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Cp indicator

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Cp indicator

  1. 1. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Table of contents Charoen Pokphand Foods Plc. 1
  2. 2. Section 1
  3. 3. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ] Section 1: Transaction Summary “BUYER” “THE TARGET” “SELLER” CPG and CPG and Related Parties1) Related Parties1) 42.15% 100% 100% C.P. Pokphand Co.,Ltd OSIL3) WAT4) CPF Group2) 74.18% “CPP” (HKSE:43) 74.18% 68.32% 1.90% CPI Holding Co., Ltd 3.96% Total Consideration US$ 2,174 mm (THB 66,307 mm) The diluted outstanding Equity (31.4%) US$ 683 mm (THB 20,832 mm) shares post-transaction Cash (68.6%) US$ 1,491 mm (THB 45,475 mm) 7,743 million from 7,520 million Consideration per share CPP HKD 0.90 – Market Cap US$ 2,931 mm. (THB 89,396 mm) CPF THB 30.00 – Market Cap US$ 7,397 mm. (THB 225,609 mm)Note: 1) Charoen Pokphand Group Company Limited and its related parties (“CPG and Related Parties”) excluding Charoen Pokphand Foods Public Company Limited2) Charoen Pokphand Food Public Company Limited and/or its subsidiaries (“CPF Group”)3) Orient Success International Limited (“OSIL”)4) Worth Access Trading Limited (“WAT”)5) % represents percent holding as of Oct 11, 20116) USD 1 = HKD 7.78, USD 1 = THB 30.5 Charoen Pokphand Foods Plc. 3
  4. 4. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 1: Transaction - Organization Structure Pre & Post Pre – Transaction1),2) Post - Transaction1) CPG and Public CPG and Related Parties3) Public CPIH4) Public Related Parties3) 50.10% 49.90% 42.15% 70.22% 3.96% CPF 57.85% 25.82% CPP 74.18% CPF HK: 0043 CPP 29.18% 70.82% HK: 0043 70.82% CPV - VIETNAM 29.18% CPV - VIETNAMNote: 1) Simplified organizational structure for presentation purposes2) Organizational Structure as of October 11, 20113) Charoen Pokphand Group Company Limited and its related parties (“CPG and Related Parties”) excluding Charoen Pokphand Foods Public Company Limited4) CPI Holding Co., Ltd (“CPIH”) Charoen Pokphand Foods Plc. 4
  5. 5. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 1: The Target in Brief Business Structure C.P. Pokphand Co.,Ltd “CPP” (HKSE: 43) 100% 70.82%1) CHINA VIETNAM Charoen Pokphand Vietnam (“CPV”) Agri - Business Agri & Aqua Businesses Other Business Feed Feed – Farm - Food “Market leader in feed” • Chlortetracycline (CTC) “Market leader in agri-food”Feed Business • Feed Business: No. 1 player in the • Industrial• No. 2 largest feed player in – Motorcycle livestock feed and shrimp feed with China by sales volume – Caterpillar Machinery 7 feed mills throughout Vietnam Dealership• Recognized brand “Chia Tai” – Automotive Accessories • Farm Business: No. 1 player in with 30 yrs track record commercial farming of poultry and• 78 feedmills across 28 provinces swine in Vietnam and municipalities • Food Business: Growing player in Vietnam marketNote: 1) The acquisition of CPV was completed as of July 29, 2011 Charoen Pokphand Foods Plc. 5
  6. 6. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 1: Transaction Rationale Enter high-growth potential markets : China and Vietnam High population: China 1,341 million people, Vietnam 88 million people High economic growth High potential for consumption growth Opportunities in feed, farm and food − Modernize feed and farm industry − Food security concern Gain controlling interests of the leading players CPP is the No.2 feed player in China (by volume) CPV is the No.1 in commercial feed and farm player in Vietnam (by market share) Enhance the globalization covering 12 countries of over 3,000 million people Diversification in revenue Leverage economies of scale Synergize of competencies Charoen Pokphand Foods Plc. 6
