McCormick & Company, Incorporated (Exact name of registrant as specified in its charter)

Transcription

1 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event reported): July 18, 2017 McCormick & Company, Incorporated (Exact name of registrant as specified in its charter) Maryland (State or other jurisdiction of incorporation) (Commission File Number) (IRS Employer Identification No.) 18 Loveton Circle Sparks, Maryland (Address of principal executive offices) (Zip Code) Registrant s telephone number, including area code: (410) (Former name or former address, if changed since last report.) Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below): Written communications pursuant to Rule 425 under the Securities Act (17 CFR ) Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR a-12) Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR d-2(b)) Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR e-4(c)) Indicate by check mark whether the Registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 ( of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 ( b-2 of this chapter). Emerging growth company

2 If an emerging growth company, indicate by check mark if the Registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

3 Item 7.01 Regulation FD Disclosure. On July 18, 2017, McCormick & Company, Incorporated, a Maryland corporation ( McCormick ) issued a press release announcing the execution of a Stock Purchase Agreement, dated as of July 18, 2017, by and among McCormick, The R.T. French s Food Group Limited, a private limited company incorporated in England and Wales, Reckitt Benckiser LLC, a Delaware limited liability company, and Reckitt Benckiser Group plc, a public limited company incorporated in England and Wales. Furnished with this Form 8-K as Exhibit 99.1 is a copy of such press release entitled McCormick to Acquire Reckitt Benckiser s Food Division. On July 19, 2017, McCormick disseminated an investor presentation to be used in connection with a conference call to discuss the proposed acquisition. Furnished with this Form 8-K as Exhibit 99.2 is a copy of the investor presentation labeled McCormick to Acquire Reckitt Benckiser s Food Division. The information in this Item 7.01, including Exhibits 99.1 and 99.2 attached hereto, (i) is furnished pursuant to Item 7.01 and shall not be deemed filed for any purpose; and (ii) shall not be deemed incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended, regardless of any general incorporation language in such filing. Cautionary Note Concerning Forward-Looking Statements Certain information contained herein and in the exhibits that are not statements of historical or current fact constitute forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of These statements may be identified by the use of words such as may, will, expect, should, anticipate, intend, believe and plan. The forward-looking statements contained in this Form 8-K include, without limitation, statements related to: the planned acquisition of Reckitt Benckiser s food division and the timing and financing thereof; the ability to obtain regulatory approvals and meet other closing conditions for the planned acquisition; the expected impact of the planned acquisition on, among others, McCormick s net sales, expected trends in net sales, earnings performance and other financial measures; expectations regarding improved scale, growth potential in various products, geographies and market categories, including the impact from innovation, a more diverse product offering and millennial household penetration; expectations regarding growth in the Hot Sauce category; the realization of anticipated cost synergies, margin expansion and adjusted earnings per share accretion from the acquisition; the ability to retain key personnel; and the anticipated sufficiency of future cash flows to enable the payments of interest and repayment of short- and long-term debt as well as quarterly dividends. These and other forward-looking statements are based on management's current views and assumptions and involve risks and uncertainties that could significantly affect expected results. Results may be materially affected by factors such as: risks associated with acquisitions generally, such as the inability to obtain, or delays in obtaining, required approvals under applicable antitrust legislation and other regulatory and third party consents and approvals; potential volatility in the capital markets and its impact on the ability to complete the proposed debt and equity financing necessary to satisfy the purchase price; failure to retain key management and employees of the target companies; issues or delays in the successful integration of the target companies operations with those of McCormick, including incurring or experiencing unanticipated costs and/or delays or difficulties; difficulties or delays in the successful transition of the target companies business from the information technology systems of the sellers to those of McCormick as well as risks associated with other integration or transition of the operations, systems and personnel of the target companies, each, as applicable, within the term of the sixmonth post-closing transition services agreement between McCormick and the sellers; future levels of revenues being lower than expected and costs being higher than expected; failure or inability to implement growth strategies in a timely manner; unfavorable reaction to the acquisition by customers, competitors, suppliers and employees; conditions affecting the industry generally; local and global political and economic conditions; conditions in the securities market that are less favorable than expected; and changes in the level of capital investment, and other risks described in the company's filings with the Securities and Exchange Commission, including McCormick s Annual Report on Form 10-K for the year ended November 30, 2016.

4 Actual results could differ materially from those projected in the forward-looking statements. McCormick undertakes no obligation to update or revise publicly, any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by law. Item 9.01 Financial Statements and Exhibits. (d) Exhibits. The exhibits to this report are listed in Item 7.01 above and in the Exhibit Index that follows the signature line.

5 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. McCORMICK & COMPANY, INCORPORATED By: /s/ Jeffery D. Schwartz Jeffery D. Schwartz Vice President, General Counsel and Secretary Date: July 19, 2017

6 EXHIBIT INDEX Exhibit Number Description 99.1 Copy of press release entitled McCormick to Acquire Reckitt Benckiser s Food Division Copy of investor presentation labeled McCormick to Acquire Reckitt Benckiser s Food Division.

7 F O R IM M E D IA T E R E L E A S E M C C O R M IC K T O A C Q U IR E R E C K IT T B E N C K IS E R S F O O D D IV IS IO N M c C o rm ic k S tre n g th e n s F la v o rl e a d e rs h ip w ith A d d itio n o fic o n ic P ro d u c ts,in c lu d in g F ra n k s R e d H o t H o ts a u c e & F re n c h s M u s ta rd S P A R K S,M d., J u ly 1 8, M c C o rm ic k & C o m p a n y In c.(n Y S E :M K C ),a g lo b a le a d e rin fla v o r, to d a y a n n o u n c e d th a tith a s s ig n e d a d e fin itiv e a g re e m e n to a c q u ire R e c k itb e n c k is e r s F o o d D iv is io n ( R B F o o d s )fro m R e c k itb e n c k is e rg ro u p p lc ( R B )fo r$ 4.2 b ilio n,s u b je c to c e rta in c u s to m a ry p u rc h a s e p ric e a d ju s tm e n ts. A d d itio n o ff ra n k s R e d H o th o ts a u c e,f re n c h s M u s ta rd a n d o th e ric o n ic,m a rk e t-le a d in g p ro d u c ts s tre n g th e n s M c C o rm ic k s le a d e rs h ip in th e a tra c tiv e C o n d im e n ts c a te g o ry a n d a d v a n c e s th e C o m p a n y s v is io n to B rin g th e J o y o ff la v o rto L ife M c C o rm ic k to a d v a n c e fro m c u re n tp o s itio n o f# 1 0 to a le a d in g p o s itio n in U.S.C o n d im e n ts c a te g o ry A c q u is itio n p ro v id e s a le a d e rs h ip p o s itio n in th e a d v a n ta g e d H o ts a u c e C a te g o ry w ith F ra n k s R e d H o t,th e # 1 b ra n d in th e U.S.a n d C a n a d a C o m b in e d p ro fo rm a a n n u a l n e ts a le s a re e x p e c te d to b e a p p ro x im a te ly $ 5 b ilio n w ith s ig n ific a n tm a rg in a c c re tio n M c C o rm ic k w il in te g ra te R B F o o d s in to its C o n s u m e ra n d In d u s tria l s e g m e n ts a n d w il re ta in th e b ra n d n a m e s o ff re n c h s,f ra n k s R e d H o ta n d C a tle m e n s T h e a c q u is itio n o fr B F o o d s s tre n g th e n s M c C o rm ic k s fla v o rle a d e rs h ip w ith th e a d d itio n o fth e ic o n ic F re n c h s a n d F ra n k s R e d H o tb ra n d s to o u rp o rtfo lio,w h ic h w il b e c o m e o u rn u m b e rtw o a n d n u m b e r th re e b ra n d s,re s p e c tiv e ly, s a id L a w re n c e E.K u rz iu s,c h a irm a n,p re s id e n ta n d C h ie fe x e c u tiv e O fic e r. R B F o o d s fo c u s o n c re a tin g p ro d u c ts w ith s im p le,h ig h -q u a lity in g re d ie n ts m a k e s ita p e rfe c tm a tc h fo r M c C o rm ic k a s w e c o n tin u e to c a p ita liz e o n th e g ro w in g c o n s u m e rin te re s tin h e a lth y,fla v o rfu l e a tin g. T h e a d d itio n o ff ra n k s R e d H o th o ts a u c e,th e c le a rc o n s u m e rfa v o rite in a n a tra c tiv e a n d h ig h -g ro w th c a te g o ry,f re n c h s M u s ta rd a n d th e o th e rb e lo v e d p ro d u c ts e n a b le s M c C o rm ic k to b e c o m e a o n e -s to p s h o p fo rc o n d im e n t,s p ic e a n d s e a s o n in g n e e d s,p ro v id in g o u rc u s to m e rs a n d c o n s u m e rs w ith a n e v e n m o re d iv e rs e a n d c o m p le te fla v o rp ro d u c to fe rin g.r B F o o d s tra c k re c o rd o fc re a tin g m a rk e t-le a d in g p ro d u c ts a n d its d e d ic a te d s ta te -o f-th e -a rtm a n u fa c tu rin g fa c ility a re a s tro n g c o m p le m e n ta ry fith a tw e e x p e c tw il s tre n g th e n M c C o rm ic k s b u s in e s s o p p o rtu n itie s a s w e e x p a n d o u rp re s e n c e in c o n d im e n ts,a c o re c a te g o ry fo rth e C o m p a n y in th e U.S.a n d in te rn a tio n a ly. M r.k u rz iu s c o n tin u e d, T h is tra n s a c tio n re in fo rc e s o u rfo c u s o n g ro w th,re fle c tin g M c C o rm ic k s c o m m itm e n to m a k in g e v e ry m e a l a n d m o m e n tb e te ra n d d riv in g s ig n ific a n ts h a re h o ld e rv a lu e.we h a v e g re a tre s p e c tfo rr B F o o d s a n d th e s tro n g b u s in e s s its e m p lo y e e s h a v e b u ilt.m c C o rm ic k w il b e a b le to

