1. Seafood Markets & Trends John Pollock Director of Merchandising - Seafood SYSCO Corporation Houston, Texas, USA

2. U.S. Economy % change vs. prior year -0.50% 0.00% 0.50% 1.00% 1.50% 2.00% 2.50% CPI - All GoodsCPI - Food at HomeCPI - Food Away from Home Aug Sep Oct Nov Source: Technomic

3. Meals Prepared Away From Home % of each food dollar to Retail % of each food dollar to Foodservice 50.2% 49.8% Source: Technomic * Projected CY02 Projection

4. 20022003 Restaurants and Bars3.4%3.7% Retails Hosts2.5%2.5% Travel & Leisure-4.0%-0.7% Business & Industry-2.0%0.0% Education2.8%2.5% Healthcare0.3%0.4% All Other2.4%2.5% Total Foodservice2.4%3.0% Segment Growth Forecast % nominal growth 33% Increase !

5. Thinking out of the box Practical Exercise Is the glass half full or half empty? Maybe it is simply the wrong size!

6. Customers are looking for true Value- Added benefits –Labor savings Peeled, cooked, deveined, etc. –Waste / shrink control IQF, portion control, re-sealable containers, etc. –Unique recipe ideas Flavors, breading/batter, presentation, etc. Current Situation and Trends

7. Still significant sub-standard product sold –Mislabeled –Short-weight –Count not in range –Poor quality Toughest competition is not seafood –Poultry & Pork prices are lowest in 10 years –Beef prices are significantly lower over past 18 months –Politicians attempting to protect their constituents through political rather than scientific trade restraints Current Situation and Trends

8. Questionable application of regulations –California Prop 65 –State imposed trade restraints different than FDA (Louisiana chloramphenicol statute) “Nearly all fish and seafood contain some amount of mercury and related compounds...” Current Situation and Trends

9. Abuse of trade laws with no true industry benefit –Crawfish –Atlantic Salmon –Blue Crab –Domestic Catfish –Domestic Shrimp Current Situation and Trends

10. Press sends mixed / confusing messages Current Situation and Trends PeTA.com E Magazine BusinessWeek January 27, 2003 TIMEMother Jones EPA February 2003

11. Current Situation and Trends Proliferation of third party regulators

12. Encourage responsible fishing practices –Promote sustainable & renewable resources –Conduct business with reputable companies –Resist the temptation of short-term economic gain Vigorously extol the benefits of all seafood –Do not promote one sector as better than another –Consumers look at the industry as a whole, any defamation implicates all of us Promote free and open trade Listen to your customers Bringing Seafood to Market

13. Questions ?