Core Our Strengthening
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DEL MONTE PACIFIC LIMITED STRENGTHENING OUR CORE ANNUAL REPORT FY2017 DEVELOPING The marketplace is INNOVATIVE evolving rapidly and PRODUCTS consumer preferences are changing constantly. We at Del Monte continue to innovate and delight consumers with exciting products. DEL MONTE PACIFIC LIMITED STRENGTHENING OUR CORE EXPANDING OUR PORTFOLIO ANNUAL REPORT FY2017 CONTENTS 002 Corporate Profile 003 Vision and Values 004 GROWING The opportunities are Strategy immense from new OUR REACH 005 channels, such as RAISING OUR One of our core values is Key Brands and Brand Ownership perimeter of store, STANDARDS “Excellence in Everything foodservice and We Do”, and we bring this 006 e-commerce, to new to life by employing best 130 Years Heritage geographies in the in class practices. 010 international market. FY2017 Highlights 011 Letter to Shareholders 015 Five-Year Summary 016 Board of Directors 018 Senior Management 022 Innovations 025 EXPANDING OUR IMPROVING OPERATIONAL STRIVING FOR COMMERCIAL USA Claims to Fame 026 MARKETS EXCELLENCE AND EXCELLENCE Products 030 SUSTAINABILITY Awards 032 Entrepreneur of the Year Award 034 Operating and Financial Review 043 Business Outlook 045 Share Price and Calendar 046 New Website 047 OPTIMISING, We explore all Risk Management PROCESSES, avenues to improve 051 SYSTEMS AND and strengthen Sustainability TECHNOLOGY our operations 079 while also making Corporate Governance sustainability a way 095 of life. Investor Relations 098 Financial Statements 246 Statistics of Shareholdings 247 Interested Person Transactions IBC Corporate Information 002 003 CORPORATE VISION D E PROFILE & VALUES IMIT FY2017 L RT Dual listed on the Mainboards of the Singapore The Group sells packaged fruits, vegetable and tomato, EPO acific Exchange Securities Trading Limited and the Philippine sauces, condiments, pasta, broth and juices, under R L E P A T Stock Exchange, Inc, Del Monte Pacific Limited various brands and also sells fresh pineapples under the ON (Bloomberg: DELM SP/ DMPL PM), together with its S&W brand. NNU A M subsidiaries (the “Group”), is a global branded food and NOURISHING FAMILIES. EL beverage company that caters to today’s consumer The Group owns approximately 95% of a holding D ENRICHING LIVES. needs for premium quality healthy products. The Group company that owns 50% of FieldFresh Foods Private EVERY DAY. innovates, produces, markets and distributes its products Limited in India (www.fieldfreshfoods.in). FieldFresh worldwide. markets Del Monte-branded packaged products in the VISION We nourish families by providing delicious food domestic market and FieldFresh-branded fresh produce. and beverages that make eating healthfully The Group is proud of its heritage brands - Del Monte, The Group’s partner in FieldFresh India is the well- effortless – anytime and anywhere. We build S&W, Contadina and College Inn – majority of which respected Bharti Enterprises, which is one of the largest brands with quality products that are perfectly originated in the USA more than 100 years ago as conglomerates in India. wholesome and thoughtfully prepared. premium quality packaged food products. The Group has exclusive rights to use the Del Monte trademarks for DMPL’s USA subsidiary operates 12 plants in packaged products in the United States, South America, the USA, two in Mexico and one in Venezuela, while its the Philippines, Indian subcontinent and Myanmar, while Philippines subsidiary operates the world’s largest fully- for S&W, it owns it globally except Australia and New integrated pineapple operation with its 23,000-hectare Zealand. The Group owns the Contadina and College pineapple plantation in the Philippines and a factory with Inn trademarks in various countries. a port beside it. DMPL’s USA subsidiary, Del Monte Foods, Inc (DMFI) Except the joint venture companies with Fresh Del hampioning Together (www.delmontefoods.com) owns other trademarks Monte Produce Inc, DMPL and its subsidiaries are C such as Fruit Naturals, Orchard Select, SunFresh and not affiliated with the other Del Monte companies in Fruit Refreshers, while DMPL’s Philippines subsidiary, Del the world, including Fresh Del Monte Produce Inc, Monte Philippines, Inc (www.lifegetsbetter.ph), owns Del Del Monte Canada, Del Monte Asia Pte Ltd and these Healthy Families Monte, Today’s, Fiesta, 202, Fit ‘n Right, Heart Smart and companies’ affiliates. Quick ‘N Easy trademarks in the Philippines. DMPL is 67%-owned by NutriAsia Pacific Ltd and OUR Ownership with Integrity Bluebell Group Holdings Limited, which are beneficially- CORE owned by the Campos family of the Philippines. VALUES The NutriAsia Group is the market leader in the liquid Innovation condiments, specialty sauces and cooking oil market in the Philippines. Commitment to Society & Environment Excellence in Everything We Do www.delmontepacific.com www.delmonte.com www.swpremiumfood.com www.contadina.com www.collegeinn.com www.lifegetsbetter.ph 004 005 OUR