  7. 7. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 1: Post -Transaction Operation Structure CPF + CPP – Post Transaction CPF (Consolidated) CPF THAILAND CPP CHINA HK:43 CPF INVESTMENT Associate Companies (74.18%) (Overseas) Domestic CPV (Vietnam) (70.82%) Turkey (100%) CPV (Vietnam) (29.18%) India (100%) SET: CP ALL (31.25%) Export Post Transaction2) TW:1215 CPE(Taiwan) (32%) Malaysia (100%) CPH (Malaysia) (50%) UK (52%) CP Aqua (India) (32%) Laos (99.61%) CP Cambodia (25%) China (100%) CP Insurance (24%) Arbor (50%) Russia (99.99%) Ross (50%) Philippines (100%) Nava84 (25%)Note: 1) % represent percent holding only2) CPF will indirectly own 81.71% of CPV (Vietnam) post-transaction. Charoen Pokphand Foods Plc. 7
  8. 8. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 1: Post - Transaction CPF PositioningPost transaction........Post Transaction……………… CPF will be, UK Russia • Top ranked listed livestock and aquaculture company in Asia-Pacific (by market cap) Lao China • One of the leaders in animal Taiwan feed in the world (by volume) Turkey Vietnam • One of the most fully integrated and diversified Philippines agro-industrial companies in India Asia-Pacific Thailand Cambodia • The World leader of integrated shrimp business Malaysia • The globalized company with operation in 12 countries populations covered >3,000 million people Charoen Pokphand Foods Plc. 8
  9. 9. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 1: Pre & Post Transaction Revenue Structure 2010 Revenue Structure by Operation CPF at present As if CPF + CPP + CPV (2010 Total sale US$ 6.2 billion (2010 Combined sale US$ 9.2 billion Or THB 189,049 million) Or THB 280,465 million) Overseas 26% 13% +48% 51% Export 9% 61% Thailand 40% 2010 Revenue Structure by Product CPF at present As if CPF + CPP + CPV (2010 Total sale US$ 6.2 billion (2010 Combined sale US$ 9.2 billion Or THB 189,049 million) Or THB 280,465 million) Food 13% 18% +48% 33% Farm 44% Feed 37% 54% Note: 1) USD 1 = HKD 7.78, USD 1 = THB 30.5 Charoen Pokphand Foods Plc. 9
  10. 10. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ] Section 1: 1H2011 Pro-Forma Financial Highlights2), 3) 1H2011 Revenue (US$ Million) 1H2011 Gross Profit (US$ Million) and Gross Profit % US$ Million US$ Million +52% GM% +57% (Bt 155 bn) 6,000 900 17.2% (Bt 26 bn) 17.5% 5,084 800 17.0% 700 16.7% 16% 16.5% 4,000 3,245 (Bt 99 bn) 600 500 16.0% 400 15% 850 15.5% 2,000 1,191 300 559 15.0% 648 200 100 14.5% 192 99 0 0 14.0% CPF CPP CPV Pro Forma CPF CPP CPV Pro Forma 1H2011 EBITDA (US$ Million) and EBITDA % 1H2011 Net Profit (US$ Million) and Net Profit % 4) US$ Million US$ Million +61% +25% 800 24% 25% 11% 400 12% (Bt 21 bn) 700 350 (Bt 10 bn) 20% 8% 10% 600 300 14% 500 702 15% 250 8% 14% 5% 7% 400 9% 200 6% 300 10% 150 342 274 (Bt 8 bn) 4% 200 438 (Bt 13 bn) 100 5% 100 2% 154 50 110 64 71 0 0% 0 0% CPF CPP CPV Pro Forma CPF CPP CPV Pro FormaNote: 1) USD 1 = HKD 7.78, USD 1 = THB 30.5 2) Pro Forma calculation based on 74.18% holding in CPP and 81.71% holding in CPV3) Pro Forma calculation based on management’s estimation Charoen Pokphand Foods Plc.4) Pro Forma adjusted net profit deducted the interests effect of the transaction assuming 5% interest rate 10
