CJ CheilJedang CJ BIO 03 May, 2013 Contents 1 CJ Group & CJ CheilJedang 2 CJ BIO - History - Performance - Organization - Global Presence 3 CJ BIO – Products 4 CJ BIO R&D 2 CJ Group _Business portfolio and Affiliates 2012 Sales $26.8 Billion 50% 1% Group Food and Infrastructure Food Service 13% 18% CJ CheilJedang CJ Systems 19% CJ Construction CJ Foodville Entertainment CJ Freshway Bio & CJ MD1 & Pharma Media CJ N City Home Shopping & Logistics CJ E&M CJ CheilJedang - Bio CJ CGV CJ CheilJedang - CJ HelloVision Pharmaceuticals CJ OShopping CJ Powercast CJ GLS – CJ Korea Express CJ Telenix CJ Olive Young 3 CJ CheilJedang _Business Structure Food Pharma Food Feed Ingredient BIO Sales Vision • Feed 19% BIO To Become Global Food & Bio Company with The Best 22% Food Technology and Talented People Ingredient 21% Food Pharma 32% 6% Approx: US$ 8 Billion (2012) 4 CJ BIO - History • Completed • Established overseas • Breakthrough Construction of business in Indonesia • Completed Technology Gimpo Plant (Pasuruan & Jombang) Construction • Innovative Liaocheng (China) New Products • Started producing & Piracicaba Feed-grade Amino Acid (Brazil) Plants (Lysine & Threonine) • Introduced • Established Nucleotide Prod. BIO BU • Started MSG (IMP-GMP) Business 1960s 1970s 1980s - 1990s Early 2000s 2008 - present Introduction Domestic Growth Globalization Global Expansion Innovation 5 CJ BIO - Performance Vision Beyond bio, renew the earth Sales (Unit: Million US$) Sales (Unit: Million US$) 1200 1,500 1000 4,000 1,200 800 600 956 706 1,500 400 666 540 706 200 0 2007 2008 2009 2010 2011 2012 2009 2012 2017 This is Confidential Information of CJ CheilJedang 6 CJ BIO - Organization CJ BIO Staff Overseas R&D Factory Business Global Indonesia Business R&D Technology China America Strategy Marketing & & Malaysia Management Institute Center Sales Europe Amino Acids Jombang Liaocheng Brazil China New Material New site New site Pasuruan Shenyang USA S.E. ASIA Nucleotides New site USA Malaysia 7 CJ BIO – Product Portfolio Food ingredient & Animal Functional Amino BIO Chemicals Nutrition Acids BESTAMINO™ FLAVOR ENHANCER BIO CHEMICALS L-LYSINE MI POONG MSG BIOPLASTICS L-TRYPTOPHAN CJ TIDE NUCLEOTIDES BIO CHEMICAL INGREDIENT L-THREONINE L-METHIONINE FUNCTIONAL AMINO ACID NON-EDIBLE BIOMASS L-VALINE L-ARGININE L-ARGININE L-GLUTAMINE L-VALINE * Bio chemical products will be INNOVATION L-LEUCINE industrialized in coming years. BIOTECTOR® L-ISOLEUCINE ECOWIN . CJ CJeilJedang BIO is highly specialized in bio products based on break-through microbial technology. All the products of CJ BIO will provide the best value to our customer with more green technology. 8 CJ BIO – Global Network Production plant R&D Post Sales office To be opened soon CJ BIO – Production site and products L-Lysine L-Lysine L-Threonine L-Threonine L-Tryptophan L-Tryptophan Nucleotides L-Methionine L-Lysine L-Threonine L-Tryptophan MSG Nucleotides L-Arginine Food grade AA CJ BIO – Animal nutrtion_ Amino Acids Feed-grade Amino Acids (Lysine, Threonine, Tryptophan) Limiting • Essential amino acids have to be taken from feedstuffs 1st 2nd 3rd Amino Acid because animals cannot synthesize enough amounts Swine Lys Thr Trp • 10 different essential amino acids depending on the species and growth stages of animal Poultry Met Lys Thr • Lysine, Methionine, Threonine and Tryptophan are commonly used in feeds, which are deficient in natural feedstuffs Feed-grade (Lys, Thr and Trp) Feed company Used as feed for swine and poultry 11 CJ BIO - Flavor Enhancers Flavor enhancers • MSG (Monosodium glutamate), IMP (inosine monophosphate), GMP (guanosine monophosphate) • Nucleotides for flavor enhancing: seafood/mushroom taste, effective as sodium salt form GA (Glutamic Acid) rich foods Nucleotides rich foods Sensorial Benefits of Nucleotides - Strong Flavor enhancement Taste Enhancer Flavor Improver - Better tastes with ease in use Customer - Low cost in use and cost savings Increase Benefits Taste Balancer - Wide applications including all mouthfeel savory products 12 Market Share: Flavor Enhancers & Feed-grade Amino Acid . Global market share of Lysine for animal nutrition and nucleotides for food ingredient was ranked No.1 in 2012 and the gap between other manufacturers will be increased as expansion of CJ’s production capacity. Nucleotide Lysine Others Others 10% 21% 23% SL Evonik 41% 10% 5% ADM Aji MH 12% 17% 5% AJI GBT 34% 22% 40,000 mt 1,900K mt (2012) 13 CJ BIO - BIO R&D Fermentation Tech. Strain Development Refinery Tech. Biomass Chemical Synthesis & Conversion Food & Feed Additives Bioplastics & Chemicals 14 CJ BIO – R&D Capabilities CJ R&D Complex will be opened in 2014 and this institute will lead innovation and world leading products development. • R&D Complex : BIO/Food/Pharmaceutical/Feed R&D Center • Corporate R&D Center Building • Area: >90,000m2 • Total researchers: 1,000 people • PhD and Masters Level : ≥ 70% of total researchers 15 Thank You 16 .