8 g ro w th e s e b ra n d s in n e w a n d u n iq u e w a y s th ro u g h o u rp ro v e n tra c k re c o rd o fin s ig h t-d riv e n in n o v a tio n a n d th e a b ility to le v e ra g e o u rg lo b a l fo o tp rin t.we a re c o n fid e n tm c C o rm ic k is th e p e rfe c th o m e fo rr B F o o d s p o p u la rb ra n d s a n d e m p lo y e e s. R B F o o d s is a le a d e rin th e g ro w in g U.S.C o n d im e n ts m a rk e t,w ith a p o rtfo lio o fic o n ic b ra n d s a n d a lo y a l c o n s u m e rfo lo w in g.f ra n k s R e d H o th o ts a u c e,f re n c h s M u s ta rd,f re n c h s C ris p y V e g e ta b le s a n d C a tle m e n s B B Q S a u c e h a v e a l c a p tu re d a tra c tiv e m a rk e ts h a re p o s itio n s in th e ire s p e c tiv e c a te g o rie s. F ra n k s R e d H o th a s a p a s s io n a te c o n s u m e rfo lo w in g a n d is th e n u m b e ro n e b ra n d in its m a rk e tin th e U.S a n d C a n a d a,w ith g ro w th o u tp a c in g th e c a te g o ry.f re n c h s M u s ta rd is a ls o n u m b e ro n e in its c a te g o ry in th e U.S.a n d C a n a d a. M c C o rm ic k B e lie v e s C o m b in in g T h e s e P o w e rfu l B ra n d s Wil D riv e S ig n ific a n ts h a re h o ld e rv a lu e E n h a n c e M c C o rm ic k s S c a le a n d In c re a s e G ro w th T h ro u g h th e E x p a n s io n o fits P o rtfo lio a n d C o n s u m e rb a s e :M c C o rm ic k a n tic ip a te s th a th e H o ts a u c e C a te g o ry w il c o n tin u e to s e e ro b u s t g ro w th,a n d w ith in s ig h t-d riv e n in n o v a tio n a n d a p a s s io n a te a n d in c re a s in g fa n b a s e,th e re a re s ig n ific a n to p p o rtu n itie s fo re x p a n s io n.t h e C o m p a n y e x p e c ts M c C o rm ic k s g ro w in g g lo b a l m ile n n ia l h o u s e h o ld p e n e tra tio n to c re a te s u b s ta n tia l u p s id e fo rf ra n k s R e d H o t a n d th e o th e r a c q u ire d b ra n d s,in c re a s in g th e ire s p e c tiv e c o n s u m e rb a s e s.m c C o rm ic k a ls o e x p e c ts re v e n u e s y n e rg ie s a s a re s u lto fle v e ra g in g s e a s o n a l H o lid a y p ro m o tio n s a n d G rilin g e v e n ts th a tin c lu d e o th e r M c C o rm ic k ic o n ic p ro d u c ts lik e L a w ry s,g ril M a te s a n d o u ro th e rg lo b a l b ra n d e d s p ic e s,h e rb s a n d e x tra c ts. D riv e B ra n d e d F o o d s e rv ic e w ith in o u rin d u s tria l S e g m e n t:in a d d itio n to re ta il,r B F o o d s b ra n d s h a v e a tra c tiv e p o s itio n s a c ro s s H o ts a u c e,m u s ta rd,c ris p y V e g e ta b le a n d B B Q S a u c e s o ld th ro u g h th e U.S.a n d C a n a d ia n F o o d s e rv ic e c h a n n e ls.we e x p e c th e s e p ro d u c ts to b u ild u p o n M c C o rm ic k s In d u s tria l s e g m e n tg ro w th b y in c re a s in g th e s iz e o fth a ts e g m e n t s F o o d s e rv ic e s a le s b y o v e r5 0 % in th e U.S.a n d C a n a d a.f re n c h s a n d F ra n k s R e d H o ta re id e a l a d d itio n s to M c C o rm ic k s ta b le to p o fe rin g a n d its e s ta b lis h e d p ro d u c ts. L e v e ra g e o u rg lo b a l S c a le :M c C o rm ic k e x p e c ts to le v e ra g e its in te rn a tio n a l in fra s tru c tu re,w h ic h a lre a d y in c lu d e s c o n d im e n tc o n s u m e rin s ig h t,s a le s a n d s u p p ly c h a in e x p e rtis e,to s ig n ific a n tly e x p a n d th e g lo b a l p re s e n c e o ff ra n k s R e d H o ta n d F re n c h s,w h ic h w e e x p e c tw il re s u ltin s u b s ta n tia l g ro w th a n d in c re a s e d h o u s e h o ld p e n e tra tio n. R e a liz e S ig n ific a n tc o s ts y n e rg y O p p o rtu n itie s :A s a re s u lto fin c re a s e d s c a le,m c C o rm ic k e x p e c ts to a c h ie v e c o s ts y n e rg ie s o f a p p ro x im a te ly $ 5 0 m ilio n,th e m a jo rity o fw h ic h w il b e a c h ie v e d b y ,w ith a n tic ip a te d s y n e rg ie s s p litb e tw e e n s e lin g,g e n e ra l a n d a d m in is tra tiv e e x p e n s e s a n d c o s to fg o o d s s o ld. G e n e ra te M a rg in E x p a n s io n :With th e a d d itio n o fr B F o o d s b u s in e s s,m c C o rm ic k e x p e c ts to a c h ie v e m e a n in g fu l a c c re tio n to its m a rg in s a n d a d ju s te d e a rn in g s p e rs h a re,e x c lu d in g tra n s a c tio n a n d in te g ra tio n c o s ts,a n d w il a c h ie v e a d d itio n a l fa v o ra b le im p a c ts fo lo w in g th e re a liz a tio n o f ta rg e te d s y n e rg ie s.

