1. FIT FOR THE FUTURE Preliminary Results For the year ended 31 March 2010 DAIRY CREST GROUP plc

2. Preliminary Results for the year ended 31 March 2010 Agenda 2009/10Mark Allen, Chief Executive Financial ReviewAlastair Murray, Finance Director St HubertMark Allen, Chief Executive Martyn Wilks, Executive MD Foods Current Trading & OutlookMark Allen, Chief Executive DAIRY CREST GROUP plc

3. Mark Allen Chief Executive 2009/10

4. 4 Focus on cost reduction and efficiency improvements Improve quality of earnings and reduce commodity risk Generate growth and focus the business through acquisitions and disposals Build market leading positions in branded and added value markets Consistently delivering on our strategy

5. 5 “…..by continuing to invest in our business in the form of marketing spend and in development of operating facilities. We will also maintain focus on efficiencies and cost control.” Mark Allen, Chief Executive Dairy Crest, 10 November 2008 “Our plans for 2009/10 are to maintain our focus on cash management and to continue the development of our key brands. We are a broadly based business and the benefits of this will be demonstrated during 2009/10.” Mark Allen, Chief Executive Dairy Crest, 19 May 2009 “Our second half focus will remain on cash management, cost reduction and the development of our key brands.” Mark Allen, Chief Executive Dairy Crest, 12 November 2009 Consistently delivering on our strategy

6. 6 Generating increased profits and reducing debt Brand growth 5 key brands grew by 13% (volume) and 9% (value) St Hubert now the largest French spreads brand Other growth Milk sales to major retailers up 9% (volume) and 8% (value) Reached initial target of 250,000 registered milk&more customers New products Jugit milk in a bag launched nationally with Sainsbury’s and on doorstep Lighter brands now all >10% of main brands Cost reduction £20 million annual savings generated in year Cash generation Operating cashflow up 49% to £119 million Reported net debt lowest since September 2006 Risk reduction Defined benefit pension scheme closed Adjusted Group profit before tax up 5% to £83.5 million Year end debt down £79m (19%) to £337 million

7. 7 Consistent investment in brands paying off Commitment to Dairies business confirmed by new £75 million capital investment programme Investing in the future… % increase in consumers agreeing 2008-2010 Cathedral City is one of the best cheeses you can buy15% Clover is a good balance between health and taste100% Country Life is British23% FRijj has cool packaging33%

8. 8 Benefitting from being a broadly based business Strong recovery from Dairies division Ongoing delivery from Spreads No stock profits in Cheese 105 102 106

9. 9 Brands continue to outperform the market * DC value sales 12 months to 31 March 2010 v 12 months to 31 March 2009 ** ACN, IRI, TNS data 52 weeks to 21 March 2010 *** DC value sales 12 months to 31 March 2010 v 12months to 31 March 2007 12% 5% 4% 9% 12% 3% -2% 7% 67% 24% 45% 42% 21% 1% Core BrandMarketBrand growth 2009/10* Market growth 2009/10** 3 Year Brand growth 9/10 v 6/07*** UK Cheese UK Butter Spreads Margarine French non- butter spread Flavoured Milk

10. 10 There has been no let up in cost reduction projects -Davidstow milk collection outsourced -Closure of Fenstanton glass bottling -Redesign of spreads tubs -New media buying agency -Job reductions at Kirkby -Job reductions at Nuneaton warehouse Average employee numbers are falling More efficient dairies give us greater processing capacity Driving efficiencies and increasing capacity

11. 11 Defined benefit pension scheme closed Wexford sale progressing Less milk through Ingredients Fixed price, longer term milk purchasing contracts Reducing risk

12. 12 Workplace 10% fewer days lost from accidents Bonus scheme extended to a further 900 staff Community £400,000 raised for Macmillan Cancer Support Volunteer scheme introduced Environment 8% reduction in CO2 emissions 10% recycled material in polybottles Marketplace Fixed price milk buying contracts offered Lighter products reducing fat consumption Acting responsibly

13. 13 We have delivered consistently against the strategy we set out 18 months ago Strong growth in added value sales, ongoing cost reduction programme and strong cash generation have allowed us to -Increase profits -Increase investment -Increase final dividend -Reduce debt Summary of the year

14. Alastair Murray Finance Director Financial Review

15. 15 Adjusted profit before tax* up 5% to £83.5m (2009: £79.5m) Adjusted earnings per share* down 1% to 44.5p (2009: 45.0p) Final dividend up 4.6% to 13.6p (2009:13.0p) Net debt reduced by £78.6m to £337.2m (2009: £415.8m) Financial Highlights * Before exceptional items, amortisation of acquired intangibles and pension interest costs/income

