Molson Coors Beverage Company · NYSE:TAP
Molson Coors Beverage — Molson Coors Brewing Company — Investor Day (March 2011)
106 slides from Molson Coors Beverage's investor day presentation, Mar 2, 2011
Slide 1: Molson Coors Brewing Company Annual New York Analyst/Investor Meeting
Molson Coors Brewing Company Annual New York Analyst/Investor Meeting March 2, 2011
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Slide 3: Peter Swinburn, Chief Executive Officer, Molson Coors
Peter Swinburn Chief Executive Officer, Molson Coors 3
Slide 4: Forward-Looking Statement
Forward‐Looking Statement Forward‐Looking Statements: This presentation may include estimates or projections that constitute “forward‐looking statements” within the meaning of the U.S. federal securities laws. Generally, the words “believe,” expect,” intend,” anticipate,” “project,” “will,” and simi
Slide 5: Agenda
Agenda • Peter Swinburn, CEO, Molson Coors Introductions and strategic g overview • Business Updates Leo Kiely, CEO, MillerCoors Dave Perkins, CEO, Molson Coors Canada Mark Hunter, CEO, Molson Coors U.K. Kandy K d A Anand, d President, P id t Molson M l Coors C International I t ti l • Ste
Slide 6: Growing Through Strategic Focus & Discipline
Growing Through Strategic Focus & Discipline M&A SHAREHOLDER VALUE Top line Top‐line Emerging Growth Markets Push Growth in Current Bottom‐line Growth Markets 6
Slide 7: Maximizing Value of Current Markets
Maximizing Value of Current Markets “Our strategic focus on brands, innovation and cost management puts us in a position to generate stronger top‐line growth as consumer confidence returns.” G Growth th iin Current Markets 7
Slide 8: Investing in Brand & Portfolio Building
Investing in Brand & Portfolio Building • Strengthening leading brands • Expanding brand portfolio at the super‐premium level US Canada UK • Leveraging regional and cross‐border opportunities 8
Slide 9: Innovation Driving Share & Price Gains
Innovation Driving Share & Price Gains 4Q Share 4Q Price FY Share FY Price U.S. CANADA U.K. 9
Slide 10: Cost Management = Profit & Cash Flow
Cost Management = Profit & Cash Flow Cost Savings 2005‐2010 MCBC & Mill C MillerCoors (42%) costt $851 million illi off annualized li d savings i reductions delivered Underlying U d l i Pre‐Tax P T Profit P fi 2010 Molson Coors $794.4 million (+10.6%) U d l i Free Underlying F C Cash h Flow Fl 2010
Slide 11: Accelerate Push into Emerging Markets
Accelerate Push into Emerging Markets “Accelerating our exposure to emerging markets is an imperative.” imperative. Emerging Markets Push G Growth h in i Current C Markets M k 11
Slide 12: Accelerate Push into Emerging Markets
Accelerate Push into Emerging Markets Target Attractive, High Growth Beer Markets Russia China Mexico Japan Spain Vietnam 12
Slide 13: Explore Partner and M&A Opportunities
Explore Partner and M&A Opportunities “We will always take a disciplined approach to exploring M&A opportunities.” opportunities. M&A Emerging Markets Push Growth in Current Markets 13
Slide 14: Explore Partner and M&A Opportunities
Explore Partner and M&A Opportunities • Three components to our M&A strategy 1. Small “fill‐in” acquisitions in current markets 2. Investing internationally (i.e. China JV) 3. Larger M&A • Apply pp y a rigorous, g , disciplined p process p to all our cash‐use decisions • Larger M&A requires a clear
Slide 15: Growing Through Strategic Focus & Discipline
Growing Through Strategic Focus & Discipline M&A SHAREHOLDER VALUE Top‐line Growth Emerging Markets Push Growth in Current Bottom‐line Growth Markets 15