9 T h e tra n s a c tio n is e x p e c te d to b e c o m p le te d in th e th ird o rfo u rth q u a rte ro fm c C o rm ic k s fis c a l T h e tra n s a c tio n is s u b je c to c u s to m a ry c lo s in g c o n d itio n s,in c lu d in g a p p lic a b le re g u la to ry a p p ro v a ls. M c C o rm ic k h a s o b ta in e d c o m m ite d b rid g e fin a n c in g a n d e x p e c ts to p e rm a n e n tly fin a n c e th e tra n s a c tio n th ro u g h a c o m b in a tio n o fd e b ta n d e q u ity. U p o n c lo s in g o fth e a c q u is itio n,m c C o rm ic k s le v e ra g e ra tio w il in c re a s e,b u th e C o m p a n y is c o m m ite d to m a in ta in in g a n in v e s tm e n tg ra d e c re d itra tin g a n d re tu rn in g to its c u re n tc re d itp ro file o v e rth e lo n g e r te rm.a s p a rto fth is c o m m itm e n t,m c C o rm ic k w il m a in ta in its d iv id e n d p o lic y,c u rta il its s h a re re p u rc h a s e p ro g ra m a n d w il d e le v e ra g e th e b a la n c e s h e e tw ith a n tic ip a te d s tro n g c a s h flo w g e n e ra tio n. C o n fe re n c e C a l a n d We b c a s t L a w re n c e K u rz iu s,c h a irm a n,p re s id e n ta n d C h ie fe x e c u tiv e O fic e ra n d M ik e S m ith,m c C o rm ic k s E x e c u tiv e V ic e P re s id e n t& C F O,w il h o s ta c o n fe re n c e c a l to m o ro w,j u ly 1 9, ,a t8 :0 0 A M E T to d is c u s s th is a n n o u n c e m e n tw ith th e fin a n c ia l c o m m u n ity.t h e c o n fe re n c e c a l c a n b e a c c e s s e d b y d ia lin g (8 7 7 ) (U.S./C a n a d a )o r(2 0 1 ) (In te rn a tio n a l)a n d g iv in g th e p a s s c o d e A re p la y o fth e c a l w il b e a v a ila b le u n til A u g u s t9, ,a t1 2 :0 0 A M E T b y d ia lin g (8 7 7 ) (U.S./C a n a d a )o r(2 0 1 ) (In te rn a tio n a l)a n d b y e n te rin g th e p a s s c o d e T h e w e b c a s t a n d a c c o m p a n y in g p re s e n ta tio n o fth e c o n fe re n c e c a l w il b e a v a ila b le o n M c C o rm ic k s w e b s ite (ir.m c c o rm ic k.c o m )p rio rto th e s ta rto fth e c a l. A d v is o rs C re d its u is s e a n d C le a ry G o tlie b S te e n & H a m ilto n L L P a re s e rv in g a s fin a n c ia l a d v is o ra n d le g a l c o u n s e l,re s p e c tiv e ly,to M c C o rm ic k in c o n n e c tio n w ith th e tra n s a c tio n. A b o u tm c C o rm ic k M c C o rm ic k & C o m p a n y,in c o rp o ra te d is a g lo b a le a d e rin fla v o r.with $ 4.4 b ilio n in a n n u a l s a le s,th e c o m p a n y m a n u fa c tu re s,m a rk e ts a n d d is trib u te s s p ic e s,s e a s o n in g m ix e s,c o n d im e n ts a n d o th e rfla v o rfu l p ro d u c ts to th e e n tire fo o d in d u s try re ta il o u tle ts,fo o d m a n u fa c tu re rs a n d fo o d s e rv ic e b u s in e s s e s.e v e ry d a y,n o m a te rw h e re o rw h a ty o u e a t,y o u c a n e n jo y fo o d fla v o re d b y M c C o rm ic k.m c C o rm ic k B rin g s th e J o y o ff la v o rto L ife. F o rm o re in fo rm a tio n,v is itw w w.m c c o rm ic k c o rp o ra tio n.c o m. F o rw a rd -lo o k in g In fo rm a tio n C e rta in in fo rm a tio n c o n ta in e d in th is re le a s e th a ta re n o ts ta te m e n ts o fh is to ric a l o rc u re n tfa c tc o n s titu te "fo rw a rd -lo o k in g s ta te m e n ts "w ith in th e m e a n in g o fs e c tio n 2 1 E o fth e S e c u ritie s E x c h a n g e A c to f T h e s e s ta te m e n ts m a y b e id e n tifie d b y th e u s e o fw o rd s s u c h a s "m a y,"w il,"e x p e c t,"s h o u ld," "a n tic ip a te,"in te n d,"b e lie v e "a n d "p la n."t h e fo rw a rd -lo o k in g s ta te m e n ts c o n ta in e d in th is re le a s e in c lu d e,w ith o u tlim ita tio n,s ta te m e n ts re la te d to :th e p la n n e d a c q u is itio n o fr B F o o d s a n d th e tim in g a n d fin a n c in g th e re o f;th e a b ility to o b ta in re g u la to ry a p p ro v a ls a n d m e e to th e rc lo s in g c o n d itio n s fo rth e p la n n e d a c q u is itio n ;th e e x p e c te d im p a c to fth e p la n n e d a c q u is itio n,in c lu d in g a m o n g o th e rs,o n th e c o m p a n y s n e ts a le s,e x p e c te d tre n d s in n e ts a le s,e a rn in g s p e rfo rm a n c e a n d o th e rfin a n c ia l m e a s u re s ; e x p e c ta tio n s re g a rd in g im p ro v e d s c a le,g ro w th p o te n tia l in v a rio u s p ro d u c ts,g e o g ra p h ie s a n d m a rk e t c a te g o rie s,in c lu d in g th e im p a c tfro m in n o v a tio n,a m o re d iv e rs e p ro d u c to fe rin g a n d m ile n n ia l h o u s e h o ld p e n e tra tio n ;e x p e c ta tio n s re g a rd in g g ro w th in th e H o ts a u c e c a te g o ry ;th e re a liz a tio n o f a n tic ip a te d c o s ts y n e rg ie s,m a rg in e x p a n s io n a n d a d ju s te d e a rn in g s p e rs h a re a c c re tio n fro m th e

10 a c q u is itio n ;th e a b ility to re ta in k e y p e rs o n n e l;a n d th e a n tic ip a te d s u fic ie n c y o fu tu re c a s h flo w s to e n a b le th e p a y m e n ts o fin te re s ta n d re p a y m e n to fs h o rt-a n d lo n g -te rm d e b ta s w e l a s q u a rte rly d iv id e n d s. T h e s e a n d o th e rfo rw a rd -lo o k in g s ta te m e n ts a re b a s e d o n m a n a g e m e n t's c u re n tv ie w s a n d a s s u m p tio n s a n d in v o lv e ris k s a n d u n c e rta in tie s th a tc o u ld s ig n ific a n tly a fe c te x p e c te d re s u lts.r e s u lts m a y b e m a te ria ly a fe c te d b y fa c to rs s u c h a s :ris k s a s s o c ia te d w ith a c q u is itio n s g e n e ra ly,s u c h a s th e in a b ility to o b ta in,o rd e la y s in o b ta in in g,re q u ire d a p p ro v a ls u n d e ra p p lic a b le a n ti-tru s tle g is la tio n a n d o th e re g u la to ry a n d th ird p a rty c o n s e n ts a n d a p p ro v a ls ;p o te n tia l v o la tility in th e c a p ita l m a rk e ts a n d im p a c to n th e a b ility to c o m p le te th e p ro p o s e d d e b ta n d e q u ity fin a n c in g n e c e s s a ry to s a tis fy th e p u rc h a s e p ric e ; fa ilu re to re ta in k e y m a n a g e m e n ta n d e m p lo y e e s o fr B F o o d s ;is s u e s o rd e la y s in th e s u c c e s s fu l in te g ra tio n o fr B F o o d s o p e ra tio n s w ith th o s e o fth e C o m p a n y,in c lu d in g in c u rin g o re x p e rie n c in g u n a n tic ip a te d c o s ts a n d /o rd e la y s o rd ific u ltie s ;d ific u ltie s o rd e la y s in th e s u c c e s s fu l tra n s itio n o fth e R B F o o d s b u s in e s s fro m th e in fo rm a tio n te c h n o lo g y s y s te m s o fr B to th o s e o fm c C o rm ic k a s w e l a s ris k s a s s o c ia te d w ith o th e rin te g ra tio n o rtra n s itio n o fth e o p e ra tio n s,s y s te m s a n d p e rs o n n e l o fr B F o o d s, e a c h,a s a p p lic a b le,w ith in th e te rm o fth e s ix -m o n th p o s t-c lo s in g tra n s itio n s e rv ic e s a g re e m e n tb e tw e e n M c C o rm ic k a n d R B ;fu tu re le v e ls o fre v e n u e s b e in g lo w e rth a n e x p e c te d a n d c o s ts b e in g h ig h e rth a n e x p e c te d ;fa ilu re o rin a b ility to im p le m e n tg ro w th s tra te g ie s in a tim e ly m a n n e r;u n fa v o ra b le re a c tio n to th e a c q u is itio n b y c u s to m e rs,c o m p e tito rs,s u p p lie rs a n d e m p lo y e e s ;c o n d itio n s a fe c tin g th e in d u s try g e n e ra ly ;lo c a l a n d g lo b a l p o litic a l a n d e c o n o m ic c o n d itio n s ;c o n d itio n s in th e s e c u ritie s m a rk e th a ta re le s s fa v o ra b le th a n e x p e c te d ;a n d c h a n g e s in th e le v e l o fc a p ita l in v e s tm e n t,a n d o th e ris k s d e s c rib e d in th e c o m p a n y 's filin g s w ith th e S e c u ritie s a n d E x c h a n g e C o m m is s io n,in c lu d in g M c C o rm ic k s A n n u a l R e p o rto n F o rm 1 0 -K fo rth e y e a re n d e d N o v e m b e r3 0, A c tu a l re s u lts c o u ld d ife rm a te ria ly fro m th o s e p ro je c te d in th e fo rw a rd -lo o k in g s ta te m e n ts.t h e c o m p a n y u n d e rta k e s n o o b lig a tio n to u p d a te o re v is e p u b lic ly,a n y fo rw a rd -lo o k in g s ta te m e n ts,w h e th e r a s a re s u lto fn e w in fo rm a tio n,fu tu re e v e n ts o ro th e rw is e,e x c e p ta s m a y b e re q u ire d b y la w. # # # F o rin fo rm a tio n c o n ta c t: In v e s to rr e la tio n s : K a s e y J e n k in s ( o rk a s e y _ je n k in c c o rm ic k.c o m ) C o rp o ra te C o m m u n ic a tio n s : L o ri R o b in s o n ( o rlo ri_ ro b in s o c c o rm ic k.c o m )

