1. Corporate presentation
KSG Agro
Corporate presentation
November 2016

2. Content KSG Agro: Executive summary 2 KSG Agro: KSG Agro: Land bank 3
KSG Agro: Operating segments 4
KSG Agro: Currencies structure of Revenue and CoS 5
Farming: Crop production & sales 6
Pig breeding : Development in progress
7-8
Pig breeding : facts 9
Food processing: Own meat processing plant 10
Fuel pellet & energy production: facts 11
KSG Agro: Debt structure as at 30 Sep 2016 12

3. KSG Agro: Executive Summary
Revenue for 9m 2016 comprised USD 15.1 million. That constituted y-o-y increase by USD 4.7 million or by 45%.
Profit attributable to Owners of the Company for 9m 2016 comprised USD 1.9 million compared y-o-y loss by USD (1.4) million.
Positive operating cash-flow in the amount USD 2.2 million was directed for continued investment to the pig breeding and energy production programs.
For the first 9 months of 2016, KSG Agro share in exports of live pigs from Ukraine amounted to 26%.
The Company continued its program of introducing biomass heat boilers in Dnepropetrovsk region, increasing the installation amount of heat production from 3000 kW to 3450 kW or by 15%.
The Company has not made revaluation of fixed assets, which are formally impaired due to exchange rate differences. This explains why capital of the Company is negative.
The Group farming companies operating about 33 thousand ha in Dnipro and Kharkiv regions. Annexed 28 thousand ha Crimea land out of control.
Financial results for 9 m 2016 (USD m)
Source: The Group’s management accounts for the 9 moths ended 30 Sep 2016

4. KSG Agro: Land bank 2 31 28 33
Land bank controlled by KSG Agro, thousand ha

5. KSG Agro: Operating segments
Source: The Group’s management accounts for the 9 moths ended 30 Sep 2016

6. KSG Agro: Currencies structure of Revenue and CoS
Source: The Group’s management accounts for the 9 moths ended 30 Sep 2016
Cost of Sales (CoS) is a Incurred costs (note 14)

7. Farming: Crop production & sales
Crop rotation, ths hectares
Crops production, ths tons
2017*
2016
2015
Sunflower
16.2
15.5
10.7
Wheat
7.8
6.6
7.5
Barley
2.3
2.7
3.5
Corn
0.8
0.4
0.6
Rapeseed
0.1
1.0
Other (include fallow land)
5.4
9.8
Total
33.1
2016
2015
Sunflower
20.8
21.0
Wheat
17.5
19.4
Barley
6.1
5.9
Corn **
0.5
2.4
Rapeseed
0.2
1.9
Other (rye, triticale, lucerne, silage)
5.1
0.9
Total
51.2
51.5
Main external Crops sales
Yields, tons per hectares
9m 2016
9m 2015 %
Sunflower
Sales, USD mln
3.7
1.8
106%
Sales, thousands tons
11.8
6.7
76%
Average price, USD/ton
312
275
13%
Wheat
1.6
0.5
220%
12.5
4.2
198%
126
113
11%
Winter crops –fact as 7 Nov 2016, another crops – plan for 2017
** in the 2016 only 138 ha corn for grain, another corn for silage

8. Pig breeding : Development in progress
The Group continues operating and reconstructing of big breeding complex with total production capacity of 240 thousand hogs per annum (8,400 sows).
Apr 2013 – first sows placed into two reconstructed buildings
Aug 2013 – around 4,500 sows were delivered to the complex (first line)
Dec 2013 – finalization of reconstruction of next 12 buildings (first line of nursery)
Jan 2014 – start of sales
Aug-Dec 2014 – finalization of reconstruction of one nursery building and eight finishers buildings
Phase 1 completed
Dec 2015 – finalization of reconstruction of one finishers buildings
Mar 2016 – finalization of reconstruction of one finishers buildings
Jun started export sales of live pigs to Georgia
Jul – finalization of reconstruction of one finishers buildings
For the first 9 months of 2016, KSG Agro share in exports of live pigs from Ukraine amounted to 26%.
Dec 2016 – deadline of reconstruction of one finishers buildings

9. Pig breeding : Development in progress
Phase 2 – in progress
Phase 2 - completed

10. Pig breeding : facts Pigs and piglets 9 m 2016 9 m 2015 %
Total Sales, USD mln
6,12
5,83 5%
Total Sales, tons
6 714
5 509
22%
Total price USD/kg
0,91
1,05
(13%)
Related Sales, USD mln
2,25
1,50
50%
Related Sales, tons
2 419
1 304
85%
Related price USD/kg
0,93
1,15
(19%)
Ext. Sales, USD mln
3,87
4,33
(11%)
Ext. Sales, tons
4 295
4 205 2%
Ext. price USD/kg
0,90
1,03
(13%)

11. Food processing: Own meat processing plant
Revenue for 9m 2016 comprised USD 3.1 million. That constituted y-o-y increase by USD 1.3 million or by 72%.
Segment profit for 9m 2016 equaled to USD 0.6 million, or 2 times more than for 9 m 2015.
Own processing reduces dependence on price volatility
Ukrainian meat market has a great growth potential
 Meat processing segment (USD M)
9m 2016
9m 2015
2015
2014
Revenue
3.1
1.8
2.8
1.5
Cost of sales
(2.5)
(1.5)
(2.4)
(1.4)
Segment profit
0.6
0.3
0.4
0.1
* Estimation for 2016

12. Fuel pellet & energy production: facts
Granules or pellets are a modern form of solid biofuels, which allow to fully automate the flow of fuel in boilers and optimize logistics significantly.
The pellet cost structure
An operating pellet plant with a capacity of 2,400 tons a year in the village of Niva Trudovaya
KSG Agro operates 3 modular boiler houses, each 1 MW, for heating pig-breeding business, using Grandeg (2 * 0.5) boilers
In May 2016, a steam generator boiler was installed on pig feed mill business with a capacity of 0.5 MW
In October 2016 the boiler in the village secondary school was commissioned with a capacity of 0.45 MW
In December 2016, we will commission a modular boiler house at the mall in Dnepropetrovsk with a capacity of 0.8 MW
The Group has renewed plans to increase the volume of production of fuel pellets and produced thermal energy.
This program acquires greater relevance in a view of the continued growth of the coal cost, because the majority of boiler houses in the rural areas coal fueled.
Cost item
UAH/ton
% in cost
Raw materials
740
60%
Electric energy
217
17%
Salaries
115
9 %
Maintenance 72 6%
Depreciation
Other 24 2%
TOTAL
1240
100 %
Gigacalorie cost structure
Cost item
UAH / GCal
% in cost
Pellets
423
67%
Depreciation
131
20%
Salaries 32
5 %
Other 34 5%
Rent of premises 18 3%
TOTAL
638
100 %

13. KSG Agro: Debt structure as at 30 Sep 2016
Bank / Creditor
Currency
Year of Maturity
2015
Amount,
USD m
9 m 2016
To Be Repaid
in 2016,
in 2017,
in 2018,
Credit Agricole
USD
2021
3,4
3,5
0,3
0,5
0,6
LBBW
EUR
2025
9,2
9,6 -
Credit Dnepr
UAH
4,9
4,5
0,9
1,1
KSG Bank
2026
2,4
2,3
Pivdennyi
2016
1,3
Ukrsotsbank
UAH,USD
2014
0,7
Big Ducthman
4,6
US Exim
3,0
3,1
0,2
ICD Investments
12,6
13,3
Other
3,6
0,4
Total
45,7
46,1
2,9
3,2
23%
31%