MIDSOUTH Region

Regional Composite

REGIONALDATA REPORT

JAN - JUN2013 vs. 2012

2

Methodology

• Sales and Market Data is obtained using CAST (Category Avocado Sales Trend)– IRI gathers chain-wide sales across all RMAs (Retail Market Areas)

• Starting in 2013, the IRI Regions reflect an expanded retail data set which includes sales and volume from Walmart, Sam’s Club, Target and BJ’s, in addition to traditional grocery retailers

– Data is entered into CAST system– Using CAST, data is queried and reported approximately every 4 weeks

• Average Selling Price (ASP) is not Advertised Retail Price– Average selling price is the average of all prices including coupons, promotional

pricing, club/loyalty card deals that are given at the register at the time of purchase

• Categories: Total Avocados Fruit = Total Fruit excluding Avocados

Produce = Total Produce including Avocados

• Timeframe: YTD Q1 and Q2 (January – June) 2013

• Retail data provided by IRI / FreshLook Marketing

• Important Note: IRI / FreshLook Marketing periodically restates retail data, therefore this review cannot be compared or used in conjunction with prior reviews

3

Midsouth Region: Highlights - YTD through Q2

• Overview based on the following geography:– The Midsouth Region captures the Markets of Baltimore, Charlotte, Louisville,

Nashville, Raleigh, Richmond and Roanoke, plus additional cities not included in those Markets

• Midsouth Overview– Through Q2 2013, Avocado retail dollars trended ahead of Fruit by +9 points and

Produce by +11 points– Category dollars were up +15% in 2012 and +19% in 2013 for a net growth of +36%

over 2011– Category units grew +34% in 2012 and +24% in 2013 for a net growth +65% over

2011– Category average selling price (ASP) decreased -14% in 2012 and -4% in 2013 to

$1.11/unit

• Midsouth Per Store Averages– 2013 Average dollars of $6,334 per store were +10% higher than 2012 and +22%

higher than 2011– 2013 Average units of 5,720 per store were +15% higher than 2012 and +48%

higher than 2011

• Midsouth versus Total U.S. trends– MS category unit growth of +24% was +3 points higher than the national average– MS category dollar trend of +19% was +5 points higher than the national average– MS 2013 category ASP of $1.11/unit was +14% higher than the national average of

$0.97/unit

4

Midsouth: YTD through Q2Retail Dollar Trend Comparisons

• Avocado retail dollars through Q2 2013 trended ahead of Fruit and Produce – 2012 versus 2011, Avocados dollar growth of +15% outpaced Fruit by

+11 points and Produce by +14 points– 2013 versus 2012, Avocado dollar growth of +19% outpaced Fruit by

+9 points and Produce by +11 points– 2013 versus 2011, Avocados dollar growth of +36% outpaced Fruit by

+22 points and Produce by +27 points

5

Midsouth: YTD through Q2 Avocado Retail Overview

• Category dollars were up +15% in 2012 and +19% in 2013 for a net growth of +36% over 2011

• Category units grew +34% in 2012 and +24% in 2013 for net growth of +65% over 2011

• Category average selling price (ASP) decreased -14% in 2012 and -4% in 2013 to $1.11/unit

6

Midsouth vs. Total U.S. YTD through Q2 PLU Comparisons

• MS category unit growth of +24% was +3 points higher than the national average

– MS growth was primarily driven by PLU 4225 which grew +11 million units

• MS category dollar trend of +19% was +5 points higher than the national average

– MS growth was primarily driven by PLU 4225 which grew +$11 million

• MS 2013 category ASP of $1.11/unit was +14% higher than the national average of $0.97/unit

RETAIL UNITS

PLU Description 2012 2013 Variance 2012 2013 Variance

4046 Small Hass #60 sizes & smaller 17,611,886 12,346,748 -29.9% 272,046,564 263,969,000 -3.0%

4225 Large Hass #40 & #48 sizes 16,626,500 28,105,970 +69.0% 245,887,799 324,453,638 +32.0%

4770 X-Large Hass #36 sizes & larger 2,619,321 4,769,941 +82.1% 11,254,402 32,886,064 +192.2%

Other Greenskins, Pinkertons, non-Hass PLUs 601,383 736,554 +22.5% 9,853,191 12,048,976 +22.3%

