1. Best in France Case Study : Campbell France SAS 1 Campbell France SAS Best in France Case Study Martin DESTAGNOL Jean-François GAUCHE Ambroise STAGNARA Guillaume THIEBAULT Sébastien VILLAUME

2. Best in France Case Study : Campbell France SAS 2 1 1. Campbell France Overview 2. The French Business 3. Implantation in France 4. Interactions with Campbell Soup 5. Conclusion

3. Best in France Case Study : Campbell France SAS 3 1-1 Campbell France Overview : Facts & Figures  Campbell Soup World Leader on the soup market Sold in 120 countries 24’000 employees worldwide $6,7Bn US turnover in 2003  Campbell France French Subsidiary 530 employees Liebig, Royco & Lesieur (dressing)

4. Best in France Case Study : Campbell France SAS 4 1-2 Campbell France Overview : History  1997 Birth of Campbell France Liebig / Delacre takeover to Danone  1998 Delacre transfer to United Biscuits  2001 Royco and Lesieur takeover

5. Best in France Case Study : Campbell France SAS 5 1-3 Campbell France Overview : Implantation Grande Synthe - Factory Executives - Production - Maintenance - Cost control - R&D Boulogne Billancourt - Board - Finance - Marketing - Commercial - Information Systems - Customer Service - Procurement - Sales Forecast Le Pontet - Factory Executives - Production - Maintenance - Cost control - R&D - Quality - HR Monteux - Despatch - Warehouse

6. Best in France Case Study : Campbell France SAS 6 2 1. Campbell France Overview 2. The French Business 3. Implantation in France 4. Interactions with Campbell Soup 5. Conclusion

7. Best in France Case Study : Campbell France SAS 7 2-1 The French Business : Market  Retailers Hegemony Discounters development is delayed Retailer’s and first-price brands are underdeveloped  Consumer specificities French people prefer liquid soup No market for canned and frozen soup Immature market : high potential growth

8. Best in France Case Study : Campbell France SAS 8 2-2 The French Business : Products  Localized brands Products distributed only in France Marginal foreign industrial market sales for no-name products  Innovation as a key factor 12% of French turnover with yearly products New recipes developed by “Grand Chef”

9. Best in France Case Study : Campbell France SAS 9 3 1. Campbell France Overview 2. The French Business 3. Implantation in France 4. Interactions with Campbell Soup 5. Conclusion

10. Best in France Case Study : Campbell France SAS 10 3-1 Implantation in France : Group Strategy  Corporate decision to settle in Europe Reduce business risks linked to highly concentrated activity in the US Important potential of growth in Europe France seen as part of the European market, not as a strategic area  Implantation through takeovers Products ill-adapted to the French market Liquid soup technology not mastered

11. Best in France Case Study : Campbell France SAS 11 3-2 Implantation in France : Values  No incompatibility between French & Group values  Slight differences in standards… France  Entrepreneurship  Creativity  Enthusiasm  Open-minded Group  Analytical  Profit-minded  Discipline  … but same values : “Passion for food”, “Winning team”, “Passion for growth”

12. Best in France Case Study : Campbell France SAS 12 3-3 Implantation in France : Management  Massive recruitment after takeovers Eased change management for Group values integration Adaptation to French values with local recruitment (vs. US recruitment)  Team building through 2 major challenges The millennium bug New bottled soup project : a 10-month breakthrough

13. Best in France Case Study : Campbell France SAS 13 4 1. Campbell France Overview 2. The French Business 3. Implantation in France 4. Interactions with the Group 5. Conclusion

14. Best in France Case Study : Campbell France SAS 14 4-1 Interactions with Campbell Soup : France - US  France integrated in a European board located in Paris  Large autonomy of country subsidiaries as long as objectives are achieved Headquarter International Europe… FranceUK…

15. Best in France Case Study : Campbell France SAS 15 4-1 Interactions with Campbell Soup : France - EU  No competition between European subsidiaries  France as a pioneer in the European development  Europeanization offers great opportunities Converging standards European-wide supply …

16. Best in France Case Study : Campbell France SAS 16 5 1. Campbell France Overview 2. The French Business 3. Implantation in France 4. Interactions with the Group 5. Conclusion

17. Best in France Case Study : Campbell France SAS 17 5 - Conclusion  Global portfolio strategy No cultural cost/opportunity analysis for France, the market size is a justification per se Implantation through takeovers  Successful integration No contradiction between French and Group values Large autonomy of the French subsidiary, thanks to good performances  Europe as a new deal? Any European market convergence will be driven by consumers, not companies

18. Best in France Case Study : Campbell France SAS 18 We thank… We thank :  Jean-Luc PARDESSUS PDG of Campbell France Tel : 01 55 19 48 00 Mail : jean-luc_pardessus@campbellsoup.comjean-luc_pardessus@campbellsoup.com  Vincent Brena Industrial market and retailer brand Director (Directeur des marchés industriels et Marques de Distributeurs) Tel : 01 55 19 48 00 Mail : vincent_brena@campbellsoup.comvincent_brena@campbellsoup.com

19. Best in France Case Study : Campbell France SAS 19 Thank you for your attention