Maruha Nichiro Corporation Consolidated Financial Results for 2nd Quarter of the Year Ending March, 2017 Shigeru Ito, President November 15, 2016 1. Business Environment

Even in a mode of moderate recovery,  Slowdown in the emerging economy  Uncertain European economy would be concerns for economical downturn. Consumer spending tend to be selective with sentiment of saving.

Mid-term 4-year management plan Challenge toward 2017 set out. Key word: Challenge for Growth ⇒ Implementation of sustainable growth Increasing mid/long term corporate value Practicing growth initiative e.g. “Expanding full-life cycle farming of bluefin tuna”, “Enlarging profit in Global domain” and “Putting on new products of foods with function claim” 2-1. Effort toward Business Challenges [Improving Slump Business]

 Operating income of FY2015 was 17 billion yen.  Obtaining solid structure for earning over 20 billion yen of operating income at any FY with improving slump BIZs.

OP OP Slump Business If (1-6) are Operating FY2015 TOTAL revamped Income Shrimp Farming in 1 -0.8 B y FY2015 Malaysia Salmon Operation in 2 -1.0 B y North America Over 20 B 17 B yen 3 AQLI Frozen Food -1.5 B y -5.4 B yen yen at any 4 Fish Sausage -0.7 B y fiscal year 5 Dessert -0.6 B y 6 Long-life Chilled Food -0.8 B y

Prompting investment to new growth strategy besides improving slump business 2-2. Effort toward Business Challenges [For Growth – Accessibility to Resources –]

World Fish Supply 200 Million ton 200m ton

150 aquaculture 100

50 fishery

19600 1970 1980 1990 2000 2010

Resource: FAO Food Balance Sheets ） 2-2. Effort toward Business Challenges [For Growth – Accessibility to Resources –]

State of World Fish Stock

biologically unsustainable level 31.4%

Biologically sustainable level 68.6%

Resource: The State of World Fisheries and Aquaculture 2016 2-2. Effort toward Business Challenges [For Growth – Accessibility to Resources –]

World Fish Utilization and Supply

Supply=fishery + Aquaculture : 200m ton Million ton -”aquatic plant”; 30m ton Food supply: 150m ton -”non-food uses”; 20m ton 150 Food: 150m ton Per capita consumption ÷ 20kg+ World population: 7.3billion 100

Population;7.3billion 50

0

Source: FAO The State of World Fisheries and Aquaculture 2-2. Effort toward Business Challenges [For Growth – Accessibility to Resources –]

Access to Resources by Maruha Nichiro

Alaskan Pollock, Salmon, Crab

Octopus Yellowtail, Amberjack, Tuna

Hoki, Patagonian toothfish, Shrimp 2-2. Effort toward Business Challenges [For Growth – Accessibility to Resources –]

SUSTAINABLE WILD RESOURCES

Ocean Peter Pan Phoenix Seafoods

Alyeska Golden Alaska Westward Seafoods Excellence Seafoods 2-2. Effort toward Business Challenges [For Growth – Accessibility to Resources –] 2-2. Effort toward Business Challenges [For Growth – Accessibility to Resources –] Total Allowable Catch in New Zealand : 700 thousand ton Acquired Shares of Sanford New Zealand

160K ton 23%

Hoki, Squid, Scampy, Silver, etc 2-2. Effort toward Business Challenges [For Growth – Accessibility to Resources –]

Maruha Nichiro’s Practices for Resource Access

• North America – Accessible to sizable fishing quota and holding production sites for utilizing sustainable wild marine resources.

• Australia – Brought Austral Fisheries, which had about 70% of fishing quota of Patagonian toothfish in Australian EEZ, into the Group.

• New Zealand – Invested to Sanford which holds the largest fishing quota as much as 160k tons or 23% of 700k tons of TAC in NZ EEZ. 2-3. Effort toward Business Challenges [For Growth – Bluefin Tuna Farming –]

 2015 – Started merchandizing full-life cycle farmed bluefin tuna first among private companies  2018 – Producing 4,400 t total incl. hatchery reared and ranched Maruha Nichiro’s Full-life Cycle farmed Bluefin Tuna • Started pilot production of artificial 2006 fingerings

• Completed full-life cycle farming 2010

• Started merchandizing 2015 • Started full-scale sales of own brand 2016 BLUE CREST

• Anticipating to produce 4,400 t incl. both 2018 full-life cycle farmed and ranched bluefin tuna 2-3. Effort toward Business Challenges [For Growth – Bluefin Tuna Farming –]

 New construction of bluefin tuna farming facilities other than for usage of artificial fingerings is currently not allowed for conservation measure.

