Investing in YUM Tim Jerzyk Vice President Investor Relations

Dane Hudson CFO, Yum! Restaurants International

Yum! Brands Inc. September 2004 Information herein is as of July 13, 2004

This document contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements include those identified by such words as may, will, expect, project, anticipate, believe, plan and other similar terminology. These “forward-looking” statements reflect management’s current expectations regarding future events and operating and financial performance and are based on currently available data. However, actual results are subject to future events and uncertainties, which could cause actual results to differ from those projected in this announcement. Factors that can cause actual results to differ materially include changes in global and local business, economic and political conditions in the countries and territories where Yum! Brands operates, including the effects of war and terrorist activities; changes in currency exchange and interest rates; changes in commodity, labor and other operating costs; changes in competition in the food industry, consumer preferences, spending patterns and demographic trends; the impact that any widespread illness or general health concern may have on our business and the economy of the countries in which we operate; the effectiveness of our operating initiatives and advertising and promotional efforts; new-product and concept development by Yum! Brands and other food-industry competitors; the success of our refranchising strategy; the ongoing business viability of our franchise and license operators; our ability to secure alternative distribution to our restaurants at competitive rates and to ensure adequate supplies of restaurant products and equipment in our stores; publicity that may impact our business and/or industry; severe weather conditions; effects and outcomes of legal claims involving the company; changes in effective tax rates; our actuarially determined casualty loss estimates; changes in legislation and governmental regulations; and changes in accounting policies and practices. Further information about factors that could affect Yum! Brands’ financial and other results are included in the company’s Forms 10-Q and 10-K, filed with the Securities and Exchange Commission. Three Major Opportunities

InternationalInternationalInternational ExpansionExpansionExpansion

RunRunRun GREATGREATGREAT RestaurantsRestaurantsRestaurants

MultibrandMultibrandMultibrand CategoryCategoryCategory-Leading--LeadingLeading BrandsBrandsBrands Someday . . .

YUM U.S.A.

YUM YUM! International Potential: 2X

International System Restaurants Today (thousands)

16+

12+ 8+ 6+ ? 4+

3rd Brand

(Excludes China) Portfolio of Category-Leading Brands

FOUR CATEGORY LEADERS

U.S. Category Market Share* 65% 15% 47% 35%

TV Media Spending 210 175 200 25 ($ million)

Traditional Restaurants 5,027 6,400 5,456 1,203

System Average Unit Volume 1,005 748 898 647 ($ thousand)

*Source: NPD Group Inc./CREST for 2003 Note: Number of restaurants as of year end 2003 excluding license units KFC/ Units — Multibrand Gold Standard

KFC/Taco Bell Summary

663 Restaurants • Sales lift +25% to 30%

• AUV = $1.3 million • Margins on target • Excellent returns • Limited trade area potential within U.S. • Use selectively • Prefer K+ and T+ development

Note: Average performance of restaurants to date; future performance may vary Long John Silver’s . . . Category Leader

QSR Seafood/Fish U.S. Restaurants

Long John Silver’s 1,224 Captain D’s 560 Arthur Treacher’s 140 Small-Scale Operators 1,400 Total 3,324

WeWe intendintend toto capitalizecapitalize onon thisthis significant opportunity! Long John Silver’s Æ National Brand

Base Brand Multibrand Partner Multibrand Innovation & Development — 2004 Plan

‰ Increase system expansion — target 500 ‰ Emphasis on Long John Silver’s ‰ Continue progress on multibrand innovation . . . Expanded testing ‰ Continue to improve back-of-house integration ‰ Focus — Growth-ready assessment process, Quality RGM selection ‰ Continue to move up margin learning curve ‰ Returns! Multibrand Innovation — How We Win

The Best Retain and Grow Eliminate R.G.R. Sales Through Complexity Operators Strong Marketing

ƒ Growth-ready process ƒ Beat YAGO sales mentality ƒ Simplify back-of-house ƒ High-quality RGM selection ƒ Maintain brand essence process ƒ Bench strength planning ƒ Drive OBW solutions

Process & Discipline Compelling Financial for Market Planning Investment & & Development Return

ƒ “Fish First” expansion ƒ Execute WOW building, affordable ƒ Lead with new-units, costs Conversions to add scale ƒ Target: $300,000 concept layer ƒ Commit to MB scale ƒ Controllable margin parity ƒ Cash margin ++ ƒ Exceed IRR investment hurdle “Not an Ordinary Restaurant Company”

Ð

StrategiesStrategies inin PlacePlace

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OpportunityOpportunity IsIs ClearClear

Ð

ExecutionExecution IsIs KeyKey Consistently Grow Cash Flow

$ Million

‘01 ’02 ’03 ’04 F ’05 F ’06 F

NET CASH PROVIDED BY OPERATING ACTIVITIES 832 1,088 1,053 1,170 1,250 1,350

Capital Spending* (744) (773) (704) (770) (810) (850)

Employee Stock Option Proceeds, Pretax 58 125 110 130 160 150

Proceeds from Refranchising Restaurants, Pretax 111 81 92 100 100 100

Sale of Surplus Property, Plant & Equipment 57 58 46 50 50 50

CASH AVAILABLE 314 579 597 680 750 800

*Includes acquisition of restaurants from franchisees Debt-Level Target $1.5 to $2.0 Bn

Æ After 2005 bonds are retired, debt will be at an appropriate level

Debt Maturity Debt/EBITDA Ratio Face Value ($ million)

BBB Average 2.5X 2.3X 2.4 60%60% 2.0X of debt 1.9X of debt 1.8X 1.7X 1.6X

Retire Bonds 650

400 350 250 200

’02 ’03 ’04 F ’05 F ’06 F ’07 F ’08 F ’04 ’05 ’06 ’07 ’08 ’09 ’10 ’11 ’12 EPS-Growth Framework Î At Least +10% Per Year

INTERNATIONALINTERNATIONAL Strong,Strong, High-ReturnHigh-Return GrowthGrowth UNITEDUNITED STATESSTATES Strong Cash Flow, Steady Growth 91,000+ new KFC, Pizza Hut Strong Cash Flow, Steady Growth restaurants 9 Category-leading brands

9 Improving operations 9Extensive franchise development 9 Long John Silver’s 9Same-store-sales growth 9 Remodel, replace older restaurants

60%+60%+60%+ ~~~ 40%40%40% Investing in YUM Tim Jerzyk Vice President Investor Relations

Dane Hudson CFO, Yum! Restaurants International

Yum! Brands Inc. September 2004