Slide 1: Investor Presentation, London, October 2015
INVESTOR PRESENTATION LONDON, OCTOBER 2015 eccellenza per la ristorazione = DAC: AN ITALIAN COMPANY FOR ITALIAN FOOD a
Slide 2: About us - history
| Lo ABOUT US - history DAC S.p.A., was founded in 1970 by Mr Giuseppe Scuola and since then it has become the second larger operator in catering and food distribution on the Italian domestic market. HIS Proudly Ee Bidvest _ ng pi! me In July 2014, more than 40 years after its creation, Dac has ente
Slide 3: About us - logistics
ABOUT US - logistics The very heart of the company is DAC’s headquarter in Brescia, a completely enclosed structure with a surface area of more than 25.000 m2. The branches in Padua and in Rome are the major arteries of our business and allow the company to reach any area on the domestic territory.
Slide 4: Our territory
ee ———>X<=xZ ABOUT US - our territory All DAC’s warehouses are equipped with a modern logistic plant and frozen storages in strict accordance with the Italian and European regulations. The quality is confirmed by the ISO 9002 Quality System Certificate. Thanks to its many platforms and its CESENA lo
Slide 5: Our numbers
ABOUT US - our numbers = 18.631 ASSORTMENT: - More than 16.000 items SALES FORCE: - 330 salesmen WORK FORCE: - 403 employees TRUCKS: - 105 property trucks - 184 third party trucks DELIVERIES: - 36 hours delivery - 684.151 yearly deliveries (2014) GOODS DELIVERED FROM OUR WAREHOUSES/KG: - Brescia: 11
Slide 6: Products
ABOUT US - products With more than 16,000 items in a complete range of product categories (dried, fresh and ultra-fresh foods, frozen foods; wine and beverage; non-food products), we can meet all the requirements of the ho.re.ca and institutional catering sector, offering our services as a global su
Slide 7: Products
od ABOUT US - products Over the last few years we have increased our investments in quality, tradition and wellness. In response to the latest trends and discoveries in nutrition, we have enriched our assortment with organic foods, geographical specialties, ethnic cuisine and gluten-free foods.
Slide 8: Private label
| Lo ABOUT US - private label The weight of private label products in DAC’s assortment is on the rise. By pushing private label brand, the company can capitalise on product innovation and offer its clients value-added products, which command a premium price. CO. CGr Arco is the DAC proprietary brand
Slide 9: Veritas collection
ee ABOUT US - veritas collection Veritas Collection: selection and excellence Neritas. Lect Veri tas Breakfast wry Cad S % wa - ? Zz Nn i g | ins \éritas Awa 3 a H 3 Sg i = A (ORT a he ; ; In 2006 DAC gave birth to the Veritas brand, with its various themes: Veritas in Vino Semper, Veritas Breakfast
Slide 10: Client service and training
ABOUT US - client service and training Veritas Kitchen is a professional setting, that combines Italian design with classic style. Its ultramodern equipment is dedicated to our salesmen and clients, to train them on our products. This extremely refined space has been designed and built for cooking c
Slide 11: Technological development: key account
ABOUT US - technological development: key account The majority of DAC’s key account clients is directly linked to our computerised systems and can send their orders in complete independence, with great benefit in terms of time and costs.
Slide 12: Technological development: smart sales app
ABOUT US - technological development: smart sales app A new corporate e-commerce app dedicated to DAC’s street clients is in preparation for release and will constitute a significant innovation. This new app will enable our customers to: - place their orders in a completely autonomous manner - recei
Slide 13: Technological development: GPS
—————————eE——E ABOUT US - technological development: gps DAC’s trucks are equipped with real time GPS locators, that communicate with our computerised systems and inform our Customer Service about the current state of any delivery. Canela Abbigliamento Moto ViaColone MAGAZZINIROSS! @ 8 Conforame Via
Slide 14: The Italian market - fragmentation
ee pe THE ITALIAN MARKET - fragmentation The foodservice market has, therefore, great potential, but is extremely fragmented and consists in a wide variety of commercial formulas. In this context, chains and groups totalled just 9,8% of commercial catering, well below all large developed countries.
Slide 15: DAC's business diversification
hss DAC’S BUSINESS DIVERSIFICATION Through its pro-active approach and the expertise acquired during 40 years of activity, DAC has diversified its business in this way: STREET MARKET KEY ACCOUNT EXPORT PUBLIC | 2013 2013 2013 2013 AN 32% 46.04%, 8.65% 3,99% 2015 2015 2015 2015 63,63% 26 33% 7,66% 2,
Slide 16: Sales breakdown by category
eee aes SALES BREAKDOWN BY CATEGORY ®& Ambient @ Frozen B@ Wine MH Non food ®@ Beverage ® Cold cuts @ Meat § Dairy Dairy (13.00%) Meat (7.00%) Ambient (36.00%) Cold cuts (6.00%) Beverage (5.00%) Non food (5.00%) Wine (4.00%) Frozen (24.00%)
Slide 17: Italian economic scenario
ee [os ITALIAN ECONOMIC SCENARIO First quarter GDP growth in 2015: 0,3% vs the preceding quarter. ltalian GDP: +0,1% compared to the first quarter of 2014. Italian GDP in 2015: +0,2% Final national consumptions: -0,1% Imports: + 1.4% Exports: stable. Final domestic demand: +0,2% Italian unemployment
Slide 18: The Italian market - OOH food consumption
| THE ITALIAN MARKET - OOH food consumption Analyzing the trend of Italian OOH food consumption, we can assume that Italian people are more willing to spend on eating out than on home cooking. In fact. OOH food consumption has decreased by only 3% in real terms from its peak in 2007, while AH consum
Slide 19: Italian market - the food service operators
: I hss ITALIAN MARKET - the food service operators Considering the food service operator market in Italy (worth 11 bn.) and its extreme fragmentation, we can see DAC’s great potential for growth: ry FIRST PLAYER 13,5% 30, EACH OTHER COMPETITOR : DAC 25 3% VERY LOW PERCENTAGE Italian scene is charac
Slide 20: DAC's growth
DAC’S GROWTH @= DAC's growth in last 10 years 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 SS
Slide 21: DAC's strategy - domestic market
ee DAC’S STRATEGY - domestic market Aganinst this background DAC makes its way thanks to the dynamic managements strategy: - Exploit our broad assortment in order to multiply the products sold to well-known clients (“one stop shop”). - Putin place incentives policies, in order to intercept the sales
Slide 22: Export - turnkey Italian Spirit
od pe EXPORT - turnkey “Italian Spirit” More than 12 years ago we started to export Italian food. Thanks to: / / IN THE HIGH END - avery large network of contacts with - the extremely favourable contracts the - the know-how developed in 40 years Italian food producers company has been able to conclu
Slide 23: DAC's strategy - export market
—————————eE——E ——————e—e—eeEeEeEE DAC’S STRATEGY - export market DAC’s export is so far 7,66% of the whole turnover: ee tw wae - We keep increasing and enhancing our well-established export activities, while being open to new, expanding markets. - The entry in the Bidvest group has broaden our expor
Slide 24: Many thanks for your attention
MANY THANKS FOR YOUR ATTENTION London, October 2015 z -