Constraint FY 2010 by Quarter  Affordable GUM activities start from Q2 – Q4  MG PIPO activities start in Q3

18 Confidential Q2 Monthly Forecast

19 Confidential CANN in Value for 2010

Confidential Agenda 1.Review Last Month Minutes 2.Unconstraint Forecast FY 2010 by Quarter 3.Supply Update 4.Production Output 5.Supply Capacity 6.Scorecard

21 Confidential Total Production Output (incl. ID Nutrilon) 1.BOS lines latest estimate volume increase by 2.3% compared with A EZY line latest estimate volume decrease by 1.8% compared with A2009 (include 117MT for Nutrilon) 3.RIF latest estimate volume increase by 8.2% compared with A Total volume in 2010 increase by 4% compared with A2009.

Confidential Agenda 1.Review Last Month Minutes 2.Unconstraint Forecast FY 2010 by Quarter 3.Supply Update 4.Production Output 5.Supply Capacity 6.Scorecard

23 Confidential Bosch Lines Capacity 1. Average capacity is 92% throughout the year. 2. Plan downtime in Apr 2010 – 6 shifts 3.Capacity load are based on the following assumptions:  Used revised OE of 68% with effective from 1 st Mar. Dugro 1.1kg

24 Confidential Can Line Capacity 1. Average capacity is 98% throughout the year. 2.Capacity load are based on the following assumptions:  Use revised OE of 45% effective from 1/Mar.

25 Confidential EZY Line Capacity (Inc. ID) 1. Average capacity is 49% throughout the year. 2. Capacity load are based on the following assumptions:  Use revised OE of 40% effective from 1 Mar  Include Indonesia Nutrilon launch of 117mt from Jul 10 to Dec 10.

Confidential Agenda 1.Review Last Month Minutes 2.Unconstraint Forecast FY 2010 by Quarter 3.Supply Update 4.Production Output 5.Supply Capacity 6.Scorecard

27 Confidential Case Fill Rate 2010 Total Distributors & Direct Key Accounts (combined)  CFR for the first two months of 2010 are above 90%, achieving 96% in Feb 2010.

28 Confidential CFR – Distributors (Malaysia / Brunei)  All distributors achieved CFR above 90%. No major OOS issues in Feb. CFR failure was due to timing. However, there is no OOS at distributors as distributors have own stock holding.  Target: 90%  YTD 2010: 94%

29 Confidential CFR – Direct Key Account  Failed 61ctn due to timing – stocks not available at the time of loading (being produced / quarantine)  Target: 95%  YTD 2010: 99%  Tesco  Carrefour  Our internal KPI for Feb’10 is at 98%. Failed 19ctn due to Timing and 27ctn due to OOS (MG2 Soya 400g)  Target: 95%  YTD 2010: 98%  Giant  63% difference between Giant KPI versus our internal KPI.  Target: 95%  YTD 2010: 93%

Confidential Scorecard -Sales

31 Confidential Remarks  Sell out have been slow in Feb 2010 :-  Festive  Price War from DL

Confidential Nilai Total Inventory 2010  Feb inventory landed with 1.8 days higher that budget mainly due MY Sales down by 4.9mil which cause FG increased by 2.2mil.

Confidential Forecast Accuracy 2010  Forecast accuracy for the month of Feb 2010 drop by 3 points due to the slow sell out & sell in. (High inventory at distributors of D1P &D3P 1kg, thus impact on the sell in – Forecast Accuracy drop by 6 points) TARGET 75%

Confidential Thank You