  11. 11. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 1: 1H2011 Pro-Forma Financial Highlights 1H2011 EPS USD/Share, EPS THB/Share2) 1H2011Interest Bearing Debt (US$ Million) 3) US$ Million USD THB +13% +122% 3,534 4,000 1.42 1.60 1.25 3,000 1.40 1.20 1,592 1.00 2,000 0.80 0.60 0.04 0.05 1,000 288 363 0.40 0.20 0.00 0 CPF Pro Forma CPF CPP CPV Pro Forma 1H2011 Total Equity (US$ Million) 3) 1H2011 Net Debt to Equity Ratio (Times) 3)US$ Million +54% Times4,000 1.23 3,194 1.40 1.20 1.043,000 1.00 2,083 0.80 0.612,000 0.60 0.32 593 0.401,000 289 0.20 0 0.00 CPF CPP CPV Pro Forma CPF CPP CPV Pro FormaNote: 1) USD 1 = HKD 7.78, USD 1 = THB 30.52) Pro Forma calculation based on 74.18% holding in CPP and 81.71% holding in CPV Charoen Pokphand Foods Plc.3) The compilation of the Pro Forma statement of financial position is reviewed by KPMG 11
  12. 12. Section 2
  13. 13. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ] Section 2: Determining the transaction terms Transaction prices were determined with reference to 60-day and 180-day volume-weighted average price (“VWAP”) due to recent market volatility. Purchase price of HK$0.9 per CPP share is equivalent to the acquisition price of CPP Vietnam in July 2011. CPP (43.HK) 60-day VWAP : HK$0.82 CPF (CPF.BKK) 60-day VWAP : THB 30.57 1.20 70,000 35 140,000 180-day VWAP: HK$0.88 180-day VWAP: THB 29.47 60,000 30 120,000 1.00 50,000 25 100,000 0.80 Volume (000 shares) Volume (000 shares)Share price (HK$) Share price (THB) 40,000 20 80,000 0.60 30,000 15 60,000 0.40 20,000 10 40,000 0.20 10,000 5 20,000 0.00 0 0 0 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Daily traded volume ( 000) CPP HSI Daily traded volume ( 000) CPF SET Acquisition price was set at HK$0.9 per share of CPP Share issue price was set at THB30.00 per share of CPF Source: Bloomberg, Share price data as of 26-Sep-11 Charoen Pokphand Foods Plc. 13
  14. 14. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 2: Valuation Consideration - CPPAcquisition price of HK$0.9 per share was determined with reference to 60-day (HK$0.82) and 180-day(HK$0.88) volume-weighted average price (“VWAP”) due to recent market volatility.HK$0.9 per CPP share implies,LTM P/E of CPP 11.83x Comps: 12.1x – 30.3x Acquiring a majority stake in a listed company in Hong Kong on averageLTM P/B of CPP has a control premium of 46% (data from 2000 to 2011) 3.94x Comps: 3.2x – 4.7xLTM EV/EBITDA of CPP 7.80x Comps: 10.9x – 18.6xNotes:1) LTM numbers of CPP includes CPV business2) Purchase price of HK$0.9 per share is equivalent to the acquisition price of CPV in July 20113) 60-day and 180-day VWAP as of 26 Sep 2011 Charoen Pokphand Foods Plc. 14
  15. 15. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 2: Indicative timetable Extraordinary Book Closure General Meeting (“EGM”) 2011 21 Dec 2012 18 Jan November December January 25 Nov Board of Director’s Approval of the Transaction Charoen Pokphand Foods Plc. 15
  16. 16. Section 3
  17. 17. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 3: The Target CPP - Corporate in Brief Position CPP is China’s leading and respected livestock and aquaculture feed developer and producer • 2nd largest feed player by sales volume 正大) 正大 • Premium brand : “Chia Tai” (正大 brand, a well established with 30 yr. track record in China • Largest distribution network: 28 provinces / municipalities; 24,000 exclusive agents1) Highlights 1H2011 Revenue Structure by Business • Vision: To play the leading role in Others, developing and producing high quality 5% feed solutions • Current Market Cap: US$ 2.9 billion as of Feed Nov 24,11 , 95% 1H2011 Revenue: US$ 1.2 billion http://www.cpp.hk/en/home/main.do?method=homeNote: 1) Information as of December 31, 2010 Charoen Pokphand Foods Plc. 2) USD 1 = HKD 7.78, USD 1 = THB 30.5 17
  18. 18. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 3: China Market Outlook China Number of Populations 1,341.4 (Million) 2011E GDP Growth 9.5% %Y-O-Y GDP per Rising income, growing population, and increased urbanization lead to increasing animal Capita protein consumption $ US per capita 2010 – 2015E CAGR = 12.0% 7,713 8,000 6,986 6,323 5,716 6,000 5,184 4,382 4,000 2,000 0 2010 2011E 2012E 2013E 2014E 2015ESource: International Monetary Fund Charoen Pokphand Foods Plc. 18
