2. National Meat Case Study 2010 Overview

3. 2 2010 NMCS Research All Rights Reserved National Meat Case Study Objectives To take a comprehensive look at the U.S. fresh meat case. Build science-based trend analysis over time. Identify changes in today’s meat case. Reveal areas of opportunities. To supplement other industry research.

4. 3 2010 NMCS Research All Rights Reserved 2010 National Meat Case Study Methodology Audit Team Texas Tech University, Cryovac, National Pork Board, National Cattleman’s Beef Association Sample Major Supermarket Chains All continental US geographic areas Northeast, Southeast, Midwest, Mountain and West Coast. 72% repeated 2007 Study Supermarkets. Scope Physical Count of all Beef, Pork, Veal, Chicken, Turkey, and Lamb, including Sausage, Heat & Serve, and Value-Added. Self-Service & Full Service Linear Feet Counting and Description of SKUs for the Portion of the Meat Case Where Packages Were Not Counted. Merchandising Practices and Point-of- Purchase Materials. Procedures Data gathered in first quarter 2010. Visited supermarkets at various times of day and each day of the week. Goal. To be representative of major supermarket chains and major metro markets.

5. 4 2010 NMCS Research All Rights Reserved Macro Information (New Information in Red)

6. 5 2010 NMCS Research All Rights Reserved Micro Information (New Information in Red) * Deleted from 2010 Study

7. The Audits Yielded Large Package Counts to Draw Conclusions Both Comparable and Total Samples Will Be Used in Analysis Comparable Samples, used for Trend Analysis, are based on the 2002 Sample which excluded Heat and Serve, Smoked Offal, Corned Beef, and Sausage. 6 2010 NMCS Research All Rights Reserved 6

8. Pork Packages Declined Both in Supermarkets and Club Stores Percent of Packages 7 2010 NMCS Research All Rights Reserved

9. Pork Pounds Declined Both in Supermarkets and Club Stores Percent of Pounds 8 2010 NMCS Research All Rights Reserved 8

10. 9 Self-Service Non-Fresh Meat Linear Feet Gained Share in 2010 Percent of Linear Feet  Fresh Meat: Beef, Pork, Lamb, Veal, Chicken, Turkey and Other.  Non-Fresh Meat: Processed, Sausage, Ham, Seafood, Heat & Serve, Value-Added and Non-Meat. 2010 NMCS Research All Rights Reserved

11. 10 Ground Beef Gained Share in Linear Feet in Fresh Meat Percent of Linear Feet Beef (Whole Muscle) and Ground Beef Combined in 2002. 2010 NMCS Research All Rights Reserved

12. 11 Higher Shares in Linear Feet for Seafood, Value-Added, Other Processed, and Ham Percent of Linear Feet Sausage and Ham: These were included in the “Other Processed” Category in 2002. 2010 NMCS Research All Rights Reserved

13. National Meat Case Study 2010 Pork Module

14. Pork Categories Shifted Significantly Percent of Packages The analysis excludes Sausage, Heat & Serve and Smoked Offal. Smoked Chops are included. Gainers: Roasts, Ribs, Steaks, and Ground Pork Losers: Chops, Tenderloins, Offal, and Miscellaneous 13 2010 NMCS Research All Rights Reserved

15. Pork Nutritional Information Percent of Packages 2002200420072010% Point Change Chops26%34%40%38%-2% Roasts50%60%65%70%+5% Ribs31%34%41%46%+5% Tenderloins75%78%90%89%-1% Steak28%19%31% NC Ground Pork50%73%71%80%+9% Subprimal38%41%61%68%+7% Ingredient29%31% 45%+14% Offal9% 19%9%-10% Total32%41%53% NC 14 2010 NMCS Research All Rights Reserved

16. Pork Cooking Information Percent of Packages 2002200420072010% Point Change Chops32%38%32%37%+5% Roasts57%63%65%71%+6% Ribs41%42%37%45%+7% Tenderloins73%74%83%76%-7% Steak42%26%16%23%+7% Ground Pork25%24%20%34%+14% Subprimal49%48%44%51%+7% Ingredient30%28%25%34%+9% Offal7%3%11%17%+6% Total40%43%42%47%+5% 15 2010 NMCS Research All Rights Reserved

17. Supermarkets Displayed Supplier Branded Pork Less Frequently in 2010 Store Branding Was a Larger Factor Percent of Packages 16 2010 NMCS Research All Rights Reserved

18. Supplier Brand Declined in the Pork Chop and Rib Categories Percent of Packages 17 2010 NMCS Research All Rights Reserved

19. Supplier and Store Brand of Pork Roasts and Tenderloins Changed Less Percent of Packages 18 2010 NMCS Research All Rights Reserved

20. Store Brand Increased in the Pork Steak Category Ground Pork Category Had an Increase in Supplier Brand Percent of Packages 19 2010 NMCS Research All Rights Reserved

21. Enhanced Pork Package Counts Declined Percent of Packages Enhanced was defined as Moisture Added Product with or without flavor. 20 2010 NMCS Research All Rights Reserved

22. Enhanced Pork Chop Package Counts Declined Enhanced Pork Roasts Were Stable Percent of Packages Enhanced was defined as Moisture Added Product with or without flavor. 21 2010 NMCS Research All Rights Reserved

23. Enhanced Pork Tenderloin and Rib Package Counts Declined Percent of Packages Enhanced was defined as Moisture Added Product with or without flavor. 22 2010 NMCS Research All Rights Reserved

24. Enhanced Pork Steaks and Ground Pork Percent of Packages Enhanced was defined as Moisture Added Product with or without flavor. 23 2010 NMCS Research All Rights Reserved

25. “Minimally Processed” Was the Leading Production Claim One or More of These Claims Were Made on 14% of Pork Packages 24 2010 NMCS Research All Rights Reserved New Question in 2010.

26. Pork Exact Weight Packaging Remained Stable from 2007 Study Percent of Packages 2004 is the baseline data set. 25 2010 NMCS Research All Rights Reserved

27. Exact Weight Roast and Ground Pork Increased Share Chops, Tenderloins and Ribs Maintained Share Percent of Packages 2004 is the baseline data set. 26 2010 NMCS Research All Rights Reserved

28. 27 Case Ready Pork Increased Slightly Percent of Packages Case Ready was defined as any product with an establishment number.

29. 2010 NMCS Research All Rights Reserved 28 Case Ready Increased in Pork Chops and Roasts Percent of Packages Case Ready was defined as any product with an establishment number.

30. 2010 NMCS Research All Rights Reserved 29 Case Ready Increased in Ribs, Steak, Ground Pork and Ingredient Percent of Packages Case Ready was defined as any product with an establishment number.