11 M c C o rm ic k to A c q u ire R e c k itb e n c k is e r s F o o d D iv is io n C O M B IN IN G P O WE R F U L B R A N D S T O M A K E E V E R Y M E A L A N D M O M E N T B E T T E R IC O N IC P R O D U C T S T O B E C O M E P A R T O F M C C O R M IC K S G L O B A L F L A V O R P O R T F O L IO T R A N S A C T IO N H IG H L IG H T S IN C R E A S E S S IZ E O F M C C O R M IC K S B R A N D E D F O O D S E R V IC E S A L E S B Y O V E R 5 0 % IN T H E U.S.A N D C A N A D A S ig n ific a n te x p e c te d s y n e rg ie s b e tw e e n R B F o o d s a n d M c C o rm ic k b ra n d s in F a s tc a s u a l a n d o th e rc h a n n e ls N e w a n d im p ro v e d ta b le to p p ro p o s itio n IN C R E A S E D P O T E N T IA L F O R G R O WT H G L O B A L L Y A c q u is itio n w ile v e ra g e M c C o rm ic k s In te rn a tio n a l in fra s tru c tu re to s ig n ific a n tly e x p a n d F re n c h s a n d F ra n k s R e d H o t s g lo b a l p re s e n c e G o a l is to e x p a n d F ra n k s R e d H o to N o.1 g lo b a l H o ts a u c e b ra n d In c re a s e d h o u s e h o ld p e n e tra tio n a n d in n o v a tio n in e x is tin g m a rk e ts O N E -S T O P S H O P F O R C U S T O M E R S A N D C O N S U M E R S M c C o rm ic k w il p ro v id e fla v o rs o lu tio n s th a tin c lu d e c o n d im e n ts,a s w e l a s s p ic e s a n d s e a s o n in g s O fe rin g b e te r-fo r-y o u p ro d u c ts w ith n a tu ra l,s im p le in g re d ie n ts F R A N K S R E D H O T H O T S A U C E N o.1 H o ts a u c e in U.S a n d C a n a d a P a s s io n a te C o n s u m e rf o lo w in g F R E N C H S M U S T A R D N o.1 M u s ta rd in U.S.a n d C a n a d a C la s s ic A m e ric a n a C A T T L E M E N S B B Q S A U C E A L e a d in g B B Q S a u c e in U.S. F o o d s e rv ic e L E A D IN G B R A N D S IN K E Y F L A V O R C A T E G O R IE S R B F o o d s b ra n d s h a v e a tra c tiv e p o s itio n s a c ro s s H o ts a u c e,m u s ta rd,c ris p y V e g e ta b le s a n d B B Q S a u c e c a te g o rie s in th e U.S.a n d C a n a d ia n m a rk e ts F ra n k s R e d H o th a s g ro w n fa s te rth a n c o m p e tin g h o t s a u c e b ra n d s a n d is d riv in g g ro w th in th e c a te g o ry E X P E C T T R A N S A C T IO N WIL L D R IV E S IG N IF IC A N T S H A R E H O L D E R V A L U E A N D IN C R E A S E G R O WT H A p p ro x.$ 5 B ilio n o fp ro F o rm a A n n u a l N e ts a le s A p p ro x.$ 1 B ilio n P ro F o rm a A d ju s te d E B IT D A M e a n in g fu l M a rg in E x p a n s io n A c c re tiv e to A d ju s te d E P S A D V A N C IN G M C C O R M IC K S V IS IO N T O B R IN G T H E J O Y O F F L A V O R T O L IF E

