C&C Group plc Investor Day | November 2012 Disclaimer This presentation does not constitute an invitation to underwrite, subscribe for, or otherwise acquire or dispose of any shares or other securities of C&C Group plc (the "Company"). The presentation contains forward-looking statements, including statements about the Company's intentions, beliefs and expectations. These statements are based on the Company's current plans, estimates and projections, as well as the Company's expectations of external conditions and events. Forward-looking statements involve inherent risks and uncertainties and speak only as of the date they are made. The Company undertakes no duty to and will not necessarily update any such statements in light of new information or future events, except to the extent required by any applicable law or regulation. Recipients of this presentation are therefore cautioned that a number of important factors could cause actual results or outcomes to differ materially from those expressed in any forward-looking statements. Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser. Bulmers Ltd of Clonmel, Ireland, a company within the C&C Group, owns the trade mark BULMERS® in the Republic of Ireland. Bulmers Ltd is not connected with HP Bulmer Ltd of Hereford, UK. BULMERS ® Original Vintage Cider produced by Bulmers Ltd of Clonmel, Ireland is sold outside the Republic of Ireland under the name MAGNERS® Original Irish Cider. For further information see www.candcgroupplc.com 2 Welcome & Agenda 10.00 Presentations and Q&A 12.35 Prep for tour 13.00 Tour of Cider Mill 14.00 Lunch and cider tasting at The Cider House 15.30 Transfers to Bristol Airport & Gloucester Road Tube Station 3 Presentations 1 Overview Stephen Glancey & Kenny Neison 2 Export Markets Joris Brams & Mark Boulos 3 Domestic Markets Sandra Mitchell & Michael Sloan 4 Shepton Mallet Business Paolo Mortarotti 5 Summary and Q&A Stephen Glancey 4 Presentations 1 Overview Stephen Glancey & Kenny Neison 2 Export Markets Joris Brams & Mark Boulos 3 Domestic Markets Sandra Mitchell & Michael Sloan 4 Shepton Mallet Business Paolo Mortarotti 5 Summary and Q&A Stephen Glancey 5 Business Development Review ● 2008-2012: Stabilise and Consolidate ● 2013-2015: Transform 6 2008 to 2012: Challenging Domestic Environment ● Reduced consumer spend ● Increasing retailer power ● Pressure on pricing 7 2008 to 2012: Solid Financial Performance FY09 FY131 CAGR EBIT (€m) 90.22 113.3 5.5% Adjusted EPS (c) 22.2 28.6 6.6% Net Debt (€m) 226.2 (130)3 N/A 1Bloomberg and sell-side estimates 2 Underlying; excludes €10.2m hedging gain 3 Pro-forma net cash position excluding impact of proposed acquisitions *Sell side estimates 8 2008 to 2012 : De-risking the Earnings Profile FY2009 | EBIT FY2013e | EBIT Third Party S&L 5% 17% Tennent's Cider ROI 24% 34% Cider ROI 49% Cider UK International 34% 7% Cider UK 29% Cider ROI Cider UK S&L Cider ROI Cider UK Source: Company data Source: Sell-side estimate 9 Business Development Review ● 2008-2012: Stabilise and Consolidate ● 2013-2015: Transform through Internationalisaton …but room for further domestic consolidation as well 10 2013 to 2015: Ireland - evolution through Gleesons ● Changes business model ● Direct sales network, enhanced portfolio ● Multi-beverage platform ● Scope for additional agency brands Agency Brands 11 Gleesons: Transaction Overview ● Enterprise value €58 million ● Pro forma EBITDA of €10.2 million ● 5.7x 2012 EBITDA before synergies (4.5x post synergies of c. €3m) ● ROIC exceeds WACC in 2 years ● Immediately accretive ● Pro forma net debt to EBITDA ratio < 1.5x ● No impact on progressive dividend policy 12 Gleesons: A Resilient Model 2012 | Gross Profit Contribution €m 2010 to 2012 | Revenue 270 Manufacturing 260 30% 250 240 Wholesale 230 & Agency 45% 220 210 200 Wines & 190 Spirits 2010 2011 2012 25% Gross Profit Contribution 19% 19% 18% Source: Gleeson Group internal data Source: Gleeson Group internal data 13 Gleesons: Value Creation Opportunities ● Cost & revenue synergies ● Expand range of agency brands ● Evolve to ‘push’ model ● On-trade financing opportunities ● Export potential 14 2013 to 2015: Consolidating in the UK ● Investing in existing brand assets – marketing – price – lending for distribution & throughput ● Funded by cost reduction ● Multi-beverage in the right markets 15 2013 to 2015: International Growth Story ● Accelerating growth in new markets ● Tennent’s export potential ● Acquisition strengthens US platform & brands 16 2013 to 2015: International focus on the US ● US$305m acquisition Vermont Hard Cider Company ● Premium craft cider player ● Woodchuck and Wyder’s cider ● 400 kHL cidery in Vermont ● National sales force 17 Vermont Hard Cider Company Why? ● US cider category trends & potential ● Great brands, great management, sustained growth of 25% pa ● Cultural fit ● Scarcity value ● Step change in international cider profile 18 Vermont Hard Cider Company: Ability to create value ● Share of accelerating category growth ● Filling the imported cider space ● Widened portfolio appeal ● Operational