Slide 16: Leo Kiely, Chief Executive Officer, MillerCoors LLC
Leo Kiely Chief Executive Officer, MillerCoors LLC 16
Slide 17: 2010 Challenges
2010 Challenges Unemployment Beer Category Premium Lights +9% ‐1% 1% 17
Slide 18: Full-Year Profit Solid Despite Volume Declines
Full‐Year Profit Solid Despite Volume Declines Year End 2010 Results • Underlying net income +21.9% • Total revenue 0.0% • NRPB +2 3% +2.3% • Sales‐to‐Retailers (3.2%) Non‐GAAP underlying income is calculated by excluding special and other non‐core items from the nearest U.S. GAAP earnings. See reco
Slide 19: Surpassed $500 Million Synergies Goal in Q4
Surpassed $500 Million Synergies Goal in Q4 Total Committed Savings Achieved Savings ($mm) to Date ($mm) Synergies 500 505 Cost Savings 250 150 Total Savings 750 655 19
Slide 20: Creating America's Best Beer Company
© MillerCoors: CREATING AMERICA’S BEST BEER COMPANY PEOPLE Build a winning culture Leverage our powerful brands PARTNERS Win at retail SCALE RESPONSIBILITY Grow our business the right way MOLSON Cocks 20
Slide 21: 2011-13 Growth Priorities
2011‐13 Growth Priorities • Innovate and differentiate our Premium Lights • Build B ild C Crafts ft and d IImports t • Brew America’s best quality beer, service our distributors and retailers with distinction 21
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Slide 24: Innovation
Innovation 24
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Slide 26: Innovation
Innovation 2008 ‐ 2010: $100+ million $100 illi Investment 26
Slide 27: Winning with Multicultural
Winning with Multicultural 27
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Slide 29: wosontol
wosontol
Slide 30: La Mezcla Perfecta
La Mezcle Perfecta The ngmthy Brewed With Coriander and Orange Peel Keith Villa — Brewenactes MOLSON WHT FERONI 30
Slide 31: Brewery Optimization
Brewery Optimization • 14.5 million barrels off annuall b beer production transitioned Milwaukee Golden Shenandoah • 7 breweries Trenton Eden producing I i d l Irwindale Albany new products Fort Worth • 38 products d and d packages moved 31
Slide 32: Execution: Supplier of the Year
Execution Supplier of the Year RESULTS: • Growth: 2.5% 2 5% • Chain: +1.8% • PODs: +337,000 +337 000 • Displays: +2.7% (2 5 X Category) (2.5 32
Slide 33: © MillerCoors:
© MillerCoors:
Slide 34: Dave Perkins, Chief Executive Officer, Molson Coors Canada
Dave Perkins Chief Executive Officer, Molson Coors Canada 34
Slide 35: Molson Coors Canada Delivering on Commitments in 2010
Molson Coors Canada Delivering on Commitments in 2010 2010 Accomplishments in Canada NSR/hl growth COGS/hl down Full‐year share Continued focus in Q3 and Q4 3.1% gain of 0.9 pp on Innovation (local currency) (local currency) 35
Slide 36: Canada Industry – Another Challenging Year
Canada Industry – Another Challenging Year Industry % Change vs. 2009 Share of Industry Decline vs Ontario Quebec West Atlantic Canada Share of Total Market 0 0% 0.0% 80% ‐0.5% 60% 40% ‐1.0% 20% ‐1.5% 0% Ontario Quebec West Atlantic ‐2.0% % Of Market 35% 26% 31% 8% ‐2.5% % Of Decline 6% 20% 66% 8% 3
Slide 37: MCBC – Positive Traction on Volume, Income
MCBC – Positive Traction on Volume, Income Sales‐to‐Market Volume Underlying Pretax Income(1) (in thousand HLs) (Local Currency $CAD mm) 9,200 492 $490.2 9,141 490 9,150 488 9 100 9,100 486 9,050 9,016 484 $481.5 482 9,000 480 8,950 478 8,900 476 2009 2010 2009 2010 (1) In $US: 2010 underlying preta