12 N o n -G A A P F in a n c ia l M e a s u re s C e rta in d is c lo s u re s in th is fa c ts h e e tre p re s e n tn o n -G A A P fin a n c ia l m e a s u re s w h ic h a re p re p a re d a s a c o m p le m e n to o u rfin a n c ia l m e a s u re s p re p a re d in a c c o rd a n c e w ith U n ite d S ta te s g e n e ra ly a c c e p te d a c c o u n tin g p rin c ip le s ( G A A P ).A s a re s u lto fth e s ig n ific a n c e o fth is p e n d in g a c q u is itio n,th e C o m p a n y is m o d ify in g h o w w e d e fin e c e rta in n o n -G A A P fin a n c ia l m e a s u re s.we d e fin e A d ju s te d E B IT D A a s n e tin c o m e b e fo re in te re s t,in c o m e ta x e s,d e p re c ia tio n a n d a m o rtiz a tio n,a n d a s fu rth e ra d ju s te d fo rc a s h a n d n o n -c a s h a c q u is itio n -re la te d e x p e n s e s (w h ic h m a y in c lu d e th e e fe c to fth e fa irv a lu e a d ju s tm e n to fa c q u ire d in v e n to ry o n c o s to fg o o d s s o ld );a n d c e rta in g a in s o rlo s s e s (w h ic h m a y in c lu d e th ird p a rty fe e s a n d e x p e n s e s,a n d in te g ra tio n c o s ts ).T h e C o m p a n y s e s tim a te o fth e c o m b in e d re v e n u e a n d A d ju s te d E B IT D A o fm c C o rm ic k a n d R B F o o d s is b a s e d o n ly o n p ro je c te d fin a n c ia l in fo rm a tio n a s o fth e d a te h e re o f.t h e C o m p a n y b e lie v e s th a ta d ju s te d E B IT D A is u s e fu l to in v e s to rs in e v a lu a tin g th e C o m p a n y s o p e ra tin g p e rfo rm a n c e a n d liq u id ity b e c a u s e (i)itis a w id e ly u s e d to m e a s u re a c o m p a n y s o p e ra tin g p e rfo rm a n c e w ith o u tre g a rd to ite m s s u c h a s d e p re c ia tio n a n d a m o rtiz a tio n,w h ic h c a n v a ry d e p e n d in g u p o n a c c o u n tin g m e th o d s a n d th e b o o k v a lu e o fa s s e ts,(i)itp re s e n ts a m e a n in g fu l m e a s u re o fc o rp o ra te p e rfo rm a n c e e x c lu s iv e o fth e C o m p a n y s c a p ita l s tru c tu re a n d is th e m e th o d b y w h ic h w e e v a lu a te a c q u is itio n s,a n d (i)itis a w id e ly a c c e p te d fin a n c ia l in d ic a to ro fa c o m p a n y s a b ility to s e rv ic e its d e b t. T h e s e n o n -G A A P fin a n c ia l m e a s u re s m a y b e c o n s id e re d in a d d itio n to re s u lts p re p a re d in a c c o rd a n c e w ith G A A P,b u ts h o u ld n o tb e c o n s id e re d a s u b s titu te fo r,o rs u p e rio r to,g A A P re s u lts.in a d d itio n,th e s e n o n -G A A P fin a n c ia l m e a s u re s m a y n o tb e c o m p a ra b le to s im ila rly title d m e a s u re s o fo th e rc o m p a n ie s b e c a u s e o th e rc o m p a n ie s m a y n o tc a lc u la te th e m in th e s a m e m a n n e rth a tw e d o.we in te n d to c o n tin u e to p ro v id e th e s e n o n -G A A P fin a n c ia l m e a s u re s a s p a rto fo u rfu tu re e a rn in g s d is c u s s io n s a n d, th e re fo re,th e in c lu s io n o fth e s e n o n -G A A P fin a n c ia l m e a s u re s w il p ro v id e c o n s is te n c y in o u rfin a n c ia l re p o rtin g.we h a v e n o tp ro v id e d a re c o n c ilia tio n o fth e s e n o n -G A A P fin a n c ia l m e a s u re s to th e re la te d G A A P fin a n c ia l m e a s u re s a s th e s e n o n -G A A P m e a s u re s a re s o le ly a s s o c ia te d w ith fo rw a rd -lo o k in g in fo rm a tio n a n d s u c h re c o n c ilia tio n s w o u ld re q u ire u n re a s o n a b le e fo rts a th is tim e to fo re c a s ta n d q u a n tify c e rta in a m o u n ts th a ta re n e c e s s a ry fo rs u c h re c o n c ilia tio n in c lu d in g a d ju s tm e n th a tc o u ld b e m a d e fo rm a te rs in c lu d in g,b u tn o tlim ite d to,c a s h a n d n o n -c a s h a c q u is itio n re la te d e x p e n s e s,g a in s a n d lo s s e s,b o th a s p re v io u s ly d e s c rib e d,a n d o th e rc h a rg e s re fle c te d in th e C o m p a n y s re c o n c ilia tio n o fh is to ric a m o u n ts,th e a m o u n ts o fw h ic h,b a s e d o n h is to ric a l e x p e rie n c e c o u ld b e s ig n ific a n t. F o rw a rd -lo o k in g In fo rm a tio n C e rta in in fo rm a tio n c o n ta in e d in th is fa c ts h e e th a ta re n o ts ta te m e n ts o fh is to ric a l o rc u re n tfa c tc o n s titu te fo rw a rd -lo o k in g s ta te m e n ts w ith in th e m e a n in g o fs e c tio n 2 1 E o fth e S e c u ritie s E x c h a n g e A c to f T h e s e s ta te m e n ts m a y b e id e n tifie d b y th e u s e o fw o rd s s u c h a s m a y, w il, e x p e c t, s h o u ld, a n tic ip a te, in te n d, b e lie v e a n d p la n. T h e fo rw a rd -lo o k in g s ta te m e n ts c o n ta in e d in th is fa c ts h e e tin c lu d e,w ith o u tlim ita tio n,s ta te m e n ts re la te d to :th e p la n n e d a c q u is itio n o fr B F o o d s a n d th e tim in g a n d fin a n c in g th e re o f;th e a b ility to o b ta in re g u la to ry a p p ro v a ls a n d m e e to th e rc lo s in g c o n d itio n s fo rth e p la n n e d a c q u is itio n ;th e e x p e c te d im p a c to fth e p la n n e d a c q u is itio n,in c lu d in g a m o n g o th e rs,o n th e c o m p a n y s n e ts a le s,e x p e c te d tre n d s in n e ts a le s a n d e a rn in g s p e rfo rm a n c e a n d o th e rfin a n c ia l m e a s u re s ;e x p e c ta tio n s re g a rd in g im p ro v e d s c a le,g ro w th p o te n tia l in v a rio u s p ro d u c ts,g e o g ra p h ie s a n d m a rk e tc a te g o rie s,in c lu d in g th e im p a c tfro m in n o v a tio n,a m o re d iv e rs e p ro d u c to fe rin g a n d m ile n n ia l h o u s e h o ld p e n e tra tio n ;e x p e c ta tio n s re g a rd in g g ro w th in th e H o ts a u c e c a te g o ry ;th e re a liz a tio n o fa n tic ip a te d c o s ts y n e rg ie s, m a rg in e x p a n s io n a n d a d ju s te d e a rn in g s p e r s h a re a c c re tio n fro m th e a c q u is itio n ;th e a b ility to re ta in k e y p e rs o n n e l;a n d th e a n tic ip a te d s u fic ie n c y o fu tu re c a s h flo w s to e n a b le th e p a y m e n ts o fin te re s ta n d re p a y m e n t o fs h o rt-a n d lo n g -te rm d e b ta s w e l a s q u a rte rly d iv id e n d s. T h e s e a n d o th e rfo rw a rd -lo o k in g s ta te m e n ts a re b a s e d o n m a n a g e m e n t s c u re n tv ie w s a n d a s s u m p tio n s a n d in v o lv e ris k s a n d u n c e rta in tie s th a tc o u ld s ig n ific a n tly a fe c t e x p e c te d re s u lts.r e s u lts m a y b e m a te ria ly a fe c te d b y fa c to rs s u c h a s :ris k s a s s o c ia te d w ith a c q u is itio n s g e n e ra ly,s u c h a s th e in a b ility to o b ta in,o rd e la y s in o b ta in in g, re q u ire d a p p ro v a ls u n d e ra p p lic a b le a n ti-tru s tle g is la tio n a n d o th e re g u la to ry a n d th ird p a rty c o n s e n ts a n d a p p ro v a ls ;p o te n tia l v o la tility in th e c a p ita l m a rk e ts a n d im p a c to n th e a b ility to c o m p le te th e p ro p o s e d d e b ta n d e q u ity fin a n c in g n e c e s s a ry to s a tis fy th e p u rc h a s e p ric e ;fa ilu re to re ta in k e y m a n a g e m e n ta n d e m p lo y e e s o fr B F o o d s ;is s u e s o rd e la y s in th e s u c c e s s fu l in te g ra tio n o fr B F o o d s o p e ra tio n s w ith th o s e o fth e C o m p a n y,in c lu d in g in c u rin g o re x p e rie n c in g u n a n tic ip a te d c o s ts a n d /o rd e la y s o rd ific u ltie s ; d ific u ltie s o rd e la y s in th e s u c c e s s fu l tra n s itio n o fth e R B F o o d s b u s in e s s fro m th e in fo rm a tio n te c h n o lo g y s y s te m s o fr B to th o s e o fm c C o rm ic k a s w e l a s ris k s a s s o c ia te d w ith o th e rin te g ra tio n o rtra n s itio n o fth e o p e ra tio n s,s y s te m s a n d p e rs o n n e l o fr B F o o d s,e a c h,a s a p p lic a b le,w ith in th e te rm o fth e s ix -m o n th p o s t-c lo s in g tra n s itio n s e rv ic e s a g re e m e n tb e tw e e n M c C o rm ic k a n d R B ;fu tu re le v e ls o fre v e n u e s b e in g lo w e rth a n e x p e c te d a n d c o s ts b e in g h ig h e rth a n e x p e c te d ;fa ilu re o rin a b ility to im p le m e n t g ro w th s tra te g ie s in a tim e ly m a n n e r;u n fa v o ra b le re a c tio n to th e a c q u is itio n b y c u s to m e rs,c o m p e tito rs,s u p p lie rs a n d e m p lo y e e s ;c o n d itio n s a fe c tin g th e in d u s try g e n e ra ly ; lo c a l a n d g lo b a l p o litic a l a n d e c o n o m ic c o n d itio n s ;c o n d itio n s in th e s e c u ritie s m a rk e th a ta re le s s fa v o ra b le th a n e x p e c te d ;a n d c h a n g e s in th e le v e l o fc a p ita l in v e s tm e n t, a n d o th e ris k s d e s c rib e d in th e c o m p a n y s filin g s w ith th e S e c u ritie s a n d E x c h a n g e C o m m is s io n,in c lu d in g M c C o rm ic k s A n n u a l R e p o rto n F o rm 1 0 -K fo rth e y e a re n d e d N o v e m b e r3 0, A c tu a l re s u lts c o u ld d ife rm a te ria ly fro m th o s e p ro je c te d in th e fo rw a rd -lo o k in g s ta te m e n ts.t h e c o m p a n y u n d e rta k e s n o o b lig a tio n to u p d a te o re v is e p u b lic ly,a n y fo rw a rd - lo o k in g s ta te m e n ts,w h e th e ra s a re s u lto fn e w in fo rm a tio n,fu tu re e v e n ts o ro th e rw is e,e x c e p ta s m a y b e re q u ire d b y la w.