synergies (in due course) 19 C&C | Strategy Building a substantial, international cider-led LAD business through: Consolidation in core markets and Accelerated development of international markets 20 Business development Review: Summary ● 2008 to 2012 – delivering to plan ● Strong, multi-beverage platform in core markets ● International opportunity ● Positioned for performance and growth – Consolidate core markets – Accelerate development of international markets ● Strong Balance sheet 21 Presentations 1 Overview Stephen Glancey & Kenny Neison 2 Export Markets Joris Brams & Mark Boulos 3 Domestic Markets Sandra Mitchell & Michael Sloan 4 Shepton Mallet Business Paolo Mortarotti 5 Summary and Q&A Stephen Glancey 22 Joris Brams Managing Director - International Developing International Markets FROM TO ● Small ● Relevant ● Seeing markets ● Being in markets ● USA East coast on-trade player ● Nationwide market leader ● Cider only ● Global cider & beer portfolio ● Pioneers ● Dedicated top team ● Low % of total profit ● Meaningful % of total profit 24 From strategy to execution … Create shareholder value by driving earnings growth – Target : 20% of group profit by FY16 “Irish Distribution Brand & Build Use local colonial agreements Portfolio relationships partners in route” Builders virgin territories Focus on : • Moosehead • Suntory • Rio • Interbrau • MBC • Others… 25 The team is growing … Joris Commercial Marketing Finance/M&A Ned Conor Ricardo Peter Anthony Jens Mark 45 FTE today to 170 FTE post VHCC 26 We are the places to be … New 2012 Plan 2013 Source Canadean, C&C analysis 27 Track record so far Volume development (khl) Profit development (€m) 200 188 8 45 7 150 6 120 25 3 100 82 89 30 34 4 24 20 18 21 2 17 18 1 50 18 5 11 11 3 4 62 0 31 33 45 0 FY10 FY11 FY12 FY09 FY10 FY11 FY12 -2 FY09 -3 USA Canada Australia Spain All other -4 Source: C&C internal data Source: C&C internal data 28 What We Have Said Previously About Global Cider Global cider category growth forecasts (mhl) Cider vs. beer growth | 2006-11 and 2011-16 Source: Euromonitor Source: Euromonitor, HMC&E & C&C estimates 29 Global Cider Categories Latest global cider category growth rates Market size (khl) and cider penetration Source: The Beer Institute (USA, L6M), AC Nielsen (Australia, L6M), IWSR (South Africa, CY11- Source C&C estimates, The Beer Institute (USA), IWSR/:LMA (Australia), IWSR (South Africa), 12), ACD (Canada, LTM) and Canadean (New Zealand, CY11-12) ACD (Canada) and Canadean (New Zealand) 30 Our Performance So Far C&C International 1H12 and 1H13 volume by region (growth vs. last year) 1H12 1H13 Source: C&C internal data 31 INTERNATIONAL at a glance C&C products worldwide Our products are available in over 43 countries Czech Denmark Finland France Guam Germany Gibraltar Greece Hong Hungary Israel Italy Japan Latvia Malaysia Malta Republic Kong Andorra Australia Austria Bahrain Belgium British Virgin Bulgaria Canada Caribbean Cayman China Cyprus Islands Islands 32 Netherlands New Zealand Portugal Qatar Russia South Korea Singapore Spain Sweden Switzerland Thailand Turkey UAE Ukraine USA Mark Boulos Finance Director – International Our Goals Driven By USA Volume growth Average per case price ($) (off-trade) Weighted distribution (off-trade) (off-trade) Source: AC Nielsen (w/e 4 Nov-12) Source: AC Nielsen (w/e 4 Nov-12) Source: AC Nielsen (w/e 4 Nov-12) 34 Video: Bret Williams 35 Bret Williams President and CEO Vermont Hard Cider Company Cider could become the next CRAFT In 2011, the Woodchuck Brand was the 9th largest Craft Brand in the US. 1. Boston Beer Company 2. Sierra Nevada Brewing Company 3. New Belgium Brewing Company Inc. 4. Gambrinus Company Vermont Hard Cider Company 5. Deschutes Brewery 6. Matt Brewing Company 7. Bell’s Brewery, Inc. 8. Harpoon Brewery Woodchuck Hard Cider 9. Lagunitas Brewing Company 10. Boulevard Brewing Company Source: Brewers Association VTHCC is the #2 craft company on the East Coast and #5 overall. 37 Hot Brand… • Woodchuck received the Impact Hot Brand Award for the 8th time in 2011! (6th Consecutively) • VTHCC has received 15 Impact Hot Brand Awards in total 200 200 201 6 8 0 200 200 7 9 38 Woodchuck Brand Attributes ● Premium Craft Pricing ● Innovation – Limited Release – Private Reserve – Farmhouse ● Made in Vermont with local juice ● Naturally Gluten Free ● Available in 50 States ● Strong Brand Loyalty & Authenticity ● Vermont Brands translate across the country 39 We’re Serious about Innovation “Innovation is not only our obligation…it’s our passion!” Private Reserve: • Artisanal Pricing • Higher Alcohol • Small Batch • Ground Breaking • Truly Unique • Case sales up 479% YTD* *Source: IRI Total US Food YTD w/e September 9, 2012 40 Innovation - “Limited Release” 2012 Growth Delicately balanced with notes of maple syrup and brown sugar blended with fresh apple character. Slightly tart with a full, robust flavor followed by a rich taste reminiscent of New England blueberries. Handcrafted with cinnamon, nutmeg, and a hint of American white oak, giving it a complex and elegant character.