Organic All Organic PLUs 506,844 539,219 +6.4% 6,838,820 8,435,774 +23.4%

Bags All bagged PLUs 8,529,010 11,015,903 +29.2% 69,720,218 99,372,194 +42.5%

46,494,944 57,514,335 +23.7% 615,600,994 741,165,646 +20.4%

RETAIL DOLLARS

PLU Description 2012 2013 Variance 2012 2013 Variance

4046 Small Hass #60 sizes & smaller 18,111,403$ 11,872,233$ -34.4% 216,007,559$ 188,736,395$ -12.6%

4225 Large Hass #40 & #48 sizes 21,605,880$ 33,004,102$ +52.8% 304,290,527$ 371,669,375$ +22.1%

4770 X-Large Hass #36 sizes & larger 5,005,818$ 7,429,645$ +48.4% 19,675,457$ 42,944,115$ +118.3%

Other Greenskins, Pinkertons, non-Hass PLUs 1,130,252$ 1,388,996$ +22.9% 18,355,050$ 20,426,770$ +11.3%

Organic All Organic PLUs 976,394$ 1,001,464$ +2.6% 11,080,266$ 13,234,753$ +19.4%

Bags All bagged PLUs 6,898,843$ 8,990,750$ +30.3% 60,889,533$ 81,833,924$ +34.4%

53,728,591$ 63,687,190$ +18.5% 630,298,392$ 718,845,332$ +14.0%

AVERAGE SELLING PRICE (ASP) / UNIT

PLU Description 2012 2013 Variance 2012 2013 Variance

4046 Small Hass #60 sizes & smaller $1.03 $0.96 -6.5% $0.79 $0.71 -10.0%

4225 Large Hass #40 & #48 sizes $1.30 $1.17 -9.6% $1.24 $1.15 -7.4%

4770 X-Large Hass #36 sizes & larger $1.91 $1.56 -18.5% $1.75 $1.31 -25.3%

Other Greenskins, Pinkertons, non-Hass PLUs $1.88 $1.89 +0.3% $1.86 $1.70 -9.0%

Organic All Organic PLUs $1.93 $1.86 -3.6% $1.62 $1.57 -3.2%

Bags All bagged PLUs $0.81 $0.82 +0.9% $0.87 $0.82 -5.7%

$1.16 $1.11 -4.2% $1.02 $0.97 -5.3%

JANU

ARY

- JU

NE: 2

012

vs 2

013

Midsouth Total U.S.

TOTAL CATEGORY UNITS

Midsouth Total U.S.

TOTAL CATEGORY DOLLARS

Midsouth Total U.S.

CATEGORY ASP ($/Unit)

7

Midsouth: YTD through Q2 Category Per Store Averages

• In 2013, per store dollar and unit averages exhibited growth over the prior year

– 2013 Average dollars of $6,334 per store were +10% higher than 2012 and +22% higher than 2011

– 2013 Average units of 5,720 per store were +15% higher than 2012 and +48% higher than 2011

$5,203$5,736

$6,334

+10.2% +10.4%

Avg Retail Dollars Per Store

2011 2012 2013

3,875

4,964 5,720

+28.1% +15.2%

Avg Retail Units Per Store

2011 2012 2013

8

Midsouth: 2011 through Q2-2013 Per Store Averages By Quarter - Units vs. ASP

• Average Retail Units Per Store– The peak quarter was 2013-Q2 at 3,102 units per store when ASP was $1.13/unit– The lowest quarter was 2011-Q3 at 1,749 units per store when ASP was at its

highest point, $1.60/unit

• ASP– Lowest ASP to date occurred during 2013-Q1, $1.08/unit– Highest ASP to date occurred during 2011-Q3, $1.60/unit

9

Midsouth Region: Highlights - YTD through Q2

• Overview based on the following geography:– The Midsouth Region captures the Markets of Baltimore, Charlotte, Louisville,

Nashville, Raleigh, Richmond and Roanoke, plus additional cities not included in those Markets

• Midsouth Overview– Through Q2 2013, Avocado retail dollars trended ahead of Fruit by +9 points and

Produce by +11 points– Category dollars were up +15% in 2012 and +19% in 2013 for a net growth of +36%

over 2011– Category units grew +34% in 2012 and +24% in 2013 for a net growth +65% over

2011– Category average selling price (ASP) decreased -14% in 2012 and -4% in 2013 to

$1.11/unit

• Midsouth Per Store Averages– 2013 Average dollars of $6,334 per store were +10% higher than 2012 and +22%

higher than 2011– 2013 Average units of 5,720 per store were +15% higher than 2012 and +48%

higher than 2011

• Midsouth versus Total U.S. trends– MS category unit growth of +24% was +3 points higher than the national average– MS category dollar trend of +19% was +5 points higher than the national average– MS 2013 category ASP of $1.11/unit was +14% higher than the national average of

$0.97/unit