Company presentation 2 We bring a smile to your Munchy Moments 3 - PowerPoint PPT Presentation

Company presentation

2 We bring a smile to your Munchy Moments

3 This is Cloetta Founded by the three Cloetta brothers in 1862 • Annual sales of around SEK 5,3 billion • Leading local brands in 6 countries • Leading market positions in Sweden, Finland, Norway, • Denmark, the Netherlands and Italy 2,500 employees in 14 countries • Production at 11 factories in 6 countries • Listed on Nasdaq Stockholm. • The largest shareholders are Malfors Promotor, AMF – Försäkring och fonder and Threadneedle Investment Funds

4 Cloetta´s history Cloetta acquires Nutisal and 2014 The Jelly Bean Factory Merger between Cloetta and LEAF 2012 2009 Cloetta Fazer is separated into Cloetta and Fazer Confectionery 2007 LEAF acquires Cadbury in Italy CVC and Nordic Capital acquire CSM, which changes name to LEAF 2005 Cloetta sells Handel business area, CSM acquires Socalbe (Italy) 2001 Cloetta merges with Fazer Confectionery, CSM acquires Continental 2000 Sweets (France, Belgium, the Netherlands and the UK) 1999 CSM acquires LEAF Cloetta acquires Candelia 1998 1997 CSM acquires Malaco 1993 LEAF acquires Ahlgrens CSM acquires Red Band and Venco 1986 1917 Svenska Chokladfabriks AB (Svenfelt family) takes over majority shareholding from the Cloetta family The three Cloetta brothers from Switzerland start production in Copenhagen 1862

Strong local brands with long traditions 1836 1909 1922 1928 1936 1938 1949 1953 1965 1975 1977 1998 1878 1913 1927 1934 1937 1941 1951 1960 1970 1976 1981 2007

6 Cloetta has its 6 main markets in Western Europe Exports to more than 50 countries worldwide Main markets – countries where Cloetta has a national sales organisation. Countries where Cloetta´s products are sold mainly through distributor agreements. Share of Cloetta´s sales.

7 Net sales By country and by category

8 Nordic market leader and leading market positions Country Leading market positions in the following categories Sugar confectionery, countlines, pastilles, chocolate bags SWEDEN Pastilles, chewing gum and sugar confectionery FINLAND Pastilles and sugar confectionery NORWAY Pastilles and sugar confectionery DENMARK NETHER- Pastilles, sugar confectionery and chewing gum LANDS Seasonal products, sweetener and sugar confectionery ITALY

9 Strong presence in the main markets • Customer relations – strong commercial organisation in all main markets • Category expertise – contributes to optimised and profitable sales • Distribution – a presence in many categories and channels with a complete product portfolio creates economies of scale Cloetta´s main markets

10 Wide range in production technologies • 99,500 tonnes produced in 2014 • 11 factories in six countries • Technologies such as • chocolate moulding • mogul moulding • coating • wafer production • extrusion • hard boiled candy manufacturing • toffee manufacturing Dublin • compressing of pastilles • nougat moulding • manufacturing of sweeteners • dry roasting of nuts

11 Group management President and CEO Bengt Baron CFO HR Danko Maras Regina Ekström Corporate CMO Communications & IR Erwin Segers Jacob Broberg Corporate Development/M&A Johnny Engman Production/Purchasing Scandinavia Finland Middle Italy/Rest of the World Jacqueline Lars Påhlson David Nuutinen Ewald Frénay Giorgio Boggero Hoogerbrugge

Mission To bring a smile to your

Munchy Moments is our territory! Foto: Joakim Folke och www.fotoakuten.se

14 Chocolate • Cloetta has a leading position in Sweden with the brands Kexchoklad , Polly , Center and Plopp • Strong local position in Finland with the brands Tupla , Royal, Polly and Center • Popular brands in Norway are Center, Sportlunch and Bridge • The leader in Christmas seasonal products in Italy with Sperlari

15 Sugar confectionery Confectionery • In Norway, Finland, Sweden and Denmark, Cloetta has harmonised its leading brand Malaco and in the Netherlands and Belgium the brand Red Band • Additional strong brands include Ahlgrens bilar , Venco, Galatine, Chewits, Juleskum and The Jelly Bean Factory • The Italian brand Dietorelle was the first sugar-free candy Seasonal products and Sweeteners • Strong local position in Italy with the brands Sperlari and Dietor

16 Pastilles and chewing gum Pastilles • The company ’ s largest brand Läkerol is more than 100 years old • Other leading brands are Mynthon , King and Saila Chewing gum • Cloetta is a leader in Finland with the brand Jenkki and has a leading position in the Netherlands and Belgium with Sportlife and Xylifresh • Cloetta has paved the way for the use of xylitol

17 Nuts • In January 2014 Cloetta acquired Nutisal, a leading Swedish producer of dry roasted nuts. • The acquisition is in line with Cloetta’s strategy to broaden its product portfolio within Munchy Moments. • Nutisals nuts are dry roasted through the use of unique knowledge and technology. The dry roasting highlights the "true" taste of the nuts and give the products a unique crunchiness. • The Swedish market accounts for about half of sales, but Nutisal is also sold in Denmark, Norway, Finland, Germany and the Benelux countries.

18 Our key strategies Focus on Focus on Focus on margin expansion cost-efficiency employee development and volume growth • • • Strong brands with Improve internal processes Develop Cloetta´s local traditions. and systems. culture based on the • • Strong position in the Improve cost-efficiency results of the employee survey ” Great Place to Nordic market. though the closure of • work ”. Widen and expand the factories. • • product portfolio Implement a programme for Attract, develop and geographically. continuous improvement. retain competent • • Launch and acquire Increase breadth in employees. • new products and production technology to Develop teamwork with brands. create flexibility in product the help of the • Strategic pricing. development. leadership tool “Management Drives”.

19 Long-term financial targets • Organic sales growth The long-term target is to increase organic sales at least in line with market growth. • EBIT margin The target is an underlying EBIT margin of at least 14 per cent. • Net debt The long-term target is a net debt /EBITDA ratio of around 2.5x. • Dividend policy The long-term intention is a dividend payout of 40-60 per cent of profit after tax.

20 Core values Focus Passion Teamplay Pride

21 Vision To be the most admired satisfier of Mission To bring a smile to your