13

14 M c C o rm ic k to A c q u ire R e c k itb e n c k is e r s F o o d D iv is io n In v e s to rp re s e n ta tio n /J u ly 1 9,

15 C e rta in in fo rm a tio n c o n ta in e d in th is p re s e n ta tio n a n d o u re m a rk s th a ta re n o ts ta te m e n ts o fh is to ric a l o rc u re n tfa c tc o n s titu te "fo rw a rd -lo o k in g s ta te m e n ts "w ith in th e m e a n in g o fs e c tio n 2 1 E o fth e S e c u ritie s E x c h a n g e A c to f T h e s e s ta te m e n ts m a y b e id e n tifie d b y th e u s e o fw o rd s s u c h a s "m a y,"w il,"e x p e c t," "s h o u ld,"a n tic ip a te,"in te n d,"b e lie v e "a n d "p la n."t h e fo rw a rd -lo o k in g s ta te m e n ts c o n ta in e d in th is p re s e n ta tio n a n d o u re m a rk s in c lu d e,w ith o u tlim ita tio n, s ta te m e n ts re la te d to :th e p la n n e d a c q u is itio n o fr B F o o d s a n d th e tim in g a n d fin a n c in g th e re o f;th e a b ility to o b ta in re g u la to ry a p p ro v a ls a n d m e e to th e rc lo s in g c o n d itio n s fo rth e p la n n e d a c q u is itio n ;th e e x p e c te d im p a c to fth e p la n n e d a c q u is itio n,in c lu d in g a m o n g o th e rs,o n th e c o m p a n y s n e ts a le s,a d ju s te d E B IT D A a n d L e v e ra g e R a tio,b o th a s p re v io u s ly d e fin e d ;e x p e c te d tre n d s in n e ts a le s,e a rn in g s p e rfo rm a n c e a n d o th e rfin a n c ia l m e a s u re s ;e x p e c ta tio n s re g a rd in g im p ro v e d s c a le,g ro w th p o te n tia l in v a rio u s p ro d u c ts,g e o g ra p h ie s a n d m a rk e tc a te g o rie s,in c lu d in g th e im p a c tfro m in n o v a tio n,a m o re d iv e rs e p ro d u c to fe rin g a n d m ile n n ia l h o u s e h o ld p e n e tra tio n ;e x p e c ta tio n s re g a rd in g g ro w th in th e H o ts a u c e c a te g o ry ;th e re a liz a tio n o fa n tic ip a te d c o s ts y n e rg ie s,m a rg in e x p a n s io n a n d a d ju s te d e a rn in g s p e rs h a re a c c re tio n fro m th e a c q u is itio n ;th e a b ility to re ta in k e y p e rs o n n e l;a n d th e a n tic ip a te d s u fic ie n c y o fu tu re c a s h flo w s to e n a b le th e p a y m e n ts o f in te re s ta n d re p a y m e n to fs h o rt-a n d lo n g -te rm d e b ta s w e l a s q u a rte rly d iv id e n d s. T h e s e a n d o th e rfo rw a rd -lo o k in g s ta te m e n ts a re b a s e d o n m a n a g e m e n t's c u re n tv ie w s a n d a s s u m p tio n s a n d in v o lv e ris k s a n d u n c e rta in tie s th a tc o u ld s ig n ific a n tly a fe c te x p e c te d re s u lts.r e s u lts m a y b e m a te ria ly a fe c te d b y fa c to rs s u c h a s :ris k s a s s o c ia te d w ith a c q u is itio n s g e n e ra ly,s u c h a s th e in a b ility to o b ta in,o rd e la y s in o b ta in in g,re q u ire d a p p ro v a ls u n d e ra p p lic a b le a n ti-tru s tle g is la tio n a n d o th e re g u la to ry a n d th ird p a rty c o n s e n ts a n d a p p ro v a ls ;p o te n tia l v o la tility in th e c a p ita l m a rk e ts a n d im p a c to n th e a b ility to c o m p le te th e p ro p o s e d d e b ta n d e q u ity fin a n c in g n e c e s s a ry to s a tis fy th e p u rc h a s e p ric e ;fa ilu re to re ta in k e y m a n a g e m e n ta n d e m p lo y e e s o fr B F o o d s ;is s u e s o rd e la y s in th e s u c c e s s fu l in te g ra tio n o fr B F o o d s o p e ra tio n s w ith th o s e o fth e C o m p a n y,in c lu d in g in c u rin g o re x p e rie n c in g u n a n tic ip a te d c o s ts a n d /o rd e la y s o rd ific u ltie s ;d ific u ltie s o rd e la y s in th e s u c c e s s fu l tra n s itio n o fth e R B F o o d s b u s in e s s fro m th e in fo rm a tio n te c h n o lo g y s y s te m s o fr B to th o s e o fm c C o rm ic k a s w e l a s ris k s a s s o c ia te d w ith o th e rin te g ra tio n o rtra n s itio n o fth e o p e ra tio n s,s y s te m s a n d p e rs o n n e l o fr B F o o d s,e a c h,a s a p p lic a b le,w ith in th e te rm o fth e s ix -m o n th p o s t-c lo s in g tra n s itio n s e rv ic e s a g re e m e n tb e tw e e n M c C o rm ic k a n d R B ;fu tu re le v e ls o fre v e n u e s b e in g lo w e rth a n e x p e c te d a n d c o s ts b e in g h ig h e rth a n e x p e c te d ;fa ilu re o rin a b ility to im p le m e n t g ro w th s tra te g ie s in a tim e ly m a n n e r;u n fa v o ra b le re a c tio n to th e a c q u is itio n b y c u s to m e rs,c o m p e tito rs,s u p p lie rs a n d e m p lo y e e s ;c o n d itio n s a fe c tin g th e in d u s try g e n e ra ly ;lo c a l a n d g lo b a l p o litic a l a n d e c o n o m ic c o n d itio n s ;c o n d itio n s in th e s e c u ritie s m a rk e th a ta re le s s fa v o ra b le th a n e x p e c te d ;a n d c h a n g e s in th e le v e l o fc a p ita l in v e s tm e n t,a n d o th e ris k s d e s c rib e d in th e c o m p a n y 's filin g s w ith th e S e c u ritie s a n d E x c h a n g e C o m m is s io n,in c lu d in g M c C o rm ic k s A n n u a l R e p o rto n F o rm 1 0 -K fo rth e y e a re n d e d N o v e m b e r3 0, A c tu a l re s u lts c o u ld d ife rm a te ria ly fro m th o s e p ro je c te d in th e fo rw a rd -lo o k in g s ta te m e n ts.t h e c o m p a n y u n d e rta k e s n o o b lig a tio n to u p d a te o re v is e p u b lic ly,a n y fo rw a rd -lo o k in g s ta te m e n ts,w h e th e ra s a re s u lto fn e w in fo rm a tio n,fu tu re e v e n ts o ro th e rw is e,e x c e p ta s m a y b e re q u ire d b y la w. F o rw a rd -lo o k in g in fo rm a tio n 2

16 3 O U R V IS IO N IS T O B R IN G T H E J O Y O F F L A V O R T O L IF E O U R M IS S IO N IS T O M A K E E V E R Y M E A L & M O M E N T B E T T E R

17 M c C o rm ic k is th e n e w h o m e o ff ra n k s R e d H o ta n d F re n c h s 4 M c C o rm ic k to a c q u ire R e c k itb e n c k is e r s F o o d D iv is io n ( R B F o o d s )fo r$ 4.2 b ilio n in c a s h E re v e n u e o f$ m ilio n a n d A d j.e B IT D A o f$ m ilio n P ro fo rm a a n n u a l n e ts a le s o fa p p ro x im a te ly $ 5 b ilio n w ith s ig n ific a n tm a rg in a c c re tio n Ic o n ic,m a rk e tle a d in g b ra n d s h ig h ly c o m p le m e n ta ry to M c C o rm ic k s p o rtfo lio L e a d e rs h ip p o s itio n in h ig h g ro w th U.S.a n d C a n a d a H o ts a u c e c a te g o ry w ith # 1 b ra n d # 1 m a rk e tp o s itio n in U.S.a n d C a n a d a M u s ta rd c a te g o ry F re n c h s a n d F ra n k s R e d H o t w il b e o u r# 2 a n d # 3 b ra n d s,re s p e c tiv e ly A d v a n c e m e n tfro m # 1 0 to a le a d in g p o s itio n in U.S.C o n d im e n ts D e d ic a te d s ta te -o f-th e -a rtm a n u fa c tu rin g fa c ility in S p rin g fie ld,m O (1 )M c C o rm ic k s e s tim a te o fr B F o o d s re v e n u e a n d A d j.e B IT D A fo rits fis c a l y e a re n d in g D e c (1 )

