MIDSOUTH Region

Regional Composite

REGIONALDATA REPORT

JAN – MAR2014 vs. 2013

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Methodology

• 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

• 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, Produce = Total Produce including Avocados

• Timeframe: YTD Q1 (January – March) 2014

• 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

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Midsouth: Region Highlights - YTD Q1

• 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 Markets

• Midsouth Overview– Avocado retail dollar average trends through Q1 outpaced Produce retail dollar

trends – Category dollars grew +16% in 2013 and +32% in 2014 for a net growth of +53%

over 2012– Category units grew +20% in 2013 and +18% in 2014 for a net growth +42% over

2012– Category average selling price (ASP) decreased -4% in 2013 and increased +12% in

2014 to $1.19/unit

• Midsouth Per Store Averages– 2014 Average dollars of $3,038 per store were +30% higher than 2013 and +49%

higher than 2012– 2014 Average units of 2,549 per store were +17% higher than 2013 and +38%

higher than 2012

• Midsouth versus Total U.S. trends– MS category unit growth of +18% was +10 points higher than the national average– MS category dollar trend of +32% was +12 points higher than the national average– MS 2014 category ASP of $1.19/unit was +14% higher than the national average of

$1.05/unit

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Midsouth: YTD Q1 Retail Dollar Trend ComparisonsAvocados vs. Produce

• Avocado retail dollar trends through Q1 2014 outpaced Produce retail dollar trends – 2013 versus 2012, Avocados outpaced Produce by +8 points– 2014 versus 2013, Avocados outpaced Produce by +27 points– 2014 versus 2012, Avocados outpaced Produce by +39 points

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Midsouth: YTD Q1 Avocado Retail Overview

• Category dollars grew +16% in 2013 and +32% in 2014 for a net growth of +53% over 2012

• Category units grew +20% in 2013 and +18% in 2014 for a net growth +42% over 2012

• Category average selling price (ASP) decreased -4% in 2013 and increased +12% in 2014 to $1.19/unit

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RETAIL UNITSPLU Description 2013 2014 Variance 2013 2014 Variance4046 Small Hass #60 sizes & smaller 5,686,824 6,372,837 +12.1% 119,684,011 148,049,708 +23.7%4225 Large Hass #40 & #48 sizes 12,817,210 15,373,685 +19.9% 158,120,695 155,679,743 -1.5%4770 X-Large Hass #36 sizes & larger 2,686,770 2,184,323 -18.7% 17,693,764 7,904,569 -55.3%Other Greenskins, Pinkertons, non-Hass PLUs 546,472 535,337 -2.0% 7,542,362 7,650,615 +1.4%

Organic All Organic PLUs 219,879 354,285 +61.1% 3,829,787 5,619,481 +46.7%Bags All bagged PLUs 5,208,373 7,331,443 +40.8% 45,943,454 57,798,567 +25.8%

27,165,527 32,151,909 +18.4% 352,814,072 382,702,682 +8.5%

RETAIL DOLLARSPLU Description 2013 2014 Variance 2013 2014 Variance4046 Small Hass #60 sizes & smaller 5,154,487$ 6,505,555$ +26.2% 84,875,974$ 120,096,528$ +41.5%4225 Large Hass #40 & #48 sizes 14,766,998$ 19,747,714$ +33.7% 173,005,774$ 193,412,265$ +11.8%4770 X-Large Hass #36 sizes & larger 3,661,933$ 4,195,464$ +14.6% 20,851,204$ 14,074,386$ -32.5%Other Greenskins, Pinkertons, non-Hass PLUs 1,000,662$ 1,019,328$ +1.9% 12,660,484$ 13,534,846$ +6.9%

Organic All Organic PLUs 417,924$ 649,045$ +55.3% 5,997,711$ 8,942,240$ +49.1%Bags All bagged PLUs 4,009,551$ 6,196,434$ +54.5% 37,130,446$ 50,724,719$ +36.6%

29,011,554$ 38,313,540$ +32.1% 334,521,594$ 400,784,985$ +19.8%

AVERAGE SELLING PRICE (ASP) / UNITPLU Description 2013 2014 Variance 2013 2014 Variance4046 Small Hass #60 sizes & smaller $0.91 $1.02 +12.6% $0.71 $0.81 +14.4%4225 Large Hass #40 & #48 sizes $1.15 $1.28 +11.5% $1.09 $1.24 +13.5%4770 X-Large Hass #36 sizes & larger $1.36 $1.92 +40.9% $1.18 $1.78 +51.1%Other Greenskins, Pinkertons, non-Hass PLUs $1.83 $1.90 +4.0% $1.68 $1.77 +5.4%

Organic All Organic PLUs $1.90 $1.83 -3.6% $1.57 $1.59 +1.6%Bags All bagged PLUs $0.77 $0.85 +9.8% $0.81 $0.88 +8.6%

$1.07 $1.19 +11.6% $0.95 $1.05 +10.5%

JAN

UAR

Y - M

ARCH

: 201

3 vs

201

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Midsouth Total U.S.

TOTAL CATEGORY UNITS

Midsouth Total U.S.

TOTAL CATEGORY DOLLARS

Midsouth Total U.S.

CATEGORY ASP ($/Unit)

Midsouth vs. Total U.S.YTD Q1 PLU Comparisons

• MS category unit growth of +18% was +10 points higher than the national average– MS growth was

driven by PLU 4225 and bagged avocados, which grew +5 million units

• MS category dollar trend of +32% was +12 points higher than the national average– MS growth was

driven by PLU 4225 and bagged avocados, which grew +$7 million

• MS 2014 category ASP of $1.19/unit was +14% higher than the national average of $1.05/unit

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$2,042$2,330

$3,038

+14.1% +30.3%

Avg Retail Dollars Per Store

2012 2013 2014

1,844 2,182

2,549

+18.4% +16.8%

Avg Retail Units Per Store

2012 2013 2014

Midsouth: YTD Q1 Category Per Store Averages

• In 2014, per store dollar and unit averages exhibited growth over the prior years– 2014 Average dollars of $3,038 per store were +30% higher than 2013

and +49% higher than 2012– 2014 Average units of 2,549 per store were +17% higher than 2013

and +38% higher than 2012

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Midsouth: 2012 through Q1-2014 Per Store AveragesBy Quarter - Units vs. ASP

• Average Retail Units Per Store– The peak quarter was 2014-Q1 at 2,549 units per store when ASP was $1.19/unit– The lowest quarter was 2013-Q4 at 1,826 units per store when ASP was at its

highest, $1.29/unit

• ASP– Lowest ASP to date occurred during 2013-Q1, $1.07/unit– Highest ASP to date occurred during 2012-Q4 and 2013-Q4, at $1.29/unit

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Midsouth: Region Highlights - YTD Q1

• 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 Markets

• Midsouth Overview– Avocado retail dollar average trends through Q1 outpaced Produce retail dollar

trends – Category dollars grew +16% in 2013 and +32% in 2014 for a net growth of +53%

over 2012– Category units grew +20% in 2013 and +18% in 2014 for a net growth +42% over

2012– Category average selling price (ASP) decreased -4% in 2013 and increased +12% in

2014 to $1.19/unit

• Midsouth Per Store Averages– 2014 Average dollars of $3,038 per store were +30% higher than 2013 and +49%

higher than 2012– 2014 Average units of 2,549 per store were +17% higher than 2013 and +38%

higher than 2012

• Midsouth versus Total U.S. trends– MS category unit growth of +18% was +10 points higher than the national average– MS category dollar trend of +32% was +12 points higher than the national average– MS 2014 category ASP of $1.19/unit was +14% higher than the national average of

$1.05/unit