1. NO ANTIBIOTICS EVER™ CHICKEN & TURKEY PREMIUM POSITION Perdue Foodservice is currently the #1 Premium Claim Provider: #1 organic chicken provider & #1 NAE/all-vegetarian fed provider CONSUMER CONCERN OVER ANTIBIOTICS + DEMAND FOR PREMIUM POULTRY 80% of consumers believe antibiotic-free protein is better for you 1 72% of consumers are extremely concerned about the overuse of antibiotics in animal agriculture 2 PREMIUM POULTRY IN RETAIL CHANNEL Retail Chicken Category Shift – Growth Rates for Protein Tiers 3 : – Organic: +32.1% – No Antibiotics Ever: +27.1% – All-Vegetarian Fed: +9.0% – Traditional: +5.6% A RISING MOVEMENT IN FOODSERVICE CHANNEL Consumers no longer see clean ingredients as a positive option; they now see it as an expectation from foodservice operators 4 Major restaurant chains are converting to NAE meat, including Panera, Chick-fil-A – Others are making a commitment to reduce antibiotic use such as McDonald’s, Subway & Wendy’s The only way to know for sure that no antibiotics were used is the “NO ANTIBIOTICS EVER” claim – Other claims may allow antibiotics to be used, including “responsible use,” “all natural,” “no human antibiotics,” etc. 1 Consumer Reports,, “Meats produced without antibiotics harbor fewer ‘superbugs’,” November 2015 2 Technomic, Inc., The Center of the Plate: Poultry Consumer Trend Report, 2013 3 Consumer Reports Survey, June 2012 4 Technomic, “Consumer Attitudes Towards Value-Added Poultry in Foodservice,” October 2014 5 IRI Freshlook Data, December 2014 6 QSR Magazine, “Cleaning Up”,” Sam Oches, November 2015 7 CNN.com, “Restaurant report card grades on antibiotics in meat supply,” Ben Tinker, September 2015 1 Consumer Reports,, “Meats produced without antibiotics harbor fewer ‘superbugs’,” November 2015 2 Technomic, Inc., The Center of the Plate: Poultry Consumer Trend Report, 2013 3 Consumer Reports Survey, June 2012 4 Technomic, “Consumer Attitudes Towards Value-Added Poultry in Foodservice,” October 2014 5 IRI Freshlook Data, December 2014 6 QSR Magazine, “Cleaning Up”,” Sam Oches, November 2015 7 CNN.com, “Restaurant report card grades on antibiotics in meat supply,” Ben Tinker, September 2015 1 Consumer Reports,, “Meats produced without antibiotics harbor fewer ‘superbugs’,” November 2015 2 Technomic, Inc., The Center of the Plate: Poultry Consumer Trend Report, 2013 3 Consumer Reports Survey, June 2012 4 Technomic, “Consumer Attitudes Towards Value-Added Poultry in Foodservice,” October 2014 5 IRI Freshlook Data, December 2014 6 QSR Magazine, “Cleaning Up”,” Sam Oches, November 2015 7 CNN.com, “Restaurant report card grades on antibiotics in meat supply,” Ben Tinker, September 2015 1 Consumer Reports,, “Meats produced without antibiotics harbor fewer ‘superbugs’,” November 2015 2 Technomic, Inc., The Center of the Plate: Poultry Consumer Trend Report, 2013 3 Consumer Reports Survey, June 2012 4 Technomic, “Consumer Attitudes Towards Value-Added Poultry in Foodservice,” October 2014 5 IRI Freshlook Data, December 2014 6 QSR Magazine, “Cleaning Up”,” Sam Oches, November 2015 7 CNN.com, “Restaurant report card grades on antibiotics in meat supply,” Ben Tinker, September 2015 1 Consumer Reports,, “Meats produced without antibiotics harbor fewer ‘superbugs’,” November 2015 2 Technomic, Inc., The Center of the Plate: Poultry Consumer Trend Report, 2013 3 Consumer Reports Survey, June 2012 4 Technomic, “Consumer Attitudes Towards Value-Added Poultry in Foodservice,” October 2014 1 Consumer Reports,, “Meats produced without antibiotics harbor fewer ‘superbugs’,” November 2015 2 Technomic, Inc., The Center of the Plate: Poultry Consumer Trend Report, 2013 3 Consumer Reports Survey, June 2012 4 Technomic, “Consumer Attitudes Towards Value-Added Poultry in Foodservice,” October 2014 1 Consumer Reports,, “Meats produced without antibiotics harbor fewer ‘superbugs’,” November 2015 2 Technomic, Inc., The Center of the Plate: Poultry Consumer Trend Report, 2013 3 Consumer Reports Survey, June 2012 4 Technomic, “Consumer Attitudes Towards Value-Added Poultry in Foodservice,” October 2014 1 Consumer Reports,, “Meats produced without antibiotics harbor fewer ‘superbugs’,” November 2015 2 Technomic, Inc., The Center of the Plate: Poultry Consumer Trend Report, 2013 3 Consumer Reports Survey, June 2012 4 Technomic, “Consumer Attitudes Towards Value-Added Poultry in Foodservice,” October 2014 1 Technomic, Inc., The Center of the Plate: Poultry Consumer Trend Report, 2013 2 Consumer Reports Survey, June 2012 3 IRI Freshlook Data, December 2014 4 QSR Magazine, “Cleaning Up”,” Sam Oches, November 2015