1. 1 Delhaize Presentation Presented by: Jan Claessens Senior Category Manager Fresh Meat Delhaize 17 November 2006

2. 2 Delhaize Group

3. 3 139 years of history 1867: Jules Delhaize & Jules Vieujant open first Delhaize- store, in Charleroi 1914: 500 stores, all over Belgium 1957: opening first supermarket on European continent (Place Flagey – Brussels)el) Seventies: start of the international expansion

4. 4 Activities in 8 countries on 3 continents United States: 1.537 stores Food Lion, Hannaford, Sweetbay, Kash ‘n Karry, Harveys Greece: 135 stores Belgium, Luxemburg, Germany: 808 stores Delhaize Group: Sales: € 18,6 billion 180.000 associates Emerging markets: Czech Republic, Romania, Indonesia 156 stores Figures End 2005

5. 5 Activities in 8 countries on 3 continents

6. 6  Home base of Delhaize Group  808 stores, 8 store formats –Food –Experts  Market share: 26%  16.000 associates  Sales: € 4,0 billion Delhaize Belgium

7. 7 130 supermarkets Delhaize 189 AD (affiliates)

8. 8 Proxy 141 Delhaize 19 Delhaize City 54 Shop ‘n Go

9. 9 131 Di (drugstore) 100 Tom & Co (petshops)

10. 10 41 Cash Fresh

11. 11 Strategy Delhaize Belgium What does our customer want?  To have a large choice  To find what he is looking for  To pay the right price  To feel at home in our stores  To look after his health Delhaize. Quality makes us different.

12. 12 To have a large choice Live like you wish

13. 13 Via:  Clear in store communication  Correct price labelling  Good stock management  Helpful associates To find what he is looking for

14. 14 Delhaize offers products for every budget, with quaranteed quality  National brands –Prices constantly compared with those of competitors  Delhaize private label –Quality at least as good as national brands –At least 10% cheaper  365 –Products for every day use, of good quality –Same price as discounters  Produce –Sold every day at best market price To pay the right price

15. 15  For every customer a Delhaize store in the neighbourhood  Clean and pleasant stores  Friendly and motivated staff  Delhaize takes care of environment, mobility and diversity To feel at home in our stores

16. 16 Bewegen  Delhaize, thé reference for healthy food  Products: –Large produce assortment –650 organic products –Health department in stores –Products for specific dietary needs –…  Quality and food safety: –Quality label Controle & Origine –HACCP in stores and distribution centers –ISO 9001-certification for cold chain –… To look after his health

17. 17 Information –Logos for products with added nutritional value –Health campaigns (in store and media) –Raise awareness of associates –Partnership with Olympic Health Foundation To look after his health

18. 18 Meat Department

19. 19 Types of meat sales Supermarket  full self-sevice City  full self-service AD  service and self-service Proxy  service and self-service Shop&Go  full self-service

20. 20 1.Delivery of technical pieces of meat prepared & packed in store (650 butchers)  80% 2.Delivery of bulk products prepared by supplier repacked in store  15% 3.Delivery of products ready for sale packed by supplier  5% Types of meat delivery

21. 21 Division of the fresh meat category supermarkets in tonnage Beef41 %= Porc39 %- Veal10 %+ Lamb 8 %+ Offal 1,5 %- Horse 0,5 %- Total100 %=

22. 22 Origine of meat in supermarkets Beef90 % 7 % 3 % Belgian meat Meritus Import meat Belgian Organic meat Porc95,5 % 4 % 0,5 % Belgian meat Certus Belgian organic meat Import meat Veal100 %Belgian meat BCV Lamb 78,5 % 21 % 0,5 % New Zealand – Australia EU Belgian organic meat Offal 100%Belgium Horse 100%South America

23. 23 The future of the meat departement Quality: constant level Health: more and more important Security: delicate subject Convenience: change of lifestyle Traceability: consumer trust in product Profession:personal recruitment

24. 24 Questions?