16. 16 Income Statement £’mMar-10Mar-09 Profit on operations*105.8101.7 Finance Costs(22.4)(29.5) Share of JV net profit0.17.3 Adjusted profit before tax*83.579.5 Other finance (expenses)/ income – pensions (0.5)6.9 Exceptional Items4.026.4 Amortisation of acquired intangibles (9.2)(9.6) Profit before tax77.8103.2 Taxation (incl.exceptional tax)(25.3)(28.9) Group profit after tax52.574.3 * Before exceptional items and amortisation of acquired intangibles

17. 17 Segmental Analysis - Cheese Successful promotional activity has driven revenue growth of 6.5% Profits reduced due to higher cost of sales following milk price increases in 2008 and increased levels of promotion Cathedral City now worth £214m at retail prices benefitting from increased A&P investment £’mYear to Mar-10 Year to Mar-09 Revenue260.0244.2 Profit16.934.3 Margin6.5%14.1%

18. 18 Includes UK Spreads and St Hubert Strong performance from 3 key brands – Clover, St Hubert Omega 3 & Country Life – offset by lower sales of non-branded and other brands which have not been advertised and promoted as heavily Increasing cost pressure and competitive promotional environment impacted profit St Hubert continues to exceed expectations £’mYear to Mar-10 Year to Mar-09 Revenue277.7284.2 Profit54.059.5 Margin19.5%20.9% Segmental Analysis - Spreads

19. 19 Segmental Analysis - Dairies Good progress in our retail milk business – volumes up 8% Strong performance by FRijj Improved operating efficiencies, lower milk prices, decreased distribution costs and lower balancing volumes Doorstep sales have declined -Decline rate of 6% lower than last year (10%) -Over 250k registered milk&more customers at 31 March 2010 £’mYear to Mar-10 Year to Mar-09 Revenue1,081.21,108.2 Profit34.97.9 Margin3.2%0.7%

20. 20 Exceptional Items £mP&LCash Nuneaton prepack(1.5) Pensions curtailment gain16.3(0.6) Reduced OFT2.2- Onerous Contract-(0.5) 17.0(2.6) Nottingham Property Sale1.02.5 YDC Disposal2.01.2 Wexford Asset Impairment(16.0)0 4.01.1 * * *included in acquisition/disposal of business and assets

21. 21 Balance Sheet

22. 22 Operating Cash Flow *Before exceptional items and amortisation of acquired intangibles ** Difference between normal cash contributions and current service cost charged to income statement *** Share based payments and property profits £’mYear Mar-10Year Mar-09 Adjusted profit on operations*105.8101.7 Depreciation & amortisation38.140.6 Exceptional Items(2.6)(12.8) Pensions - normal** - additional (10.1) (10.0) (4.0) (12.0) Other ***(1.0)(3.5) Working capital25.719.1 Cash generated from operations145.9129.1 Capital expenditure(26.9)(49.3) Operating cashflow119.079.8

23. 23 £mYear Mar-10Year Mar-09 Operating cash flow119.079.8 Interest(22.1)(30.3) Tax(10.5)(9.2) Dividends paid(24.3)(32.3) Dividends received from JVs0.12.9 Acquisition / disposal of businesses and assets 10.784.2 Net cash flow72.995.1 Foreign exchange movements5.7(36.1) Movement in net debt78.659.0 Opening net debt(415.8)(474.8) Closing net debt(337.2)(415.8) Net Cash Flow

24. 24 Net Debt History

25. Mark Allen, Chief Executive Martyn Wilks, Executive Managing Director Foods St Hubert

26. 26 St Hubert -Strategic purchase in 2007 -Branded business – increases quality of Group earnings -European move facilitates further growth One in a series of transactions which have fundamentally reshaped Group Strong financial criteria applied including synergies with UK business Purchase price €370 million St Hubert – growth through acquisition

27. 27 Strong business with good products and distribution in France and Italy Since acquisition, we have grown volumes Grown profits Generated cash - €63 million in last 3 years St Hubert – beating expectations

28. 28 We have grown market share in France where St Hubert has overtaken Unilever’s Fruit d’Or…. 22.9 25.7 28.3 28.8 36.6 34.3 30.6 29.4 30.1 29 28.4 28.5 20052006200720082009 2010 St HubertFruit d'OrPrimevèrePlanta Fin 13,7 IRI CC au 7 mars 2010

29. 29 50.7 46.4 42.7 41.6 41.5 5.6 7.5 35.6 35.5 33.3 30.6 15.4 15.3 13.4 14.5 15.2 6.5 5.1 0.0 10.0 20.0 30.0 40.0 50.0 60.0 2006 2007 2008 2009 2010 ST HUBERTUNILEVERLACTALISO.L. …and overall we have narrowed the gap with Unilever in France