18 Ic o n ic fla v o rb ra n d s w ith le a d in g m a rk e ts h a re p o s itio n s in d e s ire d c a te g o rie s C le a rle a d e rin o n -tre n d c a te g o ry F ra n k s R e d H o tis th e # 1 H o t S a u c e in th e U.S.a n d C a n a d a w ith a p a s s io n a te c o n s u m e r fo lo w in g A n A m e ric a n ic o n s in c e # 1 M u s ta rd in th e U.S.a n d C a n a d a d e liv e rin g c la s s ic fla v o rfo rg e n e ra tio n s S tro n g p re s e n c e in F o o d s e rv ic e A le a d in g B a rb e c u e S a u c e in U.S.F o o d s e rv ic e H o lid a y m u s t-h a v e # 2 b e s ts e lin g fo o d ite m d u rin g T h a n k s g iv in g w e e k 5

19 6 T h is a c q u is itio n is a m o m e n to u s s te p in e x e c u tin g th e s tra te g y p re s e n te d a tin v e s to rd a y B ig g e r,b ro a d e r a c q u is itio n a g e n d a A d d s s ig n ific a n ts c a le in k e y c a te g o rie s a n d c h a n n e ls A d v a n c e s u s fro m # 1 0 to a le a d in g p o s itio n in U.S.C o n d im e n ts F ra n k s R e d H o ta n d F re n c h s a re m a rk e tle a d in g b ra n d s In te rn a tio n a l o p p o rtu n ity to le v e ra g e o u rs c a le H o ts a u c e c a te g o ry is o n -tre n d F re n c h s c o m b in e s C la s s ic A m e ric a n a w ith e x c itin g n e w fla v o rs C le a n la b e l,n a tu ra l in g re d ie n ts O v e r-in d e x e s w ith m ile n n ia ls G ro w h e a lth y, fla v o rfu l o fe rin g s D riv e g ro w th in C o n s u m e ra n d In d u s tria l s e g m e n ts In c re a s e s o u rs c a le in U.S.a n d C a n a d a B ra n d e d F o o d s e rv ic e b y o v e r5 0 % S ig n ific a n to p p o rtu n ity th ro u g h fu l p o rtfo lio o fe rin g L e v e ra g e s c o m p le m e n ta ry d is trib u to re la tio n s h ip s

20 $ $ $ G ro w in g in te re s tin fla v o r A lig n e d w ith e x p a n d in g d iv e rs ity in U.S.h o u s e h o ld s M ile n n ia ls h a v e a s tro n g a fin ity fo rh o ts a u c e H o ts a u c e is a n o n -tre n d c a te g o ry a n d F ra n k s R e d H o tis th e c le a rle a d e r F ra n k s R e d H o ts a le s g ro w th b e a ts c a te g o ry g ro w th : M u c h lik e o u ro ld B a y fa n s,f ra n k s R e d H o t e n th u s ia s ts a re d e e p ly p a s s io n a te a b o u th e b ra n d F ra n k s R e d H o tis th e # 1 b ra n d in a n a d v a n ta g e d c a te g o ry 7 (1 )N ie ls e n. F ra n k s R e d H o tm ile n n ia l in d e x :1 4 4 ($ in m ilio n s )

21 N o H ig h F ru c to s e C o rn S y ru p A l in g re d ie n ts n o n -G M O F re n c h s K e tc h u p o v e r-in d e x e s w ith m ile n n ia ls T h e c la s s ic b ra n d a n d fla v o ro fm u s ta rd y o u k n o w a n d lo v e F re n c h s K e tc h u p is d ife re n tia te d a s a b e te r-fo r-y o u o p tio n F re n c h s is C la s s ic A m e ric a n a C ris p y V e g e ta b le s a re a h o lid a y tra d itio n In n o v a tio n e x p a n d s c ru n c h a n d fla v o rto m a n y d ife re n tfo o d s 8 K e y in g re d ie n tin th e # 1 m o s tg o o g le d re c ip e in R e le v a n th ro u g h in n o v a tio n P ip e lin e o fn e w p ro d u c ts a n d fo rm a ts

22 S ig n ific a n tg ro w th to o u rin d u s tria l s e g m e n t In c re a s e s o u rs c a le in U.S.a n d C a n a d a B ra n d e d F o o d s e rv ic e b y o v e r5 0 % M c C o rm ic k p ro d u c ts 9 M e a n in g fu l g ro w th s y n e rg ie s e x p e c te d b e tw e e n R B F o o d s a n d M c C o rm ic k p ro d u c ts in F a s tc a s u a l a n d o th e rc h a n n e ls Ilu s tra tiv e n e w ta b le to p fo rm a t

23 G lo b a l in fra s tru c tu re to a c c e le ra te g ro w th 1 0 We p la n to m a k e F ra n k s R e d H o th e # 1 H o ts a u c e g lo b a ly

24 A c c re tiv e fin a n c ia l im p a c to M c C o rm ic k V a lu e c re a tio n $ 4.2 b ilio n tra n s a c tio n v a lu e im p lie s a m u ltip le o f1 9.6 x E A d j.e B IT D A (1 )o r1 5.9 x in c lu d in g a n tic ip a te d ru n -ra te s y n e rg ie s E x p e c te d s a le s g ro w th is in lin e w ith M c C o rm ic k s lo n g te rm ta rg e ts M e a n in g fu l m a rg in e n h a n c e m e n ta n tic ip a te d E x p e c te d to b e a p p ro x im a te ly 5 % a c c re tiv e (2 )to M c C o rm ic k s A d j.e P S in Y e a r1,a n d a p p ro x im a te ly 1 0 % a c c re tiv e (2 )in c lu d in g fu l re a liz a tio n o fru n -ra te s y n e rg ie s A p p ro x im a te ly $ 5 0 m ilio n a n tic ip a te d a n n u a ly,m a jo rity a c h ie v e d b y S p litb e tw e e n S G & A a n d C O G S A p p ro x im a te ly $ m ilio n in tra n s a c tio n a n d in te g ra tio n c o s ts,m o s tly in S y n e rg ie s a n d o n e -tim e c o s ts C a p ita l s tru c tu re C o m m itm e n to s tro n g In v e s tm e n tg ra d e ra tin g a n d re tu rn in g to c u re n tc re d itp ro file L e v e ra g e ra tio o f4.9 x (3 ),d e le v e ra g in g to a p p ro x im a te ly 3 x b y y e a r-e n d F in a n c in g e x p e c te d th ro u g h n e w te rm lo a n s,s e n io ru n s e c u re d n o te s a n d e q u ity M a in ta in c u re n td iv id e n d p o lic y a n d c u rta il s h a re re p u rc h a s e p ro g ra m 1 1 (1 )B a s e d o n E A d j.e B IT D A o f$ m. (2 )P ro fo rm a E P S a d ju s te d fo rtra n s a c tio n a n d in te g ra tio n c o s ts,in c lu d in g c e rta in p u rc h a s e a c c o u n tin g a d ju s tm e n ts a n d o n g o in g a m o rtiz a tio n c o s ts. (3 )R e p re s e n ts n e tle v e ra g e b a s e d o n E p ro fo rm a A d j.e B IT D A e x c lu d in g s y n e rg ie s a n d a s s u m in g a $ M n e w e q u ity is s u a n c e.