Slide 38: We Increased Our Presence in the Super Premium and Value Segments
We Increased Our Presence in the Super Premium g and Value Segments • Molson continues to be strongg in Premium/Premium / 23% 21% Above light segments Premium • Opportunity still exists for MCC in the Premium 55% 65% Above Premium & Value segments • Focus in 2011 will be to gain Value 22% 14% “fair
Slide 39: Innovation Leading the Way in 2010
Innovation Leading the Way in 2010 Value Super Premium Premium 010 Marrket Sharre Changge 20 39
Slide 40: 2010 Industry Overview
2010 Industry Overview West Ontario Quebec Atlantic % of total I d t Industry 31% 35% 27% 8% MCC size in region #2 2 #1 #1 #2 Molson Coors Canada is largest brewer in the key Ontario & Quebec markets 40
Slide 41: Beer Consumption is Below 2009 Levels
Beer Consumption is Below 2009 Levels Beer Spirits Wine Total: 5 Year Volume CAGR 0.3% 1.7% 5.6% 1.8% Beer Spirits Wine Total: 5 Year Revenue CAGR* 2.0% 4.0% 7.0% 4.0% * Estimated based on Canada statistics data through March 31, 2009 41
Slide 42: Looking Beyond the Beer Category
Looking Beyond the Beer Category Perceived Benefit of Wine Brand Solution Sense of Sophistication Low Calorie Perception Perception – Wine goes with Food Taste Novelty 42
Slide 43: Molson Canadian
Molson Canadian y DN. | eeSes a? . ovale i MOLSON ANADIAN. Made from Canada
Slide 44: The Winter Olympics
The Winter Olympics Vancouver 2010 i ave a MOLSON ANADIAN. GEAR UP FOR GOLD CANADIANS GEARED UP FOR GOLD = 10 = cea | It's time to gear up Canada ar conor we 016k ur own, backyal Vancouver 2010 Winter Game Ice Hockey Jersey as your profil Pz er My Jersey t van 2010 OFFICIAL SUPPLIER r FICE MOLSON @0
Slide 45: Molson Canadian Success in 2010
Molson Canadian Success in 2010 THE HEAD THE HEART THE WALLET +25pts +16pts +22pts +12pts +19pts +28pts +29pts 57 60 52 54 51 46 47 50 43 45 40 27 27 29 27 30 26 18 20 10 0 Has a clean, Is superior Celebrates Makes me Is a brand I Is a brand I Is worth crisp, fresh quality the freedom proud of am pr
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Slide 51: Export Re-Launched
Export Re‐Launched 51
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Slide 53: Coors Light
Coors Light 53
Slide 54: Coors Light Silver Bullet Express
Coors Light Silver Bullet Express 54
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Slide 56: We Also Focused on Our People in 2010
We Also Focused on Our People in 2010 • Investing behind Leadership Development and capability • Named one of Canada’s Top 100 Employers in 2011 • Focused on increasing employee engagement across the business – named into 50 Most Engaged workplaces by the Canadian Company I Love Rewards • Celebratin
Slide 57: Cost Saving Continues as a Key Financial Lever to Build Our Brands
Cost Saving Continues as a Key Financial Lever to Build Our Brands % IMPACT ON 2010 COGS vs. PY Q1 Q2 Q3 Q4 FY COGS before RFG ‐1.3% 1.2% ‐2.2% 1.3% ‐0.2% RFG Savings ‐3.3% ‐3.0% ‐2.3% ‐2.9% ‐2.9% COGS after RFG ‐4.6% 4 6% ‐1.8% 1 8% ‐4.5% 4 5% ‐1.6% 1 6% ‐3.1% 3 1% • We will continue to focus on co
Slide 58: Molson Coors Canada Has Established the Platform for Growth
Molson Coors Canada Has Established the Platform f ffor Growth • We continued to strengthen our brand portfolio throughout g 2010 , p providingg p platform for brand led ggrowth • Innovation based on consumer insight will drive more consumer excitement and value • Price / value issues are being acti
Slide 59: Mark Hunter, Chief Executive Officer, Molson Coors U.K.