Mandatory Quantity Report Government mandates farmers reports of Cumulative Number status such as installation of farming Number of of Corporate Bodies facilities, sourcing of fingerings, ranching , Corporate Bodies by Prefectures Total: 94 transporting and shipping. Total: 103 Summarizing by each calendar year and disclosing in every March from 2011 Minister’s Instruction for Strengthening Management of Bluefin Tuna Farming

After October 26, 2012, 1. No more farming sites , which may increase annual number of ranching wild juveniles by each prefecture, is allowed to be constructed.

2. Farming rights must involve restrictions and conditions related to such as number of fish pens so that each prefecture would not increase number of ranching wild juveniles more than that in 2011 by

As of December, 2015 expanding scale of pens.

Source: Ministry of Agriculture, Forestry and Fisheries May, 2016 Stock Status and Direction of Management for Pacific Bluefin Tuna 2-4. Effort toward Business Challenges [For Growth – Frozen Food Business –]

 Installed production lines with new technology for rice products in Oh-e plant (Yamagata)  Launched sales of new item

Ratio of current sales of frozen [Entire Market of Household-use Frozen Food] food vs. year ago • Market size = 101.9% in Apr-Sep, 2016 vs. year ago Prepared meal [Maruha Nichiro] + • Increased to 100.7％ Frozen vegetables • Installed production lines with new technology of high temperature fryer in Oh-e plant (Yamagata) Entire MKT 101.9％ • Launched sales of new item of fried rice product in Sep Maruha Nichiro 100.7％ >Sales of new item pushed the sales of rice products to Data from a research organization 129% YonY for 2 months from Sep, 2016 together with SCI for Apr-Sep, 2016 boost of traditional leading item New plant in Ishinomaki will start operation from April, 2017 >Production capacity: 6,600 tons Key plant for prepared frozen food 3. Summary of Consolidated Financial Results

 Net sales decreased due to declined overseas sales in strong yen, etc.  Operating income increased in all BIZ segments. 14.8 billion yen is the record high for the 1st half.

(billion yen) Sep, 2016 Sep, 2015 Change %Change

Net Sales 427.3 433.6 -6.3 -1.5％

Operating Income 14.8 6.9 7.9 114.9％

Ordinary Income 13.8 7.7 6.1 79.8％ Net Income Before Income Taxes and 13.5 8.9 4.7 52.9％ Others Net Income Attributable to 8.8 4.7 4.1 88.4％ Owners of Parent Net Income per Share 167.82yen 89.08yen - - 4. Net Sales / Operating Income by Business Segments Billion - Net Sales - Change Billion - Operating Income - Yen Yen Change 433.6 427.3 -6.3B yen 14.8 Logistics Logistics +0.1B yen -0 B yen Processed Foods Processed +0.9B yen Foods +2.9 B yen Overseas -5.4B yen Overseas 6.9 +2.2 B yen

Trading -0.6B yen Trading +2.4 B yen

Fisheries & Fisheries & Aquaculture Aquaculture -1.0B yen +0.2 B yen

Impact of foreign currency translation: -5.5 B yen Impact of foreign currency translation: -0.5 B yen 5. Full-year Forecast for the Year Ending March, 2017  Based on financial result of Sep, 2016, revised full-year forecast was announced on Monday, November 7, 2016  Revised operating income is 22.0 billion yen, up 4.0 billion yen from original forecast

Revised Forecast Original Forecast Mar, 2018 Change Diff. (Billion Yen) (Nov. 7) (May 9) Target a-b a-c a b c

Net Sales 870.0 890.0 -20.0 900.0 -30.0

Operating Income 22.0 18.0 4.0 20.0 2.0

Ordinary Income 21.0 18.0 3.0 19.0 2.0

Net Income Attributable to 11.0 9.0 2.0 - - Owners of Parent Net Income per 208.98yen 170.97yen - - - Share 6. YonY Comparison and Progress toward Revised Forecast by Business Segments

 Progress Ratio as of Sep: Net Sales 49% / Operating Income 67%  Trading, Overseas and Processed Foods are on Good Track as Much as about 70% of Revised Forecast

Net Sales Operating Income

Sep, Sep, Pro Sep, Sep, Pro Change Revised Forecast Change Revised Forecast 2016 2015 gress 2016 2015 gress

Fisheries & Aquaculture 17.5 18.5 -1.0 35.2 (-1.0) 50% 0.7 0.5 0.2 1.7 (-0.1) 41%

Trading 220.4 221.0 -0.6 452.1 (-5.6) 49% 4.8 2.5 2.4 6.7 (+2.4) 72%

Overseas 70.7 76.1 -5.4 141.2 (-9.2) 50% 4.4 2.1 2.2 6.4 (-0.6) 69%

Processed Foods 104.8 103.9 0.9 212.3 (-3.8) 49% 3.4 0.5 2.9 4.9 (+2.1) 69%

Logistics 7.8 7.7 0.1 15.8 (-0.1) 49% 0.8 0.9 △0 1.8 (0) 44% 100 Others 6.1 6.3 -0.2 13.4 (-0.2) 46% 0.5 0.2 0.3 0.5 (+0.2) % Common Cost ------0.10.2-00 (0)-