KEY BRANDS AND D E STRATEGY BRAND OWNERSHIP IMIT FY2017 L RT EPO acific R L E P A T ON NNU A M EL D NOURISHING FAMILIES. ENRICHING LIVES. EVERY DAY. We nourish families by providing delicious food and beverages that make eating healthfully effortless – anytime and anywhere. We build brands with quality products that are perfectly wholesome and thoughtfully prepared. STRATEGIC PILLARS DMPL owns DMPL owns Expand Markets Expand the Improve Product Operational Portfolio Excellence and Sustainability Strive for Strengthen Commercial the Core S&W Excellence DEL MONTE CONTADINA (For Both Packaged III (Packaged Products) and Fresh Products) COLLEGE INN II IV USA, SOUTH AMERICA, GLOBALLY THE GROUP ALSO PHILIPPINES, INDIAN EXCEPT AUSTRALIA AND OWNS THE CONTADINA SUBCONTINENT AND NEW ZEALAND AND COLLEGE INN MYANMAR TRADEMARKS I ENABLERS V PRODUCTION FACILITIES BUILD THE RIGHT CAPABILITIES, TALENT, USA Mexico Venezuela Philippines India CULTURE AND TEAM TO DELIVER AGAINST VISION 12 2 1 2 1 006 009 D E OUR PASSION 2007 DMPL enters into a joint 2017 IMIT FY2017 L FOR QUALITY GOES venture with the Bharti group DMPL lists its 1886 1907 1911 1983 RT BACK GENERATIONS. in India to form FieldFresh Preference Shares on The Del Monte name The Cannery is built. One Packaging innovation - the Biscuit-maker Nabisco buys EPO acific the PSE. 2001 Foods Private Ltd. R premieres. Del Monte of San Francisco’s treasured sanitary three-piece can RJR. DMC becomes part of L E P A T is used by an Oakland, landmarks, the Cannery was replaces hand-soldered the RJR Nabisco business. The Del Monte® name has been synonymous with premium 1967 1999 DMC acquires the S&W brand. 2011 ON 2017 California food distributor built in 1907 and by 1909 was containers to better preserve 1996 NNU A M foods since its debut in 1886. For generations, our Company 1940 Calpak changes its on premium coffee the largest fruit and vegetable product integrity. 1988 DMC lists on the New York KKR investor group reacquires DMFI and Fresh Del EL DMC fully divests from has proudly earned our reputation with a series of innovations Fruits and vegetables in name to Del Monte Stock Exchange. DMC and takes it private. D prepared for the Hotel cannery in the world. Monte Produce create and a singular dedication to quality. glass are introduced in KKR acquires RJR Nabisco Del Monte Philippines to Del Monte on the Corporation (DMC). new joint ventures in the United States. in an event touted by Time Philippines-based Macondray Monterey peninsula. 1916 retail dining, chilled Today that commitment to quality is deeply embedded in our magazine as the biggest & Co, Inc and Europe-based CFCA merges with three 2002 beverages, chilled 1971 leveraged buyout at the time. Del Monte International. culture. At Del Monte, we will always strive to cultivate the other large canners to DMC acquires pet food, baby fruit snacks and Leaders in nutritional best wholesome vegetables, fruits, and tomatoes to help you 1892 create California Packing food, Star*Kist tuna, College refrigerated avocado 1945 labeling - DMC 1999 2013 and your family live a life full of vitality and enjoyment. Del Monte is first introduced Corporation (Calpak), with Del 1989 1997 Inn broth, and private label products. 1909 Calpak begins becomes the first major Del Monte Pacific Limited as a trademarked brand. Monte as the primary brand. DMC divides into two soup businesses of HJ Heinz. DMPL lists on the Philippine US food producer Texas Pacific Group The Del Monte Shield is expansion. Use of separate entities - Del Monte (DMPL) is incorporated Stock Exchange (PSE). to voluntarily adopt purchases DMC. TODAY introduced on labels. Del pallets for storage Tropical Fruit (fresh division) as parent of Del Monte nutritional labeling on 2006 Monte puts Quality at the improves distribution. and Del Monte Foods Philippines; DMPL lists on 2014 Del Monte sustains 1917 1926 1955 all its food products. 1898 centre of its brand promise. (processed division). the Singapore Exchange. NutriAsia Pacific Limited its quality promise for Calpak becomes the first US Calpak sets up Del Monte pineapple KKR sells the consumer food Early ads assure customers acquires 85% of DMPL. a new generation of Eighteen west coast business of DMC to DMPL that the brand’s seal is “Not a fruit and vegetable processor operations in the grapefruit drink and 1979 consumers. canning companies to advertise nationally. Philippines. stewed tomatoes are 1993 Group. The US company merge to form California label – but a guarantee.” Tobacco giant RJ introduced. A new owner of Del Monte 1997 2007 that now owns this business Fruit Canners Association Reynolds (RJR) acquires Tropical Fruit changes name DMC buys the Contadina brand. DMPL buys the S&W brand for is Del Monte Foods, Inc (CFCA). Del Monte is one DMC. to Fresh Del Monte Produce. Asia and EMEA from DMC. (DMFI). DMPL is re-united of several premium brands with the US Del Monte. KKR marketed by the new changes the name of the company. old company from DMC to Big Heart Pet Brands.