Mark Hunter Chi f Executive Chief E ti Officer Offi Molson Coors U.K. 59
Slide 60: In 2010 We Exceeded Our Performance Expectations and Delivered On Our Commitments
In 2010 We Exceeded Our Performance p Expectations and Delivered On Our Commitments • 24% underlying pre‐tax income growth in local currency (£) (excluding £12 million of DB pension expense) • P i i growth Pricing th ffor 16 consecutive ti quarters, t with ith 11% growth th in i 2010 Value ahead o
Slide 61: The UK And Irish Beer Market And Economy Remain Extremely Challenging
The UK And Irish Beer Market And Economy Remain Extremelyy Challenging g g • Continuing UK industry volume decline • Continuing industry overcapacity • Shift of volume to major off‐premise customers • Retail R il price i d deflation fl i iin growing i channels h l • Excise dutyy escalator – inflatio
Slide 62: Our UK & Irish Business Has Significantly Improved Performance by Executing a Three Phase Plan
Our UK & Irish Business Has Significantly Improved Performance by Executing a Three Phase Plan 2005 ‐ 2007 Stabilisation via cost focus Growth via value ahead of volume and asset utilisation: 2008 ‐ 2010 ‐ Price growth every quarter and gross margin growth 2009‐ 2010 ‐ Increased I d brand b d invest
Slide 63: 2010 Underlying £ Earnings Grew by 24%
2010 Underlying £ Earnings Grew by 24% U.K. Underlying Pretax Income* (excluding DB Pension expense) (in millions) UK DB Pension Expense/(Credit) £0.7 £(5.9) £(5.0) £0.2 £(7.2) £12.0 US$ Underlying Pretax Income $80.4 $97.9 $103.6 $80.9 $109.7 $98.4 The difference between reported underlying pretax
Slide 64: 2010 Financial Performance Moved Forward
2010 Financial Performance Moved Forward Measure(1) 2008 2009 2010 Return on Sales(2) 6.4% 7.9% 9.6% Gross Profit 32.6% 35.1% 35.9% … and maintained substantial free cash flow generation (1)In £. (2)Underlying pretax income, excluding specials, DB pension costs (2008 £0.2m, 2009 £(7.2)m, 2010 £12.0m
Slide 65: Focus On 'Value Ahead Of Volume' Has Delivered 16 Consecutive Quarters of Pricing Growth
Focus On ‘Value Ahead Of Volume’ Has Delivered 16 Consecutive Quarters of Pricing Growth and Two Years of Total Revenue Growth 1.30 1.05 1.25 1.00 1.20 1.15 0.95 1.10 1.05 0.90 1.00 0.85 0.95 0.90 0.80 2004 2005 2006 2007 2008 2009 2010 NSR £/brl Total NSR £m NSR / Brl NSR % Change % Change 2004 ‐ 2
Slide 66: UK Market Share Has Been Consistent Since the Middle of 2010
UK Market Share Has Been Consistent Since the Middle off 2010 Share of UK Beer Market ‐ rolling 12 months 25.0% 23.0% 21.0% 19.0% 17.0% 15.0% Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec … while maintaining value ahead of volume strategy 66
Slide 67: The Next Phase in Our Journey Will Focus On Top Line and Driving Market Share Growth
The Next Phase in Our Journey Will Focus On g Top Driving p Line and Market Share Growth 2005 ‐ 2007 Stabilisation via cost focus 2008 ‐ 2010 Growth via value ahead of volume and asset utilisation: ‐ Price growth every quarter and gross margin growth 2009‐ 2010 ‐ Increased I d brand b d investment i
Slide 68: Consumers at the Heart of Portfolio Planning
Consumers at the Heart of Portfolio Planning Business B i D Driver: i Consumer at the heart Guiding Principle: Clear and differentiated consumer reason to believe amplified through KEY OPPORTUNITIES compelling p g category g y stories 68
Slide 69: Our Portfolio Delivers Against All Consumers and All Occasions
Our Portfolio Delivers Against All Consumers and All Occasions Energised Premium World Discovery Modern Portfolio Mainstream Beers Beers of Ales for drinkers of today and tomorrow A characterful A credible premium A premium family of beers The UK’s No.1 that provide lager brand that’s Thai luxury be