Total 427.3 433.6 -6.3 870.0 (-20.0) 49% 14.8 6.9 7.9 22.0 (+4.0) 67% Numbers in ( ) denote Change from original forecast 7-1. Business Outlook

(Billions of Yen) NET SALES OPERATING INCOME SEGMENT UNIT Revised full Revised full Sep/16year projection 2Q/FYp Sep/16year projection 2Q/FYp Marine Products Trading 38.5 73.0 (1.4) 53% 3.5 4.6 (2.3) 76% Trading Marine Products Wholesaling 116.8 249.7 (-2.3) 47% 0.2 0.4 (-0.6) 50% Meat & Products Trading 23.8 46.4 (-7.7) 51% 0.6 0.9 (0.4) 67% Institutional Foods Business (Trading) 41.3 83.0 (2.9) 50% 0.6 0.9 (0.3) 67% Trading Segment Sub Total 220.4 452.1 (-5.6) 49% 4.8 6.7 (2.4) 72% Numbers in ( ) denote changes from original forecast [Business Outlook in 2nd half of FY]  Strong 3Q is expected – solid outlook for achieving revised full-year forecast

Development of Net Sales & Operating Income of Marine Products Trading Unit 7-2. Business Outlook

(Billions of Yen) NET SALES OPERATING INCOME SEGMENT UNIT Revised full Revised full Sep/16year projection 2Q/FYp Sep/16year projection 2Q/FYp

Overseas Business Overseas Business 23.0 43.7 (-7.5) 53% 2.8 4.4 (-0.1) 64% North America Operations 47.8 97.6 (-1.7) 49% 1.6 2.0 (-0.5) 80% Overseas Business Segment Sub Total 70.7 141.2 (-9.2) 50% 4.4 6.4 (-0.6) 69% Numbers in ( ) denote changes from original forecast [Business Outlook in 2nd half of FY]  Australia: Strong prices of Patagonian toothfish and shrimp Impact of Patagonian toothfish fishing quota reduction remains  Thailand: Increasing sales in Europe pet food market 7-3. Business Outlook

(Billions of Yen) NET SALES OPERATING INCOME SEGMENT UNIT Revised full Revised full Sep/16 2Q/FYp Sep/16 2Q/FYp year projection year projection Consumer Frozen Foods Business 29.2 59.1 (0.9) 49% 1.1 1.6 (0.9) 69% Consumer Processed Foods Business 24.5 50.0 (-0.4) 49% 0.5 0.5 (0.4) 100% Processing Institutional Foods Business (Processing 48.1 97.6 (-4.4) 49% 1.1 1.8 (0.5) 61% Foods & Fine Chemicals 3.0 5.6 (0.1) 54% 0.6 0.9 (0.2) 67% Processsing Segment Sub Total 104.8 212.3 (-3.8) 49% 3.4 4.9 (2.1) 69% Numbers in ( ) denote changes from original forecast [Business Outlook in 2nd half of FY]  Consumer Frozen Foods Business： Strong sales of rice and noodle products Increase of ad expenses and depreciation cost related to investment in plants  Consumer Processed Foods Business： ・Canned Food Poor catch of local fish – cost hike on fish material ・Dessert Off-demand season ・Fish Sausage Improvement of raw material cost ･Long-life Chilled Food Striving for improving profitability by enhancing sales Appendix - Production and Utilization of World Fisheries and Aquaculture

2009 2010 2011 2012 2013 2014 （Million tonnes） PRODUCTION Capture Inland (10.5) (11.3) (11.1) (11.6) (11.7) (11.9) Marine (79.7) (77.9) (82.6) (79.7) (81.0) (81.5) Total capture 90.2 89.1 93.7 91.3 92.7 93.4 Aquaculture Inland (34.3) (36.9) (38.6) (42.0) (44.8) (47.1) Marine (21.4) (22.1) (23.2) (24.4) (25.5) (26.7) Total aquaculture 55.7 59.0 61.8 66.5 70.3 73.8 TOTAL 145.9 148.1 155.5 157.8 162.9 167.2 UTILIZATION Human consumption 123.8 128.1 130.8 136.9 141.5 146.3 Non-food uses 22.0 20.0 24.7 20.9 21.4 20.9 Per capitaPopulation(billions) food fish supply (kg) 18.1 6.8 18.5 6.9 18.6 7.0 19.3 7.1 19.7 7.2 20.1 7.3

Note：Excluding aquatic plants. Total may not match due to rounding. Resource：The State of World Fisheries and Aquaculture 2016