30. 30 Valle still value leader in Italian Spreads, and now also volume leader in enlarged Butter and Spreads market Margarine market - Value share 48.4 51.2 53.6 57.2 58.2 31.5 29.7 26.3 24.7 22.2 21.3 20052006200720082009 2010 ValleUnilever …and our Italian Valle brand is leading the market

31. 31 Benefitting from Dairy Crest’s ownership Clear and differentiated brand positioning Product superiority Consistent investment in R&D and CAPEX Increased media investment focused on St Hubert Omega 3 St Hubert - A strong business – growing stronger

32. 32

33. 33 St Hubert – the future Strong and stable management team Well placed for further organic growth -pipeline in place -interesting dairy-alternative category Offers a strong platform for further acquisitions

34. Mark Allen Chief Executive Looking Forward

35. 35 Dairy Crest is a UK based dairy food company with a significant profit stream from continental Europe Commodity businesses disposed of Clear decision to remain “broadly based” European platform established Strong and growing brands, a world class cheese supply chain, cost- efficient dairies, sound finances Dairy Crest today

36. 36 Focus on cost reduction and efficiency improvements Improve quality of earnings and reduce commodity risk Generate growth and focus the business through acquisitions and disposals Build market leading positions in branded and added value markets Looking Forward …we will continue to pursue the same strategy

37. 37 Growing brands milk&more Build market leading positions in branded and added value markets Focus on cost reduction and efficiency improvements Generate growth and focus the business through acquisitions and disposals Improve quality of earnings and reduce commodity risk …building added value sales…

38. 38 In 2009/10 we increased sales of key brands and milk to retailers by £52 million Over the last 3 years our 5 key brands have grown by nearly 50% We supply products that aim to meet consumers’ needs and earn their loyalty Our consistent investment in marketing is delivering results Ability to grow brands further Health Taste Convenience Ethical Home & Local

39. 39 Investment in media underpins brand growth

40. 40

41. 41 milk&more growth potential Good progress made with milk&more and first target of 250,000 registered customers achieved Reduced decline in doorstep sales Focus now is to increase amount spent by each customer Currently weekly spend is approximately £6 – significantly higher than normal sales Breaking new ground, but real prospect that milk&more could generate sales growth

42. 42 Growing brands milk&more Build market leading positions in branded and added value markets Focus on cost reduction and efficiency improvements Generate growth and focus the business through acquisitions and disposals Improve quality of earnings and reduce commodity risk …and driving efficiencies… Investing in Dairies Ongoing cost reduction

43. 43 Investment in Liquid Dairies New investment of £75 million over 3 years on liquid dairies – improving efficiencies and increasing capacity Total includes funds for innovation – packaging and product technology Opportunities to reduce distribution costs by further utilising national depot network and advanced planning technology We expect to commit around £25 million in 2010/11

44. 44 Ongoing Cost Reduction - taking costs from depots and head office In our Household business early results of pilot programme in 6 depots confirm that we can improve customer service and reduce costs by centralising administration away from Household depots Ongoing reduction in central overheads More projects in the pipeline

45. 45 …reducing risk and improving earnings… Build market leading positions in branded and added value markets Focus on cost reduction and efficiency improvements Generate growth and focus the business through acquisitions and disposals Improve quality of earnings and reduce commodity risk Growing brands milk&more Investing in Dairies Ongoing cost reduction Further work on pensions Wexford exit

46. 46 Build market leading positions in branded and added value markets Focus on cost reduction and efficiency improvements Generate growth and focus the business through acquisitions and disposals Improve quality of earnings and reduce commodity risk Growing brands milk&more Investing in Dairies Ongoing cost reduction …generating growth through acquisitions… Further work on pensions Wexford exit Stick to basics Look for appropriate opportunities

47. 47 Markets are tough but generally stable Signs of increased commodity input costs – we have a track record of being able to work in this environment We will continue doing the things that have contributed to recent success -investment in brands -strong promotional programme -further cost reductions -cash generation Trading at start of the year is in line with expectations and we are confident for the year as a whole Current year outlook

48. 48 A Compelling Investment Proposition Brand building Innovation Chilled distribution UK and Continental retailers Cost management Milk buying Corporate activity Underpinned by strong competencies Well defined strategy Sound, balanced customer base for both Liquid Products and Foods 5 key brands with good growth record and further potential Direct access to 1.3 million consumers Strong record of cost reduction with further opportunities Sound finances and strong cash generation Confirmed commitment to a progressive dividend policy Experienced, well-motivated management team