25 C o m b in a tio n o fp o w e rfu fla v o rb ra n d s to d riv e s h a re h o ld e rv a lu e 1 2 F u rth e re n h a n c e s M c C o rm ic k s s c a le A p p ro x.$ 5 b n p ro fo rm a s a le s a n d $ 1 b n p ro fo rm a A d j.e B IT D A Ic o n ic b ra n d s w ith le a d in g m a rk e ts h a re s A d v a n c e s M c C o rm ic k fro m # 1 0 to a le a d in g p o s itio n in U.S.C o n d im e n ts M e a n in g fu l m a rg in a n d e a rn in g s a c c re tio n In te rn a tio n a l a n d F o o d s e rv ic e o p p o rtu n itie s

26 C e rta in d is c lo s u re s in th is p re s e n ta tio n a n d o u re m a rk s re p re s e n tn o n -G A A P fin a n c ia l m e a s u re s w h ic h a re p re p a re d a s a c o m p le m e n to o u rfin a n c ia l m e a s u re s p re p a re d in a c c o rd a n c e w ith U n ite d S ta te s g e n e ra ly a c c e p te d a c c o u n tin g p rin c ip le s ( G A A P ).A s a re s u lto fth e s ig n ific a n c e o fth is p e n d in g a c q u is itio n,th e C o m p a n y is m o d ify in g h o w w e d e fin e c e rta in n o n -G A A P fin a n c ia l m e a s u re s.we d e fin e A d ju s te d E B IT D A a s n e tin c o m e b e fo re in te re s t,in c o m e ta x e s, d e p re c ia tio n a n d a m o rtiz a tio n,a n d a s fu rth e ra d ju s te d fo rc a s h a n d n o n -c a s h a c q u is itio n -re la te d e x p e n s e s (w h ic h m a y in c lu d e th e e fe c to fth e fa irv a lu e a d ju s tm e n t o fa c q u ire d in v e n to ry o n c o s to fg o o d s s o ld );a n d c e rta in g a in s o rlo s s e s (w h ic h m a y in c lu d e th ird p a rty fe e s a n d e x p e n s e s,a n d in te g ra tio n c o s ts ).We d e fin e A d ju s te d E P S a s d ilu te d e a rn in g s p e rs h a re,a s a d ju s te d fo rc a s h a n d n o n -c a s h a c q u is itio n -re la te d e x p e n s e s (w h ic h m a y in c lu d e th e p re v io u s ly d e s c rib e d fa ir v a lu e a d ju s tm e n to fa c q u ire d in v e n to ry a n d th e e fe c to fa m o rtiz a tio n o fa c q u ire d in ta n g ib le a s s e ts )a n d c e rta in g a in s o rlo s s e s,a s p re v io u s ly d e fin e d,a n d s p e c ia l c h a rg e s (w h ic h m a y in c lu d e e x p e n s e s,in c lu d in g re la te d im p a irm e n tc h a rg e s,a s s o c ia te d w ith c e rta in a c tio n s u n d e rta k e n b y th e C o m p a n y to re d u c e fix e d c o s ts, s im p lify o rim p ro v e p ro c e s s e s,a n d im p ro v e o u rc o m p e titiv e n e s s a n d a re o fs u c h s ig n ific a n c e in te rm s o fb o th u p -fro n tc o s ts a n d o rg a n iz a tio n a l/s tru c tu ra l im p a c to re q u ire a d v a n c e d a p p ro v a l o fo u rm a n a g e m e n tc o m m ite e ),a l n e to fta x.t h e C o m p a n y s e s tim a te o fr B F o o d s A d ju s te d E B IT D A is b a s e d o n ly o n p ro je c te d fin a n c ia l in fo rm a tio n a v a ila b le a s o fth e d a te h e re o f.t h e C o m p a n y s e s tim a te o fth e c o m b in e d re v e n u e a n d A d ju s te d E B IT D A o fm c C o rm ic k a n d R B F o o d s is b a s e d o n ly o n p ro je c te d fin a n c ia l in fo rm a tio n a s o fth e d a te h e re o f.t h e C o m p a n y b e lie v e s th a ta d ju s te d E B IT D A is u s e fu l to in v e s to rs in e v a lu a tin g th e C o m p a n y 's o p e ra tin g p e rfo rm a n c e a n d liq u id ity b e c a u s e (i)itis a w id e ly u s e d to m e a s u re a c o m p a n y 's o p e ra tin g p e rfo rm a n c e w ith o u tre g a rd to ite m s s u c h a s d e p re c ia tio n a n d a m o rtiz a tio n,w h ic h c a n v a ry d e p e n d in g u p o n a c c o u n tin g m e th o d s a n d th e b o o k v a lu e o fa s s e ts,(i)itp re s e n ts a m e a n in g fu l m e a s u re o fc o rp o ra te p e rfo rm a n c e e x c lu s iv e o fth e C o m p a n y 's c a p ita l s tru c tu re a n d is th e m e th o d b y w h ic h w e e v a lu a te a c q u is itio n s,a n d (i)itis a w id e ly a c c e p te d fin a n c ia l in d ic a to ro fa c o m p a n y 's a b ility to s e rv ic e its d e b t.t h e C o m p a n y b e lie v e s th a ta d ju s te d E P S p ro v id e s a d d itio n a l in fo rm a tio n th a te n a b le s e n h a n c e d c o m p a ris o n s to p rio rp e rio d s a n d, a c c o rd in g ly,fa c ilita te s th e d e v e lo p m e n to fu tu re p ro je c tio n s a n d e a rn in g s g ro w th p ro s p e c ts.a d ju s te d E P S is a ls o u s e d b y m a n a g e m e n to m e a s u re th e p ro fita b ility o fo u ro n g o in g o p e ra tio n s a n d a n a ly z e o u rb u s in e s s p e rfo rm a n c e a n d tre n d s. In a d d itio n to th e a b o v e n o n -G A A P fin a n c ia l m e a s u re,w e d e fin e L e v e ra g e R a tio a s n e td e b t(w h ic h is to ta l d e b t,n e to fc a s h )to A d ju s te d E B IT D A.T h a tra tio is a w id e ly -u s e d m e a s u re o fo u ra b ility to re p a y o u ts ta n d in g d e b to b lig a tio n s a n d is a m e a n in g fu l m e tric to in v e s to rs in e v a lu a tin g o u rfin a n c ia le v e ra g e.o u rlo n g -te rm L e v e ra g e R a tio ta rg e tis 1.5 to 1.8.O u rl e v e ra g e R a tio c a n b e te m p o ra rily im p a c te d b y o u ra c q u is itio n a c tiv ity. T h e s e n o n -G A A P fin a n c ia l m e a s u re s m a y b e c o n s id e re d in a d d itio n to re s u lts p re p a re d in a c c o rd a n c e w ith G A A P,b u ts h o u ld n o tb e c o n s id e re d a s u b s titu te fo r,o r s u p e rio rto,g A A P re s u lts.in a d d itio n,th e s e n o n -G A A P fin a n c ia l m e a s u re s m a y n o tb e c o m p a ra b le to s im ila rly title d m e a s u re s o fo th e rc o m p a n ie s b e c a u s e o th e r c o m p a n ie s m a y n o tc a lc u la te th e m in th e s a m e m a n n e rth a tw e d o.we in te n d to c o n tin u e to p ro v id e th e s e n o n -G A A P fin a n c ia l m e a s u re s a s p a rto fo u rfu tu re e a rn in g s d is c u s s io n s a n d,th e re fo re,th e in c lu s io n o fth e s e n o n -G A A P fin a n c ia l m e a s u re s w il p ro v id e c o n s is te n c y in o u rfin a n c ia l re p o rtin g.t h e C o m p a n y p ro v id e s its e x p e c ta tio n s a s to th e e fe c to fth e R B F o o d s a c q u is itio n o n a n o n -G A A P b a s is,in c lu d in g th e n o n -G A A P m e a s u re s p re v io u s ly n o te d.we h a v e n o tp ro v id e d a re c o n c ilia tio n o fth e s e n o n -G A A P fin a n c ia l m e a s u re s to th e re la te d G A A P fin a n c ia l m e a s u re s a s th e s e n o n -G A A P m e a s u re s a re s o le ly a s s o c ia te d w ith fo rw a rd - lo o k in g in fo rm a tio n a n d s u c h re c o n c ilia tio n s w o u ld re q u ire u n re a s o n a b le e fo rts a th is tim e to fo re c a s ta n d q u a n tify c e rta in a m o u n ts th a ta re n e c e s s a ry fo rs u c h re c o n c ilia tio n,in c lu d in g a d ju s tm e n th a tc o u ld b e m a d e fo rm a te rs in c lu d in g,b u tn o tlim ite d to,c a s h a n d n o n -c a s h a c q u is itio n re la te d e x p e n s e s,g a in s a n d lo s s e s, b o th a s p re v io u s ly d e s c rib e d,a n d o th e rc h a rg e s re fle c te d in th e C o m p a n y s re c o n c ilia tio n o fh is to ric a m o u n ts,th e a m o u n ts o fw h ic h,b a s e d o n h is to ric a l e x p e rie n c e c o u ld b e s ig n ific a n t. N o n -G A A P F in a n c ia l M e a s u re s 1 3