  19. 19. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 3: China Market Outlook China Poultry 2011 Poultry Consumption Per Capita (kg) 2011-2020 Estimated Poultry Consumption 43.3 Consumption Per Capita (kg) in China + 20.6% 11.7 12.0 10.1 10.3 10.7 9.7 10.0 17.5 8.0 12.9 6.0 9.7 4.0 2.0 0.0 China Thailand US EU 2011E 2012E 2013E 2015E 2020E Pork 2011 Pork Consumption Per Capita (kg) 2011-2020 Estimated Pork Consumption 40.9 Consumption Per Capita (kg) in China 38.2 + 25.1% 47.8 26.0 50.0 40.3 42.6 38.2 39.3 40.0 30.0 10.0 20.0 10.0 0.0 China Thailand US EU 2011E 2012E 2013E 2015E 2020ESource: The Food and Agricultural Policy Research Institute (“FAPRI”) 2011 Charoen Pokphand Foods Plc. 19
  20. 20. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 3: China Market Outlook ChinaFeed and Government’s efforts to modernize the feed industry and to raise efficiency and safetyFood Safety standards, thus, feed producers and scaled farms require higher feed quality.Awareness Feed Volume 2009 – 2015E CAGR = 6.3% (mm Tons) 201 156 167 139 Increasing penetration 48% rate of 38% commercial feed 2009 2010 2012E 2015EIndustry Market consolidation and increasing proportion of scaled farms lead to more demand forConsolidation commercial feed products. Feed Volume Number of China Commercial Feed Producer (mm Tons) 137 139 15,376 123 13,612 111 12,291 11,000 Top 10 Players 24% 29% Market Share 2007 2008 2009 2010 2006 2007 2008 2009Source: China and Vietnam Feed Industry Statistics, Rabobank, 2010 Charoen Pokphand Foods Plc. 20
  21. 21. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 3: CPP – Financials Highlights Total Revenue US$ MillionRevenue Developments US$ Million Feed Others 1,951 2,000 + 63.3% •1 Since feed business Feed 1 business 1,191 acquisition, total revenue 1,500 injection increased significantly in 729 1,000 2010 2 95% 500 64 74 • Majority (~ 95%) of revenue 2 is attributed to the feed 0 business in 1H2011 2008 2009 2010 1H2010 1H2011 Gross Profit (US$ Million) and Gross Profit % US$ Million Feed Others GM% 3 GM%Gross Profit Developments 350 15.7% 16.2% 18.0% 15.9% •3 Gross margin continues to 300 16.0% 12.8% increase over the years 250 14.0% + 68.4% 12.0% 9.4% 200 10.0% 150 310 8.0% 6.0% 100 4.0% 50 6 10 114 192 2.0% 0 0.0% 2008 2009 2010 1H2010 1H2011 Note: USD 1 = HKD 7.78, USD 1 = THB 30.5 Charoen Pokphand Foods Plc. 21
  22. 22. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 3: CPP – Financials Highlights Capital Expenditure EBITDA (US$ Million) US$ MillionUS$ Million 34 250.0 218 35.0 30.0 200.0 25.0 22 150.0 110 20.0 11 83 15.0 100.0 10.0 2 2 50.0 14 15 5.0 0.0 0.0 2008 2009 2010 1H 2010 1H2011 2008 2009 2010 1H 2010 1H2011 Net Profit (US$ Million) and Net Profit % Interest Bearing Debt and Net D/E (Times) US$ Million NP % US$ Million 140 133 14.0% 450 427 0.70 11.6% 120 12.0% 400 0.59 0.60 350 100 10.0% 288 0.50 300 80 7.0% 8.0% 240 0.40 64 250 6.8% 0.32 0.30 60 4.6% 6.0% 200 51 5.4% 0.18 150 40 4.0% 0.20 100 20 3 9 2.0% 50 18 0.05 10 0.10 0 0.0% 0.03 0 0.00 2008 2009 2010 1H 2010 1H2011 2008 2009 2010 1H 2010 1H2011 Note: USD 1 = HKD 7.78, USD 1 = THB 30.5 Charoen Pokphand Foods Plc. 22