Slide 70: The UK's No.1 Beer Brand: Build Carling Family
The UK’s No.1 Beer Brand 1 B ild C Build Carling li FFamily il Positive TARGETED, Proud DIFFERENTIATED AND Modern ive COMPELLING Imaginat Confiden t COMMUNICATIONS Open Witty Outgoing Sees the Forward humour Thinking in life SCALE PROMOTIONS WITH A FOCUS ON QUALITY AND EXPERIENCE RE‐DESIGN ALL CONSU
Slide 71: Building the Scale of Coors Light, Cobra and Corona Will Give Our Portfolio Depth
Building the Scale of Coors Light, Cobra and Corona Will Give Our Portfolio Depth 2 Drive Visibility and Availability of Coors Light, Cobra and Corona CELEBRATE THE SERVE CONSISTENT, RELEVANT, TARGETED COMMUNICATIONS SAMPLING AND EVENTS SCALE NEW COMMUNICATIONS PROMOTIONS 71
Slide 72: Repositioning Grolsch and Ales Will Drive Portfolio Breadth
Repositioning Grolsch and Ales Will Drive f Portfolio Breadth PREMIUMISE EVERY TOUCHPOINT 3 Modernise and Premiumise Grolsch & Ales MODERNISE THE CATEGORY AND RE‐ CONNECT WITH YOUNGER DRINKERS NEW FONTS, GLASSWARE AND PACKAGING 72
Slide 73: The Acquisition of Sharp's Brewery Further Broadens the Portfolio
The Acquisition of Sharp’s Brewery Further f Broadens the Portfolio Founded in 1994 ‐ a brewer of cask conditioned beer, based at Rock in Cornwall with a team of 70 people Cornwall, people. Doom Bar is highly complimentary to Molson Coors’ existing portfolio. Secures a strong position in the relativ
Slide 74: A Relentless Focus on Innovation
Putting Consumer Needs at the Heart of Our p Revitalize the Category Innovation Will Help g y 4 A Relentless Focus on Innovation OUR AGENDA IS SHAPED BY A RELENTLESS FOCUS ON THE CONSUMER EXPERIENCE AND GIVING A CLEAR “REASON “ TO BELIEVE”” Beers to appeal to a new, A range of beer discovery for wom
Slide 75: Improving the Purchase Experience Is Key to Winning With Shoppers/Drinkers
Improving the Purchase Experience Is Key to Winning With Shoppers/Drinkers D i Growth Drive G th Through Th h IImproved dCConsumer On‐Premise 5 Experience Exceptional p experiences p Off‐Premise • Liquid optimisation programmes After • Enhanced experiences through revamped fonts and glassware Before
Slide 76: Summary: Broader Portfolio to Target a Broader Range of Consumers and Occasions
Summary : Broader Portfolio to Target a Broader g off Consumers and Occasions Range 1 Build Carling Family 2 Drive Visibility and Availability of Coors Light, Cobra and Corona 3 Modernise and Premiumise Grolsch & Ales 4 A Relentless Focus on Innovation Drive Growth Through Improved Consumer 5 Experi
Slide 77: The Next Phase In Our Journey Will Focus On Top Line and Driving Market Share Growth
The Next Phase In Our Journey Will Focus On g Top Driving p Line and Market Share Growth 2005 ‐ 2007 Stabilisation via cost focus 2008 ‐ 2010 Growth via value ahead of volume and asset utilisation: ‐ Price growth every quarter and gross margin growth 2009‐ 2010 ‐ Increased I d brand b d investment i
Slide 78: Kandy Anand, President, Molson Coors International
Kandy Anand President, Molson Coors International 78
Slide 79: MCI - Vision
MCI ‐ Vision MCI Vision To Be The Enterprise Growth Engine Deliver D li Meaningful M i f l % Of MCBC Annual Pretax Income Growth Within 5 Years 79
Slide 80: MCI - Strategy
MCI ‐ Strategy Tight Focus Strong Teams Greater Controll 80
Slide 81: MCI - Tight Focus
MCI ‐ Tight Focus • Apply strict market screening process Ease of access & brand affinity Profit pool & growth rate • Pursue regional hub and spoke model Drive supply chain and management synergies Increase regional traction on brand awareness/marketing • Drive Critical mass with Coors Light