  23. 23. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 3: CPV - Corporate in Brief Position C.P. Vietnam Corporation (“CPV”) is a vertically integrated agri-business and food company in Vietnam. • The “market leader” in commercial feed production and commercial farming • Fully integrated business, from feed production, breeding, farming, processing and branded food sale • One of the largest distribution networks Shareholding Structure 1H2011 Revenue Structure Revenue by product Revenue by CPP Business Line CPF Food, 6 HK:0043 % Aquaculture , 20% Modern State Bangkok Food Farm, 3 Investments (“MS”) Product (“BFP”) 8% Feed, 5 Livestock, 80 Livestock 6% % , 80% 70.82% 29.18% CPV 1H2011 Revenue: US$ 0.65 billion Charoen Pokphand Foods Plc. 23
  24. 24. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 3: CPV - Integration across food production value chain CPV’s fully integrated operating platform across the value chain. Adding Value Feedmill Breeding Farming Processing Retailing & Branding Farm Feed Farm Food• CPV is No.1 in • CPV is No.1 in commercial • CPV is a growing player commercial farming production of in the processed food livestock and shrimp poultry and swine by market and packaged meat feed production share market• 7 feedmills • ~ 2,300 livestock farms • Food processing throughout Vietnam1) (mostly contract farming), ~6 production capacity aquatic farms1) ~12,000 tons1)• Swine, broiler, layers, d uck, cattle, shrimp, and • Swine, broiler, layer, shrimp • Chilled and frozen fish and fish products to wholesalers, retailers and exportNote: 1) Information as of December 31, 2010 Charoen Pokphand Foods Plc. 24
  25. 25. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 3: Vietnam Market Outlook VietnamNumber ofPopulations 88.3(Million)2011EGDP Growth 5.8%%Y-O-YGDP per Rising income, growing population, and increased urbanization lead to increasing animal proteinCapita consumption $ US per capita 2,500 2010 – 2015E CAGR = 11.6% 2,028 1,855 2,000 1,686 1,521 1,362 1,500 1,174 1,000 500 0 2010 2011E 2012E 2013E 2014E 2015ESource: International Monetary Fund Charoen Pokphand Foods Plc. 25
  26. 26. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 3: Vietnam Market Outlook Vietnam Poultry 2011 Poultry Consumption Per Capita (kg) 2011-2020 Estimated Poultry Consumption Consumption Per Capita in Vietnam (kg) 43.3 + 16.1% 7.6 7.2 7.2 6.7 17.5 6.8 6.5 6.4 12.9 6.4 6.2 6.2 6.0 5.6 Vietnam Thailand US EU 2011E 2012E 2013E 2015E 2020E Pork 2011 Pork Consumption Per Capita (kg) 2011-2020 Estimated Pork Consumption Consumption Per Capita in Vietnam (kg) 40.9 + 6% 21.5 21.1 26.0 21.0 19.9 20.4 20.5 20.0 20.1 19.9 10.0 20.0 19.5 19.0 Vietnam Thailand US EU 2011E 2012E 2013E 2015E 2020ESource: The Food and Agricultural Policy Research Institute (“FAPRI”) 2011 Charoen Pokphand Foods Plc. 26
  27. 27. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 3: Vietnam Market Outlook VietnamIndustry Industry consolidation and increasing proportion of scaled farms lead to more demand forConsolidation commercial feed products Livestock Feed Production (mm Tons) 16.0 Commercial 10.5 Feed 9.2 7.5 7.3 6.5 6.3 4.0 Home - mix 2009 2010 2011E 2015ESource: Estimated from public available information Charoen Pokphand Foods Plc. 27
  28. 28. leungwi [printed: October 5, 2011 11:03 AM] [saved: October 7, 2011 12:36 PM] http://bpspace-hkg.swissbank.com/deals/10/3249911/Documents/Presentations/Roadshow/10110P305_Champagne_1.ppt [Pres ID: ]Section 3: CPV – Financials Highlights Revenue (US$ Million) US$ Million 2008-2010 CAGR 12% 1,200 1,047 + 33.9% 1,000 835 868 800 648 600 483 400 200 0 2008 2009 2010 1H2010 1H2011 Gross Profit (US$ Million) and Gross Profit % US$ Million 140 14.6% 15.3% 18% 120 12.9% 12.6% 15% 100 9.8% 12% 80 9% 60 127 132 108 99 6% 40 20 47 3% - 0% 2008 2009 2010 1H 2010 1H2011 Note: 1) USD 1 = HKD 7.78, USD 1 = THB 30.5 Charoen Pokphand Foods Plc. 28

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