Slide 82: Vietnam Launch in Mass Premium Segment
Vietnam Launch in Mass Premium Segment • Partnership with Viet Thai International, one of Vietnam’ss leading Vietnam consumer company • Coors Light innovation with local twists • C Coors Li Light h wellll positioned ii d for both climate and emerging middle class Volume (mm HL): 2009 2018 vs. ‘09 M
Slide 83: MCI - Strong Teams
MCI ‐ Strong Teams • Leadership and bench strength New Regionall Managing Director in Asia Regional Leaders will be based in Hong Kong, Madrid and Miami • Move center of gravity to region/country Capable, local, country‐level GMs Synergies will be driven in all functional areas. Low‐cost sys
Slide 84: Launch in Russia With Dedicated Marketing Team
Launch in Russia With Dedicated Marketing Team • Investment behind experienced Russian team, on the ground in Moscow • Partnership with very capable bl MMoscow B Brewing i Company, with strong route‐to‐market and one of Europe’ss most modern Europe facilities brewing and distributing Coors Light Wor
Slide 85: MCI - Greater Control
MCI ‐ Greater Control • MCI ready to invest as market opportunities arise • Desire to secure greater control and share of the value chain versus licensing or export through capital investment Targeting motivated, local partners in business model • Building effective route‐to‐market (RTM), greater
Slide 86: First On the Ground Investment in China
First On the Ground Investment in China • Formed 51% controlling interest joint venture with Hebei Si Si’hai hai Beer Company of China • Expands sales and distribution of emerging portfolio of brands led by Coors Light and regionally strongg Si’hai brands • Provides first locally owned & controlled
Slide 87: MCI - Summary
MCI ‐ Summary • Accelerated international Tight Focus Strong Teams investment an imperative Greater Control • MCI focused on becoming the growth engine of the enterprise To Be The Enterprise Growth Engine • A rigorous, practical growth strategy gy to achieve vision now in place • Significant progres
Slide 88: Stewart Glendinning, Chief Financial Officer, Molson Coors
Stewart Glendinning Chief Financial Officer, Molson Coors 88
Slide 89: Strategies Drive Financial Strength & Performance
Strategies Drive Financial Strength & Performance • Goal: To grow business – top line and bottom line – and build substantial long‐term g shareholder value • Improved financial strength and performance Last 5 years 2010 highlights • 2011 Free F C h Flow Cash Fl Goal G l • Disciplined capital dep
Slide 90: 2006-2010 Underlying Pretax Income
2006‐2010 Underlying Pretax Income MCBC Underlying Pretax Income ($mm) +11% $800 +12% +20% ‐1% $600 $ +23% $400 $200 $0 2006 2007 2008 2009 2010 Non‐GAAP underlying income is calculated by excluding special and other non‐core items from the nearest U.S. GAAP earnings. See reconciliation to the neare
Slide 91: 2006-2010 Underlying Free Cash Flow
2006‐2010 Underlying Free Cash Flow MCBC Underlying Free Cash Flow ($mm) $1,000 $924 $800 $729 $600 $532 $557 $421 $400 $200 $0 2006 2007 2008 2009 2010 Underlying free cash flow is defined as operating cash flow, plus asset sale proceeds, less capital spending and one‐time cash uses, plus or minus
Slide 92: 2006-2010 Underlying Free Cash Flow Margin
2006‐2010 Underlying Free Cash Flow Margin Underlying Free Cash Flow as a Percent of Net Sales 16% 14% 12% 10% 8% 6% 2006 2007 2008 2009 2010 Underlying free cash flow is defined as operating cash flow, plus asset sale proceeds, less capital spending and one‐time cash uses, plus or minus investing c
Slide 93: Cost Reductions – MCBC and MillerCoors (42%)
Cost Reductions – MCBC and MillerCoors (42%) ($mm) $851 million of Cost Savings Delivered Since 2005 93
Slide 94: 2010 Performance Highlights
2010 Performance Highlights • Positive pricing in each core business • Cost savings underpinned financial performance • Increased d gross margins i y gp • Underlying pretax earnings g increased 10.6% to $794.4 million • Underlying after after‐tax tax earnings of $666 $666.9 9 million million, decrea
Slide 95: 2010 Underlying Free Cash Flow
2010 Underlying Free Cash Flow 2010 Underlying Free Cash Flow: $924 Million, up 27% $1,000 $950 $12.5 $ 2 $5.2 $23.8 $924.3 $62.4 ($19.1) $900 $850 $110.5 $800 $750 $729.0 $700 2009 Operating MillerCoors One Time Cash Paid for Other CapEx 2010 Income Investment / Items Taxes Return R Underlying free
Slide 96: 2011 Underlying Free Cash Flow Goal
2011 Underlying Free Cash Flow Goal 2011 Underlying Free Cash Flow Goal: $750 million, +/‐ 10% • 19% lower than 2010 actual >$150 million 1x and temporary cash sources in 2010 ~$50 $50 million higher MCBC capital spending in 2011 • Driven by: Operating O i earnings i Changes in working capit
Slide 97: Returns on Invested Cash Drive Long-Term Value
Returns on Invested Cash Drive Long‐Term Value h to Opportunitiies eet eholders Return Cash Balancce She Strenggthen Growtth Share Strong, disciplined review process; strict return criteria 97
Slide 98: Growth Opportunities
Growth Opportunities • Profitable growth opportunities in our big markets as economic conditions improve p Focus: Strengthening our competitive position • Investments in select non‐core and emerging markets to accelerate l the h growthh off our brands b d globally l b ll Examples: China, Spain,
Slide 99: Strengthen Balance Sheet
Strengthen Balance Sheet 4.0x Net Debt/EBITDA 3.6x 30 3.0x 3.0x 3 0x 3.0x 3 0x 3.0x 2.8x 2.0x 1.8x 1.6x 1.4x 09 0.9x 1.0x 0.6x 0.0x 2006 2007 2008 2009 2010 (1) (2) S&P Reported Debt / EBITDA Net debt to EBITDA (1) 2010 S&P leverage calculation is estimated by the company based on YE 2010 results. (
Slide 100: Annual Dividends Paid ($/share)
Return Cash to Shareholders Dividends Paid Annual divvidends Paaid ($/share) (% increase in quarterly rate) 1.20 +16.7% 1.00 +20% 0 80 0.80 +25% 0% 0% 0.60 0 40 0.40 $0.64 $0.64 $0.76 $0.92 $1.08 0.20 0 00 0.00 A 2006 2007 2008 2009 2010 g with board regarding Continue dialogue g g buybacks y 100
Slide 101: Returns on Invested Cash Drive Long-Term Value
Returns on Invested Cash Drive Long‐Term Value h to Opportunitiies eet holderrs Balancce She n Cash Strenggthen Growtth SShareh Return Strong, disciplined review process; strict return criteria 101
Slide 102: Strategies Drive Long-Term Value
Strategies Drive Long‐Term Value • Goal: To grow business – top line and bottom line – and build substantial long‐term shareholder value Maximize value of core markets Increase exposure p to high‐growth g g markets Explore value‐creating M&A opportunities • Delivered on cost savings to drive e
Slide 103: Peter Swinburn, Chief Executive Officer, Molson Coors
Peter Swinburn Chief Executive Officer, Molson Coors 103
Slide 104: Maintaining Strategic Focus and Discipline
Maintaining Strategic Focus and Discipline M&A Top‐line SHAREHOLDER Growth h Emerging VALUE Markets Push Growth in Current Bottom‐line Growth Markets 104
Slide 105: Q&A
Q&A 105
Slide 106: Molson Coors Brewing Company
Molson Coors Brewing Company Annual New York Analyst/Investor Meeting March 2, 2011
Molson Coors Brewing Company — Investor